# Presentation: 733627

## Mailing Industry Changes

**Mailing Industry Changes**

**PCC Workshop-in-a-Box**
**Module 4**

**Notes:**
Now that we understand a little about the FSS system, let’s talk about some of the impacts on you, members of the mailing industry. 
Our systems and yours are interdependent and we are working closely with mailing industry representatives through the Mailers Technical Advisory Committee (MTAC) to craft solutions that result in the lowest combined costs.

## Address Standards for Commercial Flat-Size Mail

**Mail Entry**
**Entry Points**
**Critical Entry Times**
**Mail Prep in FSS Environment**

**Mailer Changes**

**Notes:**
As we move from a manual process to automated sequencing of flats, changes will evolve regarding flat mail design, addressing, barcoding, entry points, critical entry times and mail preparation.  
We will look at each of these impacts in a little more detail.

## New Address Standards - Flats

**New Standards for the Delivery Address are Effective March 2009 and Specify:**
**Minimum Type Size for All Commercial Flats**
**New Spacing Requirements for All Automation Flats**
**Address Placement Within the Top Half of the Mail-piece for All Commercial Flats Except First-Class Mail**

_**Federal Register Notice: 39 CFR Part 111**_
**New Address Requirements for Automation, Presorted, and Carrier Route Flat-Size Mail**** **

**Notes:**
New standards for delivery addresses were published in the Federal Register and are effective in March 2009. You may access the Federal Register through Postal Explorer and I will provide the URL on a later slide.
The standard for type size applies to all commercial flats, new spacing requirements apply to all automation flats and the address placement standards are optional for First-Class Mail but required for all other presort, carrier-route and automation pieces. Under the new standard, delivery addresses will need to be placed in the “top half” of the mailpiece to facilitate letter carrier street handling- particularly since carriers will no longer handle, orient, and sort each flat. We will look at some specific examples for placement on different types of flats in a moment. 
First, let’s review the address block changes. 

## Ideal Address: Uses Type Larger Than 8 Points, All Required/ Recommended Clear Spaces, and Arial Capital Letters

**Ideal Address: Uses Type Larger Than 8 Points, All Required/ Recommended Clear Spaces, and Arial Capital Letters**

**0.028****"**

**0.028****"**

**0.028 "**

**0.125****"**

**0.125****"**

**New Address Standards – Type Size & Spacing**

**Address Characteristics ****— Type Size and Spacing**

**Notes:**
New address standards require mailers to address all presorted and carrier-route flats using at least 8-point type. (Each letter or figure must be at least 0.080 inch high.)

Additional standards for automation pieces only:
 Address characters cannot overlap.
 Address lines cannot touch or overlap (0.028-inch clearance preferred).
 Address elements may be separated by no more than five blank spaces.

Note:  Minimum clear space above and below POSTNET barcode is 0.125 inch.
Item B (below address block) represents a typical printer’s minimum. 
There is requirement for this clear space.

## New Address Standards – Type Size & Spacing

**Mailers May Use 6-point Type if a POSTNET or Intelligent Mail Barcode with a Delivery-Point Routing Code is Used**

**Address Characteristics ****— Type Size and Spacing**

**New Address Standards – Type Size & Spacing**

**Notes:**
Flats using an 11-digit POSTNET or an Intelligent Mail barcode may use 6-point type if the address is printed in all capital letters. (Each letter or figure must be at least 0.065 inch high.)

## Address Placement – Enclosed Flat

**Address Placement – Enclosed Flat**

**Notes:**
Let’s take a look at some illustrations to get a basic understanding of the “top half” rule.

The “top” of the mailpiece is defined differently, depending on whether the mailpiece is enclosed in an envelope or polywrap, or the mailpiece is unenclosed. 

For enveloped or polywrapped pieces, the “top” of the mailpiece may be either of the shorter edges. So there are four possible “tops”: either of the shorter edges on the front or back of the piece.

Mailers may place the address parallel or perpendicular to the top edge, but not upside-down as read in relation to the top edge.  In this example the mailpiece is 11 inches long, so the “top half” is equal to 5.5 inches.

## Address Placement – Unenclosed Flat

**Address Placement – Unenclosed Flat**

**Notes:**
For pieces that are not enclosed in envelopes or polywrap, the “top” is the upper edge of the mailpiece when the bound edge or final fold is vertical and on the right side of the piece, as illustrated on the slide. It’s important to choose a top edge with the spine on the right, because the mailpiece must travel through the flats processing equipment with the spine and open edge in a particular orientation. 
So there are two possible “tops”: the upper edge on the front or back of the piece, with the spine on the right. Again the address may be parallel or perpendicular to the top edge, but not upside-down as read in relation to the top edge.

## Entry Points and Critical Entry Times

**Objective is to Consolidate the Entry of Flats to Facilitate More Efficient Processing Through the Use of FSS Equipment**
**Critical Entry Times (CET) for Flats**
**National Standardized CET’s for Standard Mail and Package Services**
**1600 For Destinating Standard Mail**
**1200 For Bedloaded Standard Mail**
**Local Determined CET’s for First-Class Mail and Periodicals**

**Notes:**
Where space allows, we are striving to co-locate all types of flat sorting equipment with the FSS machines. 
There is an expectation that as volume is consolidated for larger geographic areas, entry points for flats should not increase and may in fact decrease. The entry point for volume prepared directly for FSS would be the same for both Standard Mail and Periodicals. 
The Postal Service has implemented a national standardized CET for all destination-entered Standard Mail and Package Services- 1600 (or 4:00 PM) unless bedloaded which will be 1200 (or noon). CETs for First-Class Mail and Periodicals are determined locally.  
Locally established CETs have to take into consideration service standards, service measurement requirements, operational requirements and processing strategies. 

## Match Mail Preparation to Processing Needs
Align Processes & Systems
Manage Impact on Mailing Processes
Maintain Sufficient Pallet Volume
Sustain and Grow Flat Mail

**Align Processes & Systems**
**Manage Impact on Mailing Processes**
**Maintain Sufficient Pallet Volume**
**Sustain and Grow Flat Mail**

**FSS Mail Preparation ****— ****Focus**

**Notes:**
Working jointly with industry representatives in MTAC, we are focusing primarily on bundle and pallet preparation that is aligned with the overall flats strategy and FSS operations.
Preparing mail to FSS schemes, which cover a larger geographic area than a single carrier route, will be the optimal preparation. 
MTAC Workgroup #115 is working toward the best solution for the industry and USPS that takes into consideration impacts on the mailing processes; looking at creating large and efficient pallets and all opportunities to grow flat mail.  
This ongoing Workgroup expects to have a mail prep strategy defined for review in the near future. 

## Bypass APPS & Sack Distribution
Enable Auto Induction 
Create Efficient Preparation for Both FSS and Non-FSS Mail
Maintain Sufficient Pallet Volume

**Enable Auto Induction **
**Create Efficient Preparation for Both FSS and Non-FSS Mail**
**Maintain Sufficient Pallet Volume**

**Pallet Preparation**

**Notes:**
If the volume of flats for FSS zones are large enough, it may warrant pallet preparation that aligns with an automated mail preparation system. This would bypass upstream sack sortation or upstream bundle distribution on the APPS operation.  
FSS scheme bundles will simplify both bundle preparation and pallet construction. Strapping may be the preferred method for securing these bundles as it allows for ease of release when loading the automation compatible trays (ACTs) used in the AFSM 100 & FSS system, and sets the stage for future automated technology solutions. 
Our current plans would allow for FSS and non-FSS mail to be prepped via this process, which would help drive sufficient pallet volumes. 

## USPS is Testing Technology That Automates Bundle Preparation
Automated Unbundling of Flats for Piece Distribution 
Strapping Only
No Counter-Stacking
Bundle Thickness to Maximize Mail into Automation-Compatible Trays 

**Automated Unbundling of Flats for Piece Distribution **
**Strapping Only**
**No Counter-Stacking**
**Bundle Thickness to Maximize Mail into Automation-Compatible Trays **

**Bundle Preparation**

**Notes:**
The Postal Service is testing technology that automates the bundle preparation operation. This equipment removes the strapping and deposits flat mail into Automation Compatible Trays (ACTs) which are stacked onto a Dolly for induction into the Flats Sequencing System, and in the future can be inducted into to AFSM 100.
These bundles are non-shrink wrapped, non-compensated (not counter-stacked within the bundle) and secured by two straps. The bundle heights need to be relatively uniform and designed to maximize the mail placed in each ACT. 
More information will be available after testing is completed on the prototype auto prepping station expected to be complete by January 2009.

## Automated Bundle Prep Test

**Automated Bundle Prep Test**

**Notes:**
Let’s examine the process:
Here we see an automation ready pallet with non-compensated bundles which would be fed into the prep machine
Strapping is removed, and the pieces would be placed into the Automation Compatible Tray (ACT) for piece distribution).
The “finished product” ACTs are placed on Dolly’s and then inducted into the FSS for processing.  

## Flats End-to-End Strategy

**Reduce Number of Entry Points**
**Induct the Mail Where Processed**
**Bypass Sack / Bundle Distribution**
**Automate Mail Preparation**
**Automate Sequencing of Flats for Delivery**
**Leverage the Use of Data**

**Flats End-to-End Strategy**

**Notes:**
Planning and integration for FSS is not done independently. Rather, it is carefully aligned as part of the flats end-to-end strategy. We have discussed many of these strategies already today, but to recap: the goals also include reducing the number of entry points; inducting mail where it will be processed; bypassing sack and bundle distribution to the greatest extent possible; automating mail preparation, and leveraging the use of data for both mailing industry and the Postal Service. 

## Communication Resources

**Communication Resources**

**http://ribbs.usps.gov/   **

**http://www.usps.com/nationalpcc/news.htm **

**Notes:**
Here are the e-mail and Web addresses for the resources I’ve mentioned:
Flats Sequencing Strategy, “All Things FSS” – is an all inclusive Webpage dedicated to providing all flats and FSS information.
PCC Insider - PCC Insider is your electronic gateway to information about the U.S. Postal Service, Postal Customer Councils and the issues that affect the mailing industry.
Postal Explorer is your source for up-to-date business mailing information and houses the Domestic Mail Manual, International Mail Manual, price lists, Federal Register notices and more. We will post the new Quick Service Guide here as soon as it is completed. Remember that this web address does not use the “www” in front of it—just “pe.usps.com.”
DMM Advisory is our customer e-newsletter to keep mailers informed of changes to prices, mailing standards, and other important issues. We’ll send an Advisory whenever we post new addressing materials, and reminders as we get closer to implementation. If you haven’t already, please subscribe and stay informed.
MailPro is our bi-monthly publication for mailing professionals. Look for ongoing articles about the new address standards.

## Questions