Delivery
Delivery is the largest cost category for the Postal Service because it is fuel and labor intensive. Although mail volume continues to decline, the number of addresses we deliver to continues to expand.
The Postal Service is combining delivery unit locations and depending less on co-locating delivery and retail units. Centralizing delivery units helps us operate more efficiently. We are also assessing the potential savings in converting to more centralized modes of delivery. These efforts are projected to reduce inter-office and inter-plant transportation costs, increasing our efficiency and lowering operational workhours.
Delivery Points, by Type of Delivery
Delivery Type |
End 2011 |
End 2012 |
|---|---|---|
City |
88,279,444 |
88,566,570 |
Rural |
40,536,601 |
40,943,044 |
Post Office Box |
19,964,013 |
19,884,472 |
Highway Contract Route |
2,711,933 |
2,752,465 |
Total |
151,491,991 |
152,146,551 |
Number of Routes, by Type of Delivery
| Route |
End 2011 |
End 2012 |
|---|---|---|
City |
143,632 |
143,436 |
Rural |
74,379 |
73,578 |
Highway Contract Route |
10,149 |
9,985 |
Total |
228,160 |
226,999 |
Delivery units and routes are being redesigned as local workload changes. During 2012, the number of total routes was reduced by 1,161 from 228,160 to 226,999 in addition to absorbing 654,560 new delivery points, which would have required adding 466 city routes and 746 rural routes. These route reductions and cost avoidance were made possible through city route inspections and adjustments, and a national rural mail count.
Additional key actions taken in FY 2012 to improve delivery efficiency include:
- Exceeding FY 2012 objectives for delivery unit optimization by relocating delivery operations from 233 smaller offices to centralized facilities.
- Completing 7,000 conversions of business deliveries to centralized delivery.
- Improving customer service by:
- – Changing delivery rules to allow delivery to begin when at least 10 percent of lots are improved rather than the previous requirement of 50 percent.
- – Developing a modified centralized box unit with parcel lockers to increase customer acceptance of centralization.