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Quantifying Labor Savings from Mixed Mail Processing

Remittance processing operations typically require extensive manual labor. Incoming mail is first received and loaded into mail opening equipment, or opened by hand. Once opened, it is transported to the imaging equipment where it is pre-sorted and prepared for scanning. Some operations may have dozens of presort requirements including lines of business, checks-only, coupons-only, singles, multis, even pays, odd pays, correspondence, exception mail, full page invoices, etc. Only then can the documents be image scanned.

Mixed Mail Processing can eliminate the labor-intensive sorting and prep work. The solution starts with an OPEX payment automation workstation. In a single pass, it can turn a pile of unopened envelopes into stacks of sorted documents that have all been scanned. You'll also need RP Solutions' ExpertRPS software. Once items are scanned, ExpertRPS automatically determines each document's type, splits the mail stream into discrete transactions and then processes them.

RP Solutions can help you quantify the labor savings you'll realize from Mixed Mail Processing. Here is an example. Let's say you have 600 envelopes coming in each day, and each envelope contains 3 documents. That's 1,800 documents to process each day, assuming you are not also scanning the envelope itself.

The labor time it takes to open, sort and prep incoming mail is dependent on the envelope contents and on operator performance. A reasonable throughput rate is 600 documents/hour. Slower rates might be in the range of 250 documents/hour, while skilled operators can prep clean work at 1,000 documents/hour. So, 3 hours of labor is required to prep your daily mail.

If you are using an NCR iTRAN 300, which scans at 300 documents per minute, it will take just 6 minutes to scan all your documents. This assumes you can achieve 100% effective throughput on your scanning equipment. In summary, a total of 3.1 hours is required (3 hours to prep and 0.1 hours to scan).

Now let's say you implement Mixed Mail Processing using ExpertRPS and an OPEX AS7200i, which can process 450 envelopes per hour. Remember, there is no pre-sorting or prep work. It'll take just 1.3 hours to process everything. You just reduced your labor by almost 2 hours. Of course, your results will vary depending on your specific environment.

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