Packages, Bundles, and Material Handling Equipment

Automation of package and bundle sorting is being addressed by the current deployment of 74 Automated Package Processing Systems (APPS), which is expected to be completed in 2006. APPS uses optical character and barcode readers to improve distribution productivity. APPS is replacing many of the older technology Small Parcel Bundle Sorters and is driving the need for 100 percent readable and accurate package barcodes. Bulk Mail Center secondary parcel sort systems will also be upgraded to improve read rates and productivity. Universal sorters will be deployed at select processing centers to improve package, bundle, and tray sorting.

Implementation of the Integrated Dispatch and Receipt (IDR) system, coupled with off-the-shelf mechanical systems and high-speed robotics, will assure better workflow and material handling. IDR systems automate mail dispatch and receipt at processing facilities. Each IDR system is a site-specific combination of different equipment and includes seven previously deployed equipment types and three new systems. Deployment is expected to be complete in 2006. Additional material handling improvements will replace outdated sack sorting equipment with high speed tray sorters where applicable.

Facilities

In the 2002 Transformation Plan, the Postal Service developed and implemented strategies to improve management of its real estate assets including the sale and leasing of unneeded postal properties. Since then, revenue from disposal and leasing of postal properties has averaged about $65 million annually. The Postal Service will continue to identify and dispose of excess facilities and eliminate redundant floor space. In 2006 the Postal Service will benchmark its Building Design Standards against comparable industry practices. Cost effective best practices will be adopted, including flexible standards that accommodate changing operational requirements and future disposal potential. Reductions are targeted for both facility delivery time (site selection, community process, project approval, design, and construction) and total construction costs.