USPS Product Information MTAC Jim Cochrane Vice President, Product Information February 17, 2011.

USPS Product InformationMTAC

Jim Cochrane

Vice President, Product Information

February 17, 2011

Product Information – Meet the Team

VP PRODUCT INFORMATIONJames P Cochrane

EXECUTIVE ADMINISTRATIVE ASSISTANTCarol D McNair

MGR OPERATIONAL PERFORMANCERobert H Raines JR

MGR PRODUCT VISIBILITY SY STEMS

Juliaann S Hess

MGR PRODUCT INFORMATION REPORTING

Edward H Ryan

MGR EMERGING TECHNOLOGIESThomas T Williams

MGR SCANNING SY STEMS AND PERFORMANCE

Jeffrey L Freeman

MGR PRODUCT VISIBILITY & COMMUNICATION

Sandra R Latham

MGR ADDRESS MANAGEMENTJames D Wilson

MGR INTELLIGENT MAIL PLANNING/STANDARDS

Steve M Dearing

MGR CUSTOMER K NOWLEDGE MANAGEMENT

Maryellen J Clarke

MGR MAIL TECHNOLOGY STRATEGY

Edward A Lichorat

PROGRAM MGR INTELLIGENT MAIL

Clayton C Bonnell

Enhance USPS Business Value One barcode per piece

Capture workload by product

Improves cost modeling

Reduce labor costs

Transportation analytics

Enhances ability to offer new products and services

Allows for delivery efficiencies

Service analytics

Product InformationIMb/IMpb

Getting to World Class

Create Customer Value Foundational for shipping: Why not mailing?

Track all volume

Seamless acceptance

Improves customer experience

Provides data to support marketing initiatives

Manage business processes, service measurement and

logistic providers

Product InformationIMb/IMpb

Getting to World Class

When you barcode a letter,

you receive a discount

When you barcode a package, we make you

pay

Value of Information

SCF SAN FRANCISCO CA940

STD FLTS SCF BC/NBC

XYZ CORPORATION

INTERNATIONAL FALLS, MN

(Mailer Area)

Core to the product or value with a charge?

Barcode Intelligence

Testing Status 01/29/2010 - 01/28/2011

Full-Service VolumeService Performance Measurement

Full-Service Volume GrowthService Performance Measurement

Full Service Volume has seen a 59% growth from Q2-FY10 to Q1-FY11

Intelligent Mail vs. FS Volume Growth

Q1 FY11 had marginal increase in IMb adoption from POSTNET bar code

Service Performance Measurement

Full Service Statistics PQ1, FY 2011

FS IMbVolume (000)

Total CommercialVolume (000)

% of FS IMb

Letters & Cards 5,012,934 11,390,368 44.01%Flats 10,753 179,705 5.98%Total 5,023,687 11,570,073 43.42%

Letters 162 19,757 0.82%Flats 736,810 1,820,043 40.48%Total 736,973 1,839,801 40.06%

Letters 3,752,302 15,679,142 23.93%Flats 2,271,864 8,106,417 28.03%Total 6,024,166 23,785,559 25.33%

First-Class Mail

Periodical

Standard Mail


Full-Service Customer Sites

Approved For Production631

Full-Service Postage Statements

Finalize539,877

Full-Service Total Piece Volume 45,696,935,719

Full Service Production Trends Service Performance Measurement

May 2009 – January 2011

Moving Forward

USPS Stabilize Performance

Robust reporting capabilitiesEXFC report-type quality (depth of failure analysis per

piece level)

Increase number of Certified Mailers

Customer Improve value for customer Refocus on IMb, move off of SPM Simplify start-the-clock process


STC not generated

1.9%

STC generated,

but container excluded

0.1%STC generated

& container not excluded

98.1%

Certified Mailers

STC not generated

49.9%STC

generated, but container

excluded2.9%STC generated

& container not excluded

47.3%

Non-Certified Mailers

Full Service Certification Update Container Yields

Certified mailer container yield is twice that of non-certified mailersStreamlined review checklist for standard & periodicals mailersSystem Change Requests

Feb - CSA Verification Errors will be corrected to STC – Origin Yield: +20%June - SV Unload Scans will generate STC - Drop Ship Yield: +15%

Data based on Containers with Mailing Date of 1/22 – 1/28

Mailers continue to fail certification; BMS working with mailers to identify required updates to their software and operations to address key issues

Other Errors include: MID Verification Errors and Invalid Entry Point Errors

0.130.12

0.13

-10.0%

-5.0%

0.0%

5.0%

10.0%

15.0%

-

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

20,000

1/8 - 1/14 1/15 - 1/21 1/22-1/28

Full Service Container Errors by Type

Other Error

Non-Unique IMcb Error

Appointment/Scan Mismatch Error

Appointment Error

CSA Verification Error

Average Errors per Container

Full Service Analytics Container Level Mail Quality Errors

Mailers Passed

29

Mailers w/o Data

1

Mailers Decertified

0

Mailers Failed Non-

Critical Criteria

2

Mailer Monitoring Results1/29 - 2/4

Full Service Certification Update Certified Mailer Monitoring

Measured weekly against 8 metricsMailers that fail metrics related to direct inputs to STC are decertifiedDecertified mailers eligible for recertification after confirming issue(s) addressed

Certified Mailer Monitoring Process

Identify Issues/Failures

Communicate Issuesto BMS

Confirm issues are resolved

Perform Census Analysis

Certified Mailers Weekly Monitoring Strategy

Transportation fields used in CSA association will not be used in the future CSA TypeRecurring Appointment IDArrival TimeDispatch TimeCSA Trip ID

Stronger reliance on USPS scans to Start-the- ClockScan all 99Ms upon arrival at USPSResolves pallet to FAST appointment challenges

Start the Clock Changes

Proposed CAT- CET

Offsite Onsite Offsite Onsite Offsite Onsite Offsite Onsite1500 1800 1500 1500 1500 1500

No Seperation 1500 1500Mixed/Wkg 1500 1500Presort 1500 1500Presort AssignedHUB (STC)HUB (THS)

1600 1600Drop ShipDrop Ship FSS

190020002100220024000200

BMEU Entry

DMU USPS Transport

DMU Mailer Transport

BMEU Mailer Transport

FCM STD PER BPM

Completed Value Stream Mapping of package and mail flows

On-going process capability analysis Rolled Throughput Yield on all processes

Using LSS to Drive Performance

P.O. to PlantOrig. Plant to

Dispatch TransportationDest. Plant to

Dispatch Plant to P.O. P.O. to Delivery

99.5%

99.8%

99.5%

99.8%

98%

98%

99.5%

99.8%

99.5%

99.8%

99.5%

99.8%

= 95.5%

= 97%

Lean Six Sigma Approach

Measure All Processes


Full Service Analytics Rolled Throughput Yield

On-Time Goal GAP Analysis Rolled Throughput Yield

Infrastructure Initiatives

Proposed 6-Digit Mailer ID IMcb

(1) NOTE: The Serial Number field shall be padded with leading “ - “ characters or dashes (ASCII value 0045) if the mailer-defined value is less than the required 12 characters. For example, if the mailer opts for a container identifier of “123456”, a value of “------123456” should be encoded.

6-digit Mailer ID Format6-digit Mailer ID Format

Field No.

FieldDescription

FieldSize

CharacterPosition

LogicalValues

AllowableValues

1 Application Identifier 2 1-2 Numeric “99” (Only)

2 Type Indicator 1 3 Alpha “M” (Only)

3 Destination Facility ZIP 5 4-8 Numeric

4 Mailer ID 6 9-14 Numeric USPS-assigned ID with the leading digit ranging

from “0” through “8”

5 Serial Number 12 15-26 Alphanumeric Mailer-defined (1)

Intelligent Mail Container Barcode

Proposed 9-Digit Mailer ID IMcb


Proposed IMcb Placard

Destination Facility 5-Digit ZIP

Human Readable


STD FLTS SCF BC/NBCXYZ CORPORATIONINTERNATIONAL FALLS, MN

(Mailer Area)


STD FLTS SCF BC/NBCXYZ CORPORATIONINTERNATIONAL FALLS, MN

(Mailer Area)


Flexible scanning solution Provide enroute scans on all Priority

Mail Enhanced technology to handheld

IMDs Integration of hands-free imager

(Ring Scanner) Increases visibility, productivity, and

operational efficiency

Package Barcode Reader ProgramInfrastructure Initiatives

Fills the gap where MPE is not used

An Integrated Approach

ElectronicElectronic Mailing Mailing

InformationInformation

Electronic Centralized

Payment

Scan atEntry

InductionElectronic Advance

Notification

Unique Barcodes

Mail Preparation

Electronic In-Process &

Performance-BasedMail Verification

Total VisibilityBarcode Intelligence

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Passive Scan Infrastructure

Active Scan Infrastructure

EquipmentNumber of

SortersNumber of Facilities

PSM sorters 21 21APPS 73 62SPBS 199 147AFSM100 530 237UFSM1000 104 81Overhead scanners 57 37FSS 19 8Robotics 7 2LCTS 218 122

Scanners Sites % of Scans

IMDAS Delivery and Retail Scanners 312,577 36,183 69.44%Surface Visibility 16,500 174 0.01%POS/IRT/APC/CARS 60,946 22,185 6.79%

Scan InfrastructureInfrastructure Initiatives

Final Thoughts Full Visibility Process Map IMpb update Full Service ACS challenge

Questions?

USPS Product Information MTAC Jim Cochrane Vice President, Product Information February 17, 2011.

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Transcript of USPS Product Information MTAC Jim Cochrane Vice President, Product Information February 17, 2011.