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Network Distribution Center (NDC) Update. Jordan M Small Vice President, Network Operations. Agenda. Update on Activation Results Impacts Next Steps. Update on Activation. Decision to Accelerate Implementation. Peak Season Approaching. Accelerated Implementation. Phase 1. Phase 2.

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Presentation Transcript
Network distribution center ndc update l.jpg

Network Distribution Center (NDC) Update

Jordan M Small

Vice President, Network Operations


Agenda l.jpg
Agenda

  • Update on Activation

  • Results

  • Impacts

  • Next Steps


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Update on Activation

Decision to Accelerate Implementation

Peak Season Approaching

Accelerated Implementation

Phase 1

Phase 2

Phase 3

Phase 4

  • 5/18 – 7/17

  • 3 NDCs

  • Complete

  • 8/10 – 9/11

  • 6 NDCs

  • Complete

  • 9/14 – 10/9

  • 5 NDCs

  • Complete

10/19 – 11/20

7 NDCs

4

X

  • Mar 1-12

  • 3 NDCs

  • Complete activation


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Results – Package Service Scores

Start of NDC Activation

15-20% service

increase

SPLY

Jan 30


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Network Impacts

  • Operational Impacts

    • NDCs operate like P&DCs

    • Live loads and unloads at all NDCs

    • Operating plan changes required to coincide with STC containerization & dispatch plan

    • NDC sort to ADCs, AADCs and NDCs

  • Transportation Impacts

    • Streamline network

    • Increase utilization of assets

    • Improve transit time


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Mail Preparation Impacts

  • Separation requirements

    • Standard:

      • Local NDC service area

      • Network NDC split(s)

        • Two splits required for directional dispatch sites

    • Periodicals:

      • L201 (First Class Surface destinations)

      • Rest of Network

  • Integration of Origin mail preparation

    • USPS Retail, BMEU and Plant separation enabled through the use of Retail Distribution Codes


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Customer Impacts

  • Improved Service

  • No expansion to the number of entry points

  • No required changes to FAST or Critical Entry Times (CETs)

  • Minimal changes to origin induction preparation


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Next Steps

  • Complete activation: March 1-12

  • Consolidate Mixed States distribution into 18 sites beginning April 5

  • Combine STC and NDC operations in the NDC facility

  • DMM Modification


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