usps product information mtac jim cochrane vice president, product information february 17, 2011
TRANSCRIPT
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
Service Performance Measurement
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
Service Performance Measurement
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
Service Performance Measurement
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
Intelligent Mail Container Barcode
Proposed IMcb Placard
Destination Facility 5-Digit ZIP
Human Readable
SCF SAN FRANCISCO CA940
STD FLTS SCF BC/NBCXYZ CORPORATIONINTERNATIONAL FALLS, MN
(Mailer Area)
SCF SAN FRANCISCO CA940
STD FLTS SCF BC/NBCXYZ CORPORATIONINTERNATIONAL FALLS, MN
(Mailer Area)
Intelligent Mail Container Barcode
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
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?