Is UPS considered a freight forwarder?
Dec 18, 2023
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1, Basic background of UPS
UPS was founded in 1907 and is headquartered in the United States. Today, it has become one of the leaders in transportation and logistics services worldwide. Its service scope covers multiple fields such as parcel express delivery, freight, international trade, etc., and its business covers more than 220 countries and regions. UPS is renowned for its efficient transportation network, advanced technology, and globalized services.
2, UPS's perspective as a freight forwarder
Cargo organization and distribution: One aspect of UPS's recognized role in freight forwarding is its ability to organize, distribute, and manage large quantities of goods. It not only provides international and domestic freight services, but also effectively coordinates the transportation, warehousing, and distribution of goods through its strong logistics network.
Comprehensive transportation services: UPS not only provides express delivery services, but also covers multiple fields such as land, sea, and air transportation. This comprehensive transportation service enables it to meet the needs of customers for different transportation methods, which is also a service typically provided by freight forwarders.
Logistics solutions: UPS provides a wide range of logistics solutions, including supply chain management, warehousing, packaging and other services. These services are not just simple transportation, but also cover the management of the entire supply chain, which is closely related to the services usually provided by freight forwarders.
3, The viewpoint that UPS is not considered a freight forwarder
Direct service to end customers: Unlike some traditional freight forwarding companies, UPS directly establishes contact with end customers and provides express delivery services. Freight forwarders usually participate more indirectly in the transportation of goods by establishing connections with carriers.
Emphasizing end-to-end services: UPS takes pride in its end-to-end services and emphasizes the full process management from the point of origin to the final delivery point of goods. This is different from the typical model of freight forwarding, which focuses more on coordinating different transportation stages.
Self owned transportation network: UPS has a vast self owned transportation network, including airplanes, trucks, ships, etc. This allows it to directly control the transportation process of goods, not just through cooperation with different carriers.
4, The uniqueness of UPS
Technological innovation: UPS has always been committed to introducing and applying the latest technologies, including the Internet of Things, artificial intelligence, and big data analysis. This technological innovation provides it with more efficient and traceable transportation services, making it uniquely competitive in the industry.
Sustainable development: UPS actively participates in sustainable development by adopting more environmentally friendly transportation and optimizing route planning to continuously reduce its impact on the environment. This concept of sustainable development is different from the business model of traditional freight forwarding companies.
