In my Battle of the Brands: UPS vs. FedEx, many people commented on how one company handled remote locations better than the other. If you think Avoca, Minnesota is a "remote location" check out this study.Each year, students at the Supply Chain & Logistics Institute at Georgia Tech in Atlanta, GA send packages to locations around the world through different parcel carriers and observe the results. This year, the students chose United Parcel Service (NYSE: UPS), FedEx Corp (NYSE: FDX) and Deutsche Post's DHL to deliver five packages to five of the most remote locations on globe:
- Apia, the only city on Upulu, one of the islands of Samoa. Upulu lacks something important for parcel carriers - street addresses.
- Florianopolis, an island off the Brazil near Uraguay, which is considered a "remote area" by carriers.
- Harare, the capital of Zimbabwe, which is now in a state of political unrest.
- Tikrit, the birthplace of Saddam Hussain in war-torn Iraq.
- Yangon, which was the capital of Myanmar until recently and formerly known as Rangoon, Burma. Myanmar is one of the most isolated countries in the world.
Some funny observations from the team:
- The phone representative at UPS said that Samoa was not a country.
- The FedEx package to Harare, while fully prepaid, was held for reasons unknown. When the correspondent attempted to pick up the package it could not be found.
- The package to Tikrit was delivered by both FedEx and DHL, but UPS's package was diverted to Dubai and returned.
- DHL was able to tell the team the final costs upon deliver. FedEx was able to provide some costs but not all. UPS said the team would have to wait for the credit card bill.











Reader Comments (Page 1 of 2)
5-03-2007 @ 6:08AM
elkwisperer said...
Why not Mars, Jupiter and Uranise as well. If nobody lives there and no one cares about these points why print it. Sounds like a waste of time and money. How about a study that someone can use? Taiwan, China, Austria, would have made the article worth reading. Don't waste my time with this drivel.
5-03-2007 @ 6:08AM
Drew said...
Ok, so let me get this straight... DHL delivers to Tikrit (Which according to the news and various members of Congress, the entire country of Iraq is a war-torn hell-hole), yet they don't deliver to my house in Oregon? What's up with that? Others might have problems with UPS, but I can always count on them to get me my package to me on time.
5-03-2007 @ 6:09AM
Economic Mip said...
Packages often disappear in all of Zimbabwe, not just Harare. It is estimated that over two million women's sanitary pads are sitting in the office of imports and exports, as government refuses to acknowledge how needed these are. Oh well, inflation in Zimbabwe is only a few thousand percent anyways...
5-03-2007 @ 6:40AM
AA said...
Mr.Kevin,How does the consumer trusts that the students at Ga. Tech and yourself haven't researched areas in the world that dhl's contracters won the bids in these remote areas that represent .oooooo1% of business commerce.Dhl seems to have enough trouble finding domestic addresses here in the states.I think you just get off on throwing unscientific stats and figures to irritate the parties invovled and get everybody stirred up over your manipulated pkg tests results and polls.
5-03-2007 @ 7:51AM
Marty Smith said...
To start - Georgia is spelled wrong and secondly why does the study not look at major lanes. that is where the results have value. First I would look at domestic and then international shipments. When you start dealing with international shipments, it all depends on the relationship with the government in each country with the shipping carrier. Not much value in this and I don't see FedEx, DHL or UPS promoting results regardless of the outcome. I would thing an institute such as this from GT would think through the process.
5-03-2007 @ 9:00AM
Dan D'Son said...
DHL is Excellent!!! I have been using them for years. They have provided services and a service level that I could nevereven have imagined of.
5-03-2007 @ 10:36AM
1963hotrod said...
I think picking worn torn contries and areas that are not safe to work in is worthless.Do a reasonable study and then post the result.I know UPS delivers to some far out places, while DHL has used UPS to deliver their packages by sending them out through a third party shipper that uses UPS. I also know that FEDEX only delivers to some remote areas only one day per week. (fedex ground)
5-04-2007 @ 6:06AM
Richard said...
Thank you Kevin---The next time i need to send a pkg to Zimbabwe I will dhl. I am so impressed over the locations that the students picked.Did the students do a price per pkg also? When I ship pkgs in the states I will stay with UPS.
5-03-2007 @ 7:21PM
Richard said...
Thank you Kevin---The next time i need to send a pkg to Zimbabwe I will dhl. I am so impressed over the locations that the students picked.Did the students do a price per pkg also? When I ship pkgs in the states I will stay with UPS.
5-07-2007 @ 6:07AM
LB1978 said...
I'm glad they decided to send the packages into area of "political unrest" and "war torn areas", while they sat at a computer and tracked them, someone risked their live to deliver a package that was completely useless. Not to mention, if you look at the countries that they go to, FedEx does not serve Myanmar. So there is an instant bias there if the best you could possibly do is 4 out of 5. Ship to places people actually live and the results will be much different.
5-10-2007 @ 6:18AM
Jeff Parker said...
You also need to realize dhl is the largest postal carrier overseas based in Germany Boooo. Maybe GT should try shipping to remote areas in the good old USA.I do beleive the results would be different. dhl has trouble finding my house, but not UPS just love those guys.
5-12-2007 @ 8:09AM
daungst said...
as a fedex employee w/19 years experience there are always uncontrollable and cost effective reasons why a carrier does or does not serve an area. this is true for all of the companies listed. but for international the biggest reasons is the individual country's customs clearance restrictions...which are dictated by everything from political relations and climate to trade restrictions and embargos. so the test results can b deceiving
5-13-2007 @ 6:30PM
Eric said...
Dont flame Kevin for reporting the reality of the Tech study...but there are valid points on relevance of the shipping points. Remember this was an ACADEMIC study, not necessarily the most practical one.
You guys might also be interested in this article, which makes some of your same points but from an insiders perspective.
http://ejoiner.typepad.com/freight_dawgcom/2007/04/the_great_race_.html
Eric
5-14-2007 @ 6:17PM
greg said...
ye lets see if DHL AND FED can handle the volume
when UPS goes on strike AUG O8 WE DO MORE WORK FASTER THAN ANYBODY IN THE BIZ WE ARE THE A TEAM GREG UPS DRIVER
5-15-2007 @ 9:42AM
Eric said...
UPS runs an amazing operation. I don't think you'll find many at DHL or FedEx who know what they are talking about if they say different.
I use UPS and FedEx when I ship personally so that I can benchmark competitive services. Both are very good. Apparently not at shipping to Apia Samoa though... :-)
Eric
5-15-2007 @ 12:47PM
huy dang said...
As someone who has been shipping packages for a while I'd say that UPS and FedEx are kinda like Coke and Pepsi, pretty compatible and both are decent. DHL is another story, I never
have so much trouble with one company, from placing order for supplies, driver pickup when they're not
supposed to and show up when they don't have to, bill charges incorrectly. Even though their prices are good, we decided not to use them at all.
5-21-2007 @ 6:35AM
jeff torren said...
As a UPS employee for 5 1/2 years i have seen a major upgrade in our systems. I give tons of credit to FEDEX for trying to match UPS. They have improved in area's that UPS was clearly the #1 carrier. DHL is a joke. DHL is backed by the German post office and has unlimited amounts of money but yet cant even get their drivers proper uniform's here in the US. A time study on packages overseas to area's that nobody cares about is useless. Pick 5 major cites, or 5 States..and lets see who has the fastest transition & delivery. Ups dont joke when it comes to service. We are professional, and next time your driving down the street look at a DHL VAN and notice 1 thing...the damage to their vehicles! They may get it their faster to retarded locations, but did they run over tree's,people,and small animals?
5-21-2007 @ 6:36AM
Eddie said...
I tell you the truth DHL as far as Iam concern is faster to more of the world . They are precise and concise . They have never failed me like ups and fedx has.
6-11-2007 @ 11:58PM
Gregger said...
DHL is a joke. UPS and FedEx get it right almost all the time. DHL costs a bit less, but they have horrific results domestically, (here in the US) and their drivers tend to have bad attitudes and look like they are homeless! Lets not even talk about those clown-like uniforms. DHL can undercut any price at FedEx or UPS, but the service you get from them is downright terrible. You truly get what you pay for.
6-27-2007 @ 1:06PM
Chris said...
You have to remember, DHL was an American based company that started business internationally before domestic shipping. Actually started out shipping to Alaska and Hawaii and expanded form there. So of course DHL, now owned by Deutsche Post is going to hit more international locations. DHL domestically never have been present. Technically DHL is still trying to gain their footprint in the United States. So it only really been five years since DHL has been pushing the domestic market. I imagine UPS and FedEx had some problems in their first five years. If I was in the business I would rather invest in a company that is more global like DHL that brings in more then 50 billion dollars annually.