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Bring Mail Together and Bring Costs Down

  • Sorting and metering mail at fewer locations
  • Centralizing facilities mail processing for greater efficiency
  • Adding meters, offering overtime, and negotiating lower rates for needed vendor services

What can your team do to consolidate supplies or services? What else could your team do to reduce waste?

 

Facilities in Northern California had a habit of handling their own mail, but that created redundancies and increased costs. It was also more difficult to negotiate favorable rates with outside vendors. To solve the problem, the Regional Mail Services team decided to first handle sorting and metering for a handful of service areas. It then centralized outgoing mail for all of Northern California. This reduced postage and processing fees and generated an annual savings of $250,000.

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TTP Blurb
These team saved thousands of dollars when it took gradual steps to centralize mail processing for whole region. negotiated lower rates for vendor services.
Why This Matters
Saving money helps us keep KP affordable for members and patients.
Test of Change
Facilities sorted and metered mail at fewer locations, enabling the team to negotiate lower rates for vendor services
Short Teaser

See how a central team can create efficiencies.

Medium Teaser

Having multiple facilities handle their own mail can produce redundant costs. See how centralizing the process can produce significant savings.

Long Teaser

Having multiple facilities handle their own mail can produce redundant costs. See how centralizing the process can produce significant savings.

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Preview Image
Joe Phoolsawasdi. OPEIU LU 30.
Landing Page Title
Bring Mail Together and Save
Topics
Affordability
Quality
Service
Region
Northern California
Role
Frontline Managers
Frontline Workers
UBT Co-Leads
Keywords
centralize
Date of publication
This has been edited
0
Department
Business Services
Content Type
Team-Tested Practice
Content Goal
Inform
High Res Photo Set
Joe Phoolsawasdi. OPEIU LU 30.

Centralizing your mail operation can save money. Pictured is San Diego courier Joe Phoolsawasdi, a member of OPEIU Local 30.

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Big Number
$250,000
Explanation

estimated annual savings by centralizing mail processing