U.S. POSTAL SERVICE. Moving Forward on Financial and Transformation Challenges

Abstract

We are pleased to be here today to participate in this hearing on the financial and transformation challenges facing the U.S. Postal Service (the Service). Since we discussed these issues about a year ago, when we placed the Services long-term outlook and transformation efforts on our High-Risk List, the Service s financial situation has continued to decline, and its operational challenges have increased. As we recently reported, the need for a comprehensive transformation of the Service is more urgent than ever.1 The Service has also recognized the need for reexamining and changing its existing business model. Last month, the Service took a good first step when it issued its Transformation Plan. The plan provides a wealth of information about the Service s challenges, identifies numerous actions the Service plans to take under its existing authority, and outlines steps that would require congressional action. At the same time, the plan does not adequately address certain key issues or include an action plan with key milestones, which will be critical to assuring success and assessing progress. In my testimony today, I will focus on the Service s current financial outlook, which includes updated information since our report was issued. I will also offer observations on the Service s Transformation Plan.

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Document Details

Document Type
Technical Report
Publication Date
May 13, 2002
Accession Number
ADA401531

Entities

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  • United States Government Accountability Office

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  • Biomedical
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