data pulse #22
UPS generates rich data through devices, vehicles, tracking materials and sensors throughout its operations. Using advanced data analytics it aims to ‘turn that complex universe of data into business intelligence’.
Route optimisation delivers immense value for UPS – a reduction of one mile per driver per day results in up to $50 million each year. Telematics sensors in UPS vehicles monitor speed, direction, braking, RPM, oil pressure, shifting, idle time, seatbelt use, and hundreds of other data points, including geographic and map data. The analytics team now runs advanced algorithms to crunch all of this information, factoring in delivery routes, customer information, business rules and employee work rules. These algorithms can determine the vehicle’s performance and condition, and can even recommend driving adjustments.
Through these analytics, UPS reduced total miles driven per year by 85 million. Idle engine time was also reduced by 10 million minutes. The information UPS receives allows fully informed decisions about vehicle replacement, and helps determine best driving practice so that drivers get the best possible training.
“We don’t look at initiatives as ‘analytics projects,’ we look at them as business projects. Our goal is to make business processes methods, procedures and analytics all one and the same.” – UPS Senior Director of Process Management.
Data Pulses storytelling 