The company expects these actions to result in an incremental increase to adjusted earnings per share in the range of US$1.00 to $1.20 by 2022, reports AJOT.Chairman and chief executive officer David Abney said: "Transformation will lift our earnings, as we generate higher-quality revenue and use technology to increase operating efficiency and enhance customer service. UPS is transforming from a position of strength. We are implementing an enterprise-wide transformation that will enable and accelerate our enhanced business strategy."UPS's transformation programme leverages scale and institutionalises processes to ensure the company captures efficiency gains and reinvests savings through realignment of talent and financial resources on priority growth areas outlined in its business strategy.The company is focused on four strategic imperatives where it is well-positioned for profitable growth: Continued expansion of high-growth international markets where the company efficiently connects domestic and export customers to its global network; profitable expansion from both B2B and B2C e-commerce, as US industry package revenue is expected to grow by 40 per cent from 2017 to 2022, and cross-border e-commerce volume is expected to grow by 28 per cent over the next three years.In addition, further penetration of the Healthcare and Life Sciences logistics market, given the increasing shift toward home healthcare, where UPS' trusted residential delivery network will provide new value for healthcare companies and consumers; and enhancing services and value for Small- and Medium-sized Businesses, as the company repositions its commercial and service strategies to help this growing economic segment reduce logistics complexity and costs, and take advantage of UPS-offered technology platforms for growth.UPS's business strategy includes continued capital investment in its vast global network at previously announced levels. New and renovated facilities, aircraft and fleet assets are coming online at record levels during the next four years. In 2018, 2019 and 2020, UPS will add 350,000-400,000 pieces per hour of sortation capacity in the US each year, which is about seven times the additional sortation capacity added in 2017, alone."Today nearly 50 percent of our nearly 35 million sorted packages per day are processed using our new more-automated facilities. When we complete this phase of our Global Smart Logistics Network enhancement by 2022, 100 per cent of eligible volume in the US will be sorted using these new more highly automated sites," said Mr Abney.Seven new 'super hub' automated sortation facilities will be opened during the period, with 30-35 per cent higher efficiency than comparable less-automated facilities. More than 70 expansion projects will be implemented during the period. UPS will have completed 17 projects in 2018, in time for the peak holiday shipping season.The US domestic segment will receive approximately two-thirds of the benefits of the transformation programme. Initiatives throughout the unit's operations will enhance revenue quality and reduce operating costs to increase operating leverage.The company has in the last two years significantly increased total international capacity, allocating much of the added volume to higher-margin export and premium services. Intercontinental air express capacity has risen more than 10 per cent as new, higher capacity cargo jets are added to the fleet. The company has completed about two-thirds of its previously announced European network expansion and has recently opened new "super-hubs" in Paris and London, and several other new sortation and delivery facilities throughout the region.The Supply Chain and Freight unit has delivered strong performance in recent quarters from new revenue management initiatives, a stronger focus on mid-sized customer growth and continued, disciplined cost management.One of the main elements of UPS' company-wide drive for efficiency is using common processes and leveraging scale to reduce procurement and operating costs. The company is also using technology to streamline back-office activities, further outsourcing certain transactional activities and broadening spans of control within management for greater overall efficiency."Our transformation touches every part of the company," Mr Abney continued. "Most important, we are implementing changes that strengthen the ongoing core earnings power of the company. The savings we achieve will be reinvested in the company and its people and will be used to reward shareowners. Our leadership team is collaborating to instill a continuous transformation culture and I am confident our plans will deliver higher levels of UPS profitability and shareowner returns."
The DJSI, which is a major global index for companies engaging in socially responsible investment (SRI), involves selecting sustainability-driven companies from 3,400 companies worldwide that have been invited to participate in a selection process that consists of an analysis of economic, environmental and social criteria such as corporate governance, risk management, water-related risks and stakeholder relations.The evaluation criteria for socially responsible investment (SRI) is not only based on a company's economic performance but also on its environmental measures, compliance with laws and other corporate social responsibility factors.The Japanese company was also selected for the FTSE4Good Index for the 16th year in a row in July.
GAC Hong Kong handles full container shipments coming in for Helsinki from Foshan, China via Nansha port in Guangzhou, and from Penang, Malaysia, as well as LCL shipments from Ningbo, China and occasional material imports from Germany to Duuri Oy's Foshan suppliers."We work closely with our sister companies in China and Malaysia for shipments coming in from their countries, liaise with the suppliers on cargo readiness, negotiate the best rates, arrange vessel bookings and finally work with our counterparts in Finland to arrange the deliveries to our customers in Helsinki," says GAC Hong Kong's commercial manager - logistics, Iiro Mikkola.Duuri Oy saves time, effort and money whilst enjoying the peace of mind that comes from constant status updates from GAC Hong Kong acting as its single contact point for all Far East supply chain related matters including communication, operation and payments."It is important to have a logistics partner who can monitor all our cargo movements and keep us updated at every step of the supply chain. This mode of operation enables us to cut out a chain of middlemen in supply chain management and deal direct with GAC for everything from logistics follow-up to billing," says Duuri Oy's purchasing and logistics manager Jari Plattonen.