United Parcel Service Inc. plans to expand its presence in China by opening 101 new logistics operations known as field stocking locations.
These hubs, called FSLs, allow companies with operations in China to stock service parts or finished products near their manufacturing plants or customers. For example, if an aerospace or medical device manufacturer needs a replacement part quickly, UPS can ship it same day or next day from a nearby FSL, cutting delivery time and eliminating the factory’s need for direct communication with company headquarters.
Meanwhile, companies anywhere in the world can use UPS’s Web-based system to assess parts inventory, determine best routes or track parts from the warehouse to the end user.
“China is a critical part of the growth strategy of many companies worldwide and UPS’s extensive regional and global FSL network enables companies to be well-positioned to support their after-market needs in Asia,” said Brad Mitchell, president of UPS Logistics and Distribution, in a news release.
The expansion brings the number of FSLs in China to 110 in 89 cities. UPS has 950 FSLs in 120 countries and announced new networks of FSLs in India and the Philippines last May.