The Challenge
In a postal company, delivery can represent 50 to 60 percent of total operational costs. Of this, approximately 80 percent is likely to be labour cost. It follows that labour efficiency is a key determinant of productivity in a postal company. Managing the total operation to minimise cost while meeting delivery and service performance requirements is a daily challenge for managers.
The ability to sort and deliver mail securely, on time and at the lowest possible cost is a key measure of any successful postal organisation. Achieving success requires matching the correct levels and mixes of resources to mail volumes so expected workloads can be processed at any time to predetermined levels of quality.
We can provide specialised delivery consultancy expertise to help postal organisations meet these challenges. Our focus includes assessment, analysis, the formation of recommendations and the introduction of best practice tools, methodologies, policies and processes.
Our experience has shown typical postal delivery business questions include:
- Can customer service delivery be improved?
- How can costs be reduced?
- How can labour resources be better matched to volumes?
- How can workload be equitably distributed within the delivery office?
- Can processes be made more efficient?
- How can low performance be better managed?
Approach
Our approach to achieving improvements in delivery is comprehensive and introduced in phases. Its elements typically include:
- Improved performance management
- Installation of delivery workload assessment methodologies
- Process and performance improvement
- Change management
Installation of delivery workload assessment methodologies
By undertaking a detailed review of delivery rounds (indoors and outdoors), our consultants can provide an objective comparison of existing rounds and recommendations for improvement. The work incorporates:
- Outdoor route measurement (distance, classification of address points, terrain, dead distance), capture of daily volume information
- Capture of volume and labour hours information
- Applying proven methodologies to calculate indoor and outdoor delivery workloads per route
- Delivery route equalisation including calculation of work hours, identification of excess hours per route and recasting or re-sizing of routes
- Productivity measures involving capturing of hours of work per employee split by broad process activity
- Development of optimised delivery sequences and configuration of delivery route systems in collaboration with delivery officers
Process and performance improvement
- Identification and elimination of unproductive work processes and activities
- Development of best practice processes and work flows
- Re-design of processes associated with the introduction of delivery sequencing technology
- Documentation of processes and coaching of management on implementing new and changed processes
- Development of training programmes and change management strategies
- Identification of current practices and recommendations on best practice management practices
- Incorporation of purpose-designed ergonomic equipment to delivery offices, such as vertical or horizontal sorting frames, changeable delivery point labels, etc
Improved performance management
- Consultation and collaboration with management, team leaders and staff to finalise KRAs and KPIs for delivery
- Development of KPIs for delivery roles
- Development of a Balanced Scorecard for delivery down to delivery office or team
- Management coaching and assistance to implement an improved performance management framework
- Introducing planning, monitoring and reporting management systems
- Best practice sorting, delivery and productivity measurement processes
Change management
- Advice and expertise on implementing the change process
- Coaching of management and team leaders on staff communication processes and guidance with materials
- Development of and assistance with training for management and staff
- Improving staff morale and workplace safety through staff involvement in changes