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United Parcel Service, Inc. Message Board

  • dudesbag dudesbag Dec 27, 2013 12:46 PM Flag

    Regional air hubs bigger in future?

    Given the overload issues at Worldport, I should think the post-peak performance discussions should be fascinating. From a long-ago retired guy's point of view, I suspect we'll see some planned diversion of volume to the regional air hubs vs. the need to consolidate so much in Louisville. In sense we were lucky there wasn't a major weather event in Kentucky or all heck would surely have broken loose. If we were overwhelmed by the unprojected volume spike and next year's calendar lines up in a similar compressed shopping format, we need to give considerable thought to managing this process going forward. Solutions to this year's problems need to be assured so we have the confidence of the major players we disappointed this year. Sure, we probably didn't have an adequate number of cargo planes in reserve but then again a sorting operation can only process a finite number of packages. Any thoughts on this from air operations guys? .

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    • Back when Louisville got 16 inches of snow and nothing left town for three days, they expanded the regional hubs. They realized it wasn't cost-effective and put all of the money back into Worldport. I'm sure they will beef up the regionals a bit, but not that much.....just my opinion.

      • 1 Reply to johnsmith6372
      • Thanks for your perspective johnsmith. Knowing how the braintrust at UPS would view this year's peak season performance, clearly something will be modified for next year's master plan (beyond refusing to be put on the cover of a national business magazine to avoid the curse) to insure that we have a spectacular peak regardless of the challenges. It seems the clear changes would be more cargo planes available, more accurate volume projections from large shippers, more driver helpers and trying to encourage earlier shipping thru some sort of coordinated effort with the big on-line companies. Beyond that, it will be curious to know how the Orion system did during peak as the volume chaos may have negated any advantage this year. But with an entire year to work out the bugs and familiarize the preload operation with its advantages, I'd like to think we'll have some level of tailwinds heading into peak 2014.

        Sentiment: Buy

    • How about Rockford,IL hub its still in the midwest and central time zone. Although, you still run the risk of snow and icy weather.

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