Page 1 of 93 Service Performance Measurement January 2015 Page 2 of 93 TABLE OF CONTENTS 1. Glossary of Terms ........................................................................................................................... 7 2. Introduction .................................................................................................................................... 10 3. Measurement Approach ................................................................................................................ 13 3.1 Current State ...................................................................................................................... 13 3.1.1 First-Class Mail Single-Piece and Single-Piece First Class International for Letter and Flat-shaped Mail ............................................................................................. 13 3.1.2 Presort Letter and Flat-shaped Mail ....................................................................... 14 3.1.3 Parcels ................................................................................................................... 16 3.1.4 Reporting ............................................................................................................... 17 3.2 Future State ........................................................................................................................ 17 3.2.1 First-Class Mail Single-Piece and Single-Piece First Class International for Letter and Flat-shaped Mail ............................................................................................. 17 3.2.2 Presorted Letter and Flat-shaped Mail ................................................................... 20 3.2.3 Parcels ................................................................................................................... 21 3.2.4 Reporting ............................................................................................................... 21 4. First-Class Mail .............................................................................................................................. 22 4.1 Background ........................................................................................................................ 22 4.2 First-Class Mail Single-Piece Letters/Cards and Flats ........................................................ 22 4.2.1 Current State.......................................................................................................... 22 4.2.1.1 “Start-the-Clock”..................................................................................................... 22 4.2.1.2 “Stop-the-Clock” ..................................................................................................... 23 4.2.2 Future State ........................................................................................................... 24 4.2.2.1 First Mile Impact..................................................................................................... 24 4.2.2.2 Processing Duration ............................................................................................... 25 4.2.2.3 Last Mile Impact ..................................................................................................... 25 4.3 First-Class Mail Presort Letters, Cards, and Flats .............................................................. 25 4.3.1 Current State.......................................................................................................... 25 4.3.1.1 Processing Duration ............................................................................................... 26 4.3.1.2 Last Mile Impact ..................................................................................................... 26 4.3.1.3 Service Performance Calculations ......................................................................... 26 4.3.2 Future State ........................................................................................................... 27 4.3.2.1 Processing Duration ............................................................................................... 27 4.3.2.2 Last Mile Impact ..................................................................................................... 27 4.3.2.3 Service Performance Calculations ......................................................................... 27 4.4 First-Class Mail Parcels ...................................................................................................... 28 4.4.1 “Start-the-Clock”..................................................................................................... 28 4.4.2 “Stop-the-Clock” ..................................................................................................... 28 4.5 Reporting for First-Class Mail ............................................................................................. 29 4.5.1 Current State.......................................................................................................... 29 4.5.1.1 Quarterly Reporting ................................................................................................ 29 4.5.1.2 Annual Reporting ................................................................................................... 30 4.5.1.3 Public Reporting..................................................................................................... 30 4.5.2 Future State ........................................................................................................... 30 4.5.2.1 Quarterly Reporting ................................................................................................ 31 4.5.2.2 Annual Reporting ................................................................................................... 31 4.5.2.3 Public Reporting..................................................................................................... 32 5. Single-Piece First-Class Mail International .................................................................................... 32 Page 3 of 93 5.1 Background ........................................................................................................................ 32 5.1.1 “Start-the-Clock”..................................................................................................... 33 5.1.2 “Stop-the-Clock” ..................................................................................................... 33 5.2 Reporting Single-Piece First-Class Mail International ......................................................... 34 5.2.1 Quarterly Reporting ................................................................................................ 34 5.2.2 Annual Reporting ................................................................................................... 35 5.2.3 Public Reporting..................................................................................................... 35 6. Standard Mail ................................................................................................................................ 36 6.1 Background ........................................................................................................................ 36 6.2 Current State ...................................................................................................................... 36 6.2.1 Standard Mail Letters ............................................................................................. 36 6.2.1.1 Processing Duration ............................................................................................... 36 6.2.1.2 Last Mile Impact ..................................................................................................... 36 6.2.2 Standard Mail Non-Saturation Flats ....................................................................... 37 6.2.2.1 Processing Duration ............................................................................................... 37 6.2.2.2 Last Mile Impact ..................................................................................................... 37 6.2.3 Standard Mail Saturation Flats ............................................................................... 37 6.2.4 Standard Mail Parcels ............................................................................................ 38 6.2.4.1 “Start-the-Clock”..................................................................................................... 38 6.2.4.2 “Stop-the-Clock” ..................................................................................................... 38 6.2.5 Reporting for Standard Mail ................................................................................... 38 6.2.5.1 Quarterly Reporting ................................................................................................ 38 6.2.5.2 Annual Reporting ................................................................................................... 40 6.2.5.3 Public Reporting..................................................................................................... 40 6.3 Future State ........................................................................................................................ 41 6.3.1 Standard Mail Letters ............................................................................................. 41 6.3.1.1 Processing Duration ..............................................................................................