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Innovative Outsourcing
Transforming a Cost Reduction Programme
into a Sustainable Business Model

TNT Post Shore, Manolo de la Fuente
11th European Shared Services & Outsourcing Week
Agenda
• The challenge for TNT Post
• The answer
• Our answer
• Video coding
• A new business model
The challenge
Declining mail volume TNT Post in the Netherlands

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011
Q1
The answer
The hand of God
Screw it, let’s do it
Hope for a disaster
Confront, don’t discuss
Off shoring Video Coding
Off shoring Video Coding: Results

500

12

70

Flexibility

On time

Cost savings

The possibility to
increase or decrease data
entry capacity by more than
500% within 15 minutes

12-second turn-around
time for video-encoded
mail piece

70% cost savings
per year
A new business model: scanning and data entry
Can we help others, with our expertise?
Areas where data entry take place
Level of
complexity

many flows
many formats
many points of entry

Archives
Books
Surveys

Claims
Invoices
Connotes

Reply
services

single flows
single formats
single points of entry
Off line

Same day

X-ray
coding

Video
coding

Real time

Turn around
time
Learnings
Innovative Outsourcing Transforms Costs into Sustainable Model

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Innovative Outsourcing Transforms Costs into Sustainable Model