Brown steps up the Green efforts
Sunday, December 9th, 2007Recently, the NY Times had a short piece on how UPS eliminated left-hand turns for delivery trucks.
Last year, according to Heather Robinson, a U.P.S. spokeswoman, the software helped the company shave 28.5 million miles off its delivery routes, which has resulted in savings of roughly three million gallons of gas and has reduced CO2 emissions by 31,000 metric tons.
Implemented about 2 years ago it has had its series of hurdles. Costing $600M to adopt nationwide, the improved end-to-end flow, which will ultimately be used by more than 100,000 employees, begins when the customer generates a smart label using a Web application that transmits customer and package information to UPS and pre-processes it before the driver arrives for pickup. That information then passes to UPS’s Dispatch Planning System, which charts UPS truck pickup and delivery routes.
Beginning in 2007, when the new system will be fully deployed, increases in operational efficiency are expected to save UPS that $600 million each year, says project leader Cathy Callagee, operations portfolio manager at UPS.
The hardest part of the project, according to Callagee, has been integration with legacy AS/400 and mainframe systems. But the lessons she has learned from the project are of a less technical nature. Before digging into technology, the project’s planners focused exclusively on streamlining processes — and when the new package-flow apps were ready, the company rolled out the new system slowly, so feedback from the field could be leveraged to improve the software.
Callagee’s final advice has become the refrain for modern IT. “If we don’t have a business reason … we don’t do it for technology’s sake. Unless there is a true business-case ROI, don’t do it.” So what can Brown do for you?