A review of their operations showed the Royal Automobile Association of Victoria (RACV) that it would be cheaper and more effective for them to outsource their onsite mailrooms.

It is no surprise that as a leading Australian automobile club with 1.9 million members, as well as a provider of a range of insurance, travel and automobile related services, the RACV handle huge amounts of mail on a daily basis.

“We receive around 20,000 inbound and 25,000 outbound items each month,” explains Cuthbert Don Paul, Corporate Supply Coordinator, RACV.

And for a business that prides itself on providing service for members, RACV places great importance on dealing with all of its correspondence quickly and effectively.

In 2003, RACV conducted an internal review that found that outsourcing their mailroom operations would be more cost-effective than continuing their in-house operations. Following a competitive tender process, RACV awarded a contract to Decipha (a business of Australia Post that offers integrated mailroom management and digital mailroom applications) to take over the management of all its mailroom services including its busy Noble Park head office mailroom.

“Decipha was chosen as they were experienced with Australia Post products and services and were the best value for money,” says Cuthbert. “From the outset we were very impressed with the way Decipha worked - from the mapping out of mailroom processes through to the establishment of support structures.”

Due to refining and better use of resources, the number of staff required to run the mailroom was reduced from five to three - saving around $58,000 per annum. “Decipha also helped us to reduce the time taken to sort and process mail,” says Cuthbert.

Over the past few years, Decipha has expanded its range of services for RACV, to include co-ordinating internal deliveries between RACV metropolitan and regional sites. Decipha also handles the booking and receipting of couriers through Australia Post's courier service, Messenger Post Couriers, and is responsible for the internal distribution of magazines and newsletters to various RACV departments. Recently, Decipha has also provided ad hoc folding and inserting of mail-outs for a number of RACV product departments.

Decipha was also able to maintain all mailroom services for RACV when it moved its head office. “Decipha worked closely with us over a 12 month period to ensure that we were able to complete the move without a drop in mailroom service.”

According to Cuthbert, for a long time Decipha has demonstrated an understanding of RACV's requirements, as well as an ability to shape a mailroom structure that met its requirements. “Due to Decipha's capability and competitive price, it has recently been re-awarded the contract for providing our mailroom services,” says Cuthbert.

“Decipha has always made sure they put the ‘right' people on site to run our mailroom. The staff have great product knowledge and are trained to provide advice on couriers and postage matters and deal with any issues that may arise.”