U.S. Postal Service

“STAMP FULFILLMENT SERVICES”

by Gordon T. Highland

(approx. 10:00)

NARR: In America’s Heartland, Kansas City stands at the country’s crossroads. But far beneath the surface where fountains, jazz, and barbecue rule, lies a hidden treasure for stamp collectors worldwide– the United States Postal Service’s Stamp Fulfillment Services.

Our destination lies one hundred fifty feet directly below this, one of the Midwest’s most popular amusement parks. This actively-mined limestone cave houses the world’s largest underground industrial office park. And the stamps love it here– it’s the ideal temperature and humidity year round– a perfect environment for storing collectibles. In fact, a legion of irreplaceable motion picture and television films and tapes are stored in a vault right down the road!

Open the latest issue of USA Philatelic, our quarterly comprehensive catalog, and inside you’ll find the newest stamps available from the U.S. Postal Service. Special offerings... commemorative sets... all the information needed is found right here. After browsing the catalog, philatelists may use the enclosed order form to mail their requests, or call our toll-free line and speak directly with our Order Entry department. One eight hundred, Stamp Twenty-four has been in service since 1994, giving customers a more convenient ordering system, as well as the opportunity to have their philatelic questions answered in person.

Stamps Online Dot Com is becoming a popular alternative for ordering over the internet. There, customers can find every current offering through Stamp Fulfillment Services, with full graphics for every item available. All transactions are secure, with point-and-click “shopping cart”-style ordering. A customer service page answers common questions, with an e-mail response option for more specific customer needs. There’s also an online update for Collector’s Corner... a glossary of Philatelic terms... and other US Postal Service links. We currently process about 200 daily orders from this website, and the numbers are growing steadily.

Mail orders arrive at Stamp Fulfillment Services pre-batched in quantities of fifty. Our Order Entry department inputs this data, including the stamps and quantities requested, into the computer system. These orders will now reside within the mainframe computer alongside telephone orders. Order Entry also now implements the latest scanning technology to facilitate this data entry and reduce operator error.

Automation has allowed us to implement the most advanced, efficient order fulfillment operation in the world! We call it the Automated Fulfillment Equipment System, or AFES. We’ve seen improvement in nearly every aspect of our operation as a result. This system gives us the potential to double our productivity, with the capacity to process over 10,000 orders per day. In the process, our average order turnaround time has improved dramatically, from two or three weeks to two or three days!

Approximately one mile of conveyor runs through the facility, logically linking all of the stations in the order fulfillment operation. At the same time, Stamp Fulfillment Services has expanded by an additional 120,000 square feet to accommodate this system. Stamp bins used to be manually transported throughout the facility on carts. This has been virtually eliminated, saving a considerable amount of time, and allowing our employees to focus on the customer’s order.

Here’s an exclusive peek at the philatelist’s Mecca: the Vault. You’re looking at hundreds of millions of dollars’ worth of inventory, including every currently available stamp. When shipments arrive at Stamp Fulfillment Services, they are taken here directly from the dock and stored in mint condition until needed. A smaller vault accommodates orders from dealers and subscription services, plus specially coded batches of stamps. Bins travel from the main vault by conveyor to be prepared for automation.

The key to successful automation with a product as delicate as stamps is shrink wrapping. Two new machines at Stamp Fulfillment Services place individual panes of stamps from the vault on a cardboard backing before sealing the whole thing. This results in one durable piece that can safely withstand the AFES process. On the back side, a label is affixed to each pane with the monetary face value as well as the item’s identification number for easy tracking and scanning. Once the panes are shrink wrapped, each is inspected for quality control and batched by item number.

SHRINK WRAP OPERATOR: [suggestions] Having this automation gives us a new level of consistency, allows us to get stuff out faster, process more orders, it’s very reliable, etc...

NARR: From the shrink-wrap station, bins of stamps are moved into either short-term or long-term storage, depending on production and demand for that particular stamp.

In short-term storage, each currently-available pane is assigned a bin, where it stays until an order calls for it to be pulled from its stack. On the conveyor, each order has a designated space, with about ten feet separating orders. These Soft-Pick machines are precisely timed with custom software to dispense a pane of stamps onto the conveyor as needed when an order approaches. At the end of the conveyor, orders are collected in individual bins and whisked away to the Order Fulfillment department.

Simultaneously, any items that cannot be distributed via the AFES system are handled in our Manual and Special Tears department. These include bulk orders over twenty-five of the same item, as well as irregular stamp configurations.

Cancellation Services has also been taken to the next level with the help of automation. Many collectors request first-day-of-cancellation covers for new stamps, and Stamp Fulfillment Services makes these available with philatelic-grade cancellations including the city of origin. Our new double affixer attaches both the stamp and the cancellation with precision. It then moves down to the inserter where it is automatically placed inside a protective cover.

At one of our seventeen brand new stations, an order fulfillment specialist receives the order bin. Here it is double-checked for accuracy against the computer entry. The order is completed by hand, along with invoices and any special announcements, and sealed. A laser-printed label is then applied, and the Priority Mail envelopes travel by conveyor directly into bins for shipping.

ORDER FILLER: [suggestions] Takes pride in work, even with all the automation, a human is still finalizing the order, QC checks, etc.

NARR: Larger items, as well as registered ones, are handled at dedicated packaging stations, where they are inspected, sealed, and sent on their way. U.S. Postal Service trucks meet them at the nearby dock and deliver them in about two or three days to thousands of happy collectors. Kansas City’s central location allows for efficient, predictable delivery.

As anyone who’s ever called 1-800-STAMPS-24 can attest, customer service has long been a hallmark of Stamp Fulfillment Services. Simply put, we’re here to meet collectors’ needs. Every order is unique, and we pride ourselves on the personalized service that’s deserved. There is truly something for everyone: we offer the Stampers program to encourage young collectors to get involved. Our subscription services include standing order programs... commemoratives... souvenir pages... and ceremony programs, just to name a few. Now, the efficiency that automation brings, along with the variety of print materials, telephone and online ordering available, has made it easier than ever for collectors to contact us, place orders, and have their questions answered. This creates a great situation that allows us to shift our attention away from sales... and focus on refining the customer service we’re already known for.

AZEEZALY: some grand statements about SFS’s mission, service, and progress/goals.

NARR: The two hundred specialists here at Stamp Fulfillment Services are working hard to complete each of the 3000-plus orders that ship from here daily. It’s a wonder of technology, and a model of good old-fashioned personalized service. Philatelists from all over the world rely on us as we build collections for the future. It truly is... a “hidden treasure.”