Identify a current USPS operations category in which it is possible to increase revenue, reduce expenses or do both. Then create subcategories to further break the problem into manageable pieces
The United State Postal Service has in recent years reported huge losses due to a reduction in the number of people using mail services. These losses have resulted in the company having to restructure its operations to ensure fewer expenses and increased revenue. One of the operations meant to ensure this is the retails operations, which includes the use of Automated Postal Centers and Internet services; therefore, promoting customer self-service. The use of APC systems is mainly meant to offer customers an alternative to visiting the service counter (American Postal Workers Union, 2009). The APC system may result in increased revenue if properly utilized. The system works for 24 hours, seven days a week; therefore, provides the possibilities for more operations, which may result in increased revenue. The system does not require any human support to operate, which reduces employment costs; therefore, promote a reduction in expenses (American Postal Workers Union, 2009). Customers have however avoided using the APC systems, with most of them opting to visit the counter. The internet just like the AOC also promotes 24-hour services; therefore, increased chances of increased revenue.
Identify new opportunities that offer new products or services that would increase USPS revenue by exploiting technology trends rather than opposing them.
Changes in technology have resulted in a reduced popularity for postal services; therefore, decreased revenue. There is a need for the USPS to explore new technological opportunities to ensure an increased revenue flow. One of the opportunities includes the introduction of electronic letter delivery systems. The electronic letter delivery system would include the forwarding of data or messages to post offices by electronic means (Daly, 2013). The messages are then delivered to an E-box or email address. The introduction of the electronic mail delivery system would result in a reduced need for a physical mail box as well as an increased clientele as every individual can register for an E-box. Another opportunity that would promote increased revenue is the use of hybrid mail. The hybrid mail service allows customers to send electronic files to post offices, which are then printed and supplied as physical mail (Forth Mailing Slolutions, 2015). The hybrid mail services also promote connections between suppliers and different company. The system allows the postal service provides a logistic loop that allows payment using mobile technology, therefore, easy movement from order to payment.
Visit and survey a local post office. What non-stamp items are available for sale? What non-mail items? What services are available (photocopying, passport application, money orders, etc.)? Did this experience change your answers to the first two questions? How?
The local post office performs different services including the sending and receiving of mails and parcels. The office also provides services different from the traditional mail delivery. The local post office is involved in the sale of mail items as well as non-mail items. Some of the non-mail items sold at the post office include packing materials, greeting cards, and labeling materials. The post office also has a gift shop where paintings and collector stamps may be purchased. The post office is also involved in the selling of t-shirts and shopping bags. Some of the services at the post office include passport application, photocopying, and sale of domestic and international money orders. The office accepts passport application on behalf of the US government. My experience visiting the local post office did not affect the answers provided in the first two questions. Although these non-mail services result in increased revenue, the post office still needs to invest heavily in information technology, which will ensure the office keeps up with the current communication trends. Investing in information technology may also result in the establishment of online shops; therefore, increased sales for mail and non-mail products.
Identify solutions deployed successfully by postal services outside of the United States. What are other countries doing that may be helpful to the USPS?
Countries such as Denmark, Finland, and the United Kingdom have employed different strategies to ensure the success of their postal services. Denmark has deployed a physical and electronic mail delivery selection. This system has allowed every Denmark citizen to register for an E-box; therefore, increased revenues for the company (Aalborg, 2014). The E-box system also provides additional revenue for the post office as it provides an advertisement avenue. The subscription price paid by the numerous suppliers also results in increased revenue. Canada and Norway postal services have also adopted this strategy. The Royal Mail service in the United Kingdom has deployed an Automatic Revenue Protection service. The service aims at identifying the underpaid items within the mail stream (Royal Mail, 2014). The service also ensures the tracking and billing of all Business Response Service mail items. A major benefit of the automatic revenue protection service is that it leads to increased revenue from the already existing mail flow.
If you were a member of Congress and had the power to change a law or regulation impacting the USPS, which would it be? Be as specific as possible.
The America Postal services are facing large financial deficits due to several issues. Some of these issues are due to different legal requirements. To ensure that the USPS goes back to being a profitable business, there is a need for Congress to make several changes to the law. The Postal Accountability and Enhancement Act of 2006 is a law that obligates the postal company to pay health benefits for its retirees (Gattuso, 2013). The Act has resulted in USPS reporting huge losses annually. Since Congress introduced the Act, there is a need for Congress to amend the law; therefore, reducing the amount of losses accrued by the postal company. There is also a need for Congress to lift the restriction that prevents USPS from shutting down post offices that are no longer in use.
References
Aalborg. (2014, May). Digital Post in Denmark: mandatory sign up by 1 November 2014. Retrieved from life in Aalborg: http://cphpost.dk/news/danish-postal-services-most-expensive-in-europe.html
American Postal Workers Union. (2009). The Automated Postal Center (APC) Program. Retrieved from American Postal Workers Union: http://www.apwu.org/sites/apwu/files/resource-files/PO-106%20Automated%20Postal%20Center%20Program%2011-07%20(1.72%20MB).pdf
Daly, J. (2013). The Postal Service’s 30-Year Relationship with Email. Retrieved from FedTech Magazine: http://www.fedtechmagazine.com/article/2013/09/postal-services-30-year-relationship-email
Forth Mailing Slolutions. (2015, March). Who's Using Hybrid Mail? Retrieved from Forth Mailing Slolutions: http://www.forthdirectmail.co.uk/hybrid-mail-whos-using-it/
Gattuso, J. L. (2013, October). Can the Postal Service Have a Future? Retrieved from http://www.heritage.org/research/reports/2013/10/can-the-postal-service-have-a-future
Royal Mail. (2014, March 31). Guide to Royal Mail Service Changes affecting Large Letters. Retrieved from https://www.royalmailwholesale.com/mint-project/uploads/304492632.pdf
