
Ben originally wrote our instructional guidelines regarding small package shipments. He rambled on about how magic and awe permeated the practice of calculating cubic size and billable weight. Anyone who has ever figured these equations knows that this claim is vastly inaccurate. Ben was wrong. Not only about the hypothetical fun of the chore, but more importantly, his description of the formulas to calculate shipping information was way off. Well, that or UPS changed their divisors. The Ben story was more entertaining.
In January 2011, UPS began using different divisors when calculating dimensional weight for both domestic and international ground and air shipments.
• Domestic Shipment Divisor (Ground and Air) has changed from 194 to 166.
• International Shipment Divisor (Worldwide Expedited, Import shipments) has changed from 166 to 139.
For this article we will use the following package specifications:
length = 24 inches
width = 12 inches
height = 14 inches
weight = 18 lbs
Key Terms
Cubic Size: This measurement is simple. Because using a simple calculation would be the simplest thing to do, UPS has simply decided that it is too simple to use for nearly any of their less than simple purposes. Even though it is never used by itself, it is a part of the larger equation for dimensional weight. Here is what you need to know:
• Equation: length × width × height = cubic size
• Example A: 24 × 12 × 14 = 4,032 inches
Dimensional Weight for Domestic Shipments: These are shipments that have been domesticated (as in not foreign) and therefore they are easier than undomesticated international shipments. That doesn't mean they know how to rollover or play dead, but they are well-behaved enough to be fairly predictable and trackable.
Step 1: Calculate Dimensional Weight for Ground OR Air shipment
We're going to compare dimensional weight for UPS Ground vs Air. Ground will be Example Ground and Air will be Example Air.
For UPS Ground Shipments: If the cubic size of the package is 5,184 or larger, divide the cubic size by 166 to determine dimensional weight in pounds. If the cubic size is less than 5,184, use the actual weight of the package.
• Equation: If cubic size ≥ 5,184, then ÷ by 166 = Dimensional Weight
• Equation: If cubic size < 5,184, then use Actual Weight
• Example Ground: 4,032 is < 5,184 , therefore we use the actual weight of 18 lbs.
For UPS Air Shipments: Divide the cubic size by 166 to determine dimensional weight in pounds. Any fraction of a pound will be calculated at the next highest rate.
• Equation: Cubic size ÷ 166 = Dimensional weight (lbs)
• Example Air: 4,032 ÷ 166 = 25 lbs. So if we shipped this Air vs Ground it would be billed at 25 lbs instead of 18 lbs.
Step 2: Calculate Dimensional Billable Weight Compare each package's actual weight to its dimensional weight. The larger of the two weights is the billable weight and should be used to calculate the rate.
• Equation: Compare actual weight to dimensional weight. Use the larger number.
• Example Ground: Our 24 × 12 × 14 package actually weighs 18 lbs, therefore it would be billed at 18 lbs.
• Example Air: Even though our package is actually 18 lbs, it will be billed at 25 lbs because it is being shipped Air.
Girth: Girth is defined as the length of the string you would need if you wrapped it around the two smaller sides of a package.
Step 1: Measure the width of the package, round to the nearest inch. Multiply this number by 2. Step 2: Measure the height of the package, round to the nearest inch. Multiply this number by 2. Step 3: Add these two numbers together. This is your girth.
Equation: (2 × width) + (2 × height) = Girth
Example: (2 × 12) + (2 × 14) = 52 inches
Large Package Surcharge: A Large Package Surcharge will be applied to each UPS package when its length plus girth combined exceeds 130 inches, but does not exceed the maximum UPS size of 165 inches. Large Packages are subject to a minimum billable weight of 90 pounds in addition to the Large Package Surcharge. An Additional Handling charge will not be assessed when a Large Package Surcharge is applied. *NOTE: UPS has eliminated the oversized package category.*
Dimensional Weight for International Shipments:
For export shipments using UPS Worldwide Express, UPS Worldwide Saver, and UPS Worldwide Expedited
Equation: cubic size ÷ 139 inches = dimensional weight
Example: 4,032 ÷ 139 inches = 30 lbs
For import shipments
Equation: cubic size ÷ 139 inches = dimensional weight
Example: 4,032 ÷ 139 inches = 30 lbs
For import shipments from Canada, Puerto Rico, and U.S. Virgin Islands
Equation: cubic size ÷ 139 inches = dimensional weight
Example: 4,032 ÷ 139 inches = 30 lbs For UPS Standard shipments
Equation: If cubic size is ≥ 5,184 ÷ 139 inches = dimensional weight
Equation: If cubic size is < 5,184, use actual weight
Example: Cubic size is 4,032 (which is less than 5,184), therefore we use actual weight (which is 18 lbs)
Conclusion
Though he may fumble up every now and again, Ben always seems to redeem himself. He did this time by presenting some insightful reasons for all of us to become familiar with the “new and exciting magical art” of logistics. Take a look…
So why learn this new and exciting magical art? What could you possibly glean from this instruction that could prove useful in your daily work experience? Well here are a couple of ideas:
1. Customers like to know where there money is going. We receive countless calls wanting to know why the freight is so high. If we can magically explain how UPS bills small packages, we have a much more likely shot at helping the customer feel comfortable with what they are being charged for shipping. This is vital when you consider that many of our customer's only experience with UPS is shipping books, electronics, and other products that are not nearly as vulnerable to dimensional weight as empty bottles are. You will find that you can magically soothe many customers who, when they first call, are absolutely as perplexed about this stuff as you were before you became a logistical magician.
2. As we understand the rules of shipping, we can do our best to help customers receive the best shipping solution possible. For instance, if your customer needs some product overnight-ed, perhaps you could suggest that they ship in a wiser way. As shown above, shipping an oversize case overnight is insanely expensive and they might be better off only expediting a portion of that case while shipping another case on UPS ground to get there just 2 days later. Sometimes these suggestions help and sometimes they don't, but at least we are giving suggestions. This knowledge can help us look out for our customers and help them find the best logistical solutions possible.
3. There is a third reason to learn this magical expertise. You are much more likely to become a Master Ninja if you do.
Understanding these concepts helps each of us fulfill our mission statement more fully. May your minds magically be magnified in this area of logistics that is so important to our company and to our customers.
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