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Assumptions and Metrics Underlying the Delivering for America 10-Year Plan

July 11, 2022

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The U.S. Postal Service and the Board of Governors released their 10-year strategic plan, called Delivering for America: Our Vision and Ten-Year Plan to Achieve Financial Sustainability and Service Excellence (the Plan), on March 23, 2021. The Plan outlines steps to achieve a positive net income within three years and break-even operating performance over the next 10 years. To achieve these objectives, the Postal Service identified 13 strategic focus areas, which are supported by 175 initiatives designed to eliminate a 10-year projected loss through additional revenue and cost savings opportunities, totaling $160 billion.

What We Did

Our objective was to evaluate the Plan to determine if the underlying assumptions and projections were supported and whether metrics were established and reasonable. We reviewed 58 key initiatives, their risks and interdependencies, as well as methods of communication for internal and external stakeholders.

What We Found

The Postal Service’s assumptions and projections underlying the 58 initiatives we reviewed were supported, and its systems for recording, measuring, and monitoring initiative risks, milestones, and metrics were in place. The Postal Service also implemented a process to validate projected revenue growth and cost savings resulting from the Plan.

We did note, however, that when the Postal Service developed its initiatives related to service performance, it did not conduct studies to determine whether specific demographic groups could be disproportionately affected. Management noted that such studies were not required or necessary, and the Postal Service does not have specific guidance or situations in which they complete a distributive impact study. Lastly, while the Postal Service provided public-facing plan updates in its most recent Integrated Financial Plan and progress report in April 2022, it has opportunities to further enhance communication regarding its progress and savings. This would better inform its customers and stakeholders about the Plan’s progress and success.

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