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Chapter 2
Postal Operations

Table 2-1 Volume Forecasts
(pieces in millions)
blank 2005
(actual)
2006
(estimated)
2007
(estimated)
First-Class Mail98,07195,88492,456
Priority Mail 887 883 857
Express Mail555448
Periodicals 9,070 9,117 8,999
Standard Mail 100,942 104,309 105,652
Package Services 1,166 1,207 1,209
International 1,166 836 808
Other* 700 740 771
Total 211,743 213,030 210,800

*The Other category includes mail sent by the Postal Service, mailgrams, and free matter for the blind and handicapped.

Note: Numbers may not add due to rounding.

2. Service Performance

First-Class Mail service performance results are measured through the Transit Time Measurement System (TTMS). TTMS is an independent, external system administered by IBM Business Consulting Services. The main goal of TTMS is to measure service performance from the customer's point of view. The External First-Class (EXFC) measurement system, the major component of TTMS which has been in existence since 1990, continuously tests a panel of 463 three-digit ZIP Code areas. These areas are selected on the basis of geography and volume density. The test represents ZIP Code areas from which 90 percent of First-Class Mail volume originates and to which 80 percent destinates. Test mail is inducted by "droppers" into collection receptacles, and the time and date are recorded. The mail is received either at a home or business address by "reporters," who log and report the date of receipt. EXFC is not a system-wide measurement of all First-Class Mail performance. The system mirrors the customer experience, but does not reflect volumes entered by large mailers or intermediaries.

The EXFC system reported national overnight performance of 95 percent for the entire year in 2005. National service performance for 2- and 3-day service for 2005 was reported as 91 and 87 percent, respectively. See chapter 4 for further details.

While Express Mail and Priority Mail performance is tracked and has improved during the past 5 years, because these products are competitive, the data was considered proprietary and not published. However, customers can track their own Express Mail, Priority Mail, and package services parcels with Delivery Confirmation on usps.com. Commercial letter or flats mailings can be tracked using CONFIRM service.

3. Customer Satisfaction

The Customer Satisfaction Measurement (CSM) process provides reliable and actionable information to Postal Service managers by identifying opportunities to improve overall customer satisfaction. CSM is composed of three components:

  • CSM-Residential (CSM-R) - measures household customer satisfaction.
  • CSM-Business (CSM-B) - measures business customer satisfaction.
  • CSM-Event-Based (CSM-EVB) - measures customer satisfaction with specific events or activities, such as customer's experience with the Business Mail Entry Unit.

The customer satisfaction survey process is measured independently by The Gallup Organization. The CSM-R national results (see Table 2-2) showed a sustained CSM-R score of 93 percent for combined overall performance ratings of excellent, very good, and good for the first three quarters of 2005. For Postal Quarter IV, the overall performance rating from residential customers increased to 94 percent.

CSM-B measures the satisfaction of business customers. Because needs vary markedly, the Postal Service tracks satisfaction for three levels of business customers - from the largest volume mailers to small business customers. National Accounts are the Postal Service's largest revenue customers and are managed by National Account managers. Premier Accounts are large revenue-generating business customers managed by local account representatives. The third category, Preferred Accounts, is all other business customers not identified as National or Premier Accounts. Preferred Accounts are typically small businesses service by a local Post Office.

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