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BSAB 410 – Management of Air CargoActivity 2.2 – Air Cargo LeadersbyChan Hsing Joo CherylID: 2101610Embry-Riddle Aeronautical UniversityWorldwideApr 2015 1
BSAB 410 – Management of Air Cargo•Discuss the histories of UPS, FedEx, and DHL.The three largest transportation companies in shipments and logistics in the world are UPS, FedEx and DHL (Andreea, Pinar & Issam, 2010). We will discuss their histories in the subsequent paragraphs.UPSJim Casey and Ryan Cloude founded the company in 1907. Operating under the principleof providing the best service at the lowest rates, the company prospered (UPS, 2015). It became the first package delivery company to provide air service by using privately operated airlines in 1929. After UPS received authorization from the Federal Aviation Administration (FAA) in 1988,it operated its own aircraft. The company continued its expansion to Europe and the rest of the world. Currently, it has air and ground service in more than 200 countries worldwide. The operations are divided into three areas: U.S. Domestic Package, which is what is responsible for the delivery of letters, documents and packages throughout the U.S., International Package, which is the delivery service for more than 200 countries and territories outside United States, and lastly, Supply Chain and Freight, which handles the logistics and customs services and other business units. FedExFedEx was founded as Federal Express, in 1971 by Frederick W. Smith. In 1973, it opened from a military hangar at Memphis International Airport. Its success began as the first cargo airline to use jet aircraft only. Over time it acquired smaller freight firms and began to expand worldwide. Its services reach more than 220 countries and territories around the world.