UPS cut fuel consumption 3.3% using M2M technology

Package delivery company UPS (Atlanta, Ga., U.S.A.), on Thursday released the latest edition of its annual Sustainability Report, which said the company had reduced the amount of fuel consumed per package in the United States by 3.3%. The company attributed the improvement to telematics, routing technology and loading optimization.

According to UPS, Telematics supplied the company with data on how each vehicle performed mechanically, as well as on a driver’s route and behavior behind the wheel. According to the report, telematics saved 15.4 million minutes of engine idling time in 2010.

The company also used loading optimization to make sure more packages were being delivered using fewer vehicles.

UPS used routing technology to cut driving down by more than 63.5 million miles in 2010, with an associated emissions avoidance of 68,000 metric tons, according to UPS. That distance is the equivalent of 251,987 trips to the International Space Station, said the company. UPS’s U.S. package volume rose 1.8% in 2010 compared to 2009.

“The data we gather from Telematics enables us to make small adjustments with big payoffs,” said Scott Wicker, chief sustainability officer at UPS. “For example, one of our metrics is ‘stops per mile,’ which measures our ability to deliver more packages with fewer engine restarts. Increasing the number of stops per mile by just 0.01 percent in 2010 was the equivalent of not driving 9.13 million miles.”

In this year’s report, UPS has increased its reporting in several areas. Water usage, Scope 3 emissions, details about carbon offset purchases and the company’s long-term “decarbonization” strategy all are detailed.

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