UPS expands capacity in three North America-based locations


By ·

UPS said last week it has made significant facility enhancements in three North American markets, which it said was spurred on by strong demand in the retail, manufacturing, and healthcare sectors.

The facilities UPS is expanding are in Calgary, Alberta, Hebron, Ky., and Mira Loma, Calif. UPS officials said that investments into these facilities will add roughly 478,000 square-feet to the UPS global supply chain solutions network, which is made up of 528 facilities and about 31 million square-feet. These facilities provide various services for shippers, including: warehousing and fulfillment, inventory, transportation and returns management, custom kitting and packaging, and store-ready displays.

UPS Vice President of North American Distribution Stephen Hydrick told LM that its customers in the retail, manufacturing, and healthcare sectors were seeking flexible warehousing and distribution space in strategic locations for their businesses.

“Our customers are seeking the flexibility to scale their businesses up and down as the market requires,” he said. “The occasional spikes in demand related to new product launches, seasonality and less predictable events has driven demand for contracted space for these industries in recent years.”

And he added that the main benefit of these expansions for shippers is location in that these facilities more customers with access to strategic warehousing/fulfillment locations.

When asked how long these respective expansions had been planned, Hydrick said that UPS opened its first building in Hebron in 1997 and has been expanding ever since. Mira Loma came later and the single client facility in Calgary was added in 4Q13.

“We’re really not targeting an end date for the build outs,” he said. “For example, we finished our addition to Hebron in 3Q13 before expanding again in Q4. We’ll expand our campuses as needed to ensure we’re keeping pace with our customers’ growth.”

Hydrick also shared some shipper benefits for each location UPS is expanding:
Mira Loma, Calif.: This location is one hour from the two largest seaports in the U.S., five minutes from the LA/Ontario Airport and UPS regional package/freight air hub, within eight miles of four major freeways, and only fifteen minutes from transcontinental rail connections. Additionally, this location provides shippers with access to Southern California’s growing population base for fulfillment and employment;
Hebron, Ky.: This location offers customers access to 62 percent of the U.S. population within two days via UPS Ground service and 64% of the U.S. population within two days via UPS Freight. It is within 600 miles of 30 major metro markets, five miles of the Cincinnati airport, falls within a region served by three major railroad systems and is intersected by three interstate highways, including I-75 - one of the busiest trucking routes in North America; and
Calgary, Alberta: This location specifically meets the need of customers in the healthcare space, offering a 2-8 degrees Celsius cooler (160 sq. ft.) The healthcare-specific capabilities will enable access into the area for healthcare companies looking to expand their business here.


About the Author

Jeff Berman, Group News Editor
Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. Contact Jeff Berman

Subscribe to Logistics Management Magazine!

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your entire logistics operation.
Start your FREE subscription today!

Article Topics

UPS · All Topics
Latest Whitepaper
Partnering for Supply Chain Success with FRAM Group and True Value
Disruptive forces such as new technology, changing regulations, talent shortages, and infrastructure bottlenecks continue to be the prime focus for supply chain executives and managers.
Download Today!
From the March 2017 Issue
WMS vendors are stepping up to the plate and developing functionalities and solutions that meet the complex needs of today’s companies. Our top analysts take a peek into these developments and discuss the DC of the future and the software that will support it.
5 Supply Chain Trends Happening Now
2017 Warehouse/DC Equipment Survey: Investment up as service pressures rise
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
2017 Trucking Regulations & Infrastructure Update
In this session our panel brings shippers up to date on the state of transportation regulations. Discussion will revolve around regulatory reform, aspects of the federal highway bill and what the transportation landscape looks like in the early days of the Trump administration.
Register Today!
EDITORS' PICKS
LM Exclusive: Major Modes Join E-commerce Mix
While last mile carriers receive much of the attention, the traditional modal heavyweights are in...
ASEAN Logistics: Building Collectively
While most of the world withdraws inward, Southeast Asia is practicing effective cooperation between...

2017 Rate Outlook: Will the pieces fall into place?
Trade and transport analysts see a turnaround in last year’s negative market outlook, but as...
Logistics Management’s Top Logistics News Stories 2016
From mergers and acquisitions to regulation changes, Logistics Management has compiled the most...