Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group #...

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

Transcript of Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group #...

Page 1: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

Optimizing Parcel Optimizing Parcel Preparation & Entry Preparation & Entry

for Seamless for Seamless AcceptanceAcceptance

Final PresentationFinal Presentation

MTAC Work Group # MTAC Work Group # 109109

Industry Leader: Wendy Industry Leader: Wendy SmithSmith

USPS Leader: Jim USPS Leader: Jim CochraneCochrane

Page 2: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

Optimizing Parcel Optimizing Parcel Preparation & Entry for Preparation & Entry for Seamless AcceptanceSeamless Acceptance

Work Group FocusWork Group Focus::

Approaches to optimize parcel Approaches to optimize parcel preparation and entry.preparation and entry.

Understand total combined costs to Understand total combined costs to both the industry and the Postal both the industry and the Postal Service in order to minimize end-to-Service in order to minimize end-to-end costs.end costs.

Fully leverage available workshare Fully leverage available workshare discounts as the processing and discounts as the processing and distribution network is rationalized.distribution network is rationalized.

Page 3: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

Optimizing Parcel Optimizing Parcel Preparation & Entry for Preparation & Entry for Seamless AcceptanceSeamless Acceptance

End-to-End industry costs to considerEnd-to-End industry costs to consider::• Handling, staging (expanded dock areas) and Handling, staging (expanded dock areas) and

sorting for any additional entry points.sorting for any additional entry points.• TransportationTransportation

# of entry points# of entry pointsPalletization vs. Bedloads translates to ~40% Palletization vs. Bedloads translates to ~40%

reduction in utilization, thus more truck loads reduction in utilization, thus more truck loads would be created.would be created.

• Increased transit time resulting from packages Increased transit time resulting from packages being held to build density needed for more entry being held to build density needed for more entry points.points. May drive mailers to increased use of competitor May drive mailers to increased use of competitor

alternatives.alternatives.• Worksharing discounts should be aligned with any Worksharing discounts should be aligned with any

additional entry points.additional entry points.

Page 4: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

Optimizing Parcel Optimizing Parcel Preparation & Entry for Preparation & Entry for Seamless AcceptanceSeamless Acceptance

Clarified palletization and induction rulesClarified palletization and induction rules::• Can double stack pallets up to four tiers and Can double stack pallets up to four tiers and

84” when capped and strapped individually 84” when capped and strapped individually andand together. together.– See DMM 705.8.3 and Quick Service Guide See DMM 705.8.3 and Quick Service Guide

705b for details.705b for details.• Single pallet and pallet box maximum height Single pallet and pallet box maximum height

= 77”= 77”• Due to varied plant capacity and layouts, Due to varied plant capacity and layouts,

individual BMC approval needed for:individual BMC approval needed for:– Live unloadsLive unloads– <3/4 full drop & pick<3/4 full drop & pick

• Speed lines usually available for 6 pallets or Speed lines usually available for 6 pallets or lessless

Page 5: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

Optimizing Parcel Optimizing Parcel Preparation & Entry for Preparation & Entry for Seamless AcceptanceSeamless Acceptance

Clarified palletization and induction Clarified palletization and induction optimization:optimization:

• Remember: Remember: oneone FAST appointment per trailer, FAST appointment per trailer, regardless of # of mailings on a given trailer.regardless of # of mailings on a given trailer.

• Unload sequence => use common sense:Unload sequence => use common sense:For multiple stopsFor multiple stops::– Sequence by sequence of drop; separate by drop sheet Sequence by sequence of drop; separate by drop sheet

divider or shoring bardivider or shoring bar– Don’t double stack pallets going to different facilitiesDon’t double stack pallets going to different facilitiesWithin a stopWithin a stop::– Use the Comment section in FAST to reference mixed Use the Comment section in FAST to reference mixed

load types (e.g. X sacks or pallets on tail; bedloaded in load types (e.g. X sacks or pallets on tail; bedloaded in nose).nose).

– These comments help direct trailers to appropriately These comments help direct trailers to appropriately equipped dock (to off load via forklift or conveyer).equipped dock (to off load via forklift or conveyer).

Page 6: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

Optimizing Parcel Optimizing Parcel Preparation & Entry for Preparation & Entry for Seamless AcceptanceSeamless Acceptance

Commingling Opportunities Commingling Opportunities Encourages lowest end-to-end costs.Encourages lowest end-to-end costs. Simplified standards for combining Simplified standards for combining

parcels.parcels. Container minimums based on the Container minimums based on the

combined combined weight across parcel weight across parcel categories. categories. ―Proposed Matrix for Combined Mailings of Proposed Matrix for Combined Mailings of

Standard Mail and Package Service Standard Mail and Package Service Parcels (DMM 705.6)Parcels (DMM 705.6)

Page 7: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

COMBINED MAILINGS OF STANDARD COMBINED MAILINGS OF STANDARD MAIL AND PACKAGE SERVICES MAIL AND PACKAGE SERVICES

PARCELS (705.6)PARCELS (705.6)

  COMBINED PREPARATION

  5-digit/scheme¹ BMC/ASF Mixed BMC

 ENTRY  (Required) (Required)

Origin Sacks - 15-piece or 30-lb minimum Sacks - 10-piece or 20-lb minimum Sacks - No minimum

  Pallets - 250-lb minimum Pallets - 250-lb minimum Pallets - 250-lb minimum

DBMC Sacks - 15-piece or 30-lb minimum Sacks - 10-piece or 20-lb minimum

  Pallets - 100-lb minimum Pallets - 100-lb minimum

DSCF Sacks - 10-piece or 10-lb minimum

  Pallets - 100-lb minimum

DDU Sacks - No minimum

  Pallets - No minimum

Combining Standard Mail and Package Services Machinable Parcels and NFMs 6 ounces or more

Proposed

Page 8: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

Proposed

Combining Standard Mail and Package Services Irregular Parcels and NFMs 2 - 6 ounces (APPS Machinable)

  COMBINED PREPARATION

  5-digit/scheme¹ 3-digit ADC Mixed ADC

ENTRY   (Required) (Required) (Required)

Origin Sacks - 15-piece or 30-lb minimum Sacks - 10-piece or 20-lb minimum Sacks - 10-piece or 20-lb minimum Sacks - No minimum

  Pallets - 250-lb minimum Pallets - 250-lb minimum Pallets - 250-lb minimum Pallets - 250-lb minimum

DBMC Sacks - 15-piece or 30-lb minimum Sacks - 10-piece or 20-lb minimum Sacks - 10-piece or 20-lb minimum

  Pallets - 100-lb minimum Pallets - 100-lb minimum Pallets - 100-lb minimum

DSCF Sacks - 10-piece or 10-lb minimum Sacks - 10-piece or 20-lb minimum

  Pallets - 100-lb minimum Pallets - 100-lb minimum

DDU Sacks - No minimum

  Pallets - No minimum

COMBINED MAILINGS OF STANDARD COMBINED MAILINGS OF STANDARD MAIL AND PACKAGE SERVICES MAIL AND PACKAGE SERVICES

PARCELS (705.6)PARCELS (705.6)

Page 9: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

ProposedCombining Standard Mail and Package Services Irregular Parcels and NFMs under 2 ounces (Non APPS Machinable)

  COMBINED PREPARATION

  5-digit/scheme¹ 3-digit ADC Mixed ADC

ENTRY   (Required) (Required) (Required)

Origin Sacks - 15-piece or 30-lb minimum Sacks - 10-piece or 20-lb minimum Sacks - 10-piece or 20-lb minimum Sacks - No minimum

  Pallets - 250-lb minimum Pallets - 250-lb minimum Pallets - 250-lb minimum Pallets - 250-lb minimum

DBMC Sacks - 15-piece or 30-lb minimum Sacks - 10-piece or 20-lb minimum Sacks - 10-piece or 20-lb minimum

  Pallets - 100-lb minimum Pallets - 100-lb minimum Pallets - 100-lb minimum

DSCF Sacks - 10-piece or 10-lb minimum Sacks - 10-piece or 20-lb minimum

  Pallets - 100-lb minimum Pallets - 100-lb minimum

DDU Sacks - No minimum

  Pallets - No minimum

COMBINED MAILINGS OF STANDARD COMBINED MAILINGS OF STANDARD MAIL AND PACKAGE SERVICES MAIL AND PACKAGE SERVICES

PARCELS (705.6)PARCELS (705.6)

Page 10: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

COMBINED MAILINGS OF STANDARD COMBINED MAILINGS OF STANDARD MAIL PARCELS (445.5.3)MAIL PARCELS (445.5.3)

Combining Machinable and Irregular Parcels and NFMs

  COMBINED PREPARATION

  5-digit/scheme BMC/ASF Mixed BMC

ENTRY   (Required) (Required)

Origin Sacks - 10-lb minimum N/A N/A

  Pallets - 250-lb minimum N/A N/A

DBMC Sacks - 10-lb minimum

  Pallets - 100-lb minimum

DSCF Sacks - 10-lb minimum

  Pallets - 100-lb minimum

DDU Sacks - No minimum

  Pallets - No minimum

Proposed

Page 11: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

COMBINED MAILINGS OF STANDARD COMBINED MAILINGS OF STANDARD MAIL PARCELS (445.5.3)MAIL PARCELS (445.5.3)

Combining Machinable Parcels and NFMs 6 ounces or more

Proposed

  COMBINED PREPARATION

  5-digit/scheme BMC/ASF Mixed BMC

ENTRY   (Required) (Required)

Origin Sacks - 10-lb minimum Sacks - 10-lb minimum Sacks - No minimum

  Pallets - 250-lb minimum Pallets - 250-lb minimum Pallets - 250-lb minimum

DBMC Sacks - 10-lb minimum Sacks - 10-lb minimum

  Pallets - 100-lb minimum Pallets - 100-lb minimum

DSCF Sacks - 10-lb minimum

  Pallets - 100-lb minimum

DDU Sacks - No minimum

  Pallets - No minimum

Page 12: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

COMBINED MAILINGS OF STANDARD COMBINED MAILINGS OF STANDARD MAIL PARCELS (445.5.3)MAIL PARCELS (445.5.3)

Combining Irregular Parcels and NFMs under 6 ounces

Proposed

  COMBINED PREPARATION

  5-digit/scheme 3-digit ADC Mixed ADC

ENTRY   (Required) (Required) (Required)

Origin Sacks - 10-lb minimum Sacks - 10-lb minimum Sacks - 10-lb minimum Sacks - No minimum

  Pallets - 250-lb minimum Pallets - 250-lb minimum Pallets - 250-lb minimum Pallets - 250-lb minimum

DBMC Sacks - 10-lb minimum Sacks - 10-lb minimum Sacks - 10-lb minimum

  Pallets - 100-lb minimum Pallets - 100-lb minimum Pallets - 100-lb minimum

DSCF Sacks - 10-lb minimum Sacks - 10-lb minimum

  Pallets - 100-lb minimum Pallets - 100-lb minimum

DDU Sacks - No minimum

  Pallets - No minimum

Page 13: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

Optimizing Parcel Optimizing Parcel Preparation & Entry for Preparation & Entry for Seamless AcceptanceSeamless Acceptance

Commingling Opportunities Cont’dCommingling Opportunities Cont’d Pilot to increase volume at the 5 Pilot to increase volume at the 5

digit level & DDU through refined digit level & DDU through refined commingling standards to commingling standards to determine critical mass.determine critical mass.

Contact: Joel Walker, Mailing StandardsContact: Joel Walker, Mailing Standards

[email protected]@USPS.GOV

202-268-7266202-268-7266

Page 14: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

Optimizing Parcel Optimizing Parcel Preparation & Entry for Preparation & Entry for Seamless AcceptanceSeamless Acceptance

Seamless Acceptance & AutomationSeamless Acceptance & Automation• Continue to encourage eVS for seamless Continue to encourage eVS for seamless

acceptance.acceptance.• Required eVS participation date for Required eVS participation date for

Parcel Select postponed.Parcel Select postponed.• eVS requires a confirmation service or eVS requires a confirmation service or

eVS barcodeeVS barcode―Provides mailers and USPS with trackability Provides mailers and USPS with trackability

capability.capability.

• Eventual expansion to Standard Parcels.Eventual expansion to Standard Parcels.

Page 15: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

Optimizing Parcel Optimizing Parcel Preparation & Entry for Preparation & Entry for Seamless AcceptanceSeamless Acceptance

Seamless Acceptance & Automation Seamless Acceptance & Automation Cont’dCont’d

Joint WG #107 and #109 EffortJoint WG #107 and #109 EffortTesting of smaller barcodes on Standard Parcels Testing of smaller barcodes on Standard Parcels

continues:continues: Current size = ¾” ; Current size = ¾” ; Testing 5/8”, ½”, 3/8”;Testing 5/8”, ½”, 3/8”; Labels and WindowsLabels and Windows Boxes and Jiffy BagsBoxes and Jiffy Bags HSIUs (High Speed Induction Units)HSIUs (High Speed Induction Units) SSIUs (Singulator Induction Units)SSIUs (Singulator Induction Units) APPS (Automated Package Processing System)APPS (Automated Package Processing System) SPBS (Small Parcel & Bundle Sorters)SPBS (Small Parcel & Bundle Sorters)

Page 16: Optimizing Parcel Preparation & Entry for Seamless Acceptance Final Presentation MTAC Work Group # 109 Industry Leader: Wendy Smith USPS Leader: Jim Cochrane.

Optimizing Parcel Optimizing Parcel Preparation & Entry for Preparation & Entry for Seamless AcceptanceSeamless Acceptance

Work Group #109 to be sunset; Work Group #109 to be sunset; however, as the network continues to however, as the network continues to be rationalized and adjusted to be rationalized and adjusted to support the requirements of service support the requirements of service standards and performance standards and performance measurement, the USPS and Industry measurement, the USPS and Industry will continue to collaborate on will continue to collaborate on approaches at the early stages of approaches at the early stages of contemplation so that the END result contemplation so that the END result is beneficial to all.is beneficial to all.