HEDGES AWARDED MFSA S HIGHEST HONOR

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1 JULY 2011 PostScripts MAILING & FULFILLMENT SERVICE ASSOCIATION HEDGES AWARDED MFSA S HIGHEST HONOR Terri Hedges, president of Mailer s Choice, Inc., Nashville, TN, was recently awarded the Leo G. Bill Bernheimer Award, by the Mailing & Fulfillment Service Association. This award for personal achievement is the highest honor the association can bestow on one of its members. It was given at the association s 91st Annual Conference in Colorado Springs, CO, last month. During the conference former MFSA chairman Brian Schott of Admail Express, Inc. shared with the audience why Hedges, a former chairman of MFSA, was deserving of the award. Schott said, She is always willing to share, ask and answer questions and make sure that everyone is treated fairly. Over the years she has always been one of the most supportive and caring individuals that I have ever had the privilege of knowing. INSIDE >> ASSOCIATION John Foley Honored with Educational Award MANAGEMENT BUSINESS OPERATIONS Contests Can Energize Social Media Followers 4 Challenges Still Ahead for Final Passage of Bill 6 22 Hedges served on the board of directors for the Mailing and Fulfillment Services Association for nine years, completing board service as the first female Chairman of the Board. (Shirley Wilkowski of Advance Business Corporation served as president of the board from ). Hedges also served on several committees, including Postal, Education and Conferences, and Membership, and has participated (Continued to page 16) KELLOGG SWORN IN AS CHAIRMAN Michael Kellogg, CEO of Century Direct, LLC, Long Island, NY, has been elected Chairman of the Board of Directors of the Mailing & Fulfillment Service Association. The installation took place June 15th at MFSA s 91st Annual Conference, held in Colorado Springs, CO. Kellogg, who most recently served as the associations treasurer, has served on a number of MFSA committees and has chaired the Postal and Government Affairs Committee. He has been on the board of directors since 2008 and has served one year each as treasurer and 2nd vice chairman. During the installation, Kellogg said, In closing let me say that I am truly humbled and honored that you have placed me in this chair. I will use the office to the best of my ability to promulgate our positions before the various bodies that affect us all. I appreciate your confidence and trust. And most assuredly, I need your help. Terri Hedges, left, of Mailer s Choice, was honored with the Leo G. Bill Bernheimer Award. It was presented to her by Brian Schott, former chairman of MFSA. MFSA THANKS ITS ANNUAL CONFERENCE SPONSORS

2 PostScripts JULY 2011 ISSUE 637 Postscripts is published monthly for MFSA members. For advertising information, please contact: Bill Stevenson at or Mailing & Fulfillment Service Association 1421 Prince Street, Ste. 410 Alexandria, VA Tel: ; Fax: Board of Directors Chairman of the Board Mike Kellogg; Century Direct, LLC, Long Island City, NY First Vice Chairman Ted Kulpinski; W.A. Wilde Company, Holliston, MA Second Vice Chairman Tim Johnson; Impact Proven Solutions, Minneapolis, MN Treasurer Tom Duchene; TDMS, Huntington Beach, CA Immediate Past Chairman Ken Gossett; AMI, Alexandria, VA Directors Charles Buchanan; World Marketing-Dallas, Dallas, TX Tammy Caserta; Think Patented, Dayton, OH Greg Fischer; Marketing Support Services, Cincinnati, OH Joy Franckowiak; Valpak, St. Petersburg, FL Dave Lewis; Prolist, Gaithersburg, MD Chris Lien; BCC Software Inc., Rochester, NY Wayne Marshall; Edwards Graphics Arts, Des Moines, IA Ken Orr; ICS Marketing Support Services, Lansing, MI John Palazzolo; Adphos North America, Cincinati, OH Wes Powell; TMR Direct, Colorado Springs, CO Anita Pursley; RR Donnelley, Johns Creek, GA Mike Stewart; Great Lakes Integrated, Avon Lake, OH Eric Strand; RESCO, Hudson, WI Gary Weinberg; Quality Letter Service, Inc., New York, NY Mark your calendar >> MID-WINTER CONFERENCE Arizona Grand Resort Phoenix, AZ February 22-25, 2012 ANNUAL CONFERENCE Historic Grove Park Inn Ashville, NC June 24-27, 2012 Chairman s Column LEVERAGING OUR ASSETS If you read Ken Gossett s Chairman s Column last month, you noticed his theme of the article was Change. Well here Change is in the form of me. As I take this chairman s post I can t help but reflect upon those who came before me, including Ken, whose careful stewardship has brought us to the virtual epicenter of the postal and fulfillment universe. Michael Kellogg Chairman of the Board One of my first duties as chairman was to participate in a very small dinner meeting with Postmaster General Pat Donahoe. The ideas exchanged during this intimate setting provided the irrefutable proof I needed to make this statement: we (MFSA) enjoy a very prominent advisory position with respect to policy promulgated by the Postal Service. But the evidence doesn t stop there. If you attended the Annual Conference last month in Colorado Springs you witnessed Mr. Donahoe firsthand as he listened to suggestions from the audience. He took notes right there on stage. The only reason he was there was because he values his association with MFSA. Few other groups can say that. It is remarkable. Further to this position of prominence that we enjoy, I invite every member to read Ben Cooper s article in the May issue of Postscripts. It is another display of Cooper s conversance with our industry and legislation affecting it. He participates with our Legislative Steering Committee in its quarterly meetings but also leads or advocates on behalf of several other groups occupying positions within the same supply chain that we are a part of. There is no question that our partnership with Ben has enhanced our association s visibility and credibility on Capitol Hill. We are now a truly a player there, in no small part because of Cooper s work on our behalf. It is now time to leverage these assets that MFSA CEO Ken Garner, his chairmen counterparts and other deeply involved MFSA members have so carefully cultivated over the past few years. We must do it the old fashioned way. We must work for it. This is where you come in every single one of you. Staff and Ben Cooper have created a grassroots message campaign directed at each of the legislators in every district in which an MFSA member is located. If you don t have the tool already you will receive it in the mail soon. Everyone that attended the closing session of the Annual Conference gave me his or her personal pledge to deploy this tool immediately. I want your pledge to do the same. And I will be calling some of you personally to get your pledge. The best way for me to help you as Chairman is for you, every one of you, to help me with this campaign so that when I appear on Capitol Hill representing MFSA, the legislators I meet will know that I have members (translation VOTES) from their respective districts who have a stake in the action. That is the veritable definition of political power. We have it, let s use it. Change is coming, whether you do anything or not. If MFSA fails to utilize its most powerful tool, the collective we, then the change that will occur will be directed by those who have little or no knowledge of our industry and little or no incentive to craft legislative policy that will have the maximum positive impact on all of us. I know this is true and so do you. In closing let me say that I am truly humbled and honored that you have placed me in this chair. I will use the office to the best of my ability to promulgate our positions before the various bodies that affect us all. I appreciate your confidence and trust. And most assuredly, I need your help. Thank you. 2 MFSA PostScripts

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4 Association FOLEY RECOGNIZED FOR HIS EDUCATIONAL CONTRIBUTIONS TO INDUSTRY John Foley, CEO of interlinkone, was honored with the Luke Kaiser Educational Award by the Mailing & Fulfillment Service Association during the Annual Conference, held in Colorado Springs, CO, this past June. The Luke Kaiser Educational Award, established in 1978, is given to that person in MFSA who has contributed the most to the advancement of education pertaining to the direct mail and fulfillment industry. Dave Lewis, MFSA board member and past recipient of the award, detailed Foley s involvement with the association. A lot of what we are doing at my company is a direct result of John s sessions they are must attends at conferences, he said. Jason Pinto, chief marketing officer at interlinkone and personal friend, said, John has been extremely passionate when it comes to helping educate others. Whether it is through the hundreds of articles that he s written, the white papers, the ebooks, the BOOK!, the videos he s filmed, the presentations he s delivered, the webinars he s put on, John has always strived to use those opportunities to share with others what he s learned. He truly believes in the things that he writes and talks about during those moments. Tom Quinn of Q Fulfillment Services and former recipient of the award, said, John has epitomized the MFSA value of giving to fellow members. He has continually provided members with pertinent, timely and leading-edge presentations at conferences, webinars and chapter meetings. He introduced us to blasts, Purls, landing pages, thank you pages and most recently to social media. He is the innovation educator for MFSA and other related associations. Karen Sheehey, vice president of sales at interlinkone, said, John has always been a believer in education. We are encouraged as an organization to attend events that advance our knowledge. He has developed Lunch and Learns within our organization for information sharing. He has made customer and industry webinars of the utmost importance in our priority list. You don t become as respected, as followed, as friended, as linked to, as desired as a conference speaker, by not being a thought leader with a great dynamic personality. And John is a thought leader on many subjects from software to fulfillment to social media. He is always learning himself, and always taking that knowledge and paying it forward. It s never been about how much John knows personally but about how much John can teach and help others John Foley, left, of interlinkone, was honored with the Luke Kaiser Educational Award. It was presented to him by Dave Lewis, former recipient of the award and current board member. to utilize information most effectively. He is always researching, jotting down notes, reading everything he can. And if any of you follow him on Twitter, you know he is ALWAYS sharing what he has learned. In accepting the award, Foley said, I do love to teach, and I love to educate, I ve been doing it for a long period of time. When I did the first social media session, people made faces at me. One company went back, and did it all. And they were good at it. So when we talk about marketing services and social media, look at companies like some of our award winners here tonight. The Luke Kaiser Educational Award is given in the name of the founder of Houston s Premier Company. Kaiser was an industry pioneer, and greatly believed in the value of professional education, as demonstrated by his membership in a dozen trade associations. MFSA THANKS ITS OUT-GOING CHAIRMAN MFSA said thank you to out-going chairman Michael Murphy of Japs-Olson who served on the MFSA Board of Directors from 2003 to MFSA President Ken Garner presented Murphy with his plaque during MFSA s Annual Conference in Colorado Springs, CO. Murphy, served as the associations treasurer, has been active in the association as a speaker, has served on the Education Content Committee, and is past chair of the Postal & Governmental Affairs Committee. He also was on the Finance Committee and the Technology Committee. 4 MFSA PostScripts

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6 Management CHALLENGES STILL AHEAD FOR FINAL PASSAGE OF BILL Ben Cooper Williams and Jensen Cooper has been actively involved in major postal issues for more than ten years. He founded and chaired the Coalition for a 21st Century Postal Service, which helped organize the mailing industry to pass Postal Reform in He also serves as Executive Director of Mail Moves America, the organization formed by DMA to fight Do Not Mail legislation in the states. He is currently a partner at Williams and Jensen. Prior to coming to Williams and Jensen, he was with the Printing Industries of America. As of this writing, there seems to be an emerging consensus in the Senate Homeland Security Committee for a single legislative approach that could be approved by that committee as early as June 29. That is the date the Committee has a scheduled business meeting. The business meeting is the opportunity to mark-up or approve pending legislation. While there had been and continues to be disagreements between Senators Carper and Collins over key issues to address the postal crisis, staff for each office report that they are close to agreement on these issues. At the same time, key members of the House Oversight Committee, Reps. Darrell Issa and Dennis Ross, are continuing to be hopeful that a bill will be ready by the end of June. Despite these advances, the course of final passage is still a challenge and here is a brief rundown of these challenges. The House of Representatives The House is a majority rule body. The majority party is generally able to approve whatever legislation it wants to. This is particularly true at the committee level. Once the committee approves a bill, the chairman of the committee has to work with the leadership of the majority party to schedule the bill for the floor of the House for a vote. Before this happens, the bill must be scored by the Congressional Budget Office. The score is the official cost of the bill. Generally, if the committee approves a bill and the score is low or minimal, the bill has a very good chance of being approved. The Senate The Senate is much more problematic than the House. The committee approval process is just the beginning of an arduous process. Like the House, a Senate bill has to be scored and the score has to be very low. However, the real problem in the Senate is that time on the floor becomes a valuable commodity. For this reason, many bills in the Senate can only be considered by unanimous consent. In other words, there can be no opposition. Unanimous consent requires that major issues have to be resolved before a bill can be brought to the floor. In this scenario, a single member with an objection can hold a bill while the objections are resolved. Postal veterans may recall that the 2006 reform legislation was passed by unanimous consent only in a lame duck session in the last hour of the session in December. Back to the House As previously reported, it is probable the House Oversight Committee will take a very different approach to resolving the postal financial crisis. There is not a consensus among the key Republicans on the committee that the transfer of excess pension funds from either the Civil Service Retirement System or the Federal Employee Retirement System is appropriate or that there are excess funds. There is also no consensus that the retiree health care fund payments should not continue at the approximately $5.5 billion per year. There is, however, consensus that there is a problem with the USPS and that the problem has to be addressed. The problem in the House is that the score is translated into cost to the taxpayer. Industry and USPS argues that all of the money is postage, thus not taxpayer funds, is largely irrelevant to the score. Even a modest score can sink a bill like postal reform in the House. In other words, if the House Oversight Committee approves a bill with a score the chances of approval by the Republican majority in the House are significantly reduced. This is the challenge for the Committee and Subcommittee chairmen. They have to draft a bill that will actually be considered by the House. Back to the Senate If the climb is steep in the House, imagine having to get 100% consensus before passage! This places even more importance on the score and dramatically slows the process. The Calendar The next biggest problem in the Senate is the calendar. While the normal world focuses on regular days, weeks and months, the Senate calendar is very different. The Senate actually does not have that many days for action thus the need for unanimous consent. If a bill is put on the Senate floor where the time cannot be controlled, the resources of the Senate are squandered. The senate leadership majority and minority guard this legislative time very carefully. Most bills have to have some level of agreement about the time before they can ever get to the Senate floor. Summary What all of this means is that the postal community faces a long, hot summer, which could easily spill into While the postal community is concerned about the September 30th, 2011 deadline, there is no evidence that this deadline is as important to many legislators. If we look at the view of the deadlines surrounding the debate over the debt ceiling, it is easier to understand how some in Congress can treat the postal deadlines as somewhat flexible. 6 MFSA PostScripts

7 Association PMG HONORED WITH MILES KIMBALL AWARD FOR CONTRIBUTIONS TO INDUSTRY Patrick Donahoe, Postmaster General of the United States Postal Service, was honored with the Miles Kimball Award by the Mailing & Fulfillment Service Association during its Annual Conference, held in Colorado Springs, CO, this past June. Throughout the years, the Miles Kimball Award has been considered the highest honor of the mailing and fulfillment industry presented to a non-member. It is given by MFSA to that person outside of the association who has made the greatest contribution to the advancement of the direct mail industry. Refills Got You Down? Don t be fooled by terms like REPLACEMENT, RECYCLED, REMANUFACTURED, and REFILLED. Re anything is not a genuine Hewlett-Packard inkjet product. Ken Garner, MFSA s CEO and President, said about Donahoe, For more than 35 years Pat has been serving the mailing community. And, in the short time since being named the 73rd Postmaster General he has worked at hyper-speed levels to address the unprecedented challenges that face the Postal Service. He continued, Pat is a man of action who understands the importance of being customer driven. He recognizes the value that his business partners, including the community of mailing service provides, deliver. He has been a great friend to MFSA. He is the right man, in the right job, at the right time. Garner said, Pat has developed four key business strategies to define the organization s path forward, including strengthening the business to consumer challenge, creating a more positive customer experience, simplifying the mailing process, competing for the package delivery business, and becoming leaner, faster, and smarter as an organization. In accepting the award, Donahoe said, Let me open by extending my sincere thanks and gratitude to MFSA for this recognition I am truly honored. To be awarded the direct mailing industry s highest honor is both humbling and fulfilling. Because it is targeted, personal, measurable and cost-effective, direct mail has long been a powerful tool for businesses to promote their products, drive sales, and prospect new customers, and for that reason, the Postal Service is pleased and proud of its work to keep direct mail a vital and resilient marketing channel. Miles Kimball left a great mark on the direct mail industry during his short life. At the time of his death in 1949 he was considered to be one of the leading proponents of direct mail advertising as a profession. He was the founder of the Wisconsin mail order business that still bears his name and was president of the association in Are you getting your money s worth from your inkjet cartridge? It s not the cost of the cartridge that counts, it s the Down time and the cost/ml of yielded ink that counts! Will your cartridge produce superior printing results without constant job interruptions and significant down time? Ask Think Ink for genuine ink cartridges for superior inkjet printing results! We don t sell RE-ANYTHING! PMG Pat Donahoe, left, was honored with the MIles Kimball Award. It was presented to him by Ken Garner, MFSA President and CEO, at the Annual Conference in Colorado Springs, CO. (877) JULY

8 Annual Conference HERE S WHAT MEMBERS ARE SAYING ABOUT THE ANNUAL CONFERENCE No where else can you get the concentrated education from industry leaders and networking with your peers who share the same challenges. From the Vendor Forum to having the full attention of the Postmaster General, the conference was terrific. Terri Hedges Mailer s Choice It was great seeing old friends, and meeting new ones. It was great putting a face to the voice for others that I know from MTAC work groups. The content of the conference was just amazing, and every day I learned something new that I could take back to inform and teach other people that I work with. Tom Glassman NPI The value of these conferences increases as more members attend. Every MFSA member company should have someone attend! Eric Strand RESCO The conference was an extremely valuable business tool. On the technical side, there were some terrific and informative sessions -- especially the meeting with the PMG, the legislative and postal sessions with Leo Raymond, the plant tour and the round table breakouts on Saturday morning. From the networking side, there were limitless opportunities to meet other like-minded businesspeople who were more than willing to share their successes, their problems, and their solutions. Andrea F. Schwartz ADS Advertising and Mailing Services I always learn something new or am able to benchmark myself as a result of attending a conference. Michael Kellogg Century Direct, LLC MFSA creates an environment that is both professional and personal. People sincerely interested in helping other people is the theme. Bev O Rielly The Address Pro Great trade show and opening. One of the best ever. Robert Weinberg Quality Letter Service, Inc. 8 MFSA PostScripts

9 Annual Conference SCENES FROM MFSA S ANNUAL CONFERENCE COLORADO SPRINGS, CO Karen Sheehey of interlinkone is all smiles talking to Tom Glassman of NPI during the Vendor Forum. New board member Wayne Marshall of Edwards Graphic Arts, right, talks with board member Eric Strand and Tim Strand, both of RESCO. Vendors Dion Thompson of Thompson Direct, left, and Doug Schulz of Thiele Streamfeeder talk shop at the forum. Lynda Redington and Bill Coughlin, both of Mossberg & Company, enjoy a break between sessions talking to Lisa O Brien of Complemar Partners and Connie O Keefe of The John Roberts Company. A packed general session at the Annual Conference. Former chairman Michael Murphy of Japs-Olson and board member Joy Franckowiak of Val-Pak catch up. Hypnotist Erick Kand instructs participants to look at their noses and see how they are elastic and long they are. Former chairman Terri Hedges of Mailer s Choice greets Chris Huber of Virtual Systems. David Pocost, left, of Commercial Letter, Emmet Marshall of Mail Advertising Bureau, and Brad Chrysler of Commercial Letter enjoy some networking time in the Vendor Forum. JULY

10 Employment WINTERBERRY GROUP, EPSILON STUDY REVEALS THE CURRENT STATE OF CUSTOMER EXPERIENCE MARKETING A new study from the Winterberry Group and Epsilon provides a deep assessment of the current state of customer experience marketing (CEM) and identifies the five key trends shaping the future of CEM. Findings from the research, entitled Customer Experience Marketing: Realizing the Promise of Dynamic Interactions, highlight opportunities for marketers to strategize and implement, as well as significantly strengthen their existing customer experience marketing programs. Moreover, the study emphasizes the need to manage integrated, multichannel customer interactions with the same level of targeted precision that companies have been applying to their acquisition, retention and loyalty marketing efforts for many years. In this survey of more than 100 leading marketers, service providers and other knowledgeable sources, Winterberry Group explored the factors impacting CEM applications. Sponsored by Epsilon, the study was conducted in person, over the telephone and via electronic surveys to participants. Among its key findings: Marketers agree that improving the quality of their multichannel customer experience is increasingly a business priority, with 68 percent of respondents saying it is important or critical. But relatively few have devised strategies specifically for the purpose of enriching customer experience. Changing consumer expectations nurtured over nearly two decades of digital accessibility are setting the standard for what constitutes success in experience- driven marketing. Consumer expectations are also influencing the channels marketers plan to leverage as components of INDUSTRY STATISTICS their CEM efforts, with social media and mobile expected to see the most growth. The proliferation of data has become the single constant in the perpetually changing marketing landscape. Collecting, analyzing and making use of this information (in nearreal time, and with a level of insight superior to the market at large) is the most significant source of competitive advantage. Capturing candid customer feedback (and using it as the foundation of a robust ongoing dialogue) is the tactical centerpiece of the CEM approach. In an environment that increasingly demands rapid, relevant and preference-driven interactions between a brand and customers, marketers are still in the early stages of transforming their CEM strategies, said Bruce Biegel, Managing Director of Winterberry Group. Recognition of the opportunity is the first step and it is happening now, with phased implementation occurring over the next few years. Simply identifying CEM as a business priority is not enough, added Michael Penney, Executive Vice President of Epsilon s Strategic & Analytic Consulting Group. What s required, and what is often the most challenging part to master, is a sound strategy and detailed tactics that will enable marketers to leverage each individual customer experience as a critical marketing opportunity to deepen one-to-one engagement across all relevant channels. This requires a variety of resources and capabilities including technology, data, creative messaging, analytics and much more. Customer Experience Marketing: Realizing the Promise of Dynamic Interactions is available for complimentary download via the Our Insights page at Direct Mail Drives Charitable Donations and Retention A new report by Blackbaud s Target Analytics, a global provider of software and services for nonprofit organizations, shows that direct mail remains the source of most charitable donations. The 2011 donorcentrics Internet and Multichannel Giving Benchmarking Report features research on nonprofit online giving in the context of an integrated direct marketing program. This year s analysis covers 15.6 million donors and more than $1.16 billion dollars in revenue. Select findings: Although multichannel giving has become a popular objective of not-for-profits as a way to build constituent support, it is not widely practiced, the study finds. The majority of gifts are received through direct mail. The typical organization receives more than three-quarters of its total gifts through direct mail and only 10% of its gifts online. Direct mail acquisition is also responsible for three-quarters of all new donors. Over the past several years, the number of donors acquired online has increased though, the study notes. In 2010, 16% of new donors in the benchmark groups studied donated online. The authors note that the non-profits in this study have larger online programs than similar nonprofits. Percentages of gifts and donors coming in online are smaller for the industry as a whole. Reprinted from Print in the Mix ( 10 MFSA PostScripts

11 FULL VISIBILITY ) NEW VISIBILITY TRACKING SYSTEM FROM ALG Multi-Tiered Tracking Network 24/7 online access with real-time updates Customized IMB pallet and tray level tracking DO YOU KNOW WHERE YOUR MAIL REALLY IS? For more information on how our services can help track your mail more efficiently contact: salesdirect@alg-direct.com N Schmidt Road Romeoville, IL p f JULY

12 Employment HEALTH CARE REFORM UPDATES: CAFETERIA PLAN AMENDMENTS/REPEALED PROVISIONS Reprinted from Jackson Lewis After December 31, 2010, the Patient Protection and Affordable Care Act as amended by the Health Care and Education Reconciliation Act (Health Care Reform) established new restrictions on the reimbursement of over-the-counter (OTC) medicines and drug purchases. Health flexible spending accounts (Section 125 Cafeteria Plans) cannot reimburse expenses incurred after December 31, 2010, for OTC drugs purchased without a prescription. Previously, non-prescription OTC drugs could be reimbursed under a health flexible spending account. acts repealed two provisions of the Health Care Reform law significant to most employers. The free choice voucher provision was repealed. This provision of Health Care Reform would have required many employers to offer employees with household incomes under 400% of the poverty line a voucher to purchase coverage through an exchange instead of the employer s coverage beginning The voucher amount would have equaled the employer s contribution to its health plan for which the employer pays the largest portion of the cost of the plan. The rules governing cafeteria plans generally require plan amendments to take effect on a prospective basis only. However, in IRS Notice , the IRS provided that, notwithstanding the general rule against retroactive cafeteria plan amendments, an amendment to conform a cafeteria plan to the Health Care Report OTC requirements that is adopted no later than June 30, 2011, may be made effective retroactively for expenses incurred after December 31, Therefore, cafeteria plans that allow for OTC drug reimbursements must be amended by July 1, 2011, to comply with the new law. Recent Changes to Health Care Reform In April, the President signed the Comprehensive 1099 Taxpayer Protection Act and the Continuing Appropriations Act. The two The other repealed provision required expanded Form 1099 reporting in order to raise approximately $20 billion in tax revenue to offset part of the cost of Health Care Reform. This provision would have required employers to issue a Form 1099 to any vendor for whom the employer purchased $600 or more worth of goods or services in a calendar year. (A similar rule already applies to employers who make payments in excess of $600 to any individual in a calendar year, i.e., to an independent contractor, and remains unchanged.) Employers expressed concern that the expanded form 1099 requirement, if not repealed, would have added significantly to the cost of tax reporting. Jackson Lewis attorneys are available to answer inquiries regarding workplace developments. LOWER COST LETTERS TRANSPROMO LABELS ENVELOPES Color is great for your business. It gets attention, it delivers revenue, it increases response, it makes money for you - but at a price. Either the investment is sky high, or the supply costs are eating your profits. Introducing the RENA Mach 5 Digital Color Printer, featuring unprecedented Memjet technology. The revolutionary printhead produces brilliant 1600 dpi graphics, amazing speed & very low cost per copy, bringing productivity and profit back to you. Call today and learn more about this exciting new system. The Envelope Imaging Company 12 MFSA PostScripts

13 MFSA INSURANCE PROGRAM The Mailing & Fulfillment Services Association Insurance Program has been developed with the unique needs of the MFSA industry and association members in mind. The MFSA Insurance Program offers exclusive insurance rates for members and coverage options that can be tailored to your business unique needs. Coverage options available include: COMMERCIAL PROPERTY GENERAL LIABILITY AUTO & TRANSPORTATION DATA & CYBER LIABILITY CRIME 3 RD PARTY COST TO CORRECT 1 ST PARTY COST TO CORRECT EMPLOYEE PRACTICES LIABILITY PRINTERS ERRORS & OMISSIONS TECHNOLOGY ERRORS & OMISSIONS UMBRELLA/EXCESS LIABILITY OTHER COVERAGE OPTIONS What makes this program unique: 1 ST PARTY COST TO CORRECT UMBRELLA/EXCESS LIABILITY MAY APPLY OVER PRINTERS ERRORS & OMISSIONS AND 3 RD PARTY COST TO CORRECT YOU CAN OBTAIN COVERAGE DIRECTLY FROM BANCORPSOUTH INSURANCE OR YOUR EXISTING AGENT CAN OBTAIN COVERAGE ON YOUR BEHALF THROUGH THIS PROGRAM TO TAKE ADVANTAGE OF THIS PROGRAM, CONTACT ALFRED WILLIAMS OR KEN ESTES TODAY! Alfred L. Williams, CWCA Risk Consultant, Sr. Vice President Business & Professional Division ext cell Ken Estes, CIC Vice President Business & Professional Division ext cell Not a deposit, no bank guarantee, not insured by FDIC or other government agency, not a condition of any bank loan, product, or services. JULY

14 New Members AlphaGraphics, offers barcoding, bindery services, data processing services, desk top publishing, file maintenance, hand assembly(custom packaging), machine inserting, ink jet addressing, laser printing-sheet feed, and merge/purge. Alpha- Graphics is located at 814 Penn Avenue, Pittsburgh, PA, Bill Bailie can be reached at DS Graphics, established in 1974, offers barcoding,bindery services, consulting, creative, data processing services, desk top publishing, embossing, envelope conversion, file maintenance, fulfillment-literature, fulfillment-product, fulfillment-catalog, fulfillment-promotional, fulfillment-premiums, glue-folding, hand assembly(custom packaging), machine inserting, ink jet addressing, international mailing service, laser printing-sheet feed, mailing lists, merge/purge, national change of address usps licensee, first class presort, polybag inserting, packaging & shipping, sheetfeed offset printing, tipping/affixing, tabbing, warehousing/distribution, and web offset printing. DS Graphics is located at 120 Stedman Street, Lowell, MA, Bill Nethercote can be reached at or by FAX at FMI Direct Inc., offers barcoding, bindery services, consulting, cheshire labeling, co-op mailings, co-mingled mailings, creative, data processing services, file maintenance, fulfillmentliterature, fulfillment-product, fulfillment-catalog, glue-folding, hand assembly(custom packaging), machine inserting, ink jet addressing, laser printing-continuous, laser printing-sheet feed, list broker services, mailing lists, merge/purge, national change of address usps licensee, first class presort, polybag inserting, packaging & shipping, resident lists, tipping/affixing, and tabbing. FMI Direct is located at 2100 Kubach Road, Philadelphia, PA, Lisa Formica, president, can be reached at or by FAX at MicroDynamics Group/ProSort, offers barcoding, bindery services, co-mingled mailings, data processing services, desk top publishing, file maintenance, hand assembly(custom packaging),machine inserting, ink jet addressing, international mailing service, laser printing-sheet feed, merge/purge, first class presort, tabbing, and warehousing/distribution. MicroDynamics is located at 1400 Shore Road, Naperville, IL, Ivana Best can be reached at or by FAX at NPC, Inc., offers barcoding, bindery services, consulting, comingled mailings, data processing services, desk top publishing, file maintenance, fulfillment-literature, fulfillment-product, fulfillment-promotional, glue-folding, hand assembly(custom packaging), machine inserting, ink jet addressing, international mailing service, laser printing-continuous, laser printing-sheet feed, merge/purge, national change of address usps licensee, first class presort, polybag inserting, packaging & shipping, publications, sheetfeed offset printing, tabbing, warehousing/distribution, web offset printing, and word processing. NPC is located at Dunnings Highway, Claysburg, PA Michael Hoby Bingham can be reached at or by FAX at PrintStream is now EFI PrintStream! EFI provides a portfolio solutions to the most successful Printers, Mailers and Marketing Services Providers with our PrintStream Software. Our proven integrated system will addresses all your information and workflow needs today! Software Solutions for CRM and RFQ Estimating Order Entry Scheduling Inventory Shop-floor Fulfillment Purchasing Accounting Postage Call for more information and to set up your demonstration today 14 MFSA PostScripts

15 Member News Sisk Filfillment Service, Inc., Federalsburg, MD, rolled out a new brand identity recently after several months in the making. The new brand represents everything that Sisk has become over the years. Using a sophisticated cross media campaign, the rollout started with a teaser postcard, a purl (personalized URL campaign) via , inviting them to take a peek at the new Sisk Fulfillment. Each recipient was invited to click through to a series of landing pages, and to register for a free pen and then invited to click through to the new website, where they could register for a free ipad2 giveaway. Three Dog Logistics, Baltimore, MD, announced a new service designed especially for customers who handle inbound and outbound freight in their businesses. The new division, called Three Dog Freight, complements the company s widely successful mail delivery services. Three Dog Logistics has one of the only fully- EDI based transportation management systems in the logistics field today. The user-friendly product is called Rover. Melissa Data Corp., Rancho Santa Margarita, CA, announced a new address verification integration to Demandware. The address verification component allows retailers to ensure every address is complete and accurate in real-time before the order is submitted saving money on delayed or undeliverable shipments and reducing back-end staff work. PODi, the Digital Printing Initiative, recognized four recent campaigns by Digital Innovations Group (DIG), Richmond, VA. DIG s four case studies are included in PODi s 2011 Digital Print Case Study Collection, the largest collection of successful digital print case studies in the world. Only the best solutions and results are accepted to the collection, and every success story effectively illustrates PODi s best practice principles. The John Roberts Company, Minneapolis, MN, was named the Most Sustainable Print Shop in the World by Heidelberg through their Heidelberg Eco Printing Award. In May 2011, an independent international panel of judges met to select the winners of the Heidelberg Eco Printing Award. Of the 51 entries that were submitted, the panel unanimously voted The John Roberts Company the winner of the Most Sustainable Print Shop category. Satori Software, Seattle, WA, has hired Corey Smith as its new vice president of production mailing solutions. In this new role, Smith will be responsible for helping Satori Software evolve its high-end mailing solutions to meet the needs of its current and future high-volume mailing customers. Smith comes to Satori Software from BCC Software, where he served in various leadership roles, including vice president of sales and business development, since Prior to that, he spent nearly a decade as director of sales for the Postalsoft product line. JULY

16 Hedges continued from page 1 ego. She leads the dance without having to be in control. In accepting the honor, Hedges said, I want to say thank you to MFSA, and to the great group of people who make up this organization. Whether in business, your community, your family, or in this association, it is NOT what you get, but what you give. I have received way more than I have ever given. This is really a wonderful honor that I don t take lightly at all. In my opinion, we are just a collection of successful survivors. Survival is all about change... and adapting your circumstances to insure a positive result. Things happen all the time that are beyond our control. Successful people find a way to turn lemons into lemonade. She continued, The real common denominator is that successful people form the habit of doing things that unsuccessful people don t want to do, or maybe even know how to do. But, every successful person makes a CHOICE to do the things that unsuccessful people just WON T. We are really no different from one another... we all make some decisions based on relentless research, some from gut instinct, and sometimes just flying by the seat of our pants. I have conscientiously chosen to learn from the things that have gone bump in the night, and could have easily set me up for failure. Hedges is not only active in MFSA but also in other national organizations. She was named Woman Business Owner of the Year by the National Association of Women Business Owners and received the Woman of Influence award by the Nashville Business Journal. She is a member of the Nashville Chamber s Small Business Advisory Council, a member of the Civic Bank & Trust Advisory Board, and is also involved in various local civic and community organizations including the Nashville American Marketing Association, the Athena Foundation Mentors program, and Greyhound Pets of America. Excerpt from Terri Hedges Acceptance Speech I have survived Go-Go Boots and hip-huggers... Toni Home Perms and the inagural polyester... I ve survived anything from broken bones to broken hearts, and losing a daughter at the hands of a drunk driver...our company held on for dear life after losing a client that made up 40% of revenue Label Source Ltd. Fuser Tab We ve survived Postal Reclassification of the 90s, Postal Reform and Postal One... The DROOP Meter, ABE and MERLIN... And learning to speak a parade of acronyms like SCF, DDU, IMB, QR, and EDDM Every day I celebrate being a cancer survivor. 10 years and counting. We do learn strength thru adversity and sometimes thru divine intervention. I am blessed with MFSA friends from whom I have learned so much, my peer group who keep me focused, my wonderful husband for keeping me centered and and my family for not only loving me for who I am but mostly, for who I am not. Someone told me once: Nobody can go back in time and start anew, but ANYONE can start TODAY and create a new beginning. My friends, I have so much to be thankful for. I am incredibly humbled and honored to receive this award tonight as to me it carries a lot of weight, as I am now standing in the shadows of great leaders in MFSA. Label Source introduces: The Fuser Tab, this Wafer Seal Tab is specially made for customers that have issues using regular tabs on Fuser Oil coated mail pieces. We have designed this special Tab to work specifically on pieces that are run on Igen and other printers that use and emit Fuser Oil. Size Tabs: 1 20,000 to the roll at 100,000 to the box 1 1/2 15,000 to the roll at 45,000 to the box Custom order: Larger rolls available upon request Colors: Translucent and Clear only Non-perf only Call for pricing P.O. Box Enterprise Drive Suite 200 Coppell, TX Contact: Label Source Phone# Fax# MFSA PostScripts

17 Association Inkjet and Camera Solutions EMPLOYEE RECOGNITION PROGRAMS Reprinted from The Business Research Lab In the employee satisfaction studies done, The Business Research Lab never found a firm with low employee recognition scores and high employee satisfaction scores. There is some debate in the HR community as to whether it is better to reward employees with more money, or in non-monetary ways. These two methods need not be mutually exclusive. Compensation is important. If the average compensation in your company is well below average for other competing firms, then certainly it is an issue you should address. However, the most prevalent complaint we have observed about compensation is the lack of relationship between pay and performance. If there is a lack of a strong pay/performance relationship in your organization, a nonmonetary recognition program will be of limited value. If your organization pays its employees market rates, and grants larger pay increases to top-performers, an employee recognition program should be able to boost morale. A recognition program does not have to be expensive. The structure of a recognition program is limited only by your imagination. An effective program has the following components: fairness, high visibility and consistency. To be fair, a program must not favor one employee over another, merely because of his or her position within the organization, or his relationship with his supervisor. There must be an effective means of identifying employees who should be recognized. In many programs, there is an easy means by which employees can nominate others for recognition. As a supplement to a nomination program, supervisors can keep lists of notable employee achievements. Making certain that a program is highly visible helps to ensure consistent implementation. If a recognition program becomes viewed as management s program of the month, nominations will drop and those who are nominated may well be those who are perceived in the eyes of many to be management s favorites. Small, but meaningful achievements may be ignored unless there is a plan to actively solicit nominees. The actual rewards can be anything you want. One approach is to have small rewards initially, and make each employee who receives eligible to receive a larger reward at the end of the year. Some of the awards to consider include the following: dinner certificates, trophy or plaque, cash bonus, pizza party thrown in the recipient s honor, or for an entire group that has done a great job, top achiever ribbon, reserved parking space, an extra paid day off, or movie passes. The reward itself should be just part of the process. Recognition can be achieved by having the reward given at a gathering of employees, and by recognizing the award in corporate communications, such as the corporate newsletter or Intranet site. Solutions to Increase Profits & Throughput with: MCS Perfect Match Read/Print Camera Solutions Highest Integrity System Virtual Cycle Tracking Single Provider Solution 100% Accountability Easy Setup Small MicroVision Cameras Digital Workflow MCS 4.25 Eagle Inkjet High Quality Graphics 600 DPI No Stitching Up to 17 Total Print Width 50% Higher Throughput Lower Ink Costs MCS Output Cameras Tools for Mailing Integrity IMB Logging & Audit Double Detection Divert control Multiple Area Verification Check Base Stock Return Address Verification Form Verification MCS has the latest generation of solutions to increase throughput and accuracy in your mailing operation while reducing labor and consumable expenses. MCS is the only solution provider with integrated design, service and support. Demand the best! JULY

18 available to all mfsa members, vendors too! MFSA s industry experts have developed criteria in 7 areas of environmental management. The full criteria are available at : for more information contact mfsa at 1(800) Stamp, Print or Do Both With One System In One Pass Turn Your Inserter into a Complete Finishing System A Complete Package to Affixing Stamps, Printing Mailers Precancelled Permit, Just Affixing Stamps or Just Printing. CALL TODAY: MFSA PostScripts

19 Employment ICE TO ISSUE 1,000 AUDIT NOTICES TO EMPLOYERS, FOCUS ON INFRASTRUCTURE SAFETY Reprinted from Jackson Lewis The Department of Homeland Security s Immigration and Customs Enforcement (ICE) office has announced it will notify 1,000 employers across the country the agency will audit their hiring records to determine compliance with employment eligibility verification laws. These Notices of Inspection (NOIs) often request not only I-9 documentation, but payroll records, copies of immigration filings, copies of Social Security Administration communications requesting corrections, information on independent contractors, and related information. All documentation normally must be produced within three business days of the employer s receiving the Notice. ICE says the employers targeted are those whose businesses have a key role in keeping national infrastructure safe. The 17 sectors singled out for the enforcement action include those associated with agriculture and food, financial services, commercial nuclear reactors, drinking water and water treatment, postal and shipping, healthcare, and transportation. According to ICE, The inspections will touch on employers of all sizes and in every state in the nation, with an emphasis on businesses related to critical infrastructure and key resources. In February, ICE had investigated 1,000 employers. This latest action continues the upward trend of yearly audits, bringing the number of I-9 audits for fiscal year 2011 to more than 2,300. The agency conducted 2,196 audits in fiscal year 2010 and 1,444 in fiscal year For more information on how to get your company prepared for such an audit, see our I-9 compliance tips at Fraud Detection Unit In addition to the I-9 inspections, U.S. Citizenship and Immigration Services, another arm of the DHS, has again stepped up its efforts to investigate and combat fraudulent use of immigration programs. The Fraud Detection Unit first started making random site visits in late A visit usually involves an unannounced drop-in by a US- CIS agent or contractor who reviews the employment conditions of a nonimmigrant worker, usually H-1B employees. The agent will request to speak to the employee, review the workplace, and review payroll and related records. For a more detailed description of a site visit, see H-1B Employers: Prepare for Site Visits From USCIS. What Employers Can Do These government crackdowns on employers represent a key part of DHS s immigration enforcement policy, emphasizing employer audits rather than the high-profile workplace raids of the past. It appears employers will continue to be targeted. If you receive a Notice of Inspection, immediately contact your counsel. The window for response is short. It is critical that employers review thoroughly the documents gathered in response to the Notice and that the documents be well-organized and presented in the best light possible. Employers who have not received a Notice this time around should take the opportunity to review and audit their records internally. JULY

20 Business Operations PITCH IT: GIVE PERSONAL INFO THE SHRED CARPET TREATMENT By Lesley Fair Bureau of Consumer Protection Trash, like beauty, is in the eye of the beholder. What looks like a wastepaper basket to you may be a gold mine to an identity thief. Savvy business executives know that an important step in the fight against ID theft is scaling back on sensitive data in their offices and on their computers. But once you ve winnowed things down, it defeats the purpose unless you make sure your trash can t be recycled by a scam artist. That s why the Federal Trade Commission s new handbook, Protecting Personal Information: A Guide for Business, advises companies to pitch it properly dispose of what you no longer need. Defeat the dumpster diver. Breaching computer networks requires some technical know-how, but dumpster diving rooting through garbage for account statements, Social Security numbers, and other personal information just takes patience and a strong stomach. Encourage your staff to separate the stuff that s safe to trash from sensitive data that needs to be discarded with care. Full speed a-shred. Effectively dispose of paper records containing sensitive data by shredding, burning, or pulverizing them before throwing them away. Have shredders available throughout the workplace, including next to the photocopier. Make sure discarded documents can t be read or reconstructed by people with time on their hands and crime on their minds. Nothing to write home about. Whether working from home or on the road, make sure telecommuters and business travelers maintain your company s high security standards. Remind them to be as careful when disposing of sensitive documents off-site as they are when creating them. Disclose how to dispose. If you use consumer credit reports in your business, you may be subject to the FTC s Disposal Rule. The Rule requires companies to adopt reasonable and appropriate disposal practices to prevent the unauthorized access to or use of information in credit reports. Find out more by reading Disposing of Consumer Report Information? New Rule Tells How. Is your DELETE complete? Deleting files using the keyboard or mouse commands usually isn t sufficient because the files may continue to exist on the computer s hard drive and could be retrieved easily. So when getting rid of old computers, laptops, hard drives, portable storage devices, cell phones, etc., use wipe utility programs. They re inexpensive and can provide better results by overwriting the contents so that the files are no longer recoverable. Lesley Fair is an attorney in the FTC s Bureau of Consumer Protection who specializes in business compliance. HIGHWAY Sign Up. Stir Up. Sales Up. Sign up for MFSA s new Smart Sales training and coaching. Take the fastest Route to sales success with MFSA s Highway 52. You ll get 52 weeks of sales training and coaching to throw your sales effort into full throttle! Presented by: Next sessions starts September 7 th. Sign up today by visiting: The Fastest Route to Sales Success. 20 MFSA PostScripts