“Forward ever, backward never: onwards with Breaking Through”
No 88 -2018

Formulated by UNI Apro Post and Logistics Sector

Royal Mail opens six temporary Parcel Sort Centres to help handle Christmas volumes. October 31, 2018.

China Post Express Information System Wins Industrial Science and Technology Award. October 29, 2018.

Posten Norge Set For Further Restructuring.
October 26, 2018.

Roadie emerging as a major solution to your last – mile delivery . October 26, 2018.

Deutsche Post DHL Group and S.F. Holding in RMB 5.5 billion landmark supply chain deal. October 26, 2018.

How the CWU is fighting to Save Our Post Office – and how you can get involved. October 25, 2018.

Royal Mail opens six temporary Parcel Sort Centres to help handle Christmas volumes

October 31, 2018
Royal Mail is opening six temporary parcel sort centres for the Christmas period as part of its festive operation.
The parcel sort centres are again being set up to sort a significant proportion of the seasonal parcels Royal Mail handles, before they are delivered to the door by Royal Mail’s postmen and women. Last year, Royal Mail handled around 149 million parcels during the Christmas rush.
Around 2,700 seasonal workers will be based in the parcel sort centres. They will support Royal Mail’s 120,000 permanent postmen and women, who sort and deliver the mail all year round, including Christmas which is the busiest time of the year for the UK postal service. Royal Mail Group is taking on 23,000 seasonal workers in total this year across all its operations.
Royal Mail has set up a dedicated website for people to apply for the Christmas positions, https://christmasrecruitment.royalmailgroup.com/ or by emailing Christmas_helpline@royalmail.com or by calling the automated helpline on 0345 600 1785. Competitive pay rates are offered at all sites along with a flexible range of shifts and for those who want to work flexibly or less than 20 hours a week.
This is the eighth year that Royal Mail has opened a dedicated network of parcel sort centres. The use of additional temporary parcel sort centres is now an integral part of Royal Mail’s substantial financial commitment to additional resources at Christmas, to handle the festive mail bag.
The parcel sort centres are in in Atherstone in Warwickshire; Bathgate, West Lothian; Cardiff; Wakefield, West Yorkshire;  Skelmersdale, West Lancashire and Greenford in west London,  The centres will open on a phased basis from next month.

Source : https://www.royalmailgroup.com/en/press-centre/press-releases/royal-mail

China Post Express Information System Wins Industrial Science and Technology Award

October 29, 2018
The “Innovation about the Construction of China Post Express Information System” project, jointly declared by the China Postal Express and Logistics and its East China Supply Chain Operations Center, won the scientific and technological progress second prize of the Science and Technology Award of the China Federation of Logistics & Purchasing (CFLP) recently.
The CFLP Science and Technology Award is awarded by the Ministry of Science and Technology of the People’s Republic of China (P.R.C.). In accordance with the development of the logistics industry, China Postal Express and Logistics developed China Post Express, which is a basic, standardized and network-based freight express product, in June 2017.
The China Post Express Information System is a comprehensive system management platform which was developed around the design concept of China Post Express, combined with the operation mode of Car Free carrier and based on the management requirements of the franchise system.

At present, the system supports postal and delivery services in 13 provinces and cities, such as Beijing, Shanghai, Tianjin, Jiangsu and Zhejiang. Many technological innovations, such as the visualization of a delivery journey, innovative use of new mobile technology and cash-free transactions, have been adopted in the system to improve production management .

Source : http://english.chinapost.com.cn

Posten Norge Set For Further Restructuring

October 26, 2018
Posten Norge has revealed its results for the third quarter 2018. It said that the decline in mail volumes, and subsequent decline in revenue and the profit, is driving the need for further restructuring.
The company’s revenue in the third quarter was NOK 5 643 million, representing a decrease of 2.8 % compared with the third quarter of 2017. Adjusted operating profit in the third quarter amounted to NOK 126 million.
In the third quarter of 2018, mail volumes dropped by 15.5 %.
“Market developments are driving the need for further restructuring of the postal network. Each household on average is now receiving only three items of addressed mail a week. This level no longer justifies the need for daily mail distribution. Alternative solutions will have to be found for customers with special needs, such as newspapers,” says Tone Wille, CEO of Posten Norge.

Logistics segment
The logistics segment increased revenues by NOK 451 million to NOK 12 604 million year to date in 2018. Organic growth was 4.9 per cent. Adjusted operating profit for the logistics segment was NOK 87 million in the third quarter, NOK 10 million higher than the same period in 2017. The performance was impacted by a weak start to the year, mainly due to additional resources needed to implement the new terminal structure.
“It is gratifying that in the third quarter we can begin to see the effects of the previously announced streamlining measures in several areas, and that the adjusted profit for the logistics segment has increased compared with the same quarter last year. However, the overall profit for the logistics area is still not satisfactory, and work on improvement measures continues,” says Wille.
The Norwegian parcel and freight network is undergoing an extensive restructuring process that will continue until 2020.

Mail segment
Revenue so far this year was reduced by NOK 979 million compared to 2017, to NOK 5 986 million. The main reasons were lower volumes, the sale of Bring Citymail Sweden and lower revenue due to the introduction of a single addressed mail stream from 1 January 2018.
“I expect the proposal for amendments to the Postal Act to be presented and discussed in the Storting (the Norwegian parliament) this fall. This is necessary in order for us to have adequate time to prepare for mail delivery every other day from 2020. The alternative is that the state’s payment for the purchase of unprofitable universal service obligations will continue to increase. Fewer fixed distribution days will not preclude good delivery solutions for mail and e-commerce parcels in the future too,” says Wille.
In the third quarter, 91.5 % of addressed mail was delivered within two days, well above the 85 % requirement. So far this year, the proportion of letter mail delivered within two days was 90.3 %.

 Source : https://postandparcel.info/98724/news
Roadie emerging as a major solution to your last – mile delivery
October 26, 2018
It all began when a humble remodeling project stalled out. Marc Gorlin had ordered tile from a manufacturer, but it was smashed to bits when it reached his doorstep. There was a warehouse a few hours away that had a couple boxes of tile, but he had no practical way of getting the tile that day except for making the five-hour round-trip drive himself.

“I knew there had to be someone already making that trip who would be more than willing to throw my tile in his or her trunk for $20. From that problem, Roadie was born,” he tells FreightWaves.

Part of the power of crowdsourced tech is the elegance of the solution. Who doesn’t wish they’d invented the relatively “simple” idea of Airbnb or Uber? In the hyper-competitive age of online commerce, and the retail apocalypse, retailers from all over are struggling to meet high consumer expectations: free same-day and next-day delivery. While many believe it’s unreasonable to continue to expect the trend to continue, others are banking on a growing intensity to solve the last-mile conundrum.

Roadie is one of the reasons why you can expect to have your cake and eat it too. Roadie is the first “on-the-way” delivery service that puts unused capacity in passenger vehicles to work by connecting senders with drivers who are already going that way. The company works with top retailers, airlines, and grocers to provide them with a faster, more efficient, and more scalable solution for same-day and last-mile deliveries nationwide.

With over 80,000 verified drivers, Roadie makes it possible for companies to ramp up service in new markets in weeks and to quickly scale up by adding employees, customers, and other nearby drivers to the platform. The company has delivered to more than 11,000 cities and towns nationwide—a larger footprint than Amazon Prime. They cover all 50 states and offer a photographic chain of custody, real-time tracking, and security code delivery confirmation.

The beauty of the crowdsourced delivery business model is that it leverages existing resources. The model taps into the 1 billion square-feet of unused space in cars already on the road. The net effect amounts to helping retailers create a cost-effective delivery service that exceeds customer expectations, increases sales, and has a minimal impact on margins. It also can have a net direct effect for individuals who want to use the service.

Roadie is more of what you would call an on-the-way delivery, with less emphasis on the “on-demand” part. That’s part of what makes it so efficient and affordable. Most on-demand or courier-style delivery providers have higher fixed costs, limited geographic footprints, and restrictions on package size.
What distinguishes them from some other fly-by-night competitor that might just come along, throw out an app, and say they’re doing the same thing?

“Really it’s four things,” Gorlin says. “It’s customer service. You can literally talk to a real person anytime. It’s also distance. Generally competitors are tight with radius. We don’t care. We can do miles over 70. We can do big and bulky too. We can do a couch as easily as a hammer from Home Depot. And probably when you start looking into this industry, what you want to see is flex capacity. What if you go from a standard amount of delivery like at unlimited amount of drivers that can flex when things get busy you can handle the peaks and valleys?”
The company is seeing partnerships with Home Depot, Tractor Supply, and Delta Airlines as things expand and develop. “Lots of brand names,” says Gorlin.

“Home Depot’s going great. They’re getting their supply chain hyper-localized and everything omnichannel. 5 days or 2 days or 2 hours. Whatever you need. Items can move from local stores. You can meet that rapid customer response time. You’re using your customers and employees in your very store. And we’re doing it all over. In rural communities, too. Not just in the major hubs. We’re all over. We’re also in markets that a lot of people might not expect like Chattanooga and Eugene and Savannah. People can crowdsource from all over.”

When you consider all the implications of the service, it may be one of the biggest deals happening in the industry that you haven’t heard about. “There’s an environmental impact,” says Gorlin. “You’re using people that are already on the road. Secondly, the overpacking. That’s such a big issue for retailers—you’re not worrying about the packing and peanuts and stuff because essentially the product can sit in someone’s backseat.”

Gorlin agrees. “It’s incredibly undercovered.”The company, which was launched in February of 2015, has now raised a Series B in funding to accelerate their reach. Among their investors are celebrities like local Atlanta native, Ludicrous.
“He’s sort of an Atlanta icon,” says Gorlin. “He does a lot for the community, does things for kids. Same thing with Roadie. It’s about community. Same thing with Waffle House. They’re a partner. You’ll see a theme in partnerships.”

Source : https://www.freightwaves.com/news/startups/technology

Deutsche Post DHL Group and S.F. Holding in RMB 5.5 billion landmark supply chain deal
October 26, 2018
Through this deal, Deutsche Post DHL Group and S.F. Holding enter a 10-year strategic partnership to grow supply chain operations in China.

Through this approximately EUR 700 million deal, Deutsche Post DHL Group and S.F. Holding enter a 10-year strategic partnership to grow supply chain operations in China.
Deutsche Post DHL Group's supply chain China business to be incorporated into S.F. Holding, and operate as a co-branded organization.

Shanghai - Deutsche Post DHL Group has entered into a landmark deal that will transfer its supply chain operations in China to S.F. Holding, a leading premium logistics service provider in the country. The transaction involves the supply chain business in Mainland China, Hong Kong and Macau, herein after referred to as "China". This has no bearing on Deutsche Post DHL Group's business activities in international express, freight transport and e-commerce logistics solutions in China.
As part of this strategic deal, Deutsche Post DHL Group will receive an upfront payment of RMB 5.5 billion (approximately EUR 700 million) and a revenue-based partnership fee over the next ten years. S.F. Holding will have access to Deutsche Post DHL Group's best-in-class supply chain services, management expertise, transportation and warehousing technology. The co-branded organization will operate under the leadership of Yin Zou, the current CEO, Greater China of DHL Supply Chain, along with his existing management team.
This strategic partnership will allow Deutsche Post DHL Group to continue to participate in the fast-growing Chinese supply chain market, leveraging S.F. Holding's extensive domestic infrastructure, distribution network and broad base of local customers. This will accelerate the expansion of the co-branded organization's customer base. Deutsche Post DHL Group is committed to enhancing the organization's product and services offering by providing the breadth of its global supply chain expertise.
"The joint capabilities of Deutsche Post DHL Group and S.F. Holding will create a unique platform to meet the need for a high quality end-to-end supply chain provider in China. S.F. Holding's local market expertise in China has real advantages for our customers across all industries including technology, healthcare, retail, automotive, and e-commerce. Combined with our global operations standards and network support, the agreement provides a solid foundation to continue exploring further opportunities in China in the coming years," said Frank Appel, CEO Deutsche Post DHL Group.
"S.F. Holding has been actively expanding its business-to-business (B2B) capabilities and pursuing different strategic partnerships to grow S.F. Holding into a truly integrated logistics solutions provider that delivers best-in-class services for our clients. This partnership agreement will strengthen our capability in providing supply chain services to a diverse realm of industries and allow us to bring world-class management expertise into our supply chain business operations, enabling us to further understand and tailor to our customer needs," said Dick Wong, Chairman, S.F. Holding. "This agreement will help us achieve our vision to grow further internationally, partnering with Deutsche Post DHL Group, a world class organization."

Source : https://www.dpdhl.com/en/media-relations/press-releases/2018

How the CWU is fighting to Save Our Post Office – and how you can get involved

October 25, 2018
The CWU is campaigning to keep post offices open and running in the midst of a controversial programme of closures.

A post office is not just a place for sending parcels; it brings the community feel to a town or village. A post office enables us to connect with millions of people and offers a variety of goods and services that without would see the community struggle.
But due to closures, privatisation and neglect, this key part of British culture is under threat, due to the plan to ‘franchise’ 74 post offices – a plan which would hand them over to high-street retailer WH Smith – and which the union argues is nothing more than a privatisation by another name.
An estimated 800 post office workers’ jobs are at risk under this plan, the scale of which roughly equates to 1/3 of the Crown office network.
For the campaign, the union has created a unique tool that is simple, incredibly effective, and will help members and others get involved.
Clicking on this link www.saveourpostoffice.co.uk directs you to the campaign website that offers a multitude of ways to get involved.
You can contact your MP, explaining  the impact Post Office ‘franchising’ will have on the local economy and encouraging them to push for a debate in Parliament to oppose the closure of our post offices.
Whether you know the name of your MP or not is no problem, as the campaign site provide a search engine that finds them for you by entering your postcode. Once you have found them you simply send off the letter.
Also, please use the online petition. For which we hope to amass thousands of signatures to show the Government their plans to use WH Smith as an alternative is a complete injustice to the hardworking post office workers.
The CWU also asks for the website to be promoted and shared in any way you can. All support for the cause is appreciated, sharing the link on Facebook and retweeting tweets the CWU have put out along with various Labour MPs who want to back this important cause allows us to use our platform for workers rights effectively and in turn keeps a vital public service from being closed by an already failing Government.
‘Support our campaign to Save the Post Office’ said Dave Ward, the CWU’s General Secretary, at the kick-off of the Campaign. He said it was good to see people “debating policies and taking to the streets to support the campaign.”

Source : https://www.cwu.org/news

No 89 -2018

Formulated by UNI Apro Post and Logistics Sector

International Mailers Advisory Group says leaving the universal postal union is the wrong move. November 1, 2018.
2,800 Postal Workers Join Picket Lines This Morning. November 1 2018.
Posti unveils largest parcel locker facility in Finland. October 30,  2018.

Hanergy’s Higher Endurance Solar Powered Express Delivery Cars Aim To “Green” The Industry. October 30, 2018.
Coalition: USPS Needs ‘Breathing Room’ to Pursue Long-Term Reform. October 29, 2018.   

International Mailers Advisory Group says leaving the universal postal union is the wrong move
November 1, 2018
The Oct. 29 editorial “We’ve got mail” agreed with the Trump administration’s decision to withdraw from the Universal Postal Union but failed to consider the wider implications, which go well beyond terminal dues. The UPU sets standards for the global postal network, including for operations, automated payment systems, containerization and dangerous goods. As the UPU director general noted, the United States would lose access to global processing systems that make international mail possible. As an association that represents primarily U.S.-based outbound shippers, we have members who are concerned that export prices will increase. And uncertainty around rates and operational changes dampens exports because businesses don’t know what to plan for.

Finally, withdrawing from the UPU could prove harmful to the United States’ goal of collecting advance electronic data on inbound shipments from foreign posts; the recent opioid legislation requires it on 100 percent of packages by 2021. An efficient global standard must be developed to support effective data transfer among the 192 postal administrations and their respective and distinct customs authorities. The UPU system provides the best framework to achieve that standard.

Source : https://www.postaltimes.com/postalnews

2,800 Postal Workers Join Picket Lines This Morning

November 1 2018
Members of the Canadian Union of Postal Workers (CUPW) working in three more locals across the country walked off the job on Thursday morning. Workers from the Regina (SK), North Bay (ON) and Outaouais (QC) locals joined their 1,850 fellow workers from Hamilton (ON) and La Mauricie (QC) who went on strike earlier today.
“We have a health and safety crisis at Canada Post. We've seen injury rates skyrocket. This has got to be fixed,” says Mike Palecek, CUPW National President. “Management refuses to address the urgent health and safety issues that have left postal workers the most injured group of workers in the federal sector. And the wage increases Canada Post so proudly talks about are well-below the expected inflation rate. These offers are far from significant to us. We will stay on the picket line as well as the bargaining table until we reach fair agreements for all our workers.”
Workers in the following locals returned to work last night and earlier today:
Arnprior-Renfrew, Ontario
Charlottetown, PEI
Summerside, PEI
Vaudreuil-Dorion, Quebec
Valleyfield, Quebec
Sorel, Quebec
Joliette, Quebec
Ste-Thérèse, Quebec
St-Jérôme, Quebec

CUPW members are still without agreements for the Urban Postal Operations and Rural and Suburban Mail Carriers (RSMC) bargaining unit after almost a year of negotiations.

Source : https://www.cupw.ca/en

Posti unveils largest parcel locker facility in Finland

October 30, 2018
Posti has opened the largest parcel locker facility in Vapaudenkatu in Jyväskylä, Finland, with 387 locker spaces.
Parcels can also now be conveniently picked up directly from the parcel locker instead of the service desk, with the locker available to customers every day from 7am to 10pm. Four other Posti outlets will also receive parcel lockers in November.

Lasse Huttunen, director of retail network at Posti, said, “The parcel locker is the most popular way to pick up items, as it can be done in just seconds.
“The service desk will also be able to serve customers more quickly when most of the pick-ups can be done via the parcel lockers. The employees will have time to instruct customers in using Posti’s new services, such as the OmaPosti application.”
Jyväskylä’s renovated Posti outlet has digital displays to guide customers and tablets that offer digital services. Cards, stamps and packing materials are all available for purchase too.

There are post office boxes and a roller track for business customers, enabling pre-paid items and contract customer items to be left for delivery quickly and without queuing.

Source : https://www.postalandparceltechnologyinternational.com/news

Hanergy’s Higher Endurance Solar Powered Express Delivery Cars Aim To “Green” The Industry

October 30, 2018
Hanergy Glory Solar Technology has successfully produced the latest solar powered electric express delivery cars (Solar Runner #1) to China’s top delivery companies, STO Express and ZJS Express.
Installed with 320W of the world’s most-efficient flexible and light-weighted thin-film solar module, and low-temperature resistant lithium battery compatible with thin-film solar, Solar Runner #1 can increase the efficiency of delivery companies by saving the cost and trouble of centralized charging, extending mileage by 50% and charging the battery with solar even under cold weathers.
Lu Tao, CEO of Hanergy Glory Solar Technology said, “We’re on a mission to improve China’s express delivery industry by bringing to an effective use our advanced thin film power technology. We’re committed to design innovative solar express delivery car solution that is cordless charging via solar power. We hope our contribution is directed towards creating a true green express delivery industry.”
“In the future, we hope to bring more mobile energy solutions to various industries,” Lu added.
The express delivery cars which were assembled by the company in collaboration with Hebei Nachi New Energy Automotive Technology have a par-excellence battery efficiency and can easily operate without charging for 3 consecutive weeks or even longer depending on level of sunshine and length of daily working hours.
Supplemented with solar powered battery replacement service, the company offers a 100% green and economical “Charge Never” solution for delivery companies.In addition to great improvement of the endurance, the new express delivery cars have also been significantly upgraded in terms of intelligence. The most important thing is a surveillance camera being installed at the back of the cars in order to reduce the chance of accidents. The cars can also acquire Big Data from Internet. Therefore, battery status, power generation condition, route lines and distance can be shown clearly.

Source : ttps://postandparcel.info/98756/news/sustainability

Coalition: USPS Needs ‘Breathing Room’ to Pursue Long-Term Reform

October 29, 2018
The unofficial motto of the U.S. Postal Service declares that it won’t be defeated by snow, rain, heat or gloom of night. Now, though, the organization faces a looming crisis that poses a far greater challenge to its survival than any natural phenomenon.
The danger is financial ruin, and the culprit is a law passed by Congress 12 years ago that seemed, to some at least, like a good idea at the time.

The 2006 Postal Accountability and Enhancement Act required the Postal Service to prefund retiree health benefits for an unprecedented period of 75 years, to the tune of $5.5bn for the first decade, and between $2bn and $3bn for the remainder of the period. Thanks to congressional action taken three years earlier, the agency had built up an annual surplus of around $3bn, arising from civil service pension overpayments. The idea was to devote that money to prefunding the health benefits of potential retirees so that taxpayers wouldn’t be stuck with paying for future shortfalls.

All well and good, until the Great Recession hit in 2007, sending the Postal Service (and many other businesses) into a financial tailspin. Cut to the end of the 2017 fiscal year, with the agency defaulting on more than $38bn in prefunded health benefits — more than half its revenue for the year.

The reasons for the Postal Service’s decline go beyond the nationwide economic crisis. The internet and mobile phones were major factors behind a plunge in the volume of lucrative first-class mail. (Apple introduced the iPhone just six months after enactment of the 2006 law.) But the financial burden of forward-paying health benefits at a rate not required of any other business, public or private, is the main reason for the agency’s perilous condition today, according to Art Sackler, manager of the Coalition for a 21st Century Postal Service.

The irony is that the Postal Service has been doing relatively well in recent years. Revenues were nearly $70bn in fiscal 2017. And while most of the money came from traditional domestic mail products, more than $19bn was generated by packages, a steadily growing source of income.

Moreover, since passage of the 2006 act, the agency has cut overall costs by more than $15bn. Combine that with new revenues from e-commerce activity and reasonably steady volumes, and it has managed to operate on roughly a break-even basis over the past 11 years, Sackler says.

Up until 2011, the Postal Service was able to make the mandated benefits payments in part by calling on its borrowing authority. But it’s been in default since 2012, by a total of around $50bn when pension obligations are factored in.
As a result, says Sackler, the agency isn’t far from the point of needing a taxpayer bailout — precisely the scenario that the 2006 was designed to head off.
Legislation is pending in both houses of Congress to address the crisis. The Postal Reform Act of 2018 proposes to shift approximately 20 percent of postal retirees from their dedicated health-benefits program into Medicare. (Under the Senate’s current version of the bill, the Postal Service would make a one-time payment of $10.8bn to Medicare, to be distributed over 10 years, with Medicare earning interest on the money in the meantime.) In the process, the agency’s annual $5.5bn obligation would be taken off its books.

Sackler says the additional cost to Medicare would be “a drop in the bucket” for that program, while placing the Postal Service back on a steadier financial footing. “There is no cost whatsoever to the taxpayer,” he says, “and the Postal Service gets stabilized for the next five to six years — enough time to consider long-term structural changes it may need for the foreseeable future.”

The plan isn’t likely to win unanimous support. Retirees shifted over to Medicare will have to pay for both kinds of benefits. To offset the additional cost, the Coalition for a 21st Century Postal Service proposes a rate increase of 2.15 percent if the bill passes. According to the Congressional Budget Office, that would raise about $8.5bn over 10 years. (But it’s a lot less than another pending proposal to jack up rates for business by 30 to 40 percent over the next five years.)

Chances for passage of the bill aren’t especially strong, given the midterm elections and the prospect of a lame-duck Congress. Depending on how the elections turn out, however, “it could be enough to get the bill over the hump,” says Sackler. “If not, we’re going to have to be back at it next year.”

Sackler’s group is gearing up for an even bigger battle, against advocates of privatizing the Postal Service. He points out that it delivers to 44m rural addresses, which can’t be efficiently served by a private-sector shipper without imposing a substantial rate increase. “Wholesale privatization,” he says, “would essentially make rural Americans second-class citizens.”

In the meantime, the coalition views the Postal Reform Act as a means of giving the agency “breathing room” to come up with longer-term reforms. “Everyone involved in the legislation has some skin in the game,” Sackler says. “We’re all giving something up in order to try and stabilize the Postal Service.”

Source : ttps://www.supplychainbrain.com/blogs/1-think-tank/post/