US Postal Service 2003 Annual Report Download - page 4

delivering our best
On-time delivery of overnight-committed First-Class Mail achieved a
record high — 95% — through one of the harshest winters in years.
We held that performance level for the rest of 2003. And it wasn’t
just First-Class Mail — all measured service categories were at
record levels.*
satisfying customers
We delivered for our customers, and they noticed. Independently
measured customer satisfaction scores for quarter four showed that
94% of our customers rated their experience with the Postal Service
as excellent, very good or good. This was a one-point jump over the
93% recorded during the first three quarters. Research generated by
the President’s Commission on the Postal Service also found the Postal
Service held in the same high regard as our private-sector competitors.
staying productive
We marked a record fourth straight year of positive total-factor
productivity. TFP includes all factors of production and measures the
growth in the ratio of the resources we use — the inputs — to the
products and services they produce — the outputs.
cutting costs
At the Postal Service, we understand that every penny we spend is a
penny we have to earn from our customers. So managing costs is
important to us. In 2003, we reduced costs by $1.1 billion, increas-
ing customer value with every transaction. Our goal? Removing
another $2.3 billion in costs by 2006.
expanding access
No time to visit the Post Office? We bring the Post Office to you —
with usps.com.Buy stamps. Send packages using Click-N-Ship.
Print address labels — with or without postage. Add Delivery
Confirmation and other special services. Send cards and letters.
Schedule a pickup. Get mailing information. And check on the status
of your shipment. All from the convenience of your home or office.
You’re busier than ever — that’s why we’ve made usps.com better
than ever.
continuing to transform
Times are changing — customers have more choices than ever.
That’s why the Postal Service is changing. We’re increasing opera-
tional efficiency. We’re adding value for our customers. And we’re
enhancing our performance-based culture. It’s all in our
Transformation Plan, defining the strategies we’re following to
protect the right of everyone in America — no matter who, no matter
where — to affordable, universal mail service.
providing solutions
Consumers are saying “no” to telemarketing. They’re blocking spam.
But most still welcome direct mail. It’s one of the most respected —
and effective — sales tools available to marketers. This year, we’ve
made it even better with innovations like Customized MarketMail and
Repositionable Notes — two ways for mailers to make sure their
messages stand out from the crowd.
helping others
Our Breast Cancer Research stamp — the first semipostal stamp
issued by the United States Postal Service — has raised $34.5
million toward finding a cure. And the “Heroes of 2001” semipostal
has already raised $8.6 million for the families of emergency workers
killed or injured in the 9/11 attacks. Both stamps sell for 45 cents,
with the difference between the one-ounce, First-Class letter rate
and the price of the stamp earmarked for their special purpose.
celebrating diversity
For the fourth straight year, Fortune magazine recognized the Postal
Service as a leader in diversity, naming us one of the “50 Best
Companies for Minorities.” And we placed ahead of every other deliv-
ery company included in the list!
driving performance
We’re implementing an innovative new pay-for-performance system.
For the first time, compensation for every supervisor, postmaster,
manager and executive is directly tied to their achievement of
clearly-defined service, financial and employee goals.
protecting employees, customers and the mail
We tested a state-of-the-art Biohazard Detection Systems at 15
locations nationwide in preparation for deployment in 2004.
The system will provide a new level of protection through early
warning if biohazards such as anthrax are detected in the mail. And
an independent Environmental Clearance Committee declared our
decontamination of Washington, DC’s huge Curseen-Morris mail
processing facility a success.
respecting privacy
As we do business with our customers — from the largest mailer to
the individual household — we’re creating a gold standard of privacy
protection. In a survey conducted by the prestigious Ponemon
Institute, the Postal Service received the highest privacy trust score
of any government organization examined.
safeguarding the mail
The Postal Inspection Service worked to prevent crime involving the
mail through an aggressive program of education, prevention and
investigation. As a participant in the Attorney General’s Corporate
Fraud Task Force, the Inspection Service also led a nationwide
awareness campaign that showed millions of consumers how to
protect themselves against identity theft, whatever its source.
board of governors
In 2003, the Board held regular, monthly meetings in each month
except July, for a total of 21 days of regular meetings. Seven of the
regular monthly meetings were held in Washington, DC. Four were
held in other areas of the country to allow the Board to see postal
operations. In addition, the Board held four special meetings.
The Board had three standing committees: Audit and Finance,
Capital Projects and Strategic Planning. The committees held regu-
larly scheduled meetings during the year to consider matters within
their areas of responsibility and refer items to the full Board for
consideration.
Board actions during 2003 included:
■approval of funding for Biohazard Detection Systems.
■approval of the 2002 audited financial statements, Annual
Report,and Comprehensive Statement on Postal Operations.
■approval to implement a Negotiated Service Agreement with
Capital One.
■approval of major capital projects.
■appointment of 2nd Inspector General of the Postal Service.
year in review
2| 2003 annual report united states postal service
* The External First-Class Mail measurement system (EXFC) externally measures collection box to mailbox delivery performance. EXFC continuously tests a panel of 463 ZIP
Code areas selected on the basis of geographic and volume density from which 90% of First-Class volume originates and 80% destinates. EXFC is not a system-wide meas-
urement of all First-Class Mail performance.