T h e l a t e s t n e w s a n d v i e w s f r o m U P S – A u t u m n 2 0 0 1w w w . u p s . c o m

Inside Story

More optionsfor organising RETURNS

Whether you have already

experienced UPS’ Return Services

or are interested in finding out how

to improve your product return

process, you can benefit from an

extension to the range of Return

Services we can offer you.

Earlier this year we launched our

range of UPS Return Services, filling a

much needed demand in the market,

for a standardised, simple way of

organising returns.

In addition to the five service

options launched in February, we

have now added e-mail and web-

based return options to our portfolio.

What’s more, you can now also use

our Express services, to add speed to

the equation.

Continued on page 3

The A-Z of shipping onlineEverything you need to ship with UPS,available via the web too – see p2

UPS Cash-On-Delivery serviceTaking the risk out of collecting payment. Find out how on p3

UPS OnLine™ WorldShip™ shipping tip –Let your customers know in advance that theirorder is on its way – p3

New from UPS – Maps on the WebEurope at a glance – giving you a unique andeasy visual reference – see p4

A more pragmatic definition of

e-Business might be “business

conducted entirely between computers

driven by predefined business rules.”

However, while information is flowing

electronically via computers and the web

through this process, it is frequently in

isolation or in parallel to other information

rather than integrated. This leaves important

missing links in the business model.

A black hole Order visibility and returns processes

are two that immediately come to mind. Take

the order process for example – anyone

purchasing online has experienced the

situation where they have little or no

information about the progress of their order

once it is placed.

If they are fortunate, the customer might

be aware of their order’s status when it

reaches the hands of the transportation

company. Take UPS, for example. UPS has

tracking services that provide visibility of

shipment information once the orders are in

UPS’ possession – from pick-up to final

delivery. But activity before this point, such as

processing of the order and fulfillment,

remain a black hole for the customer,

resulting in days of uncertainty.

The process of returning goods also

provides similar challenges and even

greater headaches for companies

needing a way to retrieve and

integrate goods for return

back into their processing

systems – simply, intelligently

and fast. Fortunately, UPS’ new

suite of Return Services is the perfect

solution (see above) with a range of services

available for customers across Europe.

Where is my order?If you thought that e-Business was simply a matter of buying some high-priced software, hiring some even higher-priced consultants to install it and

standing back to watch the profits grow, you have probably already realised your mistake.

Peter Nicholls, President of Pantechnik International, reveals two critical information gaps in the order chain and a window of opportunity for businesses ready to increase customer satisfaction.UPS Guest

Continued on page 3

DeepestSympathyAs this issue goes to print, our thoughts and

heartfelt sympathy lies with those people

irreconcilably affected by the terrorist

attacks last month. None of us will ever

forget the scale of this human tragedy.

UPS continues to work with federal and

national relief organisations in the U.S. to

assist them in their efforts. We will do all

we can to ensure the ongoing safety of

our people, facilities and your shipments,

as individuals and businesses around the

world seek to recover from this tragedy –

for how better to respond to such acts.

John WarrickPresident. UPS Europe

The euro – anopportunity for thoseready to take itWhile not everyone might be directly affected by E-day on 1st January 2002, in just a few months’ time some 300

million European citizens across 12 European countries will wave goodbye to their national currency and become

part of the largest domestic market in the world.

Research indicates that trade

increases significantly between countries

when they share a common currency.

So opportunity will be there for the taking.

January 1, 2002 will be an historical

occasion when one of the largest currency

changeovers ever takes

place, transforming the

trading and operational

landscapes for all organi-

sations and businesses

across the euro area.

No less than 14.5 billion

euro banknotes are being

printed and 50 billion

coins minted in preparation

for what is being called

“E-day”.

While markets busy

themselves in preparation for E-day,

businesses in and outside the EMU need to

be gearing up, if they

don’t want to miss out.

Companies need to

be aware that they

might lose business

from existing customers as well as miss

new opportunities if they don’t prepare

early enough. Basic preparations include

staff familiarisation with the new euro

banknotes and coins, the ability to accept

and handle euro invoices and payments,

price lists, materials and web content in

euro, etc.

Continued on back cover

ENG/GEN

P53578 UK Forum V Gen 5/10/01 3:32 pm Page 2

The complete A-Z of shipping…onlineFor those of you who use the Internet to make your life easier, here is a reminder of why you should make www.ups.com one of your

Everything you need to do in order to ship with UPS can be done online, at your convenience, any time of the day. From looking up transit times, choosing services or creating shipping

documentation. Now your mouse can do the “shipping”!

UPS on the Net Save time, paperwork and effort with www.ups.com

The latest talk of the townThink UPS, think package car. Think again.

It might have become the symbol of UPS, but it’s not the only vehicle you’ll see us in. And it wasn’t the first. Back in 1907, we

were more likely to be treading the pavements of Seattle on foot, by bicycle or tram and it wasn’t until 1913 that we bought our

first car – a shiny new model T. Ford.

The package car now plays a

pivotal role in our operations

worldwide and is a familiar sight on

many a street corner, but if you keep

an eye out, you’ll also see our Men

(and Women!) in Brown meeting their

delivery commitments in a few other

ways.

When you do business in over 200

countries and territories worldwide, you

sometimes have to be a little inventive.

Take a look at the latest wheels our drivers

in Belgium are eager to use.

For collections and deliveries in the

busy Brussels city, these BMW C1

motorbikes are the newest introduction to

our fleet and are the talk of the town. It

means we can get around a lot faster and

they look pretty neat too!

But Belgium’s not the only country to

turn a head or two. Keep an eye out for our

delivery people in cycling shorts – our

Lycra clad boys and girls can be found in a

wide range of cities including Stockholm,

Copenhagen, Oslo and Cologne – moving

swiftly in slow-moving traffic and doing

their bit to ease congestion.

In London and Frankfurt, we think

“walkers” are the smartest way around

town and when it comes to more distant

climes, you might even catch us on a mule

or a boat.

Has anyone managed to catch us in

their holiday snaps?

There was a time when doctors

made house calls, a computer filled a

room and sending something off for

repair was a hassle. Today, with

computers the size of watches and

watches...well, you get the point, times

change. With e-commerce, B2B and

B2Me, there is now a demand for fast,

quality fixes – e-solutions now.

Electronic Partner (EP), an electronic

retail chain with 3,000 stores across

Germany, had a major problem – a

growing need for after-sale repairs. As

their business grew and the products

became more sophisticated, so did the

post-sales service needs – and they

needed a service specialist. They turned

to EZI.

EZI is an electronics after-sales

service company. With 15 repair centres,

EZI could easily handle EP’s growing

needs. But they still faced a challenge.

How to get the products from the 3,000

EP stores to the appropriate repair

location. They turned to UPS.

“We needed more than just a shipping

service. We needed a technology solution

that could seamlessly integrate with our

systems – allowing us to manage the

process,” explains Siegfried Freischlad,

manager, Logistics and Distribution, EZI.

The solution was UPS OnLine Tools –

a suite of Internet-based applications that

add a new level of customer service and

functionality to company websites or

enterprise applications.

For EZI the most exciting feature

of UPS OnLine Tools, was the

UPS OnLine Shipping Tool. This was

integrated into EZI’s own website and

meant that shipping activities could

consequently be networked between all

EZI and EP locations.

The end product? EZI was able to

provide EP with a centralised, web-

based shipping management system.

Now, an EP employee needs only to log

into this system using the store’s

username. As the employee enters some

basic data about the item for repair, one of

the 15 repair facilities best suited for that

particular request is automatically chosen.

The EZI website is then able to

immediately generate an image of the

necessary UPS shipping documentation

on the employees computer screen, ready

for print-out. A UPS pick-up request is

triggered and a collection made same-

day. Both EP and EZI can track the

package’s progress on the website.

Additionally, once the product has been

repaired, returned and received back by

the EP store or end customer, UPS sends

a proof-of-delivery notification to EZI.

“We decided to use UPS OnLine Tools

because it’s XML-based technology

enabled a customised solution,”

Siegfried Freischlad added. “By being

able to use the repair order data to define

and trigger the shipping process, we

have dramatically improved our own

customer service – as well as significantly

enhanced the efficiency of the

process and our people.”

Computers grow smaller but the

challenges get bigger. UPS is developing

new e-solutions like UPS OnLine Tools to

meet those challenges and deliver the

future to your door.

Customer Case Study The right tools for the jobUPS OnLineTM Tools can add speed, efficiency and customer value to your web-based activities.

How fast? The UPS

Transit Time

generator can

give you the

transit times

for your shipments, for all services and

destinations, accurate to postcode level.

Simply key in your origin and

destination details and you can see

immediately the UPS transit times for

all available services.

How much?

The UPS Quick Cost

Calculator gives you the

current published rate

for UPS’ services, so you can see

immediately how much your shipment will

cost, for all available service levels.

What do I do?

Access UPS

Internet Shipping and

you can prepare and

print all your shipping documentation online

from your desktop, in the office, at home or

on the road. It saves time, adds

convenience and has functions that can

enhance the service you provide your

customers.

Who received it?

You can track the

progress of your pack-

ages and documents online and even pull up

a signature of who signed for them, using

UPS Signature Tracking™ – the ultimate proof

of delivery.

If you haven’t yet explored

your country page on www.ups.com,

bookmark it today. We’re always

available at the end of the phone

line, but we’re also easily reachable

online and sometimes it’s even more

convenient.

Favourites

InBriefNow there’s animpressive blueprint

UPS’ European plant and industrial en-gineers are nose to the grindstone planning inminute detail the blueprints required to designand equip a major, high tech expansion of ourCologne air facility – the lynchpin of our Euro-pean air network. This 30,000m2 expansion willincrease our already impressive sorting ca-pacity to more than 80,000 packages anddocuments an hour by 2005 and represents asignificant multi-million dollar investment. Over135,000 UPS man-hours, 700 new jobs and5,000 conveyor belts are just a few of thecomponents required to get the facility ready, as we continue to invest, in order to keep yourpackages moving, fast. Anyone want to guesshow much cement we’ll need?

UPS Chairman andCEO Jim Kelly handsover his uniform

UPS Chairman andCEO James P. Kelly willretire in January 2002after 37 years with the company. Kelly, likemany senior manage-ment within the com-

pany, joined UPS on leaving university. Withfirst-hand experience as a UPS package cardriver in 1964, Kelly went on to hold a varietyof positions of increasing responsibility. Hebecame chief operating officer in 1992 andassumed the role of chairman and CEO onJanuary 1, 1997.

During Kelly’s tenure as chairman, UPShas expanded aggressively beyond its corepackage delivery business to become a globalsupply chain management company withincreasing capabilities in logistics, informationtechnology and financial services.

Kelly will hand over his position to vicechairman and executive vice president, MichaelL. Eskew. Eskew began his UPS career in 1972after gaining a degree in Industrial Engineeringat Purdue University. In 1984 Eskew becamemanager for the UPS Airlines, responsible foraircraft acquisition, planning, technology andengineering and was instrumental in the fasteststart-up of a large airline in the history of theFederal Aviation Administration.

“Jim Kelly leaves UPS well-positioned for future success,” saidChairman-elect Eskew.“He has taught all of us theimportance of keeping oneeye on the horizon whilethe other stays focusedon the steering wheel.”

P53578 UK Forum V Gen 5/10/01 3:32 pm Page 3

An internal focusVisibility problems are a consequence

of the typical monolithic, inward-facing

nature of the computer systems currently

used to manage fulfillment processes.

While most companies have optimized

the in-house elements of order

management, few of these applications

have been designed to share information

directly with customers.

A window of opportunityEach component system within the

order management process contains

some information, which will be of

interest to a trading partner (supplier,

carrier or buyer). An opportunity for

competitive advantage and enhanced

customer service awaits those businesses

that are willing to

make a commitment

to release this valuable

data, in real time, to

their customers.

With every challenge

comes an opportunity, as long as

companies are prepared to consider a

new approach. At Pantechnik, we have

focused on developing an independent

“information hub” that attaches easily to

existing business systems and exposes

information in a “neutral” context so that

all members of a trading community can

“see” into their

supply and

value chains.

This involves

extracting data

from order,

inventory, billing, warehouse and trans-

portation management systems’ as well

as the carrier tracking systems that follow

the order in transit.

With the new technologies available

today, these solutions can be implemented

cost-effectively and without impacting

internal logistics processes, leaving the

engine of business running smoothly. Are

you ready to close that information gap?

Pantechnik (www.pantechnik-intl.com)

was established recently to bring 15

years of U.S. experience into the

European market. The company

specialises in developing Internet-

based business services that link

supplier order management and carrier

operations systems into a seamless

information flow for the buyer.

UPS Guest

The UPS Return Service portfoliocomprises:UPS 1 – Attempt Returns Plus

UPS will take a return label to your

customer’s collection address for them to

apply to their return shipment.

UPS 3 – Attempt Returns PlusSame as above, however, the UPS driver

will make three attempts to deliver a return

label to the customer collection location. As

this service is structured for more valuable

items, the label is not left behind should we

be unable to contact the customer.

UPS Print Return LabelEnables you to generate a label to be

included in outbound shipments or forwarded

separately to your customer.

UPS Print & Posts Return LabelAllows you to outsource to UPS, the

printing and mailing of return labels to your

customers. Ideal for circumstances such as

product recalls.

UPS Authorised Return ServiceAvailable on a contractual basis only for

high volume shippers. This is ideal for

companies retrieving products of similar

characteristics on a regular basis e.g. printer

cartridges.

The two new additions to ourReturns portfolio include:UPS Returns on the Web (new)

Lets companies selling products on the

Internet integrate the UPS Return Service

functionality directly into their online

storefront or other internal systems. This is a

contractual service and is designed for

companies who want to provide their

customers with a fast, easy and reliable

method for organising returns, online.

Companies also benefit from the visibility

this provides with customer information

electronically captured into their systems.

UPS Electronic Return Label (new)Our second new service allows you to

e-mail a return label to a customer who has

an item for return. Your customer can then

print the return label.

AccessUsing UPS Return Services couldn’t be

easier. All of the services, apart from UPS

Returns on the Web and UPS Authorised

Return Service are accessible using version

3.5 and onwards of UPS OnLine™ WorldShip™

– our free, shipping software. Please contact

UPS on your local call centre number to

obtain your free copy or upgrade.

NotesThe UPS Return Services are available for

retrieving goods across the E.U.* using the

UPS Express and UPS Standard services.

The service is currently not available beyond

the E.U.

Service costs and surcharges can be

downloaded from your country page on

www.ups.com or found in your 2001 UPS

Service and Tariff Guide. Alternatively, ring

your UPS call centre. All Return Services are

subject to UPS’ Terms and Conditions of

Carriage.*excludes Greece and Luxembourg

Where is my order? Continued from the front cover

“”“Each component system

within the order managementprocess contains some

information which would be ofinterest to a trading partner”

Service Focus

More options for organising RETURNS cont’d

WorldShip shipping tipAre you getting the most out of UPS OnLine™ WorldShip™?

Did you know you can proactively

pre-alert your customers about their

order, before they receive it?

If you are already using UPS OnLine

WorldShip, you should be experiencing the

benefit of the key activities you can do, such

as: producing your shipping documentation

electronically, accessing data from your

existing data bases, creating useful shipping

reports, etc....but you might not be aware of

some of the smaller jobs it can do to make

your life easier.

Ship NotificationAs you process your shipment, you

can arrange for an advance e-mail to be sent

automatically to your customer, providing

them with details on their order, including

shipment information such as their unique

tracking number. This can be set up as a

default action, so easy to use whether it’s for

one or all customer orders. A free text area

means you can create your own tailored or

default message within the e-mail too.

So, try it out and benefit from providing

your customers with added peace of mind,

as they know that their order is on its way

and save time handling customer calls, as

your customers have all the information they

need to track their shipments themselves.

How to access ShipNotification

When processing your shipment on

the Shipment Processing screen:

1. Select the Ship Notification tick box in

the Additional Services Section.

2. Click the e-Mail Text button and add your

message in the message box. (Default

messages can be set up in the Default

Management section in the main menu

under Activities/Default Management/

Shipment/Ship notification).Note: The e-mail address of your customer needs tobe already entered in the receiver screen where youalso include their address details etc.

3. Sit back and leave it to us. The message

is sent automatically, shortly after UPS

receives your shipment information via

the end-of-day processing.

To benefit from this functionality your

shipment information must be uploading

electronically to UPS via your WorldShip

software (version 3.0 or above).

Call your UPS call centre should you

wish to receive a free copy or upgrade of our

shipping software, UPS OnLine WorldShip.

This pro-active e-mail notifica-

tion function is also available with

UPS Internet Shipping.

UPS Cash-On-Delivery serviceA look at one of UPS’ service options to make sure you are benefiting from our

full range of services.

Are you increasingly dealing with

new or unknown customers? Are you

expanding into new European markets?

Do you want to offer your customers

increased payment flexibility? If so,

then UPS has a service that not only

speeds up the collection of payment

but can help reduce the associated

risks.

By using UPS’ Cash-On-

Delivery (C.O.D.) service you

can ensure that payment is

received for goods before they

are released to your customer.

This means that you receive

payment quickly and the risk of non-

payment is removed – or you get your

goods back.

This service is available for goods

moving within Europe. This means you

can prepare to take advantage of the

increased market opportunity presented

by the euro next year without the additional

risk normally associated with doing

business abroad.

At the same time, this offers a

benefit to your customers who might not

feel comfortable paying for goods up front

to a company they don’t know or who are

nervous about providing credit card

details over the Internet.

The flexibility of payment for

both you and your customers

means payment options include

cash, company cheque, euro

cheque and personal cheque,

and at a charge to you, lower than typical

credit card commission. UPS collects the

funds and credits your bank account

directly.

For more information, please contact

UPS on your local call centre number.

OnLine™

Peter Nicholls, President of Pantechnik International

P53578 UK Forum V Gen 5/10/01 3:32 pm Page 4

DECEMBER1st

National Day, Romania

2ndNational Day,

United Arab Emirates

5thKing’s Birthday, Thailand

6thDay of the Constitution, Spain

Independence Day, Finland

8thImmaculate Conception,

most Christian countries

12thConstitution day, Russia

13thNational Day, St. Lucia

Republic Day, Malta

10th-16thHannukah, Israel

16thNational Day, Bahrain

Independence Day,

Kazakhstan

Eid al Fitr, Most Islamic

countries

23rdEmperor’s Birthday, Japan

25thChristmas, all Christian

countries

26thBoxing Day/St. Stephen’s Day,

most Christian countries

30thAnniversary of the Republic,

Madagascar

OCTOBER1st-2nd

National Day, China

2ndMahatma Gandhi’s Birthday,

India

3rdDay of German Unity, Germany

5thRepublic Day, Portugal

8thThanksgiving Day, Canada

Columbus Day, United States

10thMoi Day, Kenya

National Day, Taiwan

12thDiscovery Day/Dia de la Raza

Countries of the Americas,

including Argentina, Chile,

Costa Rica, Mexico and the

Bahamas.

National Holiday, Spain

14thNational Day, Yemen

Youth Day,

Democratic Republic of Congo

22ndLabour Day, New Zealand

23rdRepublic Day, Hungary

24thUnited Nations Day

U.N. offices are closed

worldwide

Suez Victory Day, Egypt

26thNational Day, Austria

28thOchi Day, Greece, Cyprus

29thRepublic Day, Turkey

Hallowe’en Weekend, Ireland

31stReformation Day, Slovenia

International holidays 2001NOVEMBER

1stAll Saints Day

many countries inc. France,

Italy, Belgium, Germany,

Portugal, Spain, Finland, Poland,

Venezuela, Brazil, Ivory Coast.

2ndAll Souls Day, Vatican City

Dia de los Muertos, Mexico

3rdBunka-no-hi,

National Culture Day, Japan

4thSt. Charles Day, Andorra

7thDay of Accord and

Reconciliation, Russia

Commemoration Day, Tunisia

National Revolution Day,

Bangladesh

11thIndependence Day, Poland

Armistice Day, France, Belgium

Veteran’s day, United States

15thProclamation of the Republic,

Brazil

Peace Day, Ivory Coast

17thStruggle for Freedom and

Democracy Day,

Czech Republic

18thIndependence Day, Morocco

National Day, Oman

18th-19thNational Day, Monaco

22ndThanksgiving, United States

26thDay of Proclamation,

Mongolia

29thLiberation Day, Albania

Those that see the opportunity have

a lot to gain. Competition will come from

businesses that are forward-thinking

with regard to the euro and not

necessarily from those you have had on

your radar screen in the past. For example:

WOW Toys Ltd – is a UK company

which designs and supplies toys for

children aged 0-3 years. 70% of their

turnover is from exports.

WOW Toys Ltd said that their own

preparations were prompted by an

important French customer asking them

to invoice in euro before they were ready

to do so. The company is very positive

about the single currency and believes

that its future business will benefit if they

are ready to trade in euro:

“The euro is one of those things (we)

need to be able to say “yes” to as we are a

small company…it would be dreadful to

think that the only reason we couldn’t

get into a market was because we

couldn’t accept the currency they wanted

to give us.

“We have taken our time to think

through the strategic implications as we

knew the operational side of opening a

bank account and sorting out IT systems

would not be difficult…I would have liked

to have been ready for the euro before a

customer asked to use the currency.

“Time does now need to be made to

implement all the euro preparations…

otherwise (companies) risk losing some

of the customers they have fought so

hard to gain.”

Case studies like the above are

useful in showing how businesses –

whether located in the EMU or outside –

need to be thinking ahead and acting

proactively in preparation for E-day.

A smooth transition to the ready

acceptance of euro banknotes and coins

is of critical importance to the European

economy. Every one – whether as

individuals or commercial entities – will be

affected by this momentous currency

changeover – let’s all be prepared for it

when it comes.

For more advice on how to prepare

and what to consider, visit the website of

the European Central Bank, which has

been established to facilitate the euro

transition. www.euro.ecb.int. It also

provides links to other useful sites.Sources: * European Central Bank * HM Treasury, UK

The euro – an opportunityfor those ready to take itContinued from the front cover

We want to hear from youRemember – this newsletter is just for YOU!

Your opinion is important to us and we’d love to hear whatyou think of UPS Forum, any suggestions you might have andstories (funny or not) that you’d love to share. Send them totellus@upsforum.com. What’s more, if you know of someonewho would like to receive UPS Forum regularly, give us theirdetails and we’ll make sure they don’t miss out!

UPS Forum is published several times a year by United Parcel Service for managers and executives of firms whose scope for business is

within Europe, Middle East and Africa. Reproduction of UPS Forum in whole or in part is prohibited without written permission. Persons or

publications quoted and the comments of guest contributors do not necessarily represent the corporate opinion of United Parcel Service.

We welcome questions and comments from readers. Please forward correspondence to: Forum Editor, UPS Europe S.A./N.V., 5 Avenue

Ariane, 1200 Brussels, Belgium.

Please note: this list is not exhaustive. It represents a sample of smaller and bigger, religious and non-religious holidays that are

observed around the globe. For a complete picture, visit The Worldwide Holiday & Festival Site (www.holidayfestival.com).

At UPS, calculating Time-in-Transit

is an exact science. Even if the time of

the delivery is not important for your

more routine, less urgent shipments,

we know that being able to schedule

the day they arrive is.

UPS’ new maps on the Internet give a

unique and easy visual reference of transit

times for our non-Express services. In

addition to the UPS Time-in-Transit tool on

the web, which gives precise transit times

for all UPS services worldwide, you can

now see Europe at a glance in map form.

Illustrating in days, the transit times

for our non-Express services across

Europe, the maps mean you can quickly

determine to the day, transit times for

your routine, non-urgent deliveries –

precise to postcode level detail.

Starting November you can access

the maps by logging on to your country

homepage on www.ups.com. Click on

the Transit Time icon and select

European Transit Time maps.

When urgency is the issue, swap over

to our Express services, which offer time-

definite delivery commitments ranging

from 08.30, 10.30 or 12 noon, covered with

a money-back service guarantee. Check

precise transit times from your area

using the UPS Time-in-Transit calculator

in the same area on the web, or contact

your UPS call centre for details.

European Transit Time maps for UPS Standard/Expedited servicesAn easy, visual look-up reference when planning your non-Express shipments.

P53578 UK Forum V Gen 5/10/01 3:32 pm Page 1