0. Mail Network Optimization Project: Optimization of First Class Mail Network & Delivery Process
Meeting with the Service Unions
New Delhi, 7th June, 2011

1. Project roadmap and roll-out plan
All India
2012 4
Roll-out
2011
Geographical reach
Priority cities
"Wave 1" 1
“Wave 2” 2 3
“Wave 3”
Scenario-based design and pilots (2010)
Scenario- based design (2011)
Speed Post & International mail
First class
Second class
Product range 1

2. Components of First Class Mail Network Optimization
Integration of various networks in mail operations
Revisiting the intra-city network
Redefining the pan-India network
Streamlining the mail flow pattern
between mail offices
from post offices to mail offices and vice-versa
Mapping of all post offices to mail offices
Delivery process optimization in post offices
Monitoring system for First Class Mail & Registered mail
SOURCE: Source

3. Integration of Networks: Approach
First Class ordinary mail and registered mail to be integrated for collection, transmission and delivery, to be co-located for sorting
Speed Post to remain a separate network across sorting and transmission, integrated for delivery with other mail;
First Class ordinary and second class mail (excluding parcels) to be co-located for sorting, remain separate for transmission, and integrated for delivery
Parcels could be kept separate for sorting in bigger cities, but co-located in sorting where volumes are low
The integration would depend upon availability of sufficient space in cities

4. Consolidation of intra-city mail network
Ideally, entire mail operations should be handled under the same roof in a city at an integrated facility (also required for machine-based sorting)
However, space constraints might affect consolidation plan in some cities
Depending upon space availability, the cities could have:
One integrated mail office for all mail or,
One mail office handling first class and another handling second class mail or,
One mail office handling unregistered mail, one for registered mail and one for second class mail
Speed Post to remain separate
Functioning of BPCs and MBCs to be rationalized and functional overlap to be eliminated
If space permits, sorting of bulk mail also be merged with retail mail, while BPCs and MBCs continue to provide booking interface

5. Structure of pan-India Network of Mail Offices
A two-tier structure to be followed consisting of L-1 and L-2 mail offices
High volume mail offices/cities and better connected cities considered for L-1 consideration
Rest of the existing mail offices considered as L-2 offices
All L-2 mail offices mapped to L-1 mail offices
All post offices mapped to an L-1 or L-2 mail office
Mapping of post offices to mail offices currently being validated from the Circles
Only L-1 offices to close bags for each other, L-2 offices to close bags for L-1 office to which they are mapped

6. Proposed Mail Flow in the new Network for First Class Mail
Mail flows
Post Office
Post Office
Post Office
Post Office
Level-1 mail office
Level-1 mail office
Level-2 mail office
Level-2 mail office
Level-2 mail office
Level-2 mail office
Post Office
Post Office
Post Office
Post Office
Post Office
Post Office
Post Office
Post Office
Level-1 mail offices exchange mail with each other and with selected L-2 in the Circle
Level-2 mail offices exchange mail with the level-1 mail office to which they are mapped and the level-2 mail offices mapped to the same level-1 mail office, and with selected L-1 offices
Post Offices exchange mail only with the mail office (level-1 or level-2) to which they are mapped
SOURCE: Mail Network Optimisation Project

7. List of level-1 mail offices
S. No.
Circle
Level-1 cities 1
ANDHRA PRADESH
HYDERABAD 2
NAMPALLY (Hyd’bd) 3
KURNOOL 4
TIRUPATI 5
VIJAYAWADA 6
VISAKHAPATNAM 7
ASSAM
GUWAHATI 8
BIHAR
BARAUNI 9
GAYA 10
MUZAFFARPUR 11
PATNA 12
CHATTISGARH
BILASPUR 13
RAIPUR 14
DELHI 15
GUJARAT
AHMEDABAD 16
ANAND 17
RAJKOT 18
SURAT 19
VADODARA 20
HARYANA
AMBALA 21
GURGAON 22
HIMACHAL PRADESH
PATHANKOT 23
SHIMLA 24
J&K
JAMMU 25
SRINAGAR 26
JHARKHAND
DHANBAD 27
JAMSHEDPUR 28
RANCHI
S. No.
Circle
Level-1 cities 29
KARNATAKA
BANGALORE 30
GULBARGA 31
HUBLI 32
MANGALORE 33
MYSORE 34
BIRUR 35
KERALA
KOCHI 36
KOTTAYAM 37
KOZHIKKODE 38
THIRUVALLA 39
TRICHUR 40
TRIVANDRUM 41
MADHYA PRADESH
BHOPAL 42
GWALIOR 43
INDORE 44
JABALPUR 45
MAHARASHTRA
AURANGABAD 46
MUMBAI 47
NAGPUR 48
PANAJI 49
PUNE 50
ORISSA
BHUBANESWAR 51
CUTTACK 52
BERHAMPUR 53
JHARSUGUDA 54
PUNJAB
AMRITSAR 55
CHANDIGARH 56
JALANDHAR
S. No.
Circle
Level-1 cities 57
PUNJAB
LUDHIANA 58
PATIALA 59
RAJASTHAN
AJMER 60
JAIPUR 61
JODHPUR 62
KOTA 63
UDAIPUR 64
TAMILNADU
CHENNAI 65
COIMBATORE 66
MADURAI 67
SALEM 68
TIRUNELVELLI 69
TRICHY 70
VELLORE 71
VILLUPURAM 72
UTTAR PRADESH
AGRA 73
ALLAHABAD 74
BAREILLY 75
GHAZIABAD 76
GORAKHPUR 77
KANPUR 78
LUCKNOW 79
SAHARANPUR 80
VARANASI 81
WEST BENGAL
BURDWAN 82
HOWRAH 83
KOLKATA 84
SILIGURI
86/87
APS
1 CBPO & 2 CBPO
SOURCE: Mail Network Optimisation Project

8. Proposed mail flow from POs to Mail Offices
Mail Office receives unsorted mail from all HOs/SOs/BOs/letter boxes in catchment area
Mail office sorts mail and retains mail meant for delivery in catchment area, and sends rest of mail to adequate sorting facilities (see flows between hubs)
Mail Office
(level-1 or level-2)
HO/SO
HO/SO collect mail from the BOs and the letter boxes under jurisdiction
No sorting done at HO/SO BO
Letter box
BO sends all its mail to HO/SO with accounts jurisdiction through account bags
No sorting done at BO
SOURCE: Mail Network Optimisation Project

9. Plan for Registered Mail
Registered mail to follow the pattern of first class mail in terms of L-1 and L-2 structure
Track and trace to be provided for Registered mail, software developed by PTC Mysore
Testing of software done in Chennai, Bangalore and Hyderabad
Processes followed at CRCs to be based on Speed Post processes
Hardware would be supplied to the Circles, specifications for article barcode and bag label decided and communicated to Circles
The new software to be used at CRCs and gradually all mail offices handling registered articles would be provided the hardware

10. Monitoring System for First Class Mail: KPIs
Domestic
unregistered
Domestic registered
Tracked
Performance KPIs 1
Share of undelivered mail 2
Transit analysis within city 3
Transit analysis across city 4
Time per leg of transit within city 5
Time per leg of transit across city 6
Share of missorted articles across city 7
Share of articles with missing PIN codes
Supporting KPIs 8
Share of articles not dispatched in same-set 9
Staff absenteeism 10
Articles processed per hour per FTE 11
Scan compliance in entire network
Scan Compliance (if scanning is introduced) 12
Scan analysis per leg of transit within city 13
Scan analysis per leg of transit across city
SOURCE: Mail Network Optimisation Project

11. Proposed Test Letter Programme
Manual test letters
Electronic test letters
Manual test letter program is scalable and would help India Post track performance on all main flows to unveil every contributor to quality loss
Manual test letter program would enable India Post to:
Get reliable and statistically representative D+X KPI for metro cities, capital cities and remaining hub offices within a circle
Monitor performance on an ongoing basis with frequencies to be decided for each flows (metro to metro, capital city to capital city and within city flows)
Electronic test letters would help India Post improve its performance by deep diving on issues highlighted by manual test letter program (as they would provide tracking similar SpeedNet)
Electronic test letters would allow India Post to have
Leg wise analysis of mail flow from booking/ collection point to final delivery point
Root causes of delay in delivery at every leg
Using electronic test letters would allow India Post cost to reduce the volumes of manual test letters to be sent in specific routes
Test letter program will enable India Post to track performance on an on-going basis and take real time remedial actions
SOURCE: Mail Network Optimisation Project

12. Optimisation of delivery processes
What are the KPIs needed to track improvements?
What are the performance management tools and systems to monitor continued progress?
What is the right sequence of activities ?
What is the right scheduling of manpower? 2
Processes 1 3
Layout
Performance management 4
Equipment
What should be the layout of the PO?
What are the local details to consider?
What equipments are required?
How can feedback from staff be incorporated in design?

13. Providing tools and equipments to mail offices
Look and Feel Aspects
The objective is to improve the quality of working conditions of mail offices
Providing tools and equipments to mail offices
Basic civil and electrical maintenance

14. THANK YOU