Reply to thread

Message

<blockquote data-quote="59 Dano" data-source="post: 5969265" data-attributes="member: 23516">I&#039;m in a management position but not in ops.&nbsp; If you accused me of being immersed in the field of quantitative analysis, I would not call you a liar.&nbsp; People will believe what they want to believe.&nbsp; There was a major expansion of FO into many rural zip codes several years ago.&nbsp; Frontline employees (and often their managers) raged at the decision because it there were going to be FO&#039;s that would be impossible to make in those zips without changing the deployment of couriers.&nbsp; Yep, that&#039;s true.&nbsp; They b*tched and moaned about it and still do.&nbsp; They say it&#039;s stupid to offer that service to those zips when the failure rate is what it is.But the data say otherwise.&nbsp; To start, the markup on an FO is just crazy.&nbsp; It&#039;s as much as 2 times the retail P1 rate.&nbsp; A large number of those FO commit times are 1400 in areas where making a 1400 commit is often not a challenge.&nbsp; So there&#039;s a very nice chunk of easy premium revenue.&nbsp; Or as we like to call it, gravy.&nbsp; There are also 1100 FO commits in 1200 PO areas.&nbsp; Those are almost as good as gravy. So there are a lot of those so called stupid FO&#039;s that were very easy money.To this day, frontliners and their managers think that those FO&#039;s are stupid but those packages we net a ton of money on them.&nbsp; You&#039;ll tell me that nothing is as good as it was.&nbsp; I can look at an amazing array of data and it will usually tell me the opposite.</blockquote>

[QUOTE="59 Dano, post: 5969265, member: 23516"] I'm in a management position but not in ops. If you accused me of being immersed in the field of quantitative analysis, I would not call you a liar. People will believe what they want to believe. There was a major expansion of FO into many rural zip codes several years ago. Frontline employees (and often their managers) raged at the decision because it there were going to be FO's that would be impossible to make in those zips without changing the deployment of couriers. Yep, that's true. They b*tched and moaned about it and still do. They say it's stupid to offer that service to those zips when the failure rate is what it is. But the data say otherwise. To start, the markup on an FO is just crazy. It's as much as 2 times the retail P1 rate. A large number of those FO commit times are 1400 in areas where making a 1400 commit is often not a challenge. So there's a very nice chunk of easy premium revenue. Or as we like to call it, gravy. There are also 1100 FO commits in 1200 PO areas. Those are almost as good as gravy. So there are a lot of those so called stupid FO's that were very easy money. To this day, frontliners and their managers think that those FO's are stupid but those packages we net a ton of money on them. You'll tell me that nothing is as good as it was. I can look at an amazing array of data and it will usually tell me the opposite. [/QUOTE]

Verification