Investigation Finds US Postal "Service" Customer Experience Lacking

CULTURE

January 11, 2002 -- San Francisco, CA -- Management of many U.S. Postal Service post offices is woefully inadequate, according to a recent investigation. Critics suggest that, without some changes to current USPS practices, mail delivery could end up in private hands in the future.

A four-month long investigation involving over 100 post office visits in San Francisco, CA during 2001 found chronic long lines, many self service stamp vending machines out of order, staffing discrepancies, and poor inventory planning.

For example:

• South Van Ness at 23rd St: 20 minute wait in line; both stamp vending machines out of order, 2 window employees working (4 windows available), no package pickup window.
• Bryant St. at 16th St.: 25 minute wait in line; both stamp vending machines out of order, stamps only counter unattended, 2 window employees working (4 windows available), no supply of $3.50 or $3.95 stamps (the two most common priority mail postage amounts -- instead the clerk must go to the back to find a variety of smaller denomination stamps to supply the correct amount), no supply of $1 stamp.
• Bryant St at 15th: (Virtually across street from above post office). This is a package pickup only-facility. No customers (as they provide no postage purchase services). 2 employees chatting idly.
• Market St. post offices: 25 minute wait in line; money order system down; 3 employees (6 windows available).
• 18th St. nr. Castro: 20 minute wait, stamps-only counter unattended.
• Clayton St. at Haight: This is a well run post office. Small office, usually staffed with 2-3 window employees.

"While the United States Postal Service certainly can't be faulted for the volume of mail it reliably delivers every day at a reasonable price, the quality and maintenance of U.S. Post Office staff and location certainly leaves much to be desired," remarked Minh Nguyen, co-author of the study.

Suggestions for improvement of service include adequate maintenance of self-service equipment, a dedicated package pickup service, more accurate staffing allocation, provide single stamps for the most common postage amounts (this can be determined from meter-printer data), reinstitute the self-service pilot program, and introduce new technologies such as vending machines that produce customer-determined variable value stamps.

Some business leaders advocate taking the mail delivery business private. Federal Express (FDX) has already begun working with the U.S. Postal Service in air transportation of overnight packages, and could take on a greater role in the future. Since its founding in Little Rock, AK in 1971, Fedex has revolutionized the package delivery business with its hub and spoke system. On January 10, 2001 FedEx and the United States Postal Service announced an alliance, approving two service contracts -- one for domestic air transportation of postal express shipments, the other for placement of FedEx drop boxes at U.S. post offices. The "public-private alliance," according to the company's press releases at the time "will provide greater choice, reliability and convenience for American consumers."

The United States Postal Service could use some competition in order to break its customer service and facility maintenance issues out of their current slump. Without such an impetus for change, FedEx may end up with a new, national franchise.