With the implementation of the Flats Sequencing System, the Postal Service has identified a very aggressive goal of minimizing carrier handling of flat mail. How to achieve that target and build on the FSS program is the objective of the FSS Optimization Project.

As part of this project, we're using Lean Six Sigma approach of analyses, tools and techniques to identify, analyze, measure and improve our flat mail processes. The goal is to develop an implementation strategy for short- and long-term changes in processing that incorporate FSS operations to achieve improved flat mail flow. This strategy also would incorporate customer and mail service provider handoff of flat mail to postal operations and end-to-end postal flats processes. USPS has developed a comprehensive plan for current processing needs, and is identifying additional areas of opportunity to leverage the benefits of the FSS program.

USPS continues to look for opportunities to eliminate waste, reduce processing costs and maintain high levels of accuracy and service.

Flats volume decline and how we are reacting

As a result of declining flats volume, USPS Operations is performing capacity reviews of phase one sites in order to determine what impact the decline has on planned FSS deployments. The team has updated site-specific models with 2008 volume information to measure the impact. Though all deployed unit sites are sized appropriately, this due-diligence effort continues with a deeper analysis of trend and implementation data.

There has been no decision on repositioning of any FSS units at this time but we are keeping our thumb on the pulse of flats volume trends and have implemented quarterly reviews to ensure we have the right number of machines in the right locations.