Memo to Mailers
- August 2002 (Text)
UNITED STATES POSTAL SERVICE
VOLUME 37 NUMBER 8
AUGUST 2002

WHAT'S INSIDE
BUNDLE OF KNOWLEDGE
KEEPING POSTED
NATIONAL POSTAL FORUM
NPF REGISTRATION
POSTAL NEWS BRIEFS
LANCE WINS AGAIN

WHEREVER YOU MOVE,
WE'LL FOLLOW
The United States is a nation on the move. It's estimated that 17 percent of
the country's population changes addresses each year. That results in about
43 million change-of-address cards and more than 5 billion pieces of mail that
must either be forwarded, returned to sender or alternatively handled. The total
cost of this activity exceeds $1.5 billion annually.
In an effort to reduce these costs, the Postal Service is turning to a next
generation automated system that is expected to drastically reduce the handling
and processing time associated with redirected mail.
"Automating the forwarding of letters is a natural extension of our current
automated letter processing infrastructure which has been in place for years,"
says Tom Shipe, manager of Engineering's Technology Acquisition group. "The
overall results will be the same - lower costs, better quality and improved
service to our customers."
USPS awarded a contract to Siemens Dematic to automate the handling of undeliverable-as-addressed
(UAA) letter mail with a system called PARS - the Postal Automated Redirection
System.
The PARS optical character reader identifies and intercepts most UAA letters
at the originating processing center and automatically labels each piece with
the customer's new address. The system will utilize a nationwide change-of-address
database installed at each processing and distribution center and remote encoding
center. The system software reads endorsement codes, classes and address elements
automatically.
The UAA mail that is not intercepted at origin and is identified and confirmed
by the carrier is sent to the processing center where a label is applied automatically.
By automating both the intercepted and carrier-confirmed mail, USPS will eliminate
over 300 Computerized Forwarding System mechanized terminals. Other features
of PARS include use of optical character readers to process over 43 million
change-of-address forms per year, automated Address Change Service electronic
notification and hard-copy address correction notification, and improved handling
of UAA mail for reasons other than a move.
The first phase of PARS deployment - beginning July 2003 and scheduled for completion
May 2004 - will include 53 processing plants and 86 Computerized Forwarding
System sites, automating nearly one-fourth of all forwarded letters. An additional
phase is expected to go to the remaining sites by the fall of 2006.
"The PARS program will revolutionize the entire mail forwarding process.
By identifying the forwardable mail at origin, a piece sent to a person who
has moved could be delivered to the new address the very next day," says
John Keegan, manager of Automation Equipment at Engineering.
HIGH MARKS
The Postal Service achieved the second-highest quarterly score ever recorded
for First-Class overnight delivery service performance: 94 percent for the period
Feb. 23, 2002 through May 17, 2002.
According to Vice President and Consumer Advocate Francia Smith, the Big Sky,
Erie, Albany, Dakotas, Greater Michigan, San Jose, Central Plains, Spokane and
Kentuckiana Performance Clusters each achieved a score of 96 percent, while
26 additional Performance Clusters attained scores of 95 percent. Performance
Clusters are geographic management units established by the Postal Service.
Independently measured by PricewaterhouseCoopers, EXFC externally measures collection-box-to-mailbox
delivery performance, continuously testing a panel of 463 ZIP Code areas selected
on the basis of geographic and volume density from which 90 percent of First-Class
Mail volume originates and 80 percent destinates. EXFC is not a system-wide
measurement of all First-Class Mail performance.
PricewaterhouseCoopers measures service performance for overnight, two-day and
three-day service commitment areas to provide national, area office and Performance
Cluster estimates of service performance. This data is compared with USPS delivery
standards and the results are presented to the public each postal quarter.
Smith also said the most recent Gallup survey shows 93 percent of households
nationwide reported having a positive view of USPS. Customer Satisfaction Measurement
is independently measured by The Gallup Organization which conducts surveys
on a variety of postal issues and services from a customer's perspective. These
include accuracy and consistency of delivery; retail clerk courtesy, knowledge,
and responsiveness to customers; and telephone courtesy and accuracy of information
provided, to name a few.
USPS uses survey results to identify opportunities to improve customer satisfaction.
FYI
Need rate information? Call 800-ASK-USPS to receive automated information on
domestic or international basic mailing rates. It's available 24 hours a day,
seven days a week.
BUNDLE OF KNOWLEDGE
What do all college students have in common? Books. Can't learn without them.
And they're not inexpensive, as four students at Williams College in Williamstown,
MA, were well aware. So they put their brains together and came up with a business
idea. In spring 2001, BookBundle.com was born as a way to sell new college textbooks
over the Internet for the price of used books.
"We needed a shipping company that would enable us to ship on a large scale,"
says Richard Sarkis, one of the company's founders and current project manager.
"We also wanted shipping options to be top class. Internet-savvy college
students have a high level of expectations when they order something online.
They want fast delivery and the ability to check on their shipment online."
And the shipper had to be prepared for a burst of activity coinciding with the
start of classes.
The bottom line: BookBundle wanted quick, reliable, confirmed delivery service
at a reasonable price.
The Postal Service had the answer. Priority Mail service with Signature Confirmation
would do the job.
"We explained that BookBundle customers would receive delivery in two to
three days from the time the shipments were given to the Postal Service,"
says Marc Solnick of the Postal Service's Marketing department. "BookBundle
liked the idea of using Signature Confirmation because they could rest assured
the books were being delivered to the right customer."
In addition, the Shipping Center at www.usps.com would allow BookBundle's customers
to check on the status of their delivery.
USPS got the nod because it was cost-effective. "We also wanted to be associated
with an all-American company and frankly," says Sarkis, "competitors
were too expensive and not worth the extra cost."
From its beginnings at Williams, BookBundle.com has broadened its reach. The
company initially tested with USPS at a handful of schools in the Northeast.
"We found delivery times to be above our expectations," says Sarkis.
This fall, the company is expected to deliver textbooks to students at 50 colleges
and universities across the United States, using Priority Mail service.
"Along the way we have worked closed with the Business Service Network
and Marketing directors to alert them to these surges in mailings to college
and university campuses," says Bill Glover, a sales specialist with the
Postal Service's Northeast Area.
Sarkis says BookBundle.com is particularly happy with the customer service it's
received from USPS. Because of this, the bookseller is exploring direct mail
as a way to target students at specific universities and colleges. "It's
in the works," he says.
The future is open to possibilities. "BookBundle hopes to grow its business,
working hand-in-hand with the Postal Service," according to Sarkis.
KEEPING POSTED
News from and for Postal Customer Councils www.usps.com/nationalpcc
CONFERENCE REMINDER

The next Postal Customer
Council (PCC) Leadership Conference will be held Sept. 22 at the National Postal
Forum in Boston. The conference will include speakers and interactive sessions
and promises to provide additional insights on how to make your PCC the best
it can be. Be sure to mark your calendars and monitor the PCC website for updated
conference information.
TRAINING OFFERED

An important mission of the PCC program is to help members and their organizations
grow and develop professionally through focused educational programs. To accomplish
this, the national PCC program is partnering with the Postal Service to offer
an Executive Mail Center Manager Training Program. For information on the training,
and how you can bring it to your PCC area, visit the PCC website at www.usps.com/nationalpcc.
Go to the Keeping Posted page and click on the link to the training program.

HIGH FIVE
PCC website registration has increased five-fold since we made it easier for
you to sign up for the latest PCC news and website updates. Simply send an e-mail
to register@pcc.tteam.com. Please note that the e-mail account you use to sign
up will be the one on which you will receive your updates. Again, the web address
is www.usps.com/nationalpcc.
GROWING COMMUNITY
The PCC community welcomes the following new co-chairs:
Industry co-chairs
Jeannie Gardner, Jefferson County Community College, Watertown PCC, Adams, NY.
Gina Doty, SUNY Plattsburgh, Northern NY PCC, Plattsburgh, NY.
Diana Cote, Glens Falls Hospital, Foothills PCC, Glens Falls, NY.
Theresa Caravalho, SourceCorp, Los Angeles PCC, Carson, CA.
David Currie, ASCOM Hasler, Greater East Bay PCC, Oakland, CA.
Daniel Gomes, Pitney Bowes, PCC of Hawaii, Honolulu, HI.
Jorge Espinoza, UC - San Diego, San Diego PCC.
Postal co-chairs

Kyle Rollins, Postmaster, Greater Charlotte PCC, Charlotte, NC.
Andy O'Connell, Acting Postmaster, Bakersfield PCC, Bakersfield CA.
Art Cardenas, Officer in charge, Orange County PCC, Santa Ana, CA.
Bill Maine, Officer in charge, Industry PCC, Alhambra, CA.
NATIONAL POSTAL
FORUM
BOSTON, SEPT. 22 - 25
ENHANCING THE VALUE OF THE MAIL
Postmaster General John E. Potter will update mailers on the progress of postal
transformation as well as discuss service performance and new service initiatives
during his keynote address at the National Postal Forum (NPF) in Boston. In
addition, Potter will join other senior USPS and mailing industry leaders as
they discuss initiatives designed to enhance the value of mail and as they explore
mailing operations management in a newly security-conscious world.
The NPF is the mailing industry's biggest event, providing business mailers
with educational, training and networking opportunities. This year's fall forum
will be held Sept. 22 - 25. Here are the highlights:
Sunday, Sept. 22
BOSTON FORUM OVERVIEW -
Information for first-time attendees, newcomers to the industry, or seasoned
Forum participants. This session provides an insider's view of how the Forum
works.
PCC Leadership Conference -
USPS executives and representatives of successful Postal Customer Councils (PCCs)
provide guidance on building a better PCC.
Monday, Sept. 23
FOCUS ON LEADERSHIP -
PMG Potter delivers the keynote address, providing an update on the Postal Service's
Transformation Plan and its short-term and long-term initiatives. He'll also
give his perspective on issues facing the Postal Service and the mailing industry.
Tuesday, Sept.
24
ENHANCING THE VALUE OF THE MAIL -
PMG Potter, Chief Marketing Officer Anita Bizzotto, Chief Operating Officer
Pat Donahoe and other senior USPS and mailing industry leaders discuss initiatives
designed to improve service and the value of mail and to make mail more effective
and easier to use.
IDEA FORUM -
Idea Forum Award winners are recognized for their creative and inventive ideas
that have increased revenue and profits, or saved money, for their companies.

Wednesday, Sept. 25
Mailing Operations Management and Security - PMG Potter, Deputy PMG John Nolan,
Chief Operating Officer Patrick Donahoe, Chief Marketing Officer Anita Bizzotto,
Chief Postal Inspector Lee Heath and senior mailing industry executives discuss
the critical issues facing managers of mailing operations.
THROUGHOUT THE
FORUM
Business sessions led by senior level USPS and mailing industry executives will
provide additional insight into issues, policies and
priorities that impact business mailers and provide information on solutions
to mailing questions.
ALSO:
Earn the Mail Center Professional Certificate or Mail Center Security Certificate.
Special guest appearance
by Lance Armstrong of the USPS Pro Cycling Team!
RATEMAKING SUMMIT:
PART 2
Negotiated service agreements were the focus of discussion at the second session
of the Ratemaking Summit called by the Postal Service and the Postal Rate Commission
(PRC) to discuss new approaches to pricing postal products and services.
The session, held June 27 in Potomac, MD, was a follow-up to an initial meeting
on May 28 that focused on phased rates and ways to make postal price changes
more regular and predictable. This dialogue with mailers and others interested
in the ratemaking process is an important part of the Postal Service's Transformation
Plan, a blueprint for preserving universal mail service and strengthening the
mail system in the future.
Negotiated service agreements "can't be a new concept to most of you,"
USPS Chief Marketing Officer Anita Bizzotto told participants at the second
session. "You or your clients probably frequently buy and sell all kinds
of products and services through some sort of customized arrangements with your
supplier or some sort of negotiated rate agreement." The summit explored
how these types of agreements might or might not help the Postal Service in
terms of growth and volume.
Working with all segments of the mailing industry, USPS will continue to explore
improvements in the ratemaking process.
Transcripts of the summit are available on the PRC's website at www.prc.gov.
POSTAL NEWS BRIEFS
DIVERSE, AND IT SHOWS
For the third year in a row, the Postal Service ranks among the top of the nation's
major companies in embracing diversity.
USPS is eighth on Fortune magazine's latest "Best Companies for Minorities"
list. Notably, the Postal Service remains the highest-ranked transportation/delivery
service provider for the third consecutive year.
Fortune's selection was based on the Postal Service's commitment to hiring,
promoting and retaining an inclusive workforce.
BIG BUSINESS
USPS is ranked 29th in Fortune magazine's Global 500 listing of the world's
largest corporations, up from 33rd the previous year.
Top honors went to Wal-Mart, with revenue of $219.8 billion and nearly 1.4 million
employees. USPS, with revenue at $65.8 billion, was second on the list in number
of employees. These rankings are based on 2001 performance.
Rounding out the top 10 were ExxonMobil, General Motors, BP, Ford Motor, Enron,
DaimlerChrysler, Royal Dutch/Shell Group, General Electric and Toyota Motor.
USPS is the highest-ranked postal service and delivery company.
AUDITOR SELECTED
The Postal Service Board of Governors announced the selection of Ernst &
Young LLP as its independent auditor to perform external auditing services for
USPS.
The competitively awarded five-year contract, with an option for renewal of
up to 36 months, has an estimated value of $11.6 million. In line with previous
USPS policy, its external auditor will not provide the Postal Service consulting
work for the duration of its contract.
A "HEROES"
FINISH
The Heroes of 2001 stamp made its NASCAR debut at Daytona International Speedway.
A replica of the stamp covered the hood of a racecar driven by Jamie McMurray,
who finished fifth in the Stacker 2/GNC Live Well 250 Busch Series race. McMurray
and the Brewco Motorsports team volunteered to help promote the stamp, which
raises funds to provide assistance to families of emergency relief personnel
killed or permanently disabled in the line of duty in connection with the Sept.
11 terrorist attacks.
CLICK! YOU'VE GOT
POSTAL INFORMATION
Business Mail Acceptance/Business Mailers
Support (BMA/BMS) is proud to announce the launch of their new website - www.pilot.uspspostalone.com/nonsecure/bma.
It's a resource site for both USPS and its customers. There's information about
BMA/BMS programs and policies, including MERLIN (Mail Evaluation Readability
and Lookup Instrument) and Mail Preparation Total Quality Management. You can
learn about training programs such as The Business Mail Academy in Norman, OK,
and the BMEU (Business Mail Entry Unit) Proficiency Program. There also are
helpful links to USPS Web pages.
And don't forget, MERLIN information also is available at www.usps.com/merlin.

Volume 37 Number
8
Ilze Sella, Editorial Services
Frank Papandrea, Art Director
David Ostroff, Designer
Jim Fisher, Printing Specialist
John E. Potter, Postmaster General and CEO
Deborah K. Willhite, Senior Vice President, Government Relations and Public
Policy
Azeezaly S. Jaffer, Vice President, Public Affairs and Communications
MEMO TO MAILERS is published by U.S. Postal Service Public Affairs and Communications.

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memo to mailers
US POSTAL SERVICE
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fax: (202) 268-2392
e-mail: mmailers@email.usps.gov
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PCC website: http://www.usps.com/nationalpcc
Direct Mail Kit: (800) THE-USPS x 2110

LANCE, U.S. POSTAL
TEAM WIN FOUR IN A ROW
Lance Armstrong is the only American ever to win the Tour de France four times
and one of only five cyclists in history to dominate cycling's most arduous
competition.
With the support of an outstanding USPS Pro Cycling Team, Armstrong wrapped
up his fourth straight victory, rolling across the finish line in Paris with
an overall lead of 7 minutes, 17 seconds.
Armstrong praised his teammates, saying "I don't know how a team could
be stronger." All nine members of the USPS Pro Cycling Team finished the
Tour.
As a cancer survivor, Armstrong has been an inspiration to many people - not
just sports fans.
He says he plans to continue riding the Tour. Armstrong's contract with the
team runs through the 2004 season.