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5/17/2017
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® Delivery Today for Tomorrow 1
® Delivery Today for Tomorrow 2
Delivery Today for TomorrowFuture Focused Evolution
Sunday, May 21 – 2:45pm
Baltimore Convention Center, Baltimore
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® Delivery Today for Tomorrow 3
It all started in Philly…
Benjamin Franklin is appointed the Postmaster of Philadelphia
1737 2007
® Delivery Today for Tomorrow 4
It all started in Philly…
Benjamin Franklin is appointed the Postmaster of Philadelphia
1737Kevin McAdams is appointed Postmaster of Philadelphia
2007
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1920 - 1975
Delivery through the Ages
1975 - 2017
Today, 26,600 USPS post offices handle more than 153 billion mail pieces annually, reaching every business and residential address in the nation
100 years ago, in 1917, USPS delivered 20 billion mail pieces through a national network of 55,000 post offices.
1800 - 1920
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Delivery through the Ages: 1800 - 1920
The Pony Express operated, each rider covering 75 to 100 miles daily
1861
Rural Free Delivery (RFD) is adopted nationwide, serving 6.8 million delivery points by 1919
1902
1864Free city delivery established in 65 cities; by 1900 it had expanded to 796 cities
Parcel Post inaugurated, delivering 300 million items in the first six months
1913
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Delivery through the Ages: 1920 - 1975Both Jeeps and three-wheeled “Mailsters” became popular for city delivery
1950s-1960s
USPS grew its Airmail services, contributing to early commercial aviation
1920s
USPS delivered 89.2 billion pieces of mail to 73.4 million delivery points nationwide
1975
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Delivery through the Ages: 1975 - 2017
The Grumman Long Life Vehicle (LLV) iscustom designed for USPS
1980s
USPS still uses mules to deliver to the bottom of the Grand Canyon!
2017
Handheld scanners scanned 2.7 billion pieces of mail and parcels
2016
First Promaster delivery vehicle deployed
2015
Segway scooters tested as delivery vehicles in 6 US cities
2002
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Operating the Largest Delivery NetworkUSPS delivers more mail to more addresses in a larger geographical area than any other post in the world
156MDelivery Points
343KCarriers
215KVehicles
229KDelivery Routes
31KPost Offices
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Our global delivery network
Proudly Delivering to Every AmericanDelivering the connection between every business and every customer
feet below sea level:
Death Valley, CA
feet above sea level:
Alma, Colorado
10,578
282
187miles:
longest route
1.1 Million new delivery points added last year
47%of the worlds mail
USPS delivers packages delivered per
hour on 12/19/16
1.5M
miles driven in one month
200M
Different forms of transport
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Customer ExperienceDelivering world-class service
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Delivery Impact and AccomplishmentsUSPS has enhanced the customer experience by investing in people, technology and our fleet
Delivery Operations maintains very high customer service
scores
Driving to 100% delivery accuracy—Continued annual improvements
More than 1.2B daily scanning events –
helping to track mail and packages through our
network
USPS Priority delivers faster on average for
several expedited shipping options
Delivery Survey results showed 4 out of 5 customer
respondents were Satisfied with USPS
Proud to Deliver Accurately!
Most Trusted Agency
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Delivery Impact and AccomplishmentsUSPS has enhanced the customer experience by investing in people, technology and our fleet
Delivery Operations maintains very high customer service
scores
Driving to 100% delivery accuracy—Continued annual improvements
More than 1.2B daily scanning events –
helping to track mail and packages through our
network
USPS Priority delivers faster on average for
several expedited shipping options
Delivery Survey results showed 4 out of 5 customer
respondents were Satisfied with USPS
Proud to Deliver Accurately!
Most Trusted Agency
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Focusing on Our CustomersDriving excellence in customer experience
Ease of Doing Business
Mobile and AgilePremier Experience for Business Mailers
Value Proposition• Serve the customer when, where
and how they prefer• Leverage the power of MyUSPS™• Different methods of Service for
different demographics
• Customers define requirements• Personalized service• Problem resolution• Efficient, reliable service
• Customer pick up• Parcel Return Service• Ship from Store
• Simplified preparation and entry• Modernized payment system• Seamless entry• Enhanced communications
Our product choices and featuresmeet the needs of changing customer
preferences
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Our Delivery Team Connects You with Your CustomersFocusing on customer experience through our delivery team
World class customer experience starts with a world
class employee experience
A positive employee experience is directly correlated with a
positive customer experience and impacts the bottom line
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Focusing on Our FleetFleet leadership is undertaking three initiatives to improve the customer experience
Extended CapacityLHD Vehicles
12,472
Mixed Delivery & Collection Vehicles
6,533
Service Vehicles
3,669
Administrative Vehicles
1,688
Improving utilization of available space
Replacing our aged vehicles
Maintaining our brand through our vehicles
Vehicle Deployment
By making these improvements, our Fleet is providing more reliable and higher quality service for you
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Scanning Technology: New Ways to Connect with CustomersInvesting in carrier scanning technology to deliver to the right place at the right time
Dynamic Routing Better Visibility
On-Time Delivery
Data Collection
Scan Delivered
Personalized Delivery
Real-Time Communication
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Delivering a World-Class ExperienceLeveraging our data to keep pace with evolving consumer and industry preferences
Informed Delivery
Delivery status updates, previews of daily mail, and direct consumer impressions
Parcel Return ServiceReverse logistics is a key component of e-commerce
Customized DeliveryAllows USPS customers to provide their customers a tailored delivery experience
Consumers trust USPS with nearly half of the world’s mail – how can we continue to exceed their expectations?
Offers customer convenience and extra working days to distribute delivery volume
Delivery 7 Days per Week
Visibility for Mail OwnerTracking site on usps.gov hosted 317 million visitors in 2014
Same-day DeliveryIncludes both packages and groceriesin select pilot markets
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Technology DriversDeveloping technology to meet the needs of
tomorrow
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Visibility EnhancementsMeeting the interconnected customer’s high expectations
Real-time status updates
Built-in accuracy assistance
Customer clarity for undeliverable items
Special delivery instructions for carriers
Efficient dynamic routing
Today’s Delivery Visibility Interface Tomorrow’s Capabilities
Expected Delivery Window (ExDW)
Expected Delivery Window Interface provides 2 hour delivery window
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Video: Expected Delivery WindowsThis is a placeholder slide for the ExDW video
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Connecting the First and Last Mile: Delivery Analytics Utilizing real-time delivery data to achieve a world-class customer experience at the first and last mile
First Mile
Last Mile
Parcel Return Service
Collections service
excellence
Pickup scanning
Increased delivery
accuracy
Parcel locker location
optimization
Customer-to-Carrier issue
resolution
Dynamic routingTarget customer analytics
Active modeling to increase staffing and planning efficiencyReal-time visibility of carrier movement
Built-in change of address accuracy
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Mailbox of the FutureReinventing package delivery and pickup for cost savings and consumer satisfaction
Keyless Parcel Lockers and USPS GoPost
Community Parcel LockerNext Gen Mailbox
Holds multiple packages and letters
Safe delivery locations, convenient PIN access, and email notifications
Provide safe package delivery locations
Installed Pilot ProgramDeployment Ongoing
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Reduction from 5 pre-delivery touches to 2
State of the Art RoutingEmploying new technologies to improve delivery speed and accuracy
Deliveries
Customer Pickups
Mail Drops
Collections
Relays
By dynamically
routing:USPS is achieving:
Enhanced visibility for customer
Cost efficiencies
Real-time route adjustments
Personalized delivery options for customer
Optimized line-of-travel
Customized Delivery product options
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Local Operations Centers (LOCs)Employing technology to optimize local deliveries
LOC
Reporting
Real-Time Adjustments
Monitoring
Improved Performance
Connected Communications
Network
End to End Visibility
Locations 1 HQ Level 7 Area Level 67 District Level
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Future FocusedPreparing for a changing
delivery environment
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Reshaping Tomorrow’s Delivery ExperienceTechnology investments improve the customer experience while yielding efficiency gains
Investing in the customer experience prepares us to deliver at the right place at the right time in light of evolving consumer preferences
Community Delivery Centers
Customized Delivery
Freedom Delivery
Predictive Delivery Windows
Consolidated delivery locations improve both safety and efficiency
Customers receive items when and how they would like
Nimble carrier utilization enables faster and more accurate deliveries
Last mile visibility improves customer satisfaction and operational efficiency
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The Technology Shaping Our FutureRapid technology improvements create new possibilities for deliveries of the future
Tech
nol
ogy
Ad
van
cem
ent
Time
Ship-from-Store
Trunk Delivery
Crowdsourced Delivery
Autonomous Vehicles + Drones
Same-day Delivery
Curbside Delivery and Autonomous Vehicles
In-transit Delivery
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Next Generation Delivery VehiclePreparing the fleet to exceed customer expectations in a digital world
Expected Deployment: 2020
USPSUSPS
Real-time Network Updates
Customer Visibility
Transportation Infrastructure Analysis
Next-generation Mailboxes
End-to-End Communication
Deployable Autonomous Delivery Service
Environmentally Conscious Increased Cargo
CapacityImproved Safety
Enabling Interconnected Delivery
Advanced Agility and Performance
Interconnected Delivery Technology
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SustainabilityPutting our stamp on a greener tomorrow
Nearly 50,000 USPS vehicles use alternative fuels, including CNG, LPG, or E-85
Water Conservation
Consumables Reduction
Recycling and Zero Waste
Energy Use
Vehicle Petroleum Use
DRAFT
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Smart Cities and Urban LogisticsLast mile delivery in an evolving urban environment
The Need Goals
• Cities are under prepared for the global shift to urbanization
• Almost 180,000 people move to cities each day
• By 2030, 60% of the world’s population will be urbanized
Role of USPS
• USPS operates one of the largest civilian fleet in the world
• Collects terabytes of scan data providing insights into urban systems
• Collaborating with universities and research institutions onreshaping the urban future
• Alleviate urban congestion, especially during rush hour periods
• Reduce logistics costs across the entire last-mile value chain
• Improve delivery experience for customers
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Enhancing our Customer Experience Developing Our Technology
Investing in our People
Upgrading our Fleet
Carrier Scanning Technology
Mailbox of the Future
Enhanced Visibility
LocalOperations Center
Future Delivery Operations
Next Generation Delivery Vehicle
Drone Delivery
Smart Cities
Sustainability Focused
Personalized Delivery !
Today Tomorrow
Providing the world-class delivery experience for your customer and your brand
USPS Continues to Deliver your Brand
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Q&A