Lighting up our U.S. network end-to-end with RFID

Featured UPS experts

Nick Basford, U.S. Strategy President: Nick has 40 years of marketing, strategy and logistics experience at global brands. He leads large strategic initiatives focused on efficiency and growth with our largest customers and partners.

Jon Bell, Strategic Innovation Lead: Jon has over 35 years of research and development experience. He is responsible for applying and scaling forward-looking technologies to meet customers’ needs today and tomorrow.

ICYMI, we announced big news for our business and customers: UPS is rolling out radio frequency identification (RFID) parcel sensing across our U.S. small package network – end to end.

The tech is already in every U.S. delivery van, in delivery facilities across the country and on every parcel shipped from 5,500+ The UPS Store locations, including return shipments. We are also applying RFID innovation in customer facilities so they get a collection confirmation almost immediately.

“We are lighting up customers’ supply chains in real time with RFID, enabling precise tracking, faster insights, a smarter network and smarter parcels”, said EVP & Chief Commercial and Strategy Officer Matt Guffey.

Behind this announcement is years of work across UPS Operations, Technology, Engineering, Marketing, Sales, Customer Solutions and The UPS Store network. We asked U.S. Strategy President Nick Basford and Strategic Innovation Lead Jon Bell to walk us through the shift.

Scanning has been core to UPS operations for decades. Why are we focused on sensing now?

Nick: Scanning works, but it is very hands-on. It takes time, and it is hard to scale to give customers all the visibility they want.

On the operations side, scanning comes with tradeoffs in terms of time, efficiency and process design. To be effective, parcel visibility needs to be an intrinsic part of operations – not an add on.  

So, what is different about sensing?

Nick: Sensing frees up our people to focus on the job at hand while the tech automatically keeps track of parcels. This means we have better data and can give our customers more visibility from the time orders are fulfilled all the way to delivery. That visibility creates real opportunities for our customers – like inventory optimisation and better service to their customers.

Plus, better data allows us to make better decisions, faster. In some cases, that means noticing and managing a potential delay before it is even on a customer’s radar. It is a win for everyone.

What other changes will our business see?

Jon: RFID has decreased misloads by nearly 70%, meaning less rework and more reliable delivery. The shift to sensing should also reduce the number of customer service calls that we and our customers get asking about a parcel’s location.

The best part is that if RFID senses a parcel is off track, we can respond and do something about it. And like Nick said, we can often act fast enough that the parcel is still delivered on time.

Customers are already seeing the benefits firsthand, with real-time tracking and visibility from the point of collection.

What would people be surprised to learn about RFID? Any fun facts?

Nick: We have been in the RFID game a long time – we have a significant portfolio of  patents in this space, and we filed our first one in 2003. It is no surprise we are the first major carrier to broadly roll out RFID sensing.

Jon: That is right, we have even won awards for how we have used the technology. The RFID Journal honoured us with the Best Use of RFID to Enhance a Product or Service in 2023, Best Large-Scale Deployment in 2024 and Best RFID Implementation in 2025. We are clear leaders here.

This is a big shift – what did it take to get here?

Jon: UPS is taking a truly holistic, network-wide approach to how we use RFID. This work started as an initiative called Smart Package, Smart Facility. And now we are extending into Smart Fulfilment and Smart Tracking to provide end-to-end transparency.

And it has been a team sport – the label, the vehicle, the building, the systems, the people ... it all has to work together. Trust and alignment are everything.

Ready to light up your supply chain with RFID? Schedule a free, 15-minute consultation with a UPS logistics professional today.