Mail Services are a service component provided in nearly every facility. Even if these services are provided by a sister department you should understand the cost structure to assure that is being delivered in a competitive manner.
Facility Managers can have significant impacts on their Mail Services costs by understanding how they are performing relative to others and what opportunities exist to reduce or control these costs. The information you need to benchmark is the:
- Cost of your Mail services activities
- Facility areas and occupancy counts
Step 1—Mail Services Definitions
These tables should include all costs of interoffice and external mail services excluding corporate products and services. Do not include postage costs (e.g. stamps), vehicle costs, and security costs in I-1. Mail handled is defined as pieces processed (incoming/outgoing) in the mail service function by any method.
| Function | Internal Costs ($000) | Contractual Costs ($000) |
| Labor | $ | $ |
| Supplies and Materials | $ | $ |
| Administration | $ | $ |
| Mailing equipment leases and or rentals | $ | $ |
| Mailing equipment operating costs including amortization | $ | $ |
| Other | $ | $ |
| Costs charged to other depts. | $ | $ |
| I1. Total mail services costs ($000) | > | > |
Step 2—How Do I Compare With Others
Once this information is collected it is easy to normalize the data on a unit cost basis to determine how efficiently your MAIL services are provided. For all of our benchmarking studies we use MAIL cost per gross square foot and MAIL cost per occupant to compare costs with others.
- Each bar on the chart represents a site’s annual cost per gsf for MAIL services
- The median cost for MAIL services is $0.47 per gross square foot
- Note how the costs can be divided into three quadrants
- less than $0.25 / SF
- Between $0.25 and $1.00 / SF
- Greater than $1.00 / SF
Step 3—Using This Information
You’ve completed your MAIL services data collection and performed the calculations. Here are a few questions you should ask yourself
- Where do you stand on these charts? Are you above the median or below it?
- Could you explain to management why your positions on the charts is just right or needs to be changed?
- What are some of the reasons that explain your positions on the charts?
Step 4—Some Best Practices
- Survey your users to determine if the frequency you a providing is needed.
- At remote sites, consolidate mail delivery with other services
- Consider options that would allow for a drop shipment of your mail services at departmental or site locations
- Communicate the programs you are implementing with your occupants in a regular and routine way.
Metrics from the Facility Managers Round Table (FMRT)
In 2005 there were 92 unique sites in the FMRT with a median size of about 1,450,000 square feet. See the chart below to see how the group looked by industry type.
Participants By Industry Type
Space Metrics
- Space Utilization 430 Gross Square Feet per Occupant
- Cost Metrics
- Utilities $2.17 / GSF
- Custodial $1.33 / Cleanable SF
- Maintenance $1.69 / GSF
- Parking and Paving $1529 / Acre
- Groundskeeping $3405 / Acre
- MAIL $0.73 / GSF
- Mail Services $0.22 / GSF
- Environmental Health and Safety $0.35 / GSF
- Fixed Costs (Includes: Building, Leasehold Improvements, Furniture/Equipment) $ 3.71 / GSF
Move / Churn Cost Metrics
- Box Move Costs $317 / Person Moved
Customer Satisfaction
- Satisfaction With Overall Facilities Services 3.80 on a 1 to 5 scale
