MTAC PACKAGE INTEGRITY WORK GROUP

Minutes - Status Report

Mission: Improve mailer packaging and USPS processing of Periodicals and Standard Mail flats to reduce package breakage and lower USPS operational costs.

Below is a summary of the activities of the work group to date. Specific meeting dates are not included because much of the activity of the group involved telecons, email communications, ad hoc meetings, etc., in addition to official meetings and data collection activities associated with live mail and controlled tests.

  • 10-4-99 to 11-18-99: Initial data collection to identify magnitude of bundle breakage problem at point where mailer-prepared pallets and sacks are first unloaded by USPS (e.g., at Small Parcel & Bundle Sorter, manual bull pen and belts)
  • Data collected at 4 Processing & Distribution Centers (P&DCs) and 2 Bulk Mail Centers (BMCs) by representatives of USPS and various mailing industry associations (MPA, PostCom, NNA, MFSA, DMA, ABP, PIA)
  • Analysis of Initial Data
  • Total packages sampled:90,337 (78,511 on pallets, 11,826 in sacks)
  • Percent of packages broken: 1.1% on pallets, 17.5% in sacks
  • Package Breakage Rate for Sacked Mail by Securing Method and Cover Type
  • Packages secured with either rubber bands, string/twine, or plastic bands – from 16.7%-19%; packages secured with only shrinkwrap -13.3%; packages secured with shrinkwrap plus one band - 9.5%
  • Packages of mailpieces with covers of coated paper stock broke at higher rate (23.5%) than packages of pieces with covers of uncoated stock (11.6%)
  • Data were introduced into the record for R2000-1 (USPS-LR-I-297) relative to Periodicals cost reduction efforts. The PRC Opinion & Recommended Decision recognized potential test year savings of approximately $51 million ($27.6 million for Periodicals and $24.2 million for Standard Mail) as a result of improved bundle preparation by mailers based on work group efforts and improved USPS bundle processing.
  • NOTE: This estimate is approximately double that projected in USPS savings assumptions that would result from expected packaging improvements.
  • August 2000: Controlled test to frame solutions focused on packages in sacks
  • Based on analysis of the live mail test data, the work group determined that additional testing of sacked mail, in a controlled environment, should be conducted to identify possible changes to DMM mail preparation standards that would significantly improve package integrity. Test mailings (not live mail) representative of the Periodicals and Standard Mail flats sacked mailstreams, prepared by various mailers, were processed and unloaded by USPS and industry representatives and data was collected relative to the condition of the packages when unloaded.
  • Breakage results were consistent with initial data collected for live mail
  • Highest breakage rates were for tall packages (over 3 inches) of pieces with covers of coated stock
  • Lowest breakage rates were for half-fold and quarter-fold uncoated pieces (e.g., newspapers and adveritising circulars)
  • 2-20-01 – Proposed Domestic Mail Manual (DMM) Changes Published in Federal Register: Based on analysis of data from the live mail and controlled mail tests, the work group reached consensus regarding DMM changes that should improve package integrity, particularly for mail in sacks. The proposed DMM changes emphasized limits on package height for sacked mail (ranging from a maximum of 3 inches to 8 inches, depending on whether the mailpiece is coated or uncoated, and for coated pieces, depending on the package securing method). A maximum package weight (20 pounds) was also proposed for sacked mail consistent with packages on pallets and USPS processing on the small parcel and bundle sorter.
  • 5-17-01 – Final DMM Changes Published in Postal Bulletin

5-29-01 – Final Rule containing DMM Changes Published in Federal Register

  • 7-01-01: Effective date of revised DMM standards
  • Additional Work Group Efforts and Related Activities to Improve Package Integrity
  • Modification of USPS processes - USPS modified broken bundle recovery methods and SPBS feed systems to improve package handling and reduce bundle breakage that may occur as a result of USPS processes in conjunction with work group activities.
  • Videos for Mailing Industry Produced March 2000 and March 2001: Describe impact of poor packaging; show how USPS processes containers and packages; explain new DMM packaging standards; show some mailer “best practices” for improving package integrity; describe steps mailers can take to move more mail out of sacks and onto pallets, where practical.
  • 6-01: Copies of second video, Package Integrity for Large and Small Mailers, were provided to major mailer associations for distribution to all of their members, in addition to distribution to USPS functional areas that deal with customers (e.g., BMEUs, RCSCs, BMC service specialists)
  • Articles published in Memo to Mailers, Mailers Companion, and numerous industry publications to raise awareness of the problem
  • Sessions at Anaheim and Orlando Postal Forums focusing on package integrity
  • Spin-off MTAC Work Group (Mail Irregularity Feedback) to report problems to mailers for resolution
  • Next Steps:
  • In approximately 3 months (Fall 2001), gather additional data regarding package integrity to determine whether the DMM changes and other communication activities have resulted in reductions in package breakage. The data would be collected following the same process used in 1999 to collect the initial data for live mail.
  • The work group plans to sunset after completing analysis of the data, although it may make additional recommendations for potential follow-up activities.