Postmaster General John E. Potter to Retire
27 Oct 2010 | No Comments | posted by admin | in DMM Advisory
To Be Succeeded by Deputy Postmaster General Donahoe
WASHINGTON — After nearly 10 years as U.S. Postmaster General and CEO of the U.S. Postal Service, John E. Potter today announced that he will retire on Dec. 3, after 32 years of service.
The Governors of the Postal Service named Patrick R. Donahoe, currently Deputy Postmaster General and Chief Operating Officer, to succeed Potter.
A New York City native, Potter is credited with modernizing management, introducing long-term, strategic thinking necessary in a complex and changing marketplace, and transforming the Postal Service into a service-driven customer-focused and cost-sensitive organization.
Potter’s accomplishments include:
- Eliminating more than $20 billion in costs during the last 10 years, with cumulative savings of more than $50 billion.
- Building a leaner, more flexible workforce and increasing efficiency and productivity through technology and the expansion of automation in mail processing and delivery.
- Reducing career employment from 787,000 positions in 2001 to about 584,000 today through attrition, using strong and focused management practices.
- Leading the Postal Service and the nation through the anthrax terrorist attack following 9/11.
- Creating a 10-year action plan that is a blueprint for necessary operational, legislative and regulatory changes to the current business model to ensure a viable Postal Service for decades to come.
Potter expressed his pride in the performance of the men and women of the Postal Service, saying its accomplishments resulted from the thousands of employees who dedicated themselves to meeting customer needs in a rapidly changing technological and communications environment.
“I fully appreciate their support in maintaining the tradition of trust that dates back to Benjamin Franklin and the founding of our nation,” Potter said. “It is our people that define our organization and it is their dedication and sense of purpose that drives our business.”
Louis J. Giuliano, Board of Governors chair, noted Potter’s many accomplishments in thanking the Postmaster General for his years of service.
“You have been a steadying and far-sighted leader throughout a period of dynamic change in America’s use of the mail and during times of economic uncertainty,” Giuliano said. “The hallmark of your success was your ability to build respectful relationships with all stakeholders, customers and employees that built a trusted level of credibility. We unreservedly regard your tenure as one of great accomplishment.”
Donahoe, currently Deputy Postmaster General, will become the 73rd Postmaster General in December. Potter credits Donahoe and his entire service team with regularly exceeding demanding performance goals and setting new records for on-time delivery and operational efficiency.
Donahoe began his career as a clerk in Pittsburgh in 1975, and in 2001, became responsible for all facets of mail operations, including processing delivery, retail, engineering, transportation and facilities. He has served in a variety of senior management positions in operations and human resources before becoming Deputy Postmaster General in 2005.
Giuliano cited Donahoe’s outstanding performance as one of the main reasons the Board chose Donahoe to build on the Postal Service’s achievements and lead the organization through a changing business environment.
“Pat and Jack have been a very effective team,” Giuliano said. “We’re very sorry to see Jack leave, but we’re grateful for the significant contributions his transformative approach to our organization and the nation it serves. We wish him nothing but the best in the future.”
Donahoe said he appreciated the confidence of the governors in naming him the next Postmaster General.
“It’s been an honor to serve with Jack,” Donahoe said. “Our challenge going forward is to implement the ambitious plan now in place to assure the continued viability of the Postal Service in fulfilling its mission of providing reliable, self-supporting, universal mail service to our nation. While we are confronted by challenges, I am confident we will succeed.”
The Postal Service receives no tax dollars for operating expenses, and relies on the sale of products and services to fund its operations.
Please visit this link for additional information and details on Potter’s Postal Service career.
Postal Service Appeals PRC Decision on Exigent Price Request
22 Oct 2010 | No Comments | posted by admin | in DMM Advisory
The press release included below was issued this morning.
Petition to be Filed in the U.S. Court of Appeals
WASHINGTON — The U.S. Postal Service today announced its decision to appeal the Sept. 30 ruling of the Postal Regulatory Commission denying the Postal Service exigent price request.
The Postal Service Governors’ decision means that a petition will be filed in the United States Court of Appeals for the District of Columbia Circuit, seeking a review of the PRC’s interpretation of the law that governs how prices can be set under extraordinary and exceptional circumstances.
The Postal Service position is that the PRC misread the statute and applied an incorrect standard in evaluating the request for an exigent price increase.
“We have a fundamental disagreement with the PRC’s interpretation of the law,” said Postmaster General John E. Potter. “This action is an investment in our future. We need to understand and define the rules under the current law should the Postal Service find itself in a similar situation in the future.”
The Postal Service also asks the Court of Appeals to confirm the Postal Service right to pursue the exigent price increase as originally requested of the PRC.
It is expected that the Court of Appeals will ask for briefs from both the Postal Service and the PRC. Oral arguments also may be scheduled by the court once the petition challenging the PRC ruling is filed.
The Postal Service continues to evaluate other options to address the PRC’s ruling. The exigent price request would have generated about $2.3 billion in much needed revenue for the first nine months of calendar year 2011.
Filing for an exigent price change was the one tool the Postal Service had to use within the confines of the law to help address the impact the recession had on the its financial situation. But pricing is only one of a suite of solutions to address the dire financial situation the Postal Service faces. The long-term financial viability of the Postal Service will remain questionable unless the March 2 action plan is fulfilled.
A quick and timely resolution of the appeal is an important part of the Postal Service plan.
The Postal Service receives no tax dollars for operating expenses, and relies on the sale of products and services to fund its operations.