• Advertise
  • Contact Us
  • About Us
  • Supplier Directory
  • SCB YouTube
  • Login
  • Subscribe
  • Logout
  • My Profile

  • CORONAVIRUS
  • LOGISTICS
    • Air Cargo
    • All Logistics
    • Express/Small Shipments
    • Facility Location Planning
    • Freight Forwarding/Customs Brokerage
    • Global Gateways
    • Global Logistics
    • Last Mile Delivery
    • Logistics Outsourcing
    • LTL/Truckload Services
    • Ocean Transportation
    • Rail & Intermodal
    • Reverse Logistics
    • Service Parts Management
    • Transportation & Distribution
  • TECHNOLOGY
    • All Technology
    • Artificial Intelligence
    • Cloud & On-Demand Systems
    • Data Management (Big Data/IoT/Blockchain)
    • ERP & Enterprise Systems
    • Forecasting & Demand Planning
    • Global Trade Management
    • Inventory Planning/ Optimization
    • Product Lifecycle Management
    • Sales & Operations Planning
    • SC Finance & Revenue Management
    • SC Planning & Optimization
    • Sourcing/Procurement/SRM
    • Supply Chain Visibility
    • Transportation Management
  • GENERAL SCM
    • Business Strategy Alignment
    • Education & Professional Development
    • Global Supply Chain Management
    • Global Trade & Economics
    • HR & Labor Management
    • Quality & Metrics
    • Regulation & Compliance
    • SC Security & Risk Mgmt
    • Supply Chains in Crisis
    • Sustainability & Corporate Social Responsibility
  • WAREHOUSING
    • All Warehouse Services
    • Conveyors & Sortation
    • Lift Trucks & AGVs
    • Order Fulfillment
    • Packaging
    • RFID, Barcode, Mobility & Voice
    • Robotics
    • Warehouse Management Systems
  • INDUSTRIES
    • Aerospace & Defense
    • Apparel
    • Automotive
    • Chemicals & Energy
    • Consumer Packaged Goods
    • E-Commerce/Omni-Channel
    • Food & Beverage
    • Healthcare
    • High-Tech/Electronics
    • Industrial Manufacturing
    • Pharmaceutical/Biotech
    • Retail
  • REGIONS
    • Asia Pacific
    • Canada
    • China
    • Europe
    • Latin America
    • Middle East/Africa
    • North America
  • THINK TANK
  • WEBINARS
    • On-Demand Webinars
    • Upcoming Webinars
  • PODCASTS
  • VIDEOS
  • WHITEPAPERS
Home » Watch: The U.S. Postal Service’s 10-Year Plan: Will It Work?
VIDEO

Watch: The U.S. Postal Service’s 10-Year Plan: Will It Work?

July 8, 2021
Robert J. Bowman, SupplyChainBrain

John Haber, founder and chief executive officer of Spend Management Experts, dissects the U.S. Postal Service’s 10-year plan for reviving operations and reaching profitability.

The U.S. Postal Service recently announced a 10-year plan to achieve “financial sustainability and service excellence.” It plans to invest $40 billion over that period, while reaching the break-even point by fiscal 2023. Central to that plan is a boost in the scale and service quality of package deliveries to business, representing $24 billion in net revenue.

Can USPS meet those targets and compete with the private parcel deliverers, in particular Amazon.com? And is the money that’s earmarked for the initiative enough to get the job done? “The jury’s still out on whether or not it can, and whether that’s too little too late,” says Haber. He noted the “huge pile of debt” that’s burdening the organization, including pension obligations extending out for decades.

“Whether or not they can execute and reach profitability goals as quickly as outlined, I’m skeptical,” says Haber, noting that USPS is saddled with expensive infrastructure and a loss of revenue due to the steep reduction in First Class mail. “As volume shifts toward parcels, we’ll see how well they’re able to manage profitability,” he adds.

When it comes to customer service expectations, Amazon has set the bar. USPS must scramble to match the private competitor’s prowess in same-day, one-day and two-day delivery. United Parcel Service and FedEx provide additional competition, although both are also vying with Amazon for business.

On the positive side, Haber believes USPS could benefit from shippers diversifying their last-mile carriers, a lesson learned from the COVID-19 pandemic. But Amazon already is flying parcels for the Postal Service, and is UPS’s largest customer. “There’s a very complicated weave of small-parcel noise going on,” says Haber.

RELATED CONTENT

RELATED VIDEOS

Logistics Last Mile Delivery Express/Small Shipments E-Commerce/Omni-Channel
  • Related Articles

    Trump’s Fix for Postal Service: Privatize It

    Watch: Will 2022 Be the Year of the ‘Smart Factory’?

Robert J. Bowman, SupplyChainBrain

Podcast | Stitching Together the Physical and Digital Supply Chain

More from this author

Wake up to live
“Supply Chains in Crisis”
updates and the latest Supply Chain News!

Subscribe to our Daily Newsletter

Timely, incisive articles delivered directly to your inbox.

Popular Stories

  • Medical drone

    Amazon May Be Proof That Delivery Drones Aren’t Practical

    Last Mile Delivery
  • Warehouse worker

    Why Higher Wages Alone Won’t Solve the Supply Chain Labor Shortage

    Warehousing
  • Adidas

    From Sneakers to Teslas, China Lockdowns Upend Global Supply Chains

    Coronavirus
  • SEC building seal

    Get Ready for the Next Phase of ESG: Mandatory Corporate Due Diligence

    Regulation & Compliance
  • ESG Guide

    Confronting the ESG Imperative in Supply Chains

Digital Edition

Scb may 2022 sm

2022 Supply Chain ESG Guide

VIEW THE LATEST ISSUE

Case Studies

  • 3PL Doubles Productivity With Robots to Fulfill Medical Supply Orders

  • E-Commerce Company Cuts Order Fulfillment Time by 40%

  • Fashion Retailer Halves Fulfillment Time With Omichannel Automation

  • Distributor Scales Business by Integrating Warehouse Automaton Software

  • Fast-Growing Fashion Brand Scales E-Commerce Fulfillment With Whiplash

Visit Our Sponsors

Yang Ming Alithya Barcoding
Blue Yonder BNSF Logistics Generix
GEP GIB USA GreyOrange
Here Honeywell Intelligrated Inmar
Keelvar Kinaxis Korber
Liberty SBF Locus Robotics Lucas Systems
Nvidia Old Dominion Parsyl
Redwood Logistics Saddle Creek Logistics Schneider Dedicated
Setlog Holding AG Ship4WD Shipwell
Tecsys TGW Systems Thomson Reuters
Tive Trailer Bridge Vecna Robotics
Whiplash    
  • More From SCB
    • Featured Content
    • Video Library
    • Think Tank Blog
    • SupplyChainBrain Podcast
    • Whitepapers
    • On-Demand Webinars
    • Upcoming Webinars
  • Digital Offerings
    • Digital Issue
    • Subscribe
    • Manage Your Subscription
    • Newsletters
  • Resources
    • Events Calendar
    • SCB's Great Supply Chain Partners
    • Supplier Directory
    • Case Study Showcase
    • Supply Chain Innovation Awards
    • 100 Great Partners Form
  • SCB Corporate
    • Advertise on SCB.COM
    • About Us
    • Privacy Policy
    • Contact Us
    • Data Sharing Opt-Out

All content copyright ©2022 Keller International Publishing Corp All rights reserved. No reproduction, transmission or display is permitted without the written permissions of Keller International Publishing Corp

Design, CMS, Hosting & Web Development :: ePublishing