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Product Information Southern Area Focus Group

Product Information Southern Area Focus Group. July 22 , 2014. Robert Cintron Vice President Product Information. Agenda. Product Visibility Service Performance Mail Not in Measurement Address Management Surface Visibility Bundle Visibility Package Tracking . 2. Southern Area

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Product Information Southern Area Focus Group

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  1. Product InformationSouthern Area Focus Group July 22, 2014 Robert Cintron Vice PresidentProduct Information

  2. Agenda Product Visibility Service Performance Mail Not in Measurement Address Management Surface Visibility Bundle Visibility Package Tracking 2

  3. Southern Area Scanning Performance Q3 Southern Area: # 1 at 96.51% (National Score: 96.08%) • Arkansas: # 1 at 97.57% • Alabama: # 7 at 97.15% • Rio Grande: # 8 at 97.12% • Suncoast: # 9 at 96.99% • Hot Springs AR (719): # 4 in the Nation at 98.80% 3

  4. Product Visibility 4

  5. First to Last Mile: Technology is providing simplicity, convenience, accessibility, and affordability 5

  6. Our Actions to Grow the Business Innovate Across Business Platforms Digital Last Mile First Mile Physical Network • Expand delivery solutions • Capitalize on the expansion of E-commerce and technology • Optimize route flexibility and productivity • Boost the demand for mail and packages • Expand and simplify induction points • Integrate emerging digital, big data, and consumer trends to grow • Leverage USPS’s brand, trust, and reputation to drive profit • Leverage market-leading physical assets • Incorporate evolving logistics solutions • Develop a structure that fosters agility and innovation 6

  7. Building a World-class Package Platform Be Disruptive, by Design Build a network to meet delivery expectations while handling growth. Integrated Package Network Plan Next Generation Equipment Achieve100% Package Visibility 03 7

  8. Disruptive, by Design 8” Floppy Disk Drive (1MB) Mainframe Land Line PC Cell Phone Burn CD (700MB) 01 USB Flash Drive (10GB = 10,000MB) Tablet Smart Device 8

  9. Mail as the Hook Mail asthe Hook Shop Online, Buy In-Store Spike in Online andIn-Store Activity “Oh, I’ve got to go to the website” Order Online Mobile Site, Smart Device Fulfillment The Hook Exchanges& Returns Inspirational Reminder Customer Experience Drives Loyalty Response Rates Targeted,PersonalizedMail Piece 9

  10. The Mailbox is the Hub If the Mail Piece is the Hook… The Mailboxis the Hub 10

  11. the mail moment College/University Acceptance Letter

  12. Next Generation Equipment PASS Real-TimeScanners Mobile DeliveryDevice (Replaces Real-Time Scanners) DeliverySortation System C007 12,500 4,167 210,608 225,000 New Tracking System RingScanners New ParcelSorters Future Vehicles 12

  13. Full Service Visibility • Data from 2013-10-05 to 2014-07-04 Full Service Customers Only 195,407,000 Electronic Info for Containers and Trays Received 6,138,000 Container Scans Entered at USPS: 5,139,000 Enroute Arrive: 743,000 Enroute Depart: 256,000 90 Billion 152,629,000 (as of July 1, 2014) Piece level automation scans Tray Scans Enroute: 131,024,000 Enroute Arrive: 10,853,000 Enroute Depart: 10,751,000 All IMb™ Users

  14. Full Service Mail Trend • In June 2014, 76% of Commercial mail eligible for Full-Service • was Full-Service Note: Below graph depicts FS Adoption % as an avg. for the quarter; Slide title depicts the % for the latest month.

  15. Service Performance

  16. Presort First-Class Mail® Score Trend Southern Area

  17. Presort First-Class Mail® by Service Variance National All Q3 FCM scores would be above 98.68% (prior to last mile), if pieces that failed by 1 day passed 17 Note: Volumes may not sum to 100% due to rounding.

  18. Standard Mail® (Letters) Score Trend Southern Area

  19. Standard Mail® (Letters) by Service Variance National Q3 DSCF and DNDC Standard Letters scores would be above 98.33% (prior to last mile), if pieces that failed by 1 day passed 19 Note: Volumes may not sum to 100% due to rounding.

  20. Standard Mail® (Flats)Score Trend Southern Area Note: Total scores include additional entry types not shown above.

  21. Standard Mail® (Flats) by Service Variance National Q3 DSCF and DNDC Standard Flats scores would be above 97.80% (prior to last mile), if pieces that failed by 1 day passed Note: Volumes may not sum to 100% due to rounding. Note: DDU mail pieces were not included in the RPW Volume calculation. 21

  22. Periodicals (Flats) Score Trend Southern Area Note: Total scores include additional entry types not shown above.

  23. Periodicals (Flats) by Service Variance National Q3 DSCF and DADC Periodicals scores would be above 98.45% (prior to last mile), if pieces that failed by 1 day passed Note: Volumes may not sum to 100% due to rounding. Note: RPW Volumes were estimated using basic entry type proportions obtained from pricing. DNDC and DDU Volumes were not included in the chart. 23

  24. Mail Not In Measurement 24

  25. Mail Not In MeasurementExclusion Reason Overview 1 2 3 Lack of, or inconsistent mail visibility data Discrepancy in eDoc Preparation: eDoc are evaluated against business rules and operational data to determine if mail should be excluded. Discrepancy in Mail Preparation: Operational data points collected during mail acceptance, induction, and/or processing are evaluated to determine if mail should be excluded. • No Container Unload Scan or FAST Appointment (Start-the-Clock) • No Piece Scan (Stop-the-Clock) • Stop scan observed before Start-the-Clock (Logical mailings) • Business rules (e.g. Full Service compliance check for unique barcode) • USPS operational data (e.g. FAST Appointments, SV Unload Scans) • Acceptance: Manual or MERLIN PBV Verification Failures • Induction: Irregularities captured in FAST or SV • Processing: Change of Address (COA), Undeliverable as Addressed (UAA), Invalid Delivery Point (DPV). The measurement system detects the above scenarios and automatically excludes the appropriate mail from measurement. Three main categories of reasons why Full Service mail can be excluded from service measurement:

  26. Periodicals (Flats) National Volume Not In Measurement • In June 2014, 34% of Commercial Periodicals Flats • were not in service measurement June 2014

  27. Mail Not In MeasurementExclusion Reason Breakdown In June 2014, 46% of Full Service Periodicals Flats entered in the Southern Area were excluded from service measurement

  28. Standard Mail® (Letters) National Volume Not In Measurement • In June 2014, 26% of Commercial Standard Mail Letters • were not in service measurement June 2014

  29. Mail Not In MeasurementExclusion Reason Breakdown In June 2014, 36% of Full Service Standard Mail Letters entered in the Southern Area were excluded from service measurement

  30. Standard Mail® (Flats) National Volume Not In Measurement • In June 2014, 19% of Commercial Standard Mail Flats • were notin service measurement June 2014

  31. Mail Not In MeasurementExclusion Reason Breakdown In June 2014, 50% of Full Service Standard Mail Flats entered in the Southern Area were excluded from service measurement

  32. Address Management 32

  33. Address Management August 2014 • Begin accepting non-domestic military address COA records • Will be included in NCOALink® product January 25, 2015 • Change Service Requested, Option 2, available for Standard Letters/Flats/Bound Printed Matter • Provides forwarding when possible, otherwise mailpiece discarded • Appropriate forwarding/ACS fee applied 33

  34. Address Management • All ACS fulfillments delivered through Electronic Product Fulfillment (EPF) will be expanded and improved • CD/DVD will no longer be an option for fulfillment of Address Management products after September, 2014 • EPF will be the only supported fulfillment method • Contact AMS Support group at 800-31-5747 or AMSSupport.ncsc@usps.gov for assistance 34

  35. Subscribe Now! Be sure to subscribe to the RSS Feed! https://ribbs.usps.gov/index.cfm?page=newACSformat 35

  36. Surface Visibility 36

  37. SV 2014 Expansion SV 2014 Expansion Summary • January 2014, Surface Visibility expanded to ten new sites as part of an overall plan to increase the amount of Drop Shipment volume accepted using the SV application to support eInduction • All expansion sites have full SV functionality • Project is complete 37

  38. SV 2014 Expansion Future: SV Lite Improved IMDAS 38

  39. Surface Visibility Benefits SV is an integral data collection mechanism for numerous mission critical functions • Provides real-time feedback to prevent mis-shipped containers • Collects nesting data for packages • Data is provisioned to Full Service mailers via PostalOne! • Enables USPS reporting, diagnostics and inventory • Tracks the movement of all containers across the USPS • network 39

  40. Bundle Visibility 40

  41. Bundle Visibility • Progress on bundle visibility • Implemented Nesting Logic • Upgraded Scanners with ability to scan Trailer barcodes (99T) • July Pilot for exception scanning (Inventory Concept) generating new visibility events for Flats (bundles) • Arrival-At-Unit • Out for Delivery 41

  42. Bundle Breakage Analysis • To determine the service impact of broken bundles: • The top piece in a bundle has no APPS/APBS scan • But, scans on other pieces in that bundle • In June, 8.5% of the bundles were determined to be broken • ~11% for Standard Mail • ~4% for Periodicals • For Standard Mail, broken bundles had a 1.9% lower service score than unbroken bundles • For Periodicals, broken bundles had a 9.7% lower service score than unbroken bundles Based on analysis of June 2014 IMb scans and eDoc nesting data

  43. Package Tracking 43

  44. 100% Package Visibility is increasing its metrics: By January 2015, Commercial Mailers must provide 11 Digit DPV and/or Address Data 99% 98% 97% January 2015 Target Schemeless Dynamic Routing Current Metrics 95% 89.32% 89.79% 86.77% Barcoding (April 2014) Shipping Services File 1.6 or Higher 11 Digit DPV, Address and/or Zip+4 Data 11 Digit DPV and/or Address Data 44 Week ending 7/4/14 44

  45. Updates to Tracking Language

  46. USPS Text Tracking™ • USPS • SMS • Tracking™ • Launched March 27, 2014 • Over 3 million messages a month • Almost a million unique mobile numbers • Two ways to track on the go! • Text your tracking number to 28777 (2USPS) • Sign up online on USPS Tracking website

  47. PTR Release 2.0 Delivery Location Attributes • Captures delivery location for packages • Event Code will remain ‘Delivered’, but carrier will select delivery location attribute(s) ‘In/At Mailbox’ ‘Left with Individual’ 47

  48. Growth in Package Tracking Events 4.1 Billion increase in events FY14 over FY13 NOW AVERAGING 9.3 SCANS PER PIECE 48

  49. What do we need? Mailers John Doe 123 Main St. Anywhere VA John Smith 345 Digitize Way Last Mile MD 20842 Create seamless, positive experiences for our mutual customers • Verify: Entry Point and Discount • Scheduled Ship Date Barcode quality and uniqueness Align electronic data to match where postage is applied and packages deposited • Prior to tendering packages: • Submit Shipping Services File • Shipping Partner Events Submit eDocwhen letters/flats are tendered Upgrade to Shipping Services File version 1.7 or 2.0 and include return address 49

  50. What do we need? USPS Create seamless, positive experiences for our mutual customers Scan, Scan, Scan • MTEL Placards need unique • barcodes on every outgoing • container Nesting – Placard Assign Closed Load Create firms sheets for Firm & Caller Delivery Trailer Arrive / Depart All mail on Automation

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