Google Cloud and UPS today announced an expanded collaboration to evolve UPS’s global logistics network technology and advance its world-class digital experience for customers and employees. As the logistic firm’s strategic cloud provider, Google Cloud will provide increased cloud capacity, and new data analytics and artificial intelligence/machine learning (AI/ML) tools to help UPS improve its supply chain efficiency across customers and business partners, and bolster its customer service across online channels worldwide.
Under the expanded agreement, Google Cloud is providing UPS with increased network, storage, and compute capacity—as well as new data analytics and industry-leading AI/ML technologies—to increase customer visibility into shipments, improve decision making, and enhance control over how UPS delivers more than 25 million packages a day around the globe. In fact, using Google Cloud’s real-time analytics tools, UPS can make more targeted operational adjustments by detecting and addressing potential issues that may arise at any point with the shipment.
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“UPS harnesses massive amounts of data throughout its Global Smart Logistics Network to provide our customers with unmatched service,” said Juan Perez, UPS Chief Information and Engineering Officer. “By expanding our use of Google Cloud, UPS can achieve a higher level of predictive data analytics capabilities, improve our customers’ experiences and generate operational efficiencies, while also reducing our carbon footprint.”
Since their relationship began in 2018, UPS and Google Cloud have together worked on several joint initiatives, including:
- Building UPS’s Harmonized Enterprise Analytics Tool (HEAT), a business intelligence platform developed in-house, which taps into more than 1 billion data points and provides precise forecasting—including the ability to see and control how packages move through UPS’s network.
- Managing both the Covid-19 pandemic and peak holiday seasons seamlessly, thanks to resilient cloud infrastructure and data-driven insights from Google Cloud. At a time when package volume increased by as much as 60%, UPS was still able to deliver more than 1 billion vaccine doses with 99.9% effectiveness, including tracking information for deliveries to within 10 feet of packages anywhere in UPS’s global network.
- Driving a more sustainable delivery network overall. UPS is using routing software that leverages data analytics to optimize delivery routes, reducing fuel consumption by 10M gallons a year.
“Through our work with UPS, we’ve seen firsthand the impact that AI/ML and data analytics can have on the consumer experience—getting their packages delivered on-time and stress-free,” added Kirsten Kliphouse, President, North America, Google Cloud. “As we advance our relationship, we’re dedicated to helping UPS continue unlocking the power of data in new ways to make informed decisions and deliver on its digital logistics vision.”
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UPS (NYSE: UPS) is one of the world’s largest companies, with 2021 revenue of $97.3 billion, and provides a broad range of integrated logistics solutions for customers in more than 220 countries and territories. Focused on its purpose statement, “Moving our world forward by delivering what matters,” the company’s more than 534,000 employees embrace a strategy that is simply stated and powerfully executed: Customer First. People Led. Innovation Driven. UPS is committed to reducing its impact on the environment and supporting the communities we serve around the world. UPS also takes an unwavering stance in support of diversity, equality, and inclusion. More information can be found at www.ups.com, about.ups.com and www.investors.ups.com.
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