Volume 20: OnTrac Announces Weekend Delivery
Volume 17 Breakdown:?
Every Monday we’re catching you up on the top 3 industry news stories from the previous week. Let’s get into it:
#1 OnTrac Announces Weekend Delivery
OnTrac is launching Saturday and Sunday delivery for about 75% of their network this month. They’ve also shared plans to expand their network through the Chicago, St. Louis, and Minneapolis regions this summer.
The soft parcel market has led to a slowdown in carrier diversification. Despite this, OnTrac has seen “strong package growth” by winning more volume from existing customers.
UPS uses the USPS for Sunday deliveries, and FedEx scaled back their Sunday delivery operations last year. OnTrac will need continued volume growth for weekend deliveries to be profitable.
#2 FedEx Pilots Take First Step Towards Potential Strike
After three years of negotiations for a new contract, FedEx Express’ pilots union has opened the door for a potential strike. They’ve requested the National Mediation Board - who is overseeing the negotiations - to release them from the mediation process - the first step towards pursuing a legal strike.
The two sides reached a tentative agreement in 2023, which was later rejected in a full vote by the pilots. Negotiations resumed in November, but little progress has been made, and the pilots have become frustrated with FedEx’s offers for pay and retirement benefits.
Additional steps towards a strike include the National Mediation Board deciding whether or not to have additional mediation efforts. If so, they can offer arbitration to both parties. If either declines arbitration, a 30-day “cooling off” party begins. After the 30 days, the union can call for a strike, or FedEx can lock them out.
The union hopes moving towards a strike will lead to positive developments at the negotiating table. “This development cannot be finessed or ignored” said Air Line Pilots Association President Jason Ambrosi.
#3 UPS Opening Tucson Facility?
UPS is opening a new fulfillment facility in Tucson, AZ. The location will operate around 200 package delivery trucks, and is situated close to Tucson International Airport.
What is Lead Time?
Lead Time, also called order cycle time, measures the time a company takes between order placement by customer and delivery of the order.
Why is tracking Lead Time important?
Tracking Lead Time is especially important now-a-days, as customers expect an “Amazon-like” experience. Long lead times indicate inefficiencies in your order fulfillment operations and can result in customers buying from your competition.
Sifted’s NEW Case Studies Page
It has been about a month since we launched our brand new case studies page. Some of the features include:
If you are interested in our Logistics Intelligence software, this is a great page to check out and learn more about it.?
View it here: https://sifted.com/case-studies/
Exploring new delivery options opens doors! ???? Like Einstein said - imagination encircles the world, pushing us beyond the usual. #innovation #parcelnews