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8.0 MANAGEMENT STRUCTURE AND PERFORMANCE MANAGEMENT
The management process currently in use was initially developed as a result of a detailed assessment based on the criteria established for the Malcolm Baldrige National Quality Award, and has been adapted over time to meet the changing needs of the organization. Postal Service goals, objectives, indicators, and targets are developed in an annual process that incorporates the development of future requirements, the implementation of current programs and budgets, and the review of recent performance.
The Postal Service is an independent establishment of the executive branch of the federal government. 8.1.1 Board of GovernorsThe Postal Service Board of Governors is composed of 11 individuals, nine of whom are appointed by the President of the United States with the advice and consent of the U.S. Senate. No more than five of the governors may be of the same political party, and the governors serve staggered terms of 9 years. The governors select the postmaster general, who also serves on the Board. The 10-member group then selects the deputy postmaster general, who also serves on the Board. The Board is similar in purpose and function to the Board of Directors of a publicly held corporation. The Board directs and controls the expenditures of the Postal Service, approves major capital projects, approves the number of officers of the Postal Service and their compensation, joins in the long-term planning, and reviews the polices and performance of the Postal Service. The Board specifically reviews and approves the Annual Performance Plan. The Board conducts public meetings and is supported by a small secretariat located at Postal Headquarters in Washington, D.C. The Board may also use independent experts, consultants, and legal advisors to help them in their oversight of the Postal Service. 8.1.2 The Executive CommitteeThe Executive Committee is the senior management decision-making committee of the Postal Service, currently including the following eight officers: the postmaster general, the deputy postmaster general, the senior vice president and general counsel, the senior vice president of Human Resources, the chief financial officer and executive vice president, the senior vice president of Government Relations and Public Policy, the chief marketing officer and senior vice president, and the chief operating officer and executive vice president. The vice president of Strategic Planning supports this group. The postmaster general leads this group. This group is responsible for setting long term policies, approving major programs, and reviewing performance. 8.1.3 Establish Committee and Deploy ProcessThe Establish Committee is currently chaired by the chief operating officer and executive vice president. Key members of the Executive Committee serve on this committee, including the chief financial officer, the chief marketing officer, and the senior vice president of Human Resources, to represent the key strategic areas of emphasis for the business, customers, and employees. Other officers participate as necessary. The purpose of the committee is to review the previous year's performance and changes in the business environment, and to discuss relevant potential changes in goals, strategies, measurement systems, and targets. Proposed changes must be supported by data and analysis. The Deploy process is co-chaired by the Finance Group and the senior vice president of Operations, and assisted by an area vice president. During the process, recommended goals, measurement systems, and targets are reviewed and discussed with those functional and field operating units that will have to implement them. This is an interactive process that usually results in changes based on the business environment, organizational capacity, and available resources. The budget is typically finalized in September. Major programs and projects complete a Program Performance Plan that links the program budget to the achievement of specific goals and objectives of the Postal Service. These plans are similar in function and purpose to the Program Assessment and Review Tool (PART) used by the Office of Management and Budget. 8.1.4 The Business Review CommitteeThe Business Review Committee (BRC) is a fact-based analytic forum for reviewing business results in terms of the voices' targets set by the Establish Committee. The BRC highlights successful business cases and issues and seeks to improve operational effectiveness and helps foster break-through achievements. The BRC meets bi-monthly, and is chaired by the chief financial officer (CFO). Members include the deputy postmaster general, the general counsel, the chief marketing officer, the chief operating officer, the senior vice president of Human Resources, the senior vice president of Intelligent Mail and Address Quality, the senior vice president of Operations, the vice president of Strategic Planning, the senior vice president of Government Relations, and the area vice presidents. 8.1.5 The Capital Investment CommitteeThe Capital Investment Committee (CIC) establishes the Postal Service's investment direction and procedures, ensures compliance with Decision Analysis Report (DAR) requirements, establishes resource allocation priorities within the capital budget, approves programs, and guides their submission to the Board of Governors, as necessary. The CIC also conducts follow-up reviews to determine that planned investments are achieving their expected results. The CIC meets monthly, and is chaired by the chief financial officer. Voting members include the CFO, deputy postmaster general, general counsel, chief marketing officer, chief operating officer, and the senior vice presidents of Human Resources, Operations, and Intelligent Mail and Address Quality. Nonvoting members include the vice presidents of Engineering, Supply Chain Management, Facilities, and Finance/Controller, and the chief technology officer. |