Mailer’s Technical Advisory Committee (MTAC) Task Team 2 General Session Presentation November 16, 2010

2  Mission  Accomplishments  Strategic Initiatives  Next Steps/Recommendations Agenda

3  Postal Service developed a vision to address cost, quality, and convenience in mail acceptance and induction.  Postal Service vision contains 4 strategic initiatives: –Results-based Automated Verification –Centralized Account Management –Integrated Customer Support and Feedback –Optimized Business Mail Acceptance Network  Purpose - provide direction on the vision strategy and identify approaches to develop the business needs, benchmarks, and process changes to fulfill the strategic vision. Issue Statement

4  USPS and Mail Industry agree that the four initiatives necessary to achieving strategic goals  USPS and Mail Industry reach consensus on the key objectives of each strategic initiative –Identified high level business needs for each initiative  Collected mail industry input to update Postal Service BMA Vision & Strategy document  Developed recommendations for next steps Accomplishments

5 Strategic Initiative #1 – Results-Based Automated Verification Description: Leverage technologies like electronic documentation (eDoc) and Intelligent Mail Full Service capabilities to automate business mail acceptance and verification processes. Leverage PostalOne! system features like eInduction, Full Service IMD scanning, and eMIR to transition to a Seamless Acceptance business process providing 24x7 mailing access. Key Objectives  Develop a verification business model that standardizes USPS acceptance processes for all mail products and mailers’ mailing environments and support a continuous entry of mail.  The new business model should utilize both historical and/or trending metrics based on mailer mailings over time to determine mail quality assessments.  The new business model should utilize USPS facility processing quality metrics based on processing over time to be factored into determining mail quality performance.  The new business model should support the promotion of superior mailing supply and quality while adjudicating mail quality deficiencies based on operational impact.  The new business model should provide flexibility to promote innovated mailing campaigns. Cross Functional Partners  Mailing Standards  Product and Sales  Pricing  Operations  Human Resources (HR)/Labor  Mail Service Provider  Mail Owners Customer Benefits  Automated 24x7 customer access to initiate, manage and present mailings.  Increased mail manufacturing cycle time  Timely notification of business mail quality issues  Systemic instead of incident measurement of mailing quality  Reduced financial risks due to single incident quality deficiency identification

6 Strategic Initiative #2 – Centralized Account Management Description: Enable customers to establish one account used to mail anywhere in the country, providing product visibility within the BME network. Enable customers to manage their accounts and leverage electronic payment methods to eliminate transactions across the retail window. Key Objectives  Establish a centralize account number associated to a single business location.  Establish account management features that meet online payment/eCommerce business needs.  Enable the secure access of information in a manner that facilitates continuous business process flows.  Provide state-of-the-art best industry practices for security and fraud protection. Cross Functional Partners  Mailing Standards  Product and Sales  Pricing  Finance  Corporate Treasury  HR/Labor  Mail Service Providers  Mail Owners Customer Benefits  Automated 24x7 customer access to initiate, manage and present mailings.  Centralized account funding solutions.  Flexible payment options  Mail anywhere  Pay for all products and services (e.g. Return Services, PO Boxes, etc…)  Secure and protected financial transaction

7 Strategic Initiative #3 – Integrated Customer Support and Feedback Description: Leverage technology to establish an integrated customer support system to provide online service, for, decision support, enabling access to self service features for mail piece design, mailing preparation standards, and mailing quality results feedback. Key Objectives  Provide customer support capabilities in a manner that meets the dynamic and continuous operational needs of the mail supply chain.  Centralized services should provide access to support that is relevant to the specific business needs.  Enable the flow of information that is timely, accurate, and relevant to enable supply chain decision support activities. Cross Functional Partners  Product and Sales  Pricing  Finance  HR/Labor  Mail Service Providers  Mail Owners Customer Benefits  Automated 24x7 customer access to mailing support services.  Timely, accurate and consistent information regarding mailing design/preparation rules, processes and decisions  Provide 24X7 online support for business mail products.  Centralized support channels relevant to customer support needs; “how to”, education, general information or technical assistance regarding billing, quality reporting and service issue  Timely decision support information regarding mailing quality performance  Integrated reporting across mailing manufacturing and supply chain processes

8 Strategic Initiative #4 - Optimized Business Mail Acceptance Network Description: Implement strategies to simplify products, streamline procedures and contain costs. Migrate manual verification functions to key induction points, reduce need for USPS staff at mailer facilities and consolidate business mail entry and plant induction points and business functions. Key Objectives  Business mailing access and induction needs to be optimized and streamlined to support a diverse mail supplier base and customer needs.  Provide inventory management capabilities used by industry best practices and technology to manage and track products throughout the mailing cycle.  Develop product simplification strategies.  Standardize and process improve the Business Mail Entry channel to facilitate; Induction entry, Online entry and Office entry channels, optimized for effectiveness and efficiency. Cross Functional Partners  Operations  Pricing  Product and Sales  Visibility and Performance  Mailing Standards  HR/Labor  Mail Service Providers  Mail Owners Customer Benefits  Automated 24x7 customer access to initiate, manage and present mailings.  Business mailing product ease of use  Increased mail production cycle times  Continuous or more streamlined mailing entry  Access to timely mailing management information throughout mailing process.  Near real-time, centralized mailing status feedback and customer support.

9 Next Steps  Recommend MTAC workgroups groups to develop solution requirements –Results Base Verification (New WG) –Integrated Customer support and Feedback (New WG) –BMA Network Optimization (New WG) –Centralized Account Management (Existing WG 140)  Recommend an oversight governance committee be established to track WG integration and progress  Complete and submit MTAC Issue statements for new work groups  Update RITS with all “enterprise” level issues surfaced  Update and publish the BMA Strategic Vision document Task Team 2 has accomplished its mission and recommends closure.

Questions? Closing Good-Bye Auf Weidersehen Sayonara Ciao Au Revoir L’hitraot Adiós Slán Kwa Heri