US Postal Service Postmaster General Louis DeJoy has announced changes to the organizational structure of the company in an effort to operate in a more efficient and effective manner, with the aim to better serve customers.
The new organization set-up will align functions based on core business operations and will provide more clarity and focus on what the Postal Service says it does best: collect, process, move and deliver mail and packages.
The new organizational structure is focused on three business operating units. Retail and Delivery Operations, which will focus on accepting and delivering mail and packages efficiently with a high level of customer satisfaction, and will be led by Kristin Seaver. The Logistics and Processing Operations arm has an aim to move mail and packages efficiently to the delivery units, meeting service standards, and will be led by David Williams. Commerce and Business Solutions will focus on leveraging infrastructure to enable growth and will be led by Jacqueline Krage Strako.
Alongside these changes, DeJoy also announced the appointment of Scott Bombaugh as chief technology officer, Steve Monteith as acting chief customer and marketing officer, and Pritha Mehra as acting chief information officer.
“This organizational change will capture operating efficiencies by providing clarity and economies of scale that will allow us to reduce our cost base and capture new revenue,” said Postmaster General and CEO Louis DeJoy.
“It is crucial that we do what is within our control to help us successfully complete our mission to serve the American people and, through the universal service obligation, bind our nation together by maintaining and operating our unique, vital and resilient infrastructure.”
As part of the modified organizational structure, logistics and mail processing operations will report into the new Logistics and Processing Operations organization separate from existing area and district reporting structures. This includes all mail processing facilities and local transportation network offices. Splitting operations into these two organizations is designed to allow for improved focus and clear communication channels.
These organizational changes do not initiate a reduction-in-force, and there are no immediate affects on USPS employees, the company said. However, to prepare for future changes, the Postal Service has implemented a management hiring freeze and will be requesting future Voluntary Early Retirement Authority from the Office of Personnel Management for employees not represented by a collective bargaining agreement.
USPS receives no tax dollars for operating expenses and relies on the sale of postage, products and services to fund its operations.