1 / 8

Distribution of Stamps MTAC May 19, 2010

Distribution of Stamps MTAC May 19, 2010. Myrna Murphy. Agenda. Distribution of Stamps Stock Level Management Internal Stamp Distribution Network Consolidation. Stock Levels. USPS improved the controls on stock levels due to:. Fewer stamps being sold Reduced 1 st class mail volume

kishi
Download Presentation

Distribution of Stamps MTAC May 19, 2010

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Distribution of StampsMTACMay 19, 2010 Myrna Murphy

  2. Agenda Distribution of Stamps • Stock Level Management • Internal Stamp Distribution Network Consolidation

  3. Stock Levels USPS improved the controls on stock levels due to: • Fewer stamps being sold • Reduced 1st class mail volume • Increased PVI & Meter use because of airmail security rules • Alternate access reduces window transactions • Need to reduce cost • Cost to count, ship & store excessive stock • Increased exposure to loss • Managing Inventory is a common business practice • Policy was published in PB 22148 February 17 2005

  4. Stock Levels The maximum stock level for a postal retail unit is determined by a formula. • Formula • Limits to 3 months sales in stamp stock on hand • Allows extra for the holiday period (Q1) • Based on SPLY • Formula generally allows for normal sales volume • Example • Q1 (Oct-Dec) 2009 Stamp Sales = $20K, Max Stamp Accountability Q1 2010 = $20K on any day in Q1 • Q2-4 (Jan-Sep)2009 Stamp Sales = $45K (avg quarterly sales = $15K), Max Stamp Accountability Q2-4 2010 = $15K on any day in period

  5. Stamp Fulfillment Network Consolidation USPS is consolidating the stamp fulfillment network in order to: • Gain workforce reduction & efficiency improvements • Implement better fulfillment processes • Decrease labor requirements through economies of scale • Leverage technology and equipment investments • Improve inventory management • Decrease safety stock • Reduce stamp destruction costs

  6. Consolidated Sites Stamp Fulfillment Network • Apr 2010 Binghamton, NY • May 2010 Phoenix, AZ • Jun 2010 Portland, OR • Dec 2009 Kansas City, MO • Jan 2010 Dulles, VA • Mar 2010 Atlanta, GA Note: Alaska, Hawaii, and Puerto Rico SDO’s are not impacted

  7. Mailing Community Impact Neither stock limits nor the consolidation should have any impact for routine stamp purchases. • Stock Limits allows for inventory of all currently available stamps • Scheduled stamp orders fulfilled on monthly basis • Stamp Distribution Centers ship: • Special Orders received by 3 pm shipped same day via Priority Mail • Express Mail or expedited transportation, if necessary Special orders may require a longer lead time.

  8. Questions ?

More Related