UPS OPTS TO BUILD, NOT BUY, UK OPERATION

UPS OPTS TO BUILD, NOT BUY, UK OPERATION

United Parcel Service will build a domestic parcels delivery company in the United Kingdom rather than acquire one.

Rumors have been rife in the U.K. distribution industry over the last couple of years that UPS planned a major acquisition to get its domestic delivery operations in that country off the ground.Now, though, UPS says it plans to develop internally a domestic operation like the one its has in West Germany.

That would mean concentrating primarily on the package market, by which UPS means parcels up to 70 pounds, where the company would provide overnight and two- to three-day delivery services.

"The plan is to start recruiting managers within the next couple of months. They will then undergo some six to nine months of training. That will include spending at least six months in the U.S. where they will get an intensive indoctrination into the UPS methods, procedures and attitudes to service," said Rick Roth, UPS business development director in the United Kingdom.

"We hope to have those people in place from Jan. 1 next year. At the moment, our feeling is that we would like to be able to offer a nationwide service from day one," he said.

In addition to the 150 managers to be recruited, UPS also plans initially to hire 500 hourly employees.