Flats Strategy Managing Cost and Maximizing Efficiencies Joe Schick Vice President of Postal Affairs.

Slides:

Advertisements

Similar presentations

® 1 Mail Prep and Entry Steering Committee Meeting May 14, 2013.

Advertisements

What You Need to Know About Periodicals Rates Rita Cohen, Senior Vice President, Magazine Publishers of America.

CO-PALLETIZATION AND CO-MAILING UPDATE Mailers’ Technical Advisory Committee (MTAC), May 17, Update on Co-Palletization and Co-Mailing May 17, 2006.

1 R Mail Preparation Changes NCSC January 18, 2007.

1 Product Redesign MTAC Update Cost-Based Rates for Periodicals and Standard Flats February 5, 2004.

1 It’s Time for Intelligent Mail ® : Bringing It All Together Wednesday, Sept. 17, 2008.

Price Change 2015 USPS Pricing Overview May 2015.

Price Change Effective April 26, 2015 Northeast Area Mailing Industry Focus Group Meeting February 25,

® New MTAC User Groups/Work Groups/Task Teams Work Group #167: Solutions for Pieces Excluded from Service Measurement Start date: 1/21/2015 Target Completion.

Reduce Postage Costs and Improve Delivery, Combined Mailing Solutions PCC Mailers Forum 2014 September 10 th, 2014 Deborah Damore Fairrington Transportation.

1 BRIEFING for the PRESIDENT’S COMMISSION on the UNITED STATES POSTAL SERVICE January 8, 2003.

1 Catalog Industry Update Tom Foti David Mastervich April 14, 2010.

® Flats Symposium 2008 National Postal Forum ® National Postal Forum 2008.

FLAT MAIL PREPARATION OPTIMIZATION November 5, FLAT MAIL PREPARATION OPTIMIZATION Issue #81 MTAC November 5, 2003.

National Postal Forum April 12, 2010 National Postal Forum ®

Understanding Flats Co-Mailing The Benefits, Requirements And Added Values of Utilizing Co-Mailing for Your Standard and Periodical Pieces.

Greater New York Postal Customer Council

® Flats Update Rosa Fulton Executive Director, FSS Krista Finazzo Manager, Operational Requirements MTAC – November 2010.

Linda A. Kingsley Senior Vice President, Strategy and Transition United States Postal Service EMA Foundation November 2007 How the 21 st Century United.

Product Redesign Update Mailers Technical Advisory Committee May 16, 2002.

® Flats Track for Periodicals, Catalogs & Printers David Mastervich Manager, Periodicals, Catalogs & Saturation Rosa Fulton Executive Director, FSS National.

Monthly Updates to Presort Data. Agenda What is Presort Data? History of Update Schedule Important Terms to Understand The New Schedule Transition to.

FLAT MAIL PREPARATION OPTIMIZATION WORK GROUP #81 MTAC Report February 5, 2004.

USPS New Address Requirements For Automation, Presorted And Carrier Route Flat-Size Mail Launch in Presentation Mode (Hitting F5)

Corporate Automation Plan PHASE 2 February 4, 2004Washington D.C.

Corporate Flats Strategy MTAC November 7, Slide 2 Presentation Overview Background Near Term Actions (FY 2003 and 2004) Longer Term Planning (FY.

Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

Mailing Industry View and Congressional Update Northeast Area Mailing Industry Focus Group Meeting Joe Schick Vice President of Postal Affairs.

Postal Logistics & Transportation Jeff Kruepke Quad/Transportation Services (414)

1 FOOTER (10PT. ARIAL, BOLD, GREY, CAPS) TITLE OF PRESENTATION (24PT. ARIAL, BOLD, ALL UPPERCASE) Subtitle (20pt. Arial, Bold, Title Case) Network Rationalization.

MTAC Workgroup 115 Flat Mail Prep & Entry in FSS Environment November 18, 2009.

Product Redesign MTAC Update February 6, PRODUCT REDESIGN Bob O’Brien – Industry Co-Chair John DePiazza Joe Lubenow Clarence Banks Robert Lindsay.

® Flats Sequencing System (FSS) November 20, 2008 Rosa Fulton Phil Fabrizio.

1 FOOTER (10PT. ARIAL, BOLD, GREY, CAPS) TITLE OF PRESENTATION (24PT. ARIAL, BOLD, ALL UPPERCASE) Subtitle (20pt. Arial, Bold, Title Case) Network Rationalization.

Mailing Services Prices Mailers’ Technical Advisory Committee February 19, 2009 Maura Robinson VP Pricing.

Optimizing Parcel Preparation & Entry for Seamless Acceptance MTAC Work Group # 109 Industry Leaders: Chris Finley & Wendy Smith USPS Leader: Jim Cochrane.

FSS PREP AND ENTRY (WG #115) MTAC, August FSS Prep and Entry Workgroup #115 August 1, 2007 Joe Schick – Quad Graphics Rod Barbee – USPS Engineering.

® Flats Symposium 2008 Bill Galligan Senior Vice President, Operations USPS National Postal Forum ® National Postal Forum 2008.

™ September 23, 2015 Future of Mailing An Industry Perspective.

® Flats Symposium 2008 National Postal Forum ® National Postal Forum 2008.

MTAC Flats Sequencing Systems (FSS) New Area of Focus.

MTAC Workgroup 114 Establish Service Standards and Measurement Standard Mail Measurement July 30, 2007 Std Subgroup Meeting.

® Flats Sequencing System (FSS) February 2009 Cathy MoonPhil Fabrizio FSS Project Office MTAC Meeting.

® USPS Financial Update Mailer’s Technical Advisory Committee Meeting May 19, 2010 Joe Corbett Chief Financial Officer & Executive Vice President.

1 Product Redesign MTAC Update November 5, Steering Committee Will Continue To Meet –Regular Updates And Feedback Regarding USPS Activity on Key.

Co-Mail UPDATE Jim Wiseman. Co-Mailing What is it?

1 MTAC May 26, 2011 Washington D.C. Kelly Sigmon Vice-President, Engineering USPS Operations Plan for Flats & Technology Update.

Mailing Industry Changes ® PCC Workshop-in-a-Box Module 4 PCC Workshop-in-a-Box Module 4.

1 MTAC General Session Intelligent Mail Implementation Workgroup 122 April 29, 2009.

PRESORT OPTIMIZATION WORK GROUP February 6, PRESORT OPTIMIZATION Issue #11 WORK GROUP LEADERS Joe LubenowMarc McCrery Industry USPS.

Product Redesign MTAC Update November 7, Workgroups Joint Meeting of Workgroups –Originally Planning For Early 2003 –Primarily Information Sharing.

A Joint USPS/NALC Agreement for an Expedited Route Evaluation and Adjustment Process Allows Swift Reaction to Unprecedented Volume Loss –Quick, Simple,

PRESORT OPTIMIZATION WORK GROUP November 6, PRESORT OPTIMIZATION Issue #11 WORK GROUP LEADERS Joe LubenowMarc McCrery Industry USPS.

1 MTAC WG #175 Update for Northeast Area Focus Group May 4 th,

FLAT MAIL PREPARATION OPTIMIZATION February 24, FLAT MAIL PREPARATION OPTIMIZATION Issue #81 MTAC February 24, 2005.

Maximizing Postage Savings and Delivery for Small-Volume and Local/Regional Periodicals Max Heath, National Newspaper Association Susan Thomas, Mailing.

Mailing & Industry Focus Group

USPS 2017 Pricing Overview New York PCC - January 18, 2017.

January 2017 Price Structure Considerations

USPS Pricing October 24, 2011 | 12:30 – 1:30 pm Eastern Time

Mailing and Industry Focus Group

NAAD/Mailers Hug Legislative Affairs Conference

Standard Mail Volume Profile

Panel 2: Flats Containerization

Price Change 2018 January 2018.

Price Change 2018 October 2017.

Periodicals Simplification Ideas February 23, 2017 Key Points

MTAC Mail Prep & Entry Focus Group Sessions December 6, 2017

USPS Proposed Pricing Overview

Presentation transcript:

Flats Strategy Managing Cost and Maximizing Efficiencies Joe Schick Vice President of Postal Affairs

| 2 Flats Strategy Group Initiated May 2014 Cooperative effort (USPS and Industry) Focus initially on costs (cost coverage) Development of Flats Strategy Guide (unpublished) Continued focus > Process > Prep > Pricing Long history of industry involvement (MTAC)

| 3 Flats Strategy Key components of Flats Strategy > Manage cost > Innovate > Pricing > Balance Marketing opportunities vs. Operational efficiency > Utilize strengths of Mail Service Providers Comail Copalletization Dropship > Lowest combined cost (mailers and USPS)

| 4 Flats Strategy Renewed focus on non-FSS process > No Phase II FSS > 70-75% of flats in non-FSS zones > Carrier Route is still king Potpourri (PHI Acquisitions) NSA > Work to reduce bundle handlings 5 digit pallets – same value as FSS Scheme? Develop incentives

| 5 Flats Strategy Flats Sequencing System (FSS) > Required prep implemented in January Key issues > Maintain carrier route > Create DFSS entry and discount – does it offset cost? > Required 250 pound minimum FSS Scheme pallet – impact of increase in quantity of lighter weight pallets? FSS HERNDON VA STD FLATS 5D SCHEME Mailer information here SUNSHINE PRINTERS STRASBURG VA

| 6 FSS Scheme Pallets Substantial increase in the number of pallets > Lighter weight (average between 250 – 350 pounds) > USPS estimated 6-7% increase > Industry reality = 15 – 45% increase (depending on total pieces and weight in a mailing) > Increased cost for MSPs (Mailing Service Providers) Handlings Prohibits use of automation (palletizers, wrappers, warehouse, etc.) USPS gathered 3 rd QTR data > Share with mailers > Determine next steps

| 7 Focus on Cost Reduce/minimize volume of sacks > 35%+ increase in Standard Mail > Modify prep? > Price incentive/disincentive? Bundle breakage > Increased since FSS prep requirement Comail identified as major contributor Larger bundles replacing carrier route > Joint task teams (facility visits and “lean” discussions) USPS RRD Quad

| 8 QUESTIONS???