optimizing parcel preparation & entry for seamless acceptance mtac work group # 109 industry...

Optimizing Parcel Optimizing Parcel Preparation & Entry Preparation & Entry

for Seamless for Seamless AcceptanceAcceptance

MTAC Work Group # 109MTAC Work Group # 109Industry Leaders: Chris Finley & Industry Leaders: Chris Finley &

Wendy SmithWendy Smith

USPS Leader: Jim CochraneUSPS Leader: Jim Cochrane

Optimizing Parcel Optimizing Parcel Preparation & Entry for Preparation & Entry for Seamless AcceptanceSeamless Acceptance

This workgroup is charged with This workgroup is charged with identifyingidentifying::

Approaches to optimize parcel Approaches to optimize parcel preparation and entry preparation and entry and and understand total combined costs to understand total combined costs to both the industry and the Postal both the industry and the Postal Service in order to minimize end-to-Service in order to minimize end-to-end costsend costs and fully leverage and fully leverage available workshare discounts as the available workshare discounts as the processing and distribution network processing and distribution network is rationalized.is rationalized.


February Face to Face Meeting February Face to Face Meeting Industry presented one cost analysis Industry presented one cost analysis

scenario on the areas of impact associated scenario on the areas of impact associated with an expansion to RDCs.with an expansion to RDCs.

There is greater sensitivity to cost than There is greater sensitivity to cost than service (as long as service isn’t service (as long as service isn’t degradated).degradated).

• Time in transit affected by need to create Time in transit affected by need to create density.density.

• Sensitivity to palletizing and added stops.Sensitivity to palletizing and added stops.• Reviewed commingling and co-mailing Reviewed commingling and co-mailing

opportunities.opportunities.


February Face to Face Meeting February Face to Face Meeting Postal Service to research feasibility of parcel Postal Service to research feasibility of parcel

preparation and induction methods that are not preparation and induction methods that are not tied specifically to the RDC locations and could tied specifically to the RDC locations and could reduce overall costs: reduce overall costs:

– Continued acceptance of bed loadsContinued acceptance of bed loads– Drop & Picks for <3/4 full trucksDrop & Picks for <3/4 full trucks– Supplying / returning gaylords to mailers Supplying / returning gaylords to mailers

for re-usefor re-use– Subgroup formed to examine palletization Subgroup formed to examine palletization

and induction rules.and induction rules.– De-averaging Zones 1 & 2 pricesDe-averaging Zones 1 & 2 prices


February Face to Face Meeting February Face to Face Meeting eVSeVS

o Implementation Issues for August 1 Implementation Issues for August 1 ImplementationImplementation– LeadershipLeadership– ResourcesResources– Application and testing processApplication and testing process– Testing criteriaTesting criteria– Shared AccountabilityShared Accountability

o Test smaller barcodes for Standard Parcels to Test smaller barcodes for Standard Parcels to expand opportunity for mailers to commingle expand opportunity for mailers to commingle Standard and Parcel Select packages.Standard and Parcel Select packages.

o eVS is also being covered by MTAC WG 107 as eVS is also being covered by MTAC WG 107 as it relates to integration with FAST.it relates to integration with FAST.


Next Steps:Next Steps:• The network realignment framework The network realignment framework

continues to be defined; WG completion is set continues to be defined; WG completion is set for January ’08.for January ’08.

• Parcel preparation suggestions will be Parcel preparation suggestions will be reviewed by USPS & communicated back to reviewed by USPS & communicated back to the Industry.the Industry.

• Chart which package categories can be Chart which package categories can be inducted at which facilities and with what inducted at which facilities and with what minimums.minimums.

• Subgroup to review palletization and Subgroup to review palletization and induction rules to kick off.induction rules to kick off.

• Plan on monthly conference calls to monitor Plan on monthly conference calls to monitor progress of all Work Group activities.progress of all Work Group activities.

optimizing parcel preparation & entry for seamless acceptance mtac work group # 109 industry...

Documents