MEETING ON MAIL NETWORK OPTIMIZATION HELD ON 15.7.2010

A meeting for the introduction of the project on the Mail Network optimization to the staff unions was organized by the department on 15.7.2010. The staff side representatives of both the NFPE & FNPO federations and General Secretaries of P3, R3 & R4 unions were invited for discussion by the department. The meeting was held under the chairmanship of the Secretary, Department of Posts. The in charge of the Mckensey consultants for the India post was also present.

During the presentation, the official side intimated the following programmes are proposed to be implemented in the mails operations.

1.The main object of the project is to get the core right by’ End to end net work optimization, Significant quality improvement & Rigorous performance management.

End to end network optimization: Optimise India Post’s mail network from collection to delivery.

Significant quality improvement: Standardize and improve processes and reduce network complexity.

Rigorous performance management: Establish an effective management structure using KPIs and regular reviews

2. India Post shall be a trustworthy organization with high quality reliable service with improved working conditions.

3. First start with few projects for big cities and thereafter add more products for the same cities. Finally expand the same to all products across the country. Constant monitoring may be introduced by the Directorate like Project arrow.

4. Speed Post and International Mails were first taken for the project and introduced in six metros viz Delhi, Mumbai, Kolkata, Chennai, Bangalore & Hyderabad. The project has brought some significant improvements over the last six months and improvement could be felt in the process of speed post articles. The Bangalore SPC is the example.

5. While revamping the Speed post operations ( collection to delivery), the consultancy will be suggested about the network design, right processes, network schedule, cut off times, processing windows etc for speed post articles at first and then it will be extended to first class mails in order to ensure the maximum D+ 1 quality.

6.The look feel factors like Uniform branding as well as consistency, standardized interiors and exteriors of buildings and supportive infrastructure, identifying new technologies, upgrading the existing to ensure faster and better services, recognizing star circles, performers and ensuring 100% trained staff on field are the components, the department proposed.

7. The Project team Mckensey has been sought involvement in the process at all levels. Officers from Directorate and circle levels are visiting and personally involving. They are meeting the staff to understand the problem and making changes in the project on the ground itself.

8. The impact of the project is to ensure easier sorting by minimum handling, less workload by reducing the number of bags & missorts between different locations, better equipment, higher throughput by higher processing with improved process design, streamlined workflow by having optimized inflow of mails in the processing centers, prioritized processing based on the time of the day for maximum connectivity, regular interaction and display of SPC’s daily performance, suggestions and feedback encouraged and providing adequate training and incentives for high performers etc.

9.It will reduce the sorter distress ensuring minimum multiple handling from the present large multiple handling; ensuring maximum sorting with only one handling from the present position of pre sorting for all items before final sorting; priority to TD/NTD mails in the sorting reducing the number of bags and missorts between different locations within one city etc.

10. It will ensure 100% scan compliance, both for receipt and delivery. No article can enter or leave sorting area unless scanned. Optimizing sorting cages, reducing multi level sorting and revising sorting logic are in the agenda. Similarly uniform volume inflow will be ensured which leads to less pressure for staff on ground and better connectivity which results therefore better quality.

The following 18 KPIs are developed to create transparency in the process of the scheme.

1. Transit analysis within city.

2. Transit analysis across city

3. Time per leg of transit within city

4. Time per leg of transit across city.

These measures speed and reliability of processing of Speed Post articles from booking to delivery.

5. Scans compliance in the entire network

6. Scan analysis per leg of transit within city.

7. Scan analysis per leg of transit across city.

These measures for each processing step whether articles got scanned as prescribed.

8. percent of F scans in Speed Net vs. F Scans in IPS1

9. Percent of F scans in IPS vs. D scans in IPS.

10. Share of Speed Net Delivery Scans vs. IPS F scans (TBD)

These measures for international inbound article with the efficiency of movement at every step before merger with Speed Post.

11. Articles processed per hour per FTE

12 .Staff absenteeism

13. Share of bags without bag labels

14 .Share of articles not processed in SpeedNet

15. Share of articles closed after cut off time

16. Share of missorted articles

17. Share of articles with missing pin codes

18. Share of articles not dispatched same set

These supports achieving better D+x and scan performance.



At Present this project was introduced in six cities. During September, it will be extended to fifteen cities further led by eight Directors (Mail & Speed post). Thereafter the Project team will start working on first class mail. A Speed post manual for further rollout is now developed by the Directorate.

On the above points, the suggestions and view points of the staff side was invited by the chairperson of the meeting. On behalf of NFPE, we posed the question before the Secretary that other than the above, whether was there any hidden agenda in the project. We recorded our apprehension whether the project is with the aim of privatization or corporatization of the postal services. The Secretary replied that there is no hidden agenda and there is no privatization or corporatization programme of any services.

She asserted that the project is only to improve the services and there will be no closure of any sorting offices without consulting the staff unions in case if warranted. The project is similar to that of Project Arrow in order to monitor the mail operations by introducing RFID system and avoiding duplication of work.

We asked the view points of the in charge of Mckensy to detail his experience in the project. He replied that the geographical conditions and functioning are entirely different from Latin America, South East Asian countries and the present Indian system requires some modernization and they are practically studying with the consultation of officers and officials in the work spot.

We informed that after deep study of the materials and discussions among the unions, NFPE will offer our comments and reaction to the department at the earliest.



source;NFPE