On the call last night, they mentioned UPS's intention to go RAIN RFID for all their packages. I believe the large NA customer implementing RFID at the package level using Impinj is UPS, but had not heard specifics.
Here are two references from the last 2 earnings calls for UPS.
United Parcel Service (UPS) Q3 2021 Earnings Call Transcript | The Motley Fool
Allison Poliniak -- Wells Fargo Securities -- Analyst
Hi. Good morning. Just want to focus on your comments around optimizing the existing labor force. I guess, first, you highlighted the benefit of the key utilization effort and reducing the direct labor hours.
I guess, when does that start to accelerate from here? And then second, just automation, obviously, a longer tail to get benefits. But any other choke points that you're looking to address first? Any color there? Thanks.
Carol Tome -- Chief Executive Officer
Well, we are all in on smart package and automation. And we've kicked off two big projects to attack those opportunities. Smart package alone by putting RFID tags on our packages, our pre-loaders, the men and women who are loading our packaged cars for delivery, will eliminate manual scans because they'll have a wearable device. That means they'll be eliminating 20 million manual scans a day.
That alone drives productivity. And then when you think about the cool technology that we're going to introduce into our buildings, automated label application, automated bagging, robotic induction into the packaged cars, that's just a ton of opportunity here to drive automation in ways that we haven't done before. So I'm really excited about that. Brian, what else do you want to add?
UPS offers brighter view after 'outstanding' 2021, shares hit record high | Reuters
The company in 2022 expects to spend $5.5 billion, with 60% of the amount earmarked for growth projects such as adding radio-frequency identification, or RFID, tags on packages and purchasing electric vehicles, and 40% toward fleet maintenance.
United Parcel Service (UPS) Q4 2021 Earnings Call Transcript | The Motley Fool
Carol Tome -- Chief Executive Officer
Sure. Well, I'm super excited about the productivity opportunities we have inside of our business. We're pretty good at what we do, but we can be even better. I think at the third quarter earnings call, we talked a lot about inside operations and how we're going about automating our inside operations.
We have about 140,000 people inside of our operations. And through automatic bagging, automatic label application, robotic induction into the small sorts, there's a way to really drive productivity inside of the buildings. We also have an opportunity with the RFID project that we've just kicked off, smart package, smart facility. You can imagine our pre-loaders are manually scanning every package.
That's 20 million-plus packages a day that are being manually scanned. That manual scan will disappear with the smart package, smart facilities. So the opportunities are endless in many ways. To your question about where will the U.S. margin go? We have told you our goal is 12%. Let us get there. We'll ring the bell, and then we'll reset it. As it relates to Amazon. |
