hutchinson csmpc, ks area mail processing (amp) …...2011/12/01  · microsoft powerpoint -...

Hutchinson CSMPC, KSArea Mail Processing (AMP)

Public Meeting

December 1, 2011

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Two Topics

Radical Network

Realignment

Area Mail Processing

Study

Mail Volume Shifting to a Less Profitable Mix

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Volume in Billions of Pieces

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NETWORK CAPACITY

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NETWORK CAPACITY

Potential Decrease in Processing FacilitiesThrough 2013

As of 8/31/2011

Pro

cess

ing

Faci

litie

s

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Mail Processing Facility Footprint

487 Facilities Today

Current Mail Processing Sites7

Mail Processing Facility Footprint

Studying 252 Facilities for Potential Consolidation

Currently Under Study

Announced Sept. 15thGaining Sites 8

Mail Processing Facility Footprint

Potential Network

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Mail Processing Redesign

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FUTURE NETWORK Support 2-3 day Service Standards Revised Entry Times Reduced Equipment Reduced Footprint

BENEFITS Eliminate Excess Capacity More Efficient Transportation Network Fully Utilized Workforces Up to $3 Billion Cost Reduction

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Driving Efficiency

CHANGES Planning for new mail processing footprint

and transport pattern Transitioning to 2-3 day service standard

OUR APPROACH Ongoing communication and collaborative

solutions

Our Customers

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Our Employees

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559,000

151,000

35,000

Total Career Employees

Total Mail Processing Employees

Fewer Mail Processing Positions

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Topic

Area Mail Processing

Study

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DISTANCE BETWEEN FACILITIES – 50 miles

Hutchinson to Wichita AMP

BUSINESS CASE*

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Mail Processing Workhour Savings: $549,627

Mail Processing Management Savings: $2,639

Maintenance Savings: $79,853

Transportation Savings: $55,241

Other $433

Proposed Annual Savings: $687,792

*Preliminary results subject to change

Hutchinson to Wichita AMP

EMPLOYEE IMPACTS*

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Net craft impacts: -8

Net management impacts: 1

*Preliminary results subject to change

All bargaining employee reassignments will be made in accordance with the respective collective bargaining agreements.

Hutchinson to Wichita AMP

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CUSTOMER & DELIVERY SERVICES

Supports a 2-3 day service standard for First-Class Mail Retail and other services Business mail acceptance Collection mail Delivery of mail Local postmark

Hutchinson to Wichita AMP

NEXT STEPS

Complete Area and HQ review

Review Public Comments

Continue Network Optimization studies

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Hutchinson to Wichita AMP

Mail additional comments to:

Manager, Consumer & Industry ContactCentral Plains DistrictPO Box 199504Omaha NE 68119-9504

Must be postmarked by December 16, 2011

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Hutchinson to Wichita AMP