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Cisco Reaps Nice ROI By Outsourcing to Pitney Bowes Management Services

Monday, March 25, 2002

Press release from the issuing company

Streamlined Services, Increased Productivity Are Among Benefits Cited in New Case Study Stamford, CT., March 25, 2002 - Pitney Bowes Inc.'s portfolio of mail and document management solutions has produced a number of positive results for Cisco Systems Inc. According to a just-released Case Study from Pitney Bowes Management Services (PBMS) the program, which includes management of mail, desktop delivery, shipping and receiving, has helped Cisco's Corporate Distribution Services stay efficient during company's enormous growth while increasing customer satisfaction and productivity. "The Corporate Distribution Services model put into place in April of 2001 has saved us $50,000 per month by reducing the vehicle fleet by over 50% and staffing by 10%'. Overall, productivity is up 10%" - all of which add up to a substantial return on investment," states Tom Wirth, Manager of Americas Business Services at Cisco Systems. "The new processes put into place by PBMS have substantially helped the business. Mail and deliveries move efficiently through the system, giving us confidence that we are meeting our high standards of customer satisfaction." PBMS was not only faced with the challenge of creating and managing an effective, cost-efficient distribution process, but one that could support and respond to a population doubling every year. Since 1997, when PBMS came on board, Cisco World Headquarters in San Jose grew from 2 buildings and 21 employees processing mail and packages for 5,500 employees to 50 buildings and 86 PBMS employees processing mail and packages for 21,000 employees. Using its knowledge of the mail and document management industry, PBMS implemented state-of-the-art technology, as well as hiring and training procedures. Also key was the assembly of an on-site management team to handle all aspects of the mail and delivery process, including integration of people and processes. "Many companies in the IT industry are outsourcing key processes, such as Corporate Distribution, Human Resources and Accounting, as a way to cut streamline these services and concentrate company resources on core business, adds Cisco's Wirth." "Pitney Bowes' incredible knowledge and reputation as a recognized leader in the mail and document management industry played an important part in our decision to make this move. In the high-tech world the integrity of a company's distribution system is as important as the quality of the product it manufactures and the services it provides."




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