FLAT MAIL PREPARATION

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• FLAT MAIL PREPARATION
• OPTIMIZATION
• Issue 81
• MTAC
• August 6, 2003

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NEW WORK GROUP INITIATIVE

• 3-Digit Package Scheme for Flats
• AFSM 100-compatible Periodicals, Standard Mail,
  and BPM flats
• Presorted, automation and co-packaged automation
  and presorted pieces
• Pieces in packages would be rated as 3-digit
• Possible OEL SCH 3-DIGIT 123
• Customer preparation aligned with postal
  automated handling

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NEW WORK GROUP INITIATIVE
3-Digit Package Scheme for Flats
Before
After
3D 110
AFSM 100 INC PRIMARY SORT PLAN
3D 111
SCH 3D 110
3D 113
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Co-Palletization of Mixed Classes

• Provide opportunities to consolidate flats mail
  streams where it makes sense for efficiency
• Build on opportunities of Periodicals
  co-palletization experiment
• Reduce the number of containers prepared by
  customers
• Move mail from sacks to pallets
• Match preparation with postal processing
• Eliminate residual mail
• Move mail closer to destination

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Co-Palletization Pool

• Classes
• Periodicals (NEWS???)
• Standard Mail
• Bound Printed Matter
• Package levels
• Carrier-Route
• FIRM (Periodicals Only)
• 5-Digit
• 3-Digit
• Drop Ship
• DDU
• DSCF

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Co-Palletization Levels
CR
FIRM
5D
3D
PER
STD
BPM
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Co-Palletization Parameters

• Pallets are treated as Standard Mail, but
  Periodicals CR packages will still receive
  preferential treatment in delivery
• Finest level not required
• Independently presorted pallet may not be
  degraded through co-palletization
• Packages cannot be co-palletized on 3D, and SCF
  pallets if quantity exists to prepare independent
  5D pallet

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Co-Palletization Customer Benefits

• Decreased use of sacks by moving mail onto
  pallets
• Improved Palletization
• Move Standard and BPM from BMC pallets to finer
  level pallets (e.g., SCF)
• Increased pallet discounts for Periodicals
  portion
• Increased drop ship penetration/discounts
• Improved delivery consistency
• Decreased bundle breakage with decreased use of
  sacks
• Reduced attributable costs for the benefit of all
  customers in the respective classes

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Co-Palletization Implementation

• Application Process
• Establish Documentation Requirements
• Acceptance and Verification
• Pallet Labels for Mixed Classes
• Recognition by USPS facilities
• Software Support

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Co-Packaging of Standard and Periodicals Flats

• Periodicals, Standard Mail, and Bound Printed
  Matter flat-size pieces
• Combined in CR, 5D, 3D, ADC, and Mixed-ADC
  packages (no FIRM)
• Packages must contain pieces all within the same
  automation category (AFSM 100 vs. FSM 1000)
• Packages would be palletized at a minimum on 5D,
  3D, and SCF pallets
• Package minimum of at least 10 pieces per package

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Co-Packaging Customer Benefits

• Increased presort discounts by moving pieces to
  more finely presorted packages
• Decreased use of sacks
• Fewer packages to prepare
• Improved palletization
• Increased drop ship penetration/discounts
• Decreased bundle breakage with decreased use of
  sacks
• Reduced attributable costs for the benefit of all
  customers in the respective classes

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APPS - Mail Preparation

• Supply mailers with barcoded presort labels
• Width modulated barcode on 5 pressure-sensitive
  stickers
• Federal Register notice expected this Fall
• Maximize automated processing of bundles with OEL
  format gt C C C CAR RT SORT C011
• Improve package integrity
• Minimize bundle breakage
• Develop standards for shrinkwrap and banding
• Locate seamed edges beyond address block
• Use clear plastic
• Position strapping away from address