Friday, February 4, 2011

Printer Praises Postal Plant Consolidations

The U.S. Postal Service's stepped-up efforts to consolidate its mail-processing facilities is good news for printers that handle dropshipped mail, according to a printing executive.

"There is a definite need to rightsize. Therefore we are in complete support of the USPS efforts in this area," wrote Joe Schick, Director of Postal Affairs at Quad/Graphics, in a company publication that was released Thursday. Quad is the country's #2 printer and a major shipper of catalogs, direct mail, and magazines to postal facilities.

"Total mail volume is expected to be about 170 billion pieces in 2011 while the current postal processing network has the capacity to support more than 300 billion pieces."

More than 40 processing and distribution centers are the subject of Area Mail Processing studies to decide whether some or all of their work should be moved to nearby P&DCs. In a recent one-week period, seven new AMPs studies were announced, as described in Postal Service 'AMPs' Up Facility Consolidations.

"It is an opportunity to reduce Postal Service costs while at the same time provide efficiencies to our distribution and drop-ship process," Schick wrote. "As facilities are consolidated and mail is processed in fewer facilities, we're able to build loads that have fewer stops, which should help us manage our transportation costs and make it easier for our drivers to get in and out of postal facilities."

"Unfortunately, local communities and Congress are making this difficult for the Postal Service. It's one example where the USPS is trying to do the right thing, but politics gets in the way."


Anonymous said...

Again the mailers want to reduce their costs and increase the USPS cost, more mail subsidies, The idea in drop shipping is the mailer gets a discount for delivering the mail to the closes post office that the mail is to be delivered to, saves the post office from getting the mail sent to the USPS plant closes to the printers and then the post office distributing the mail on there trucking system. By consolidating the drop shipment points the mailer/printer reduces his cost and the postal service increases there transportation cost. Its "I want something for nothing syndrome”.

Anonymous said...

The PO never does anything that won't benefit themselves. Whatever the benefit is, will be hidden behind a smoke screen so the PO can cry about it.

Anonymous said...

Here is an idea for you. Let's have you drop off all of your products at one central location. I will save you a ton on shipping. Then we will get rid of all of your discounts

Anonymous said...

This is why they are praising consolidations... they are illegally getting more of a discount than they should AND are benefiting from the illegal activity at the expense of others: