Toledo Ohio Area Mail Processing (AMP) Public Meeting December 29, - - PowerPoint PPT Presentation

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Toledo Ohio Area Mail Processing (AMP) Public Meeting December 29, - - PowerPoint PPT Presentation

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Toledo Ohio Area Mail Processing (AMP) Public Meeting December 29, 2011 Two Topics Radical Area Mail Network Processing Realignment Study 2 Mail Volume Shifting to a Less Profitable Mix Volume in Billions of Pieces 3 4 NETWORK

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Toledo Ohio Area Mail Processing (AMP) Public Meeting December 29, 2011

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Two Topics

Radical Network Realignment Area Mail Processing Study

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Mail Volume Shifting to a Less Profitable Mix

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Volume in Billions of Pieces

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NETWORK CAPACITY

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NETWORK CAPACITY

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Potential Decrease in Processing Facilities Through 2013

As of 8/31/2011

Processing Facilities

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Mail Processing Facility Footprint

487 Facilities Today

Current Mail Processing Sites

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Mail Processing Facility Footprint

Studying 252 Facilities for Potential Consolidation

Currently Under Study Announced Sept. 15th Gaining Sites

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Mail Processing Facility Footprint

Potential Network

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Mail Processing Redesign

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FUTURE NETWORK

  • Support 2-3 day Service Standards
  • Revised Entry Times
  • Reduced Equipment
  • Reduced Footprint

BENEFITS

  • Eliminate Excess Capacity
  • More Efficient Transportation Network
  • Fully Utilized Workforces
  • Significant Annual Savings

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Driving Efficiency

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CHANGES

  • Planning for new mail processing footprint

and transport pattern

  • Transitioning to 2-3 day service standard

OUR APPROACH

  • Ongoing communication and collaborative

solutions

Our Customers

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Our Employees

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559,000 151,000 35,000

Total Career Employees Total Mail Processing Employees Fewer Mail Processing Positions

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Topic

Area Mail Processing Study

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DISTANCE BETWEEN FACILITIES – 55.8 miles

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DISTANCE BETWEEN FACILITIES – 89 miles

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DISTANCE BETWEEN FACILITIES – 139.6 miles

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BUSINESS CASE*

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Mail Processing Workhour Savings: $5,983,366 Non-Mail Processing Savings: $240,685 Mail Processing Management Savings: $1,529,864 Maintenance Savings: $6,082,338 Transportation Costs: $5,194,351 Proposed Annual Savings: $19,030,604

*Preliminary results subject to change

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EMPLOYEE IMPACTS*

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Net craft impacts: -330 Net management impacts: -26

*Preliminary results subject to change

All bargaining employee reassignments will be made in accordance with the respective collective bargaining agreements.

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CUSTOMER & DELIVERY SERVICES

  • Supports a 2-3 day service standard

for First-Class Mail

  • Retail and other services
  • Business mail acceptance
  • Collection mail
  • Delivery of mail
  • Local postmark
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NEXT STEPS

  • Complete Area and HQ review
  • Review Public Comments
  • Continue Network Optimization studies

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Mail additional comments to: Manager, Consumer & Industry Contact Northern Ohio District 2400 Orange Avenue Room 25 Cleveland, Ohio 44101-9631 Must be postmarked by January 13, 2012

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