Pallets

1
Pallets

2
Background

• Cost
• 23M FY08
• 900,000 plastic 250,000 pressed wood 400,000
  wood
• 40M FY07
• 1.9 million pallets
• MTE current Inventory as of 4/23/08
• 69,000 plastic
• 14,000 pressed wood
• 38,000 wood

3
Group Participants

• Industry
• Phil Thompson - Leader
• Erv Drewek
• Chris Lien
• Joyce McGarvey
• Anita Pursley
• Wendy Smith
• Ernie Rojas
• Wanda Senne
• Kevin Vance
• Phillip Warren
• Mike Winn

• USPS
• Angie Burns - Leader
• Debbie Cataldi
• Krista Finazzo
• Jim Hardie
• Terry Knupp
• Cindy Mallonee
• Chris Oronzio
• Mary-Anne Penner
• Chuck Speelman

4
Goals

• Pallet round-up
• Identify pallet requirements by site
• Standardize equipment orders
• Minimize leakage of pallets through increased
  communications awareness
• Closed loop inventory control system

5
Current Status

• Round up completed
• 50,000 pallets
• Exploring alternative pallet types
• Testing of lower cost plastic pallets with
  tracking devices
• Development of Inventory Control System
• Development of Standard Ordering Process
• Development of solutions for acceptance
• SCF
•  

6
MTE Network
Existing
Phase I
Empty MTE
Request
MTE Shipment
Empty MTE
Mail on MTE
USPS Plant
Mailer
FAST
Mailer - Consolidator
7
Next Steps

• Group will continue
• testing lower cost plastic pallets
• developing Inventory Control System
• communicating acceptance/unloading requirements
• focus on industry practice of pallet usage not
  related to the induction of mail

8
Next Steps

• USPS is
• Purchasing 500,000 plastic pallets
• meet DMM requirements
• nest able
• lower cost
• lighter weight