TForce | your pig is here

laid off 90%

TB Regular
Credits
36
UPS-YOUR PIG IS HERE-It arrived by LOOPY railroad management
by J. William Watson

A generation ago, railroad clerks used four words — “your pig is here” — to inform truckers that an intermodal trailer shipment had arrived and was ready for pickup. Yes, and things have not changed. Now UPS has a freight division ran by previous railroad people who called themselves Overnite Transportation. UPS hopes that the light at the endless debt tunnel and poor operation ratio, of its’ UPS Freight division, is the light at the end of that tunnel and not another train on their rigid track headed for a very large wreck.

Overnite Transportation, who had little concern about operating in the black, with a big railroad, Union Pacific, behind them and less knowledge about a dynamic LTL relay trucking operation, was chugging down their subsidized tracks. Nonetheless, UPS Corporation bought Overnite Transportation hoping to catch up with the FedEx Corporation and join the fray of the LTL business. “United Parcel Services, Inc. (UPS) has reached a definitive agreement to acquire LTL carrier Overnite Transportation Co. for a cash transaction of $1.25 billion—which represents a 46% premium.”

Many reports, from analysis’s and experienced employees, after purchase and today are that UPS paid excessively too much money for Overnite. The equipment was in poor condition and the management in even worse condition. UPS hand its’ hands full now and now needed to change a railroad minded operation into a dynamic LTL operation. All people are resistant to change, Overnite people still are entrenched in a ‘choo-choo’ mentality. Their line operations are ran by “transportation engineers which sounds like rail road engineers”. Did they buy a pig in a poke?

UPS placed a figurehead at the train engine controls of this new division who had little experience in the LTL business. He did have some period of initial tutelage in the ‘Overnite pen’ for a period of two years or more and exposed to ‘their’ LOOP-Y [ii] business plan. The UPS figurehead came from their package car division and knew little about the LTL business. Package cars are not freight cars and not even interstate transportation trailers. Freight is freight and package is packages are the facts. UPS in arrogance fails to understand the basics that even Fred Smith of FedEx understands. Buy a good company at the top of their game-Viking Freight System and American Freightways-and let those dynamic people run the division. Keep the TL and LTL business off the railroad for customers’ service. Run it like the pony express in many ways.

UPS is arrogant enough to think that they could change the culture of Overnite and put an apprentice engineer in charge of an already failing transportation company. Some years ago, Viking Freight System attempted to go nationally, with the purchase of many smaller companies. Vikings’ culture and business plan was mentality discarded by many of those smaller companies. Because of the recalcitrant companies, they almost went bankrupt. Vikings’ savior was retraction to its’ original regional carrier size and their core base employees concerted efforts to save the company.

After some $500 million in additional costs, added to the purchase price of $1.25 billion[iii], and a reported total ceiling of another $500 million limit, suggested by the UPS corporation and threats to employees of a ‘national closure of UPS Freight’ for filling grievances, upholding their current union contract and complaints with the National Labor Relations Board-UPS is worried. Threats from management and finger pointing abound, directed at the Teamster Union and members, for a poor old Overnite business plan executed by rigid people. Rigidity and arrogance are mental illness. Derailment issues abound and are just not the threats of closure that is a violation of ‘The National Labor Relations Act’. The arrogant UPS Corporation has removed the pig from the poke, painted it brown, applied a UPS logo on it and attempted the impossible-trying to make it fly. The ‘transportation engineers’ related to ‘Casey Jones’, of UPS Freight, should keep to the rails and off the highways of expeditious LTL transportation management.

A main concern of the Teamster Union, inside the relationship of UPS Freight, is that of subcontracting work to outside companies-a clear violation of the current contract. It has been suggested to blazes with the contract and with keeping their word-UPS shows their unbridled dishonesty and their media machine still puffs out a steady steam stream good to many stockholders and public. What can Brown do to you comes to the forefront once steam screen and the paint wear off the pig? The company and the union are in no hurry to negotiate the yearlong grieved deadlocked ‘subcontracting’ violation. Push has come to shove and there may be a negotiated settlement of the issue and if not an arbitration this August. Watch out for the UPS stock to rise or fall on the storm of self inflicted stupidity and arrogance of UPS management. If pigs could fly-this one will come home to roost.

UPS bought an expensive overpriced Overnite ticket to lunch and came late only to find FedEx Freight [Viking Freight and American Freightways] eating their lunch hearing cheering resounds of ‘your pig has arrived and it does not fly’. It is not our fault, retorted shouts from UPS Freight management attendees; it is the fault and responsibility of the Union and workers.

UPS still paid the bill for the meal and continued headlong, full speed ahead, down the tunnel railroad tracts toward what light.

J. William Watson is a logistics, real estate and insurance consultant.



http://fleetowner.com/news/ups_overnite_acquisition_051605/

[ii] LOOP-Y: Latent Overnite Operational Psychosis

[iii]http://fleetowner.com/news/ups_overnite_acquisition_051605/
originaly posted by Loopy
 


You are off on your facts. Overnite at one time was the envy of the freight industry. It was only when UPRR bought them they started their decline. Then had the biggest come back in the history of LTL.

Overnite wasn't over priced. In my opinion UPS got a steal.

I want argue any of your so called facts about UPS because I have a very low regard for the way they treat their people.

UPS is making record profits. LTL freight is doing well also. How can they lose with all their contract carriers.
 
WOW!!! Did you say the envy of the industry and UPS got a steal ? That is really looking at your world through blue colored glasses!!!
 
[quote author=MY WORLD link=topic=81293.msg839196#msg839196 date=1277072279]
WOW!!! Did you say the envy of the industry and UPS got a steal ? That is really looking at your world through blue colored glasses!!!
[/quote]

Just like every one that post on this forum. It's my opinion and I'm sticking to it.

And they are rose colored glasses thank you. :poke: :biglaugh:
 
Who the heck is J. William Watson?? I have never heard of him and can't find any type of credentials on him. A Roeg consultant and wannabe editor possibly?
 
[quote author=webidiot link=topic=81293.msg839594#msg839594 date=1277173385]
Watson is a renoun author and freight expert....consults to fedex and other large carriers.
[/quote]

Consults to FedEx?? Now I understand the underlying reason for this article.
 
overnite had a huge comeback and made money 1997 till the time they were baught....and would probably still be making money if they wernt
 
the loser company would have bankrupted motor cargo and itself by now. The railroad ran overnite after it was bought by them. these loser could not run a hot dog stand.
 
[quote author=webidiot link=topic=81293.msg839706#msg839706 date=1277223622]
the loser company would have bankrupted motor cargo and itself by now. The railroad ran overnite after it was bought by them. these loser could not run a hot dog stand.
[/quote]

The rail road (union Pacific) had absolutely nothing to do with the day to day operations of Overnite. And how long did Overnite own Motor Cargo????? Same old, Same old, You are just plain mad at the world. You don't even like your self do you?
 
[quote author=Stimpy link=topic=81293.msg839919#msg839919 date=1277299148]
I have to ask.... Why did Overnite spell it that way instead of Overnight???? :nono:
[/quote] at the time the name was already taken....by overnight express.
 
[quote author=webidiot link=topic=81293.msg839706#msg839706 date=1277223622]
the loser company would have bankrupted motor cargo and itself by now. The railroad ran overnite after it was bought by them. these loser could not run a hot dog stand.
[/quote]This "loser company" made a profit every year since 1977 with the exception of 1995 and 1996. This "loser company" was the envy of alot of the trucking industry before and after we were bought by Union Pacific. We were the largest non union trucking company and fifth largest overall in the LTL business in the mid 80s and through the 90s. Overnite was a great place to work and hadf great management. When Union Pacific bought Overnite they left the old management in place and changed nothing substantially. We were a great company until we bought Motor Cargo and it's been downhill ever since!
 
[quote author=bigarms link=topic=81293.msg839922#msg839922 date=1277299341]
[quote author=Stimpy link=topic=81293.msg839919#msg839919 date=1277299148]
I have to ask.... Why did Overnite spell it that way instead of Overnight???? :nono:
[/quote] at the time the name was already taken....by overnight express.
[/quote]

Thanks.... I always thought that someone just did not know how to spell!!!! :biglaugh:
 
[quote author=webidiot link=topic=81293.msg839965#msg839965 date=1277316825]
your facts are wrong overnite did not buy motor cargo just bled it dry....
[/quote]

You just can't seem to get past the Overnite & Motor Cargo era. Its over now and these company's are long gone(5 years). Its UPS now and you need to move on. This is the plate we have all been served whether we like it or not , most of us have found a way to deal with it, You on the other hand....................WTF
 
i agree with BusterNite this is a upsf company now, not overnite, if your not happy here move on, theirs other company's
i'm sure that will hire you, myself i like the pay and i can handle the rules
 
[quote author=dontno link=topic=81293.msg845582#msg845582 date=1278829576]
i agree with BusterNite this is a upsf company now, not overnite, if your not happy here move on, theirs other company's
i'm sure that will hire you, myself i like the pay and i can handle the rules
[/quote]I also agree with Busternite. And besides, we're still doing the same things we were doing 30 plus years ago, when I started here. We are hauling freight and bitching and moaning about how sorry the company is and how bad we're getting screwed. "The more things change,the more they stay the same."
 
Top