The Government Accounting Office (GAO) issued a harsh critique of the U.S. Postal Service and its efforts thus far to implement a 10-year strategic plan aimed at improving performance and turning around mounting losses that run against a government mandate for the USPS to be self-sustaining. The agency took issue, saying its strategic process to implement the plan was “robust and effective.”
As expected, the International Brotherhood of Teamsters voted overwhelmingly to ratify a new five-year contract with UPS, giving the 340,000 members at the carrier higher wages for part- and full-time workers, and eliminating a hated two-tier system of driver classification. More than 86% of union members voting said yes to the new contract, the Teamsters said, a record for a UPS deal.
It seems like a lifetime ago that U.S. retailer Nordstrom made waves with its “no questions asked” returns policy. There is even an urban legend that one customer returned a … Continue Reading →
With generative AI adoption being so widespread across industries, one key application and business process of the technology near and dear to the hearts of retailers is finding ways to reduce the expense, hassle and poor customer experience of ecommerce returns that grow year after year. Hear how leading retailers are leveraging GenAI and machine learning to reduce returns and boost CX.
Amazon has been quietly growing the volume of orders going out boxless, which the company says represented 11% of items shipped in 2022, a move that some see as a sea change in reducing packaging materials that will be imitated across retail. Amazon customers can choose to add an external “smiley” box at checkout, but boxless is now the default, with more apparently opting for it.
Savvy shippers are introducing automated intralogistics to deliver an enhanced customer experience to gain competitive advantage. They’re also streamlining their business and making warehouse operations as profitable as possible. A multi-agent orchestration platform that is device and technology agnostic switches things up, bringing more uniformity to your fulfillment operations.
With the opportunity for so much online revenue at stake, it’s critical to delight consumers with optimized ecommerce packaging that delivers products without damage. Packaging enhancements need to go beyond functionality, using materials that can be reused or recycled. This is good for the business and the environment, and increasingly attractive to consumers.
UPS reported a 10.9% dip in second quarter revenue, but still hit its goal of $2.9 billion in operating profit thanks to $889 million in cost reduction compared with 2022. The company also said 1 million parcels a day were diverted to competitors due to concerns about labor negotiations. UPS also lowered full-year guidance mostly due to costs associated with the new contract, the company said.
The U.S. Postal Service reported a net loss of $1.7 billion in the third quarter, placing the blame on the 2022 Postal Service Reform Act which was billed as a way to help provide relief for the USPS from the burden of unfunded retiree healthcare benefits. Parcel volume, which had been ticking up quarter by quarter at the USPS for several years, fell 2.3% to 1.7 million pieces, after dropping 5% in Q2.
With all the focus on winning in the last mile, companies need to pay more attention to critical first mile success, addressing the various headwinds that beset it. Brands need to strike a balance in optimizing the first mile that address efficiency, affordability and overall performance. Here are two critical areas to address in order to help you mitigate risks and assure a seamless flow of goods.