Research Proposal 2 ✓ Solved

Research Proposal 2 research P

Today, the United States Postal Services (USPS) organization is slowly failing. This is happening at a time when its competitors such as the UPS are making billions of profit every year despite the increase in the use of e-mails. Although the organization is not a profit-making business but an agency to deliver quality services to the public, its management has led to its decline. In the USPS, the labor cost is about 80 percent of its revenue as compared to 53 percent of its competitor such as the UPS. Also, the organization has failed to deliver the value and quality of services the customers’ demands as compared to its competitors in the private sector.

Although the prices of USPS are relatively low, its ability to satisfy customers has diminished over the years. This research paper will aim to address the two most significant issues facing USPS which are financial success and customer satisfaction. The paper will apply the knowledge gained from class and provide suggestions on how to fix these problems.

Sample Paper For Above instruction

The decline of the United States Postal Service (USPS) poses significant challenges that threaten its sustainability and effectiveness in serving the American public. As a historically vital institution, USPS has faced criticism over its financial management, technological adaptation, and evolving customer expectations. This paper explores these core issues and proposes strategies for revitalization based on scholarly research, technological advancements, and policy reforms.

The Historical Context and Evolution of USPS

The USPS was established in 1775 during the Second Continental Congress, with Benjamin Franklin as its first postmaster. Since then, it has undergone several transformations, including the creation of the Post Office Department in 1792, its designation as a cabinet-level department in 1872, and its reorganization as an independent agency in 1970 (Leonard, 2016). Its fundamental mission has been to offer universal mail services to Americans regardless of geographic location, maintaining an obligation to deliver accessible, affordable, and reliable services (Leonard, 2016). Yet, despite its constitutional mandate, USPS's operational model has been increasingly strained by financial and technological pressures.

Financial Challenges and Competition

One of the most pressing issues confronting USPS is its financial instability. The organization struggles with high operational costs, particularly labor expenses, which consume approximately 80 percent of its revenue—a stark contrast to competitors like UPS, where labor costs account for around 53 percent (Valera, 2017). Moreover, the rate of revenue generation has stagnated or declined due to decreasing mail volume driven by digital communication, resulting in persistent deficits.

The private sector competitors such as UPS and FedEx have been agile in adapting to market changes by embracing technological innovations, optimizing supply chains, and diversifying service offerings. In contrast, USPS’s traditional operational structure and reliance on postal mail revenue inhibit its competitiveness (Edwards, 2016). Some scholars advocate for the privatization of USPS as a strategy to induce efficiency and financial stability by aligning operational incentives with profitability (Edwards, 2016). However, privatization poses regulatory, political, and ethical questions regarding access to universal service, especially in rural and underserved communities (Lawson, 2020).

Technological Adaptation and Modernization

The evolution of digital communication has drastically reduced the volume of traditional mail, impacting USPS’s revenue streams. To remain relevant, USPS must leverage advanced digital technologies to improve operational efficiency and service delivery (Lawson, 2020). The deployment of innovative information systems, automated sorting facilities, and tracking technologies can enhance accuracy, speed, and customer satisfaction. For instance, integrating real-time tracking and customer-friendly mobile applications could position USPS as a more competitive and modern organization.

Nonetheless, technological transformation requires significant investments and strategic planning. Governments and USPS leadership need to prioritize digital infrastructure modernization to reduce costs and improve quality. Furthermore, technological advancements could facilitate new revenue streams, such as parcel delivery services adapted to the e-commerce boom (Valera, 2017).

Management and Policy Reforms

Effective management is critical for addressing USPS’s financial and technological challenges. Reforms should focus on implementing business principles such as cost management, performance measurement, and strategic planning, while safeguarding the postal service’s universal access mandate. Adopting a more flexible regulatory environment could allow USPS to introduce competitive pricing, new services, and public-private partnerships (Edwards, 2016).

Additionally, enhancing transparency and accountability within USPS could restore public trust and stakeholder confidence. The integration of public administration best practices, such as participatory governance and community engagement, can facilitate stakeholder support for necessary reforms.

Policy Recommendations and Future Outlook

Policy initiatives should aim to provide USPS with the flexibility to innovate and adapt to changing demands. This includes revisiting legislation that mandates pre-funded retiree health benefits, which significantly burdens USPS finances, and creating incentives for technological adoption and service diversification. Furthermore, fostering collaborations with private sector companies can leverage expertise, resource sharing, and innovative service models in delivery logistics.

In conclusion, revitalizing USPS requires a multifaceted approach integrating financial restructuring, technological modernization, and management reforms. Embracing innovation while upholding its core mission of universal service is essential for USPS’s sustainability in the digital age. Strategic policy reforms, combined with operational efficiency, can ensure USPS remains a vital institution serving all Americans equitably.

References

• Edwards, C. (2016). Privatizing the US Postal Service. Cato Tax and Budget Bulletin, (75).
• Lawson, A. D. (2020). Deploying the right technology: a framework for digital strategy and selection at the United States Postal Service to shape the future of work (Doctoral dissertation, Massachusetts Institute of Technology).
• Leonard, D. (2016). Neither Snow Nor Rain: A History of the United States Postal Service. Open Road+Grove/Atlantic.
• Valera, G. E. (2017). Quantitative methods for testing pricing strategies at the United States Postal Service (Doctoral dissertation, Massachusetts Institute of Technology).