improving the drop shipment process mtac workgroup 87 update
DESCRIPTION
Improving the Drop Shipment Process MTAC Workgroup 87 Update. Washington, D.C. August 2, 2007. Agenda. Mailer Rating Pilot National Deployment Next Steps. Mailer Rating Pilot Status. Executing the Mailer Rating Pilot (June 22 – August 17) at the following facilities: - PowerPoint PPT PresentationTRANSCRIPT
Improving the Drop Shipment ProcessMTAC Workgroup 87
Update
Washington, D.C.August 2, 2007
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MTAC #87MTAC #87
Agenda
• Mailer Rating Pilot
• National Deployment
• Next Steps
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MTAC #87MTAC #87
Mailer Rating Pilot Status
• Executing the Mailer Rating Pilot (June 22 – August 17) at the following facilities:
• CEDAR RAPIDS Plant in Cedar Rapids, IA
• DES MOINES BMC in Des Moines, IA
• INDUSTRY Plant in Industry, CA
• QUEENS Plant in Flushing, NY
• NEW YORK Plant in New York, NY
• Weekly teleconferences are being held with the mailers, FAST coordinators, and Surface Visibility coordinators at pilot facilities
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MTAC #87MTAC #87
Top Four Areas of Improvement
1. No Show Appointments in FAST– At the pilot facilities from 6/16 to 7/13, 12.6% of all appointments resulted in a no show– The mailer with the highest number of No Show appointments at a given pilot facility had 11 out of the 89 total No
Show appointments for that facility.– Nationally from 6/16 to 7/13, 22.1% of all appointments resulted in a no show
2. Unscheduled Arrivals with valid Scheduler IDs in FAST– At the pilot facilities from 6/16 to 7/13, 6.1% of all arrivals were unscheduled– The mailer with the highest number of Unscheduled Arrivals at a given pilot facility had 12 out of the 112 total
Unscheduled Arrivals for that facility.– Nationally from 6/16 to 7/13, 2.9% of all arrivals were unscheduled
3. Cancelled Appointments in FAST– At the pilot facilities from 6/16 to 7/13, 4.7% of all appointments were cancelled– The mailer with the highest number of Canceled appointments at a given pilot facility had 16 out of the 61 total
Canceled appointments for that facility.– Nationally from 6/16 to 7/13, 4.6% of all appointments were cancelled
4. Recurring Appointments in FAST– At the pilot facilities from 6/16 to 7/13, 6.2% of all recurring appointments were No Shows– The mailer with the highest number of late arrivals for recurring appointments at a given pilot facility had 23 out of the
48 total late arrivals for recurring appointments for that facility.– Nationally from 6/16 to 7/13 recurring appointments represented 22.1% of all No Shows
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MTAC #87MTAC #87
Mailer Rating Pilot - Mailer Questions/Issues
Questions/Issues raised by mailers have included:
• Early arrivals and impact on rating
• Multi-stop appointments and impact on rating when USPS delays occur
• USPS requirement for appointment IDs on PS Form 8125. Drivers will need to contact dispatch/scheduler to obtain an Appointment ID. If an Appointment ID is unobtainable, then the Scheduler ID must be provided
• Manual entry of appointment number on PS Form 8125 is not considered as altering the PS Form 8125
• Acquiring return receipt of signed PS Form 8125. If mailers provide 2 copies of PS Form 8125, USPS will return a signed copy to the driver
• Discrepancy between FAST Closeout Data vs. the signed PS Form 8125
Please contact facility to address the issue within 120 hours of appointment date/time. If no response is returned from the facility within 1 business day, please contact Prat Shah from Operations
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MTAC #87MTAC #87
Surface Visibility Scan Utilization
Average Pilot Facility SV Drop Shipment Utilization
58%
1%
36%
60%
1%
38%
33%
62%
1.3%
26%
71%
3%
30%
67%
3%
2%
54%
44%
76%
23%
1%0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Not Completed by SV Completed by SV Partially Completed bySV
Interaction with Surface Visibility
Per
cen
tag
e o
f A
pp
oin
tmen
ts
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MTAC #87MTAC #87
• Current Functionality
Four or less slots will be allocated to tiers automatically
– 1 slot per hour (Tier 4)
– 2 slots per hour (Tiers 4, 3)
– 3 slots per hour (Tiers 4, 3, 2)
– 4 slots per hour (Tier 4, 3, 2, 1)
Five or more slots will be distributed based on tier percentage
Partial Slots are not allocated. Tier 4 receives all slots that are not allocated to a specific tier
Tier Percentage and Slot Allocation – Current Functionality
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MTAC #87MTAC #87
Tier Percentage and Slot Allocation - Proposed Functionality
• Proposed Functionality
Slot allocation will always award the first slot to tier 4
Remaining slots distributed based on tier percentage and the “trickle down” effect starting with Tier 1
Additionally, if the distribution equals 0.6 of a full slot or greater, a full slot will be allocated to tiers 1, 2 and 3
The remaining slots will be assigned to tier 4 if not utilized in other tiers
Partial Slots will carry over to the next available tier:
– If distribution < 0.6
– If a fractional slots remain after allocation (e.g. 0.2 slots will be carried to tier 2 if 1.2 slots are allocated to a tier 1 based on tier percentage)
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MTAC #87MTAC #87
ANY FACILITY (ABC)
Example - Slot Allocation Conversion
Percentage of Total Appointments Scheduled for
Each Tier
Number of Pallet Slots per Hour
Current Functionality - 4 Slots At 8 PM (See Below)
Proposed Functionality – 4 Slots At 8 PM (See Below)
TIER 1 30% 1 slot 1 slot
TIER 2 15% 1 slot 0 slot
TIER 3 15% 1 slot 1 slot
TIER 4 40% 1 slot 2 slots
Current functionality with 4 Pallet Appointments at 8 PM
Four or less tiers are distributed without regard to tier percentages
Tier 1: 1 slot allocated
Tier 2: 1 slot allocated
Tier 3: 1 slot allocated
Tier 4: 1 slot allocated
Proposed functionality with 4 Pallet Appointments at 8 PM
First Slot awarded to Tier 4 with 3 Slots Calculated by Tier Percentage
Tier 1: 3 X .30 = .90 (1 slot rounded up)
Tier 2: 3 X .15 = .45 (0 slot rounded down)
Tier 3: (3 X .15)+.45 = .90 (1 slot rounded up)
Tier 4: (3 X .40) = 1.20 (1 slot awarded + 1 slot remaining = 2 slots)
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MTAC #87MTAC #87
ANY FACILITY (ABC)
Example - Slot Allocation Conversion
Percentage of Total Appointments Scheduled for
Each Tier
Number of Pallet Slots per Hour
Current Functionality - 6 Slots At 8 PM (See Below)
Proposed Functionality – 6 Slots At 8 PM (See Below)
TIER 1 30% 1 slot 1 slot
TIER 2 15% 0 slot 1 slot
TIER 3 15% 0 slot 1 slot
TIER 4 40% 5 slots 3 slots
Current functionality with 6 Pallet Appointments at 8 PM
Tier 1: 6 X .30 = 1.8 (1 slot rounded down)
Tier 2: 6 X .15 = 0.9 (0 slot rounded down)
Tier 3: 6 X .15 = 0.9 (0 slot rounded down)
Tier 4: 6 X .40 = 2.4 (5 slots remaining)
Proposed functionality with 6 Pallet Appointments at 8 PM
First Slot awarded to Tier 4 with 5 Slots Calculated by Tier Percentage
Tier 1: 5 X .30 = 1.5 (1 slot rounded down)
Tier 2: (5 X .15)+.50 = 1.25 (1 slot rounded down)
Tier 3: (5 X .15)+.25 = 1.00 (1 slot rounded down)
Tier 4: (5 X .40) = 2.00 (1 slot awarded + 2 slots remaining = 3 slots)
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MTAC #87MTAC #87
National Deployment
• Mailer Rating National Deployment will be based on a phased approach by area
Deployment will include FAST SV enabled sites with 80% SV drop ship compliance or better
Deployment Approach based on mailer/facility performance by area
Deployment will span 3 months beginning August 18 (immediately following pilot)
• Mailer Rating National Deployment will continue communicating to mailers and facilities
• Deployment team will continue teleconferences with mailers and facilities to help familiarize rating rules and review weekly metrics
• Mailers should look at FAST rating reports to determine if operational changes need to be made to improve their rating score for each drop shipment facility
• Mailer Rating National Deployment Plan
Phase I: 1 Area; Western
Phase II: 3 Areas; Great Lakes, Southwest, Eastern
Phase III: 5 Areas; NY Metro, Capital Metro, Pacific, Northeast, Southeast
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MTAC #87MTAC #87
National Deployment- Fall Mailing Season
• Mailers expressed concern about national deployment during fall mailing season
• Mailers agreed based on:
Review of pilot data for accuracy
SV sites at 80% compliance or higher only
Willingness to closely monitor facilities
Ability to "turn-off" a facility if problematic
Agreement to "take action" if impacting the fall mailing season
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MTAC #87MTAC #87
Mailer Rating Timeline
Mailer Rating Pilot
July OctAug SeptJuneMay Nov
Communication
Preparation
Execution6/22/2007
National Deployment*
Phase I - Western
Phase II - Great Lakes, Southwest, Eastern
Phase III - NY Metro, Capital Metro, Pacific, Northeast, Southeast
Dec
08/18/2007
09/15/2007
10/20/2007
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MTAC #87MTAC #87
Next Steps
• Complete Mailer Rating Pilot
• Continue communicating National Deployment schedule to mailers and facilities
• Begin National Deployment Phase I
• Review National Deployment status at next MTAC 87 meeting