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2006 Annual Report United States Postal Service | 5
Year in Review
WE GIVE OUR CUSTOMERS OUTSTANDING SERVICE.
On-time delivery of overnight-committed First-Class Mail continues at 95
percent, as independently measured by IBM Consulting Services, continu-
ing our strong service performance levels of recent years.* We delivered
through ongoing disaster recovery after Hurricanes Katrina and Rita in the
Gulf Coast region and an unprecedented wildfire season in the west.
WE OFFER EXCELLENT SERVICE AT AFFORDABLE PRICES.
Great service at a great value creates customer satisfaction. Ninety-two
percent of customers independently surveyed rated their experience with
the Postal Service as excellent, very good, or good. Customers trust us, a
hallmark of our service to the nation. Americans rated the Postal Service
as the No. 1 agency they trust to protect their privacy, according to a
Ponemon Institute study.
WE CONTINUE TO TRANSFORM TO MEET CUSTOMER NEEDS.
We continue transforming, guided by our Strategic Transformation Plan
2006–2010. It builds on our commitment to cut costs, add value, become
more efficient, and meet changing customer needs. We pledged to
continue our commitment to remove $1 billion in costs each year, and be
aggressive in making changes to assure affordable and reliable universal
service.
WE USE STATE-OF-THE-ART AUTOMATION AND TECHNOLOGY.
We deliver twice as much mail as we did 20 years ago, with the same
number of employees, by making technology work for us and for our
customers. We recently deployed the Automated Package Processing
System, which can process more than 9,500 pieces of package mail per
hour. Business customers began using the 4-State Customer Barcode to
help them track their mail. A new system for sequencing large mailpieces
in delivery order moved closer to reality.
WE PUT THE RIGHT RESOURCES IN THE RIGHT PLACE
AT THE RIGHT TIME.
On the ground or in the air, we’re committed to moving the mail as
efficiently as possible. We expanded our business relationship with
FedEx, UPS and commercial carriers who move our mail by air, and we
implemented a Surface Visibility system to provide real-time visibility for
mail as it moves through our surface transportation network.
WE WORK WITH MAILERS TO PROVIDE SOLUTIONS.
In partnership with mailers, we worked to improve address management
and reduce costly undeliverable-as-addressed mail. We redesigned our
Business Service Network to better serve large mailers. Participation in
mailing industry events has been impressive — more than 15,000 mailers
participated in National Postal Customer Council Day and the National
Postal Forum had its best-ever attendance. This reflects the importance of
the collaboration between the Postal Service and its business customers.
WE IMPROVE THE POST OFFICE EXPERIENCE.
More than 1,400 postal locations extended their retail hours, which
resulted in customers, in growing numbers, taking advantage of the
convenience to take care of their mailing and shipping transactions. And
while they were at the Post Office, customers could easily learn about our
products and services through standardized messaging and merchandis-
ing in retail locations nationwide.
WE BRING THE POST OFFICE TO CUSTOMERS.
The online Post Office at USPS.com made it easy to use our products
and services. Our powerful online duo of Click-N-Ship, for address labels
and postage, and Carrier Pickup, for free package pickup at your home or
office, could not be beat for convenience. A redesigned Postal Store on
USPS.com — the place to go to buy stamps and retail products — saw a
nearly 20 percent growth in revenue.
WE WANT TO RESHAPE THE FUTURE OF MAIL.
We unveiled a new pricing proposal that effectively reshapes the future of
mail and provides benefits to both customers and the Postal Service. The
current pricing structure for postal products relies primarily on a weight-
based system. The new proposal recognizes that shape matters.
WE WORK TOGETHER TO MAKE OUR WORKPLACE SAFER.
Safety is an important part of the workplace culture at the Postal Service.
Employees, managers and union representatives worked together to
promote safety initiatives and create a safer workplace. The success
of this cooperative effort was reflected in reductions in the number of
injuries and illnesses as well as a decline in the number of motor vehicle
accidents.
WE MAKE HR TRANSACTIONS EASIER FOR OUR EMPLOYEES.
Its now Quick, Easy, Convenient for Postal Service employees to
conduct their personnel-related business. We are replacing outdated
human resources technology with a new fully integrated system to
streamline, standardize and automate personnel transactions. Once fully
implemented, the new system, called PostalPEOPLE, will be the largest of
its kind anywhere.
HELPING OTHERS
Our Breast Cancer Research stamp — the Postal Service’s first semi-
postal stamp — has raised more than $53.1 million to help find a cure.
The Heroes of 2001 semipostal has raised more than $10.5 million for the
families of emergency workers killed or injured in the 9/11 attacks. And
the Stop Family Violence semipostal has raised more than $3.1 million for
the victims of this form of abuse.
* The External First-Class Mail measurement system (EXFC) measures collection box to mailbox
delivery performance. EXFC continually tests a panel of 463 ZIP Code areas selected on the basis
of geographic and volume density from which 90% of First-Class Mail volume originates and 80%
destinates. EXFC is not a system-wide measurement of all First-Class Mail performance.