session agenda

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Seamless Acceptance:The Future Appears Bright

Bob RosserDirector, Postal Affairs

September 18, 2013

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Session Agenda

Seamless Acceptance overview

Requirements to make Seamless Acceptance successful

Our company’s experience so far

Lessons learned by IWCO Direct

Seamless: anticipated benefits for USPS and mailers

Q & A

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Seamless Acceptance Definition

Seamless Environment:

Automated census and sampling data collection of actual mail data as compared to planned mailing claimed in mailer’s eDoc. This standardized process is used on all mailings to verify accurate postage payment and mailing preparation quality over calendar month. Acceptable quality minimum thresholds must be met over aggregate volume mailed for month.

Current Environment:

Manual sampling, MERLIN, manual piece count, data collection by on-site DMU or BMEU verification of mail as submitted via eDoc based on Performance Based Verification. Numerous mailing methods and postage payment systems have resulted in more than 150 different SOPs for USPS acceptance personnel.

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Mailer’s Concerns on Seamless

Current Environment:

USPS DMU/BMEU clerk is last quality assurance step

Clerk will reject poor quality mailing to fix and re-submit without penalty

Future Seamless Environment:

Mailers must be proactive and vigilant with QA process to control risks and avoid unbudgeted financial surprises

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Seamless Acceptance Requires:

Solution Components needed for Seamless Acceptance:

1. Unique IMb on every piece – including Non-Auto

2. Unique IMtb on handling unit labels (trays/sacks)

3. Unique IMcb on container placards (pallets)

4. Standardized electronic documentation including nesting information for above

5. Handheld bar code scanners for data collection

6. Mail Processing Equipment (MPE) data streams available from USPS production

7. Hardware to house vast amounts of data

8. Software to analyze, compare and connect data from many disparate systems

9. Standardized processes for implementation for all parties

10. Reliable networks and data transmission capabilities

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Sampling Verifications for Impact Adjustment

Sampling verifications compare FS-IMD piece sample to eDoc:

Postage Affixed: postage affixed on piece from sample is different than postage affixed of piece in eDoc

Piece Weight Error: piece weight retrieved from sample is greater than piece weight claimed in eDoc

Sample weight crosses into new rate category

Sample weight exceeds percent threshold set for pound postage

Nesting/Sortation Error: piece is nested in sampled tray that has sortation level that is different than sortation level of eDoc tray

Processing Category: processing category retrieved from sample scan is different than processing category claimed in eDoc

Content: sample identifies content error

Such as mailpiece is First-Class Mail and claimed as Standard Mail in eDoc

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Mail Processing Equipment (MPE) Scans

Actual scan data of unique IMb on mailpieces is compared to planned IMb Full-Service mailing data in eDoc

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Planned Full-Service Thresholds

Take effect July 2014

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Planned Seamless Thresholds

Mail quality targets for allowable mailer “real world” production issues

Measured over calendar month

Subject to change as more mailers and mailing environments begin parallel testing

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Seamless Error Summary Report

Data from manual sampling by DMU/BMEU clerk via FS-IMD handheld scanner (e.g. 1-3-30) and MPE scans compared to all data submitted in eDoc

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Seamless Error Reports by Job ID

Report enables drill down into details of errorsAllow mailer to determine root cause for systemic errors

Can be very time consuming

Undocumented pieces are only errors not available by Job ID as no match could be found by USPS against mailer submitted eDoc file

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Drill Down Example – Appointment Error

Above is description of errors reported on one error type for single job

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Drill Down – DPV Detail Example

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Current Status of Seamless Development

Seamless is still evolving!

Validating data / report information

Known bugs

Capabilities planned for specific quarterly software releases

Software has been developed based on letter environment

Most automated mailstream

Flats environment will become more robust

Bundle scanning being rolled-out – more scan data becoming available

Mailers in pilot test are providing feedback to USPS

Debug reports

Validate data accuracy

Improve reporting tools needed by mailers to troubleshoot quality issues

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Seamless Acceptance Deployment

Phase 2Streamline

BMEU entry

Phase 1Streamline DMUs and

undocumented invoicing

Phase 3Sampling at induction

and mail quality invoicing process

mid-NovemberFebruary 2014

Summer 2014

What doesPhase 1 mean for

me?

Many existing SPPS agreements require additional time and effort for mailers and USPS employees

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Lessons Learned (So Far)

Manual data entry issues

Identify mailing statements so it is easy to discern client or type of mailing method causing reported error condition

Undocumented pieces can legitimately happen

IMb assignment process

Single-piece

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Lessons Learned (So Far)

Invoices known bugs for eInduction to be fixed in October

Validate move update compliance

Seamless reporting of read rates may vary slightly from IMb Tracing

Adjusted read rates where automated processing is not expected

Issues using MID on undocumented piece to identify mailer

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IWCO Direct Insights on Seamless Benefits

Potential for USPS:

Revenue protection

SOX compliance

Easier cross training

More mailer innovation with standardized automated verification

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Advice for Getting Ready

Looking at your Full-Service IMb scorecard

You have access from your PostalOne! (BCG) log on if you are mailing Full-Service

Look at attributable causes for big error quantities

Address systemic errors in your process, software, etc.

Be prepared – research is painful

We recommend cross functional team from Operations and DP

Divide and conquer

Get familiar with FS-IMD 1-3-30 scan data sampling methods

USPS clerks use now for FS IMb verification

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Seamless is NOT Rocket Science!

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But You Need to Think Like Spock

Think logically for every cause and effect in your mailing process that can affect mailing quality and data accuracy!

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Summary

Seamless physical requirements center on 100% IMb Full-Service automation rate eligibility

Seamless data requirements center on 100% IMb Full-Service automation rate eligibility requirements in conjunction with new eInduction requirements

Error thresholds are realistic and based on monthly volume

Published on PostalOne!

More mailer participants will help identify what’s needed to shore up gaps in reports, validate thresholds, and improve system performance

Remember Seamless is currently an optional program

Seamless is RIGHT thing to do but it will take time and more mailer participation to get it RIGHT!

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Q & A

Contact information for Bob Rosser:

Email: bob.rosser@iwco.com

Phone: 562-382-4725