Monthly Archive for November, 2009

MTAC Update on the New Full-Service IMb Verification Policy

Published on November 23, 2009 in Intelligent Mail. 0 Comments

Overview Provided by David Robinson with PB Postal Relations

At MTAC, the USPS announced the Full-Service verification policies that take effect on November 29, 2009.  The new verification procedure for IMb Full-Service mailings requires acceptance clerks to scan three container labels with a handheld scanner, then scan 5 handling unit labels (trays/sacks/bundles), and 30 mail pieces (10 pieces each from 3 separate trays/bundles).

 

Types of errors which could result in loss of IMb Full-Service discount include: More than one container barcode error in the sample (e.g., missing placard, or no IMb on the placard); more than one container IM barcode in the sample that contains an invalid Mailer ID Code (MID); more than one unreadable container barcode in the sample; other container barcode issues; duplicate IM barcode numbers (non-unique Full-Service IMb); missing, invalid, or unreadable handling unit (tray, sack, bundle) labels/barcodes; invalid MIDs in the handling unit IM barcode; incorrect Service Type ID (STID) or MID codes in the mailpiece IMb; missing/invalid/unreadable IM barcodes on the mailpiece, and other errors.

 

Mailers will still have the option of taking back the mail and re-working it to avoid losing the Full-Service discount, but that option is only viable for errors such as missing container placards, tray labels, etc. Problems at the piece level are nearly impossible to fix, and even if mailers want to qualify a mailing that loses Full-Service discount for the Basic level discount, there is no way to change codes in the IMb on the pieces to reflect Basic requirements versus the Full-Service requirements. Since the STID ties to class of mail and services requested in many cases, this leads to a host of issues which the USPS itself acknowledges it does not yet have a solution for.

 

If a mailing loses its Full-Service discount qualification, it also loses the services associated with Full-Service, such as the address correction services.

USPS® Initiatives Add Some Green to the Red, White, and Blue

Published on November 19, 2009 in Innovation. 0 Comments

For an organization that depends largely upon pushing paper, the U.S. Postal Service is the “unlikely” lead among environmentally responsible government agencies. Since launching its eco-friendly initiatives on Earth Day 2009, the USPS® has introduced several programs, services, and products focused on reducing waste and “greening” their overall operations. The USPS is taking a comprehensive approach to environmental stewardship that includes waste and pollution reduction, emissions reductions, green purchasing policies, increased recycling, and the development of earth-friendly products and services.

 

In recognition of its efforts, the Postal Service has received over 70 environmental awards, including the White House Environmental Award, the Closing-the-Circle Award, and the first-ever Environmental Achievement of the Year Award. In addition to these awards, the USPS has achieved Cradle-to-CradleCM certification, which encourages sustainable business practices through “environmentally-intelligent design criteria.” This means that the products and practices used by the Postal Service are deemed to be environmentally friendly, energy-efficient, and developed with social responsibility in mind.

 

The Postal Service is also greening-up its fleet, buildings, power sources, and operations to reduce energy costs. Explore the USPS Green site to read about specific achievements, goals, and initiatives in these areas. Considering the success of their efforts to date, we are likely to see more earth-friendly business innovation from the USPS.

 

The Postal Service is sending us a green message. Are you listening?

 

Maura Betler has been writing about postal and marketing software products since 1991. She is a senior member of the Society for Technical Communication (STC), and a winner of the Phoenix STC Distinguished Service Award. Maura holds an M.A. in Technical and Professional writing from Northern Arizona University, where her graduate work focused on technical communication for multicultural audiences.

Difficulties in Meeting Move Update Requirements for First-Class Mailers… Is It Real? Or is it Hype?

Published on November 13, 2009 in Uncategorized. 0 Comments Tags: , .

This week I read an interesting article on the concerns regarding postal inspection services initiative for move update that Dan O’Rourke, the editor for Mailing Systems Technology had flagged up. In case you missed it – here’s the link.

Mary Ann Bennett provides a very interesting perspective on this subject and it is worth reading. Not being a mailer myself, in reading the article I compared it to a time when I ran my own business, and felt like with all the government requirements such as workman’s comp, property tax, sale tax on goods sold, inventory tax on goods not sold, payroll tax, etc – the likelihood of ever turning my business into an empire seemed bleak as the reality of owning a small business came to life. Just keeping up with all of the requirements while running my business was challenging within itself, it seemed endless – and it obviously is no comparison to what large volumes mailers are dealing with these days.

In the article I mentioned, Mary Ann highlights the many complexities associated in complying with the move update process. While many large volume First Class mailers felt they had all their ducks in a row to ensure maximum postal discounts were achieved, from what we are hearing, this is unfortunately not the case.

Mary Ann writes; It is understandable that these large companies would have no idea there is anything wrong with their mail. And then they get a phone call from a Postal Inspector who is requesting a meeting and that Postal Inspector shows up and says “show me on your mailing statement which move update methods you are currently utilizing.” The mailer is using a service provider and is unsure of what is being marked by their mailing agent on the statements. But surely, there cannot be a problem. They have been using the same in-house method for many years and they had no idea they had problems with the mail. Upon further investigation, the mailer determines that no USPS approved move update method is being used. The Postal Inspector goes back and says well there are these four methods and a 99% accuracy test. And the customer says, “we will submit the files for 99% accuracy”. And the Inspector will say “well no, you would have had to do that before the fact.” As far as the Postal Inspector is concerned the mailer has broken a rule. “Technically you have not been in compliance and listen Mr. Mailer, if I go back a period of years, since this regulation has been in place since 1997, technically I could go back and take away every postage discount you have claimed over the last twelve years. I could recover around $80 million but we will settle for just $2.5 million. We are going to settle for this reduced amount and unless you pay this amount, we are going to rescind your mailing privileges.”

It’s a scary but very real scenario that I hope any of you reading this will not find yourself or your organization a part of. Mary Ann states that many mailers are now seeking other alternatives for mailing, but for many of you that just is not an option in the short term I will look forward to hearing how you are coping, if this is a key concern…or mostly media hype. We do hear of these things happening, but how often and to what extent I just cannot provide any insight into.

USPS Webinar Series Worth a Listen

Published on November 6, 2009 in Uncategorized. 0 Comments Tags: , , , .

As you may already be aware, the USPS have rolled out an informative webinar series that continue until the end of the month. Let’s face it, any clarification on these very relevant topics is helpful and leveraging these sessions may be time well spent.

If you go to http://ribbs.usps.gov/index.cfm?page=intellmaillatestnews you will find a lot of useful info and also links to the webinar series.

Today, November 6th at 2-4 PM EST, there is a webinar – Full Service ACS Update – here’s the login details:
1. Browse to: http://meetingplace3.usps.gov/a/e599be4820790ce462fafc86593e02d2
2. After the MeetingPlace window is open, click the Phone icon (under the Participant List or in the upper right-hand corner).
3. Click Connect Me, validate or update your phone number and click Connect Me again.
4. When the system calls you press 1 to join.
To attend with audio only if you have not connected by computer:
Phone Number: 866-567-8049
Meeting ID: 2412607
On the 13th, from 2-4 PM EST there is a webinar – Submitting Postage Statements Between 15 and November 29
To attend the November 13 Web conference and join with audio (no earlier than 15 minutes prior to the start):
1. Browse to: http://meetingplace3.usps.gov/a/95c1595dce8e8dbbb7e4d67d309e9107
2. After the MeetingPlace window is open, click the Phone icon (under the Participant List or in the upper right-hand corner).
3. Click Connect Me, validate or update your phone number and click Connect Me again.
4. When the system calls you press 1 to join.
To attend with audio only if you have not connected by computer:
Phone Number: 866-567-8049
Meeting ID: 3479989
One further reminder is that PBBI also have a weekly webinar series on many key postal topics, visit http://go.pbinsight.com/postal-webinar-series to gain insight into this series.

Address Quality: 8 quick questions

Published on November 3, 2009 in Address Quality. 1 Comment

Want to learn how mailers are dealing with Address Quality Management?   Take a moment now to participate in our market survey.  We will be collating answers and providing results over the next few weeks so you can gain insights and learn from your peers.  Your time and input is much appreciated.  The survey is designed to take only a few moments of your time—only eight questions in all.  Thanks for participating!

What’s next for the USPS?

Published on November 3, 2009 in Innovation, Postal Pricing and USPS Compliance. 5 Comments Tags: , , , , , , .

On September 30th, Congress approved legislation that gave the United States Postal Service a one-year reprieve on its obligations to pre-fund retiree healthcare benefits—averting a potential crisis as the USPS did not have the cash on hand to make this payment. (As noted previously, no other federal agency is subject to this requirement.)

With fiscal year 2009 in the books, the USPS now turns its attention to 2010—and the outlook for postal profits remains bleak. Addressing the National Press Club last month, Postmaster General John Potter remarked:

Without a big change in the way we’re required to do business, we’re likely looking at a deficit of more than $5 billion dollars—for years to come. This is a critical public policy issue.

We’ve commented previously on the various efforts the USPS has taken in light of their current budget challenge. And you have to give them a lot of credit. This past year, like a lot of companies, they stepped up their cost cutting, trimming $6 billion from their expenses and cutting almost 115 million work hours. All while service and customer satisfaction reached record highs.

One also has to agree that mail still ranks as a critical communication vehicle that connects businesses with their customers. Even with the recession, the USPS delivered 176 billion pieces of mail last year and generated over $68 billion in revenue—sales figures that most companies would envy.

The problem, according to Potter, is that the business model created to support the mail simply doesn’t work anymore and changes are necessary.  We agree.

So as we ask “what’s next” for the USPS, it is likely that you can expect changes to fall into a few categories: operational, legislative, marketing and innovation. 

  • Operational. We expect postal officials to continue their work to create a more effective, more streamlined organization.  Technology and process re-engineering will continue to play an important in role in cost reduction.
  • Legislative. The Mailers Council—a coalition of corporations, nonprofit organizations and mailing associations—has a vested interest in effective, low-cost postal service.  So it’s not surprising that they’ve published a white paper calling for new laws that would allow the USPS to compete more effectively.  Among their recommendations: making it easier for the Postal Service to reduce its head count, close unneeded facilities and consolidate its retail network. They also propose changing the pre-funding schedule for retiree health benefits. Plus, they would also like to see a study on whether five-day-a-week delivery makes sense. Some would argue that these are the same benefits enjoyed by other companies—the freedom to make well-informed business decisions—and clearly the USPS would welcome these legislative changes.
  • Marketing. In recent months, we have seen the USPS employ marketing tactics that are common for most businesses, but new for postal officials. The ‘Summer Sale’ and the current First-Class Mail incentive program provided mailers with good reason to mail more – a concept that may be continued if talk about a “Winter Sale” holds true. The USPS is also looking to maximize the value of the 37,000 retail outlets known as “Post Offices” by expanding the breadth of products and services offered at these locations.
  • Innovation. From its roots in ancient Persia where relay messengers delivered mail on horseback, to today’s barcodes, priority services and e-notifications, the postal industry has demonstrated an ability to reinvent itself over its 4,000-year history.  So it was refreshing that PMG Potter did not conclude his speech at the National Press Club by discussing how to get through another year. Instead, he talked about taking a fresh look at the future of the Postal Service and its role in serving America—examining what the Postal Service will look like 7, 10 and 15 years from now.

Potter spoke of establishing a public dialogue about the future of the Postal Service – and we invite you to be a part of it.  What do you want the USPS to do next? When you think ten years down the road, how might the Postal Service add value to your business?  We welcome your thoughts.