One of the hottest topics at MTAC was definitely “Evolutionary Network Redesign (END)”. The END program is a cost-cutting (and hopefully improved service) initiative, focusing and realigning the current mailing network toshape-based processing facilities. The entire BMC, SCF, and DDU network that are familiar to drop ship mailers will change dramatically. Destination details will be coming out in the next few weeks. New destinations will include Regional Distribution Centers (RDCs), Local Processing Centers (LPCs), Destinating Processing Centers (DPCs) and delivery units. There is no indication yet as to how the drop ship discounting will be reallocated to reflect these new locations.
On February 16, the Postal Service filed a notification of a national network change with the Postal Rate Commission. An advisory opinion is expected to be issued within 90 days. The USPS intends to start making destination changes as early as May 15th, according to DM News (2/20 issue). Mailers need to have their drop ship mail delivered to the proper location, without delay our re-routing. During the realignment, destination changes and temporary drop point information will be a moving target. The destination database update quality will become critical.
These changes and the transition period will be a painful one for mailers if they are not prepared. Mailing Software users need to question their current vendors on how they plan to handle the anticipated changes. It needs to be a quick, accurate, and easy solution (like our weekly update). All drop ship mailers are going to need a resource to keep them informed and up to date.
Stop back for more information on this subject as it becomes available.