Monday, May 14, 2007

Outsourcing Mail Services


From TODAY Magazine-

Does It Make Sense For Your Company?
By John Walsh



“Time is money.” Benjamin Franklin’s famous quote rings true
even today, as every company makes decisions on what services to outsource and which ones to keep internally. Key factors that always seem to come into play when deciding whether to outsource include time and cost – how much time is spent on the activities internally, and how much would it cost to have a third party perform those activities? This certainly applies to the mail department, as many of you know. All other factors aside, who doesn’t want to save time and money on mail services? Many companies have found that outsourcing theirmail services can save quite a bit of time-intensive labor – but not all companies qualify for outsourcing.We encourage you to re-evaluate your mailroom operations and consider all the possibilities in order to maximize time and money. Here’s a quick rundown of some of the main issues to consider while evaluating your mailroom operations. And if you decide that outsourcing might work for your company, we also provide a more in-depth look at the technology offerings and capabilities of mail services providers. Investigating Your Mailroom Operations Take a closer look at what kind of mail your company is currently sending. Is it Priority, First Class, Standard, media mail, or bound-printed matter? Are you sending brochures, catalogs, lightweight mail, electronics, or bills? If you mail personal items such as birth certificates, licenses, payment coupons, stock certificates, or other items of this nature, your company is probably better off keeping mail services in-house, since many personal items must remain First Class and cannot be handled bymail services providers, as dictated by U.S. Postal Service regulations. Other mail, however, might qualify for outsourcing. How much does your outbound mail typically weigh? If your company is currently shipping items First Class through the U.S. Postal Service, consider outsourcing your mail operations to a mailexpeditor that can help lower costs while ensuring that your mail under a pound is delivered in a timely fashion. Also, many mail providers specialize in certain volumes or types of mail. Take a look at the mail providers’ qualifications for types and sizes of mail, and consider where the mail is going – will it be mailed overseas or somewhere in the United States? Rates and qualifications differ based on where the mail is headed. Consider the frequency of your mailings. How often do you send mail? Is it on a daily, weekly, monthly, or yearly basis? Do you have one large mailing two to three times a year? Depending on the frequency of yourmailings, it is imperative to evaluate how much time your staff is putting into the process of preparing mail. Also think about how your mail is processed. Examine mail operations from the start – from creating mail pieces to applying postage and sorting. How much time, energy, and cost goes into this process, and how many people are involved in the process? Mail services providers shorten the process by taking your mail, applying postage, sorting, and picking up the mail for distribution to the post office for final delivery to the destination. The value or time sensitivity of your mail items should dictate the level of security and visibility into your mail activity. Do you need to know where your mail is at each point in transit? Would you like a regular report of activity? Mail providers may offer a status report so that you are always aware of where the mail is, at any time.

Implementing Outsourced Mail Service OK, so let’s say you’ve examined your internal mail operations and you’ve researched different mail services providers. You’ve decided that your company’s mail meets postal regulations and you plan on outsourcing some but not all of your mail operations.
What’s next? Once you have agreed to start using a mail services provider, a
sales representative will come out to get your account set up. You will get a proposal with rates and materials for setup. Then, you will fill out forms that list the types of mail and specifics about the mail that you’re sending. The last step in this process is to set up the
shipment tracking system and establish lines of communication with your mail provider to ensure you are constantly aware of what is happening with your mail. This fast and easy process usually takes just a few days. And you might just end up saving anywhere from 10 – 50% on your postage. Now, you may be wondering how mail services providers can offer these cost savings and streamlined services.
The answer, in part, is technology. Technology Offerings Mail services providers can provide the convenience and ease that many companies come to appreciate. For instance, many providers offer technologically advanced processing and sorting systems that expedite themovement ofmail pieces. UPSMail Innovations has such a technology – the Automated Processing System (APS). APS is an advanced technology system that significantly cuts down on manual handling during mail processing. APS includes both hardware and software applications. As pieces of mail are passed through the APS, the equipment measures the mail’s length, height, and thickness while the address is scanned. The measurements and address are stored in a database and filtered through a software program, which evaluates how to route the mail piece before applying postage. Approved by the U.S. Postal Service, APS technology identifies what type of automation the Postal Service should require for the piece, easing its induction into their system and promoting the U.S. Postal Service’s efforts to achieve 100 percent automation compatibility. APS provides a variety of benefits for customers, including– but not limited to – overall cost savings on postage and overall mailroom cost reduction.

In addition to processing and sorting capabilities, many providers offer online delivery confirmation and tracking so that customers know exactly where their shipment is in transit. UPS Mail Innovations has a service called the Accurate Reporting and Tracking Systems (ARTS™) that allows you to view shipping reports by date range, shipment control number, or cost center summary. The report that customers receive enables them to have quick and easy
access to shipment data; customer service at their fingertips; financial management tools; and distribution management. Mail services providers can provide tracking capabilities that
allow visibility of mail pieces, from the pick-up spot to the final destination. In addition, mail services providers can often provide electronic invoicing for customers so that bills can be sent to all cost centers in a fast, streamlined manner. This reduces in-house costs because one e-mail is sent to all end-users. Overall, mail services providers offer the latest technology and services that can help businesses save time and money. Now that’s a winning combination.
John Walsh is Vice President of Business Development for
UPS Mail Innovations www.upsmailinnovations.com.

3 comments:

Anonymous said...

Nice article. Wanted to write about this topic too but will just lead my readers to this post.

tax preparation services said...

Outsourcing is the wisest decision in the background of economic recession, predict the high priests of economic management.
Regards,
tax preparation services

Outsourcing Services said...

Nice one regarding outsourcing mail services...

Now a days most of the companies adopted this kind of strategy for maximizes profits and minimizes losses.

Another benefit is that outsourcing allows companies to avail high-quality services. So now a days outsourcing services are most important in every business organization.