• Project Title:
  • Effectiveness of the HCR Reduction Initiative
  • Start Date:
  • Monday, June 11, 2018
  • Estimated Report Release Date:
  • November 2018

The Postal Service uses supplier-operated Highway Contract Route (HCR) routes to transport mail and equipment between plants, post offices, or other designated points. In FY 2017, the Postal Service spent about $4 billion for about 13,500 HCRs routes.

The HCRs are about 56 percent of the Postal Service’s total transportation cost. By implementing cost reduction or savings opportunities that do not adversely affect service performance, postal management can better control operating cost of the Postal Service.

How would you reduce the Highway Contract Routes? 

Do you know of any highway contract routes that are redundant, unnecessary, or underutilized?

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  • anon

    RE: HOW TO REDUCE HCR, THAT ARE REDUNDANT, UNNECESSARY AND UNDERUTILIZED. Let's start by asking HQ, Headquarters for a balance sheet of HCR's that could be reduce by absolutely no volumne, no mail deliveries and vacant. And with the remaining deliveries consolidated to nearby PO units. By absolutely any method should their be transports carrying no deliveries or vacants, in which, the cost of transportation is due to the lack of maintenance of the PO Unit Red Book. With this in mind, the nearest Processing and Delivery Unit or Plant should flag the PO Unit for no delivery as non FCM, periodicals and Third with endorsements but waste products.

    Jun 26, 2018

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