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UPS rolls out radio frequency tracking to give customers faster, more accurate package updates

By
Christopher Harris
Digital Producer, CBS News Atlanta
Christopher Harris is a digital content producer for CBS Atlanta and the South region.
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Christopher Harris

/ CBS Atlanta

UPS announced this week that it has rolled out a new tracking system called radio frequency identification, or RFID, across its entire U.S. small package network, including delivery trucks, sorting centers, and more than 5,500 store locations.

Unlike traditional barcode scanning, the new system uses sensors to automatically track packages as they move through the network. That means fewer missed scans and more consistent updates from pickup to delivery.

UPS says the upgrade is one of the largest in its history and is already happening behind the scenes for customers.

"This is the most significant visibility advancement in the past decade at UPS and in our industry," said Matt Guffey, the company's chief commercial and strategy officer.

The shift also marks a major operational change. UPS is gradually phasing out older scanning equipment and replacing it with sensor-based technology. The company is also installing new printers and applicators to ensure RFID labels are properly attached to packages across its network.

So far, the company has reported that misloaded packages have dropped by nearly 70%, and the new system is expected to eliminate about 20 million manual scans each day.

Package Deliveries As Cyber Monday Deals Hit
A UPS worker delivers packages on Cyber Monday in New York, US, on Monday, Nov. 27, 2023. An estimated 182 million people are planning to shop from Thanksgiving Day through Cyber Monday, the most since 2017, according to the National Retail Federation. Stephanie Keith / Bloomberg via Getty Images

The technology is now active on every UPS delivery vehicle in the U.S. and inside facilities nationwide. RFID labels are also being used on packages shipped through The UPS Store locations, including returns.

UPS says the improved tracking could help customers better monitor deliveries and potentially reduce package theft, often referred to as "porch piracy," by giving more accurate delivery timing and updates.

At the same time, the company says the new system does not change how it works with law enforcement. UPS says it will continue to follow existing legal procedures when handling investigations or requests for information.

The rollout has been a $100 million investment so far, with additional upgrades planned through 2027 as UPS continues to expand the technology across its network.

The move comes as UPS continues to modernize its operations, including a broader overhaul of its network. Earlier this year, the company announced plans to expand a major facility near Fulton County Airport in metro Atlanta while closing an older nearby building as part of what it calls its largest restructuring in more than a century.

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