Vision 2013 Overview The United States Postal Service Five-Year Strategic Plan October 2008 Vision 2013 is our plan for building our business and sustaining a strong, viable Postal Service during turbulent times. Our Mission Has Not Changed Our mission is to provide trusted, reliable, affordable universal service. Each day we deliver to 150 million U.S. addresses and countless more worldwide. We help customers build and maintain relationships, share sensitive information, and exchange goods and services. We help businesses grow. Challenging Times Electronic diversion and a tough economic climate continue to reduce volume and revenue. However, many of our costs — such as a carrier’s daily stop at every address — are fixed, regardless of volume. Other costs, such as energy and benefits, are rising faster than inflation, while prices for 90 percent of our revenue base are capped at the rate of inflation. The growing revenue/cost gap is a serious threat to our ability to provide affordable universal service. The severity of the situation and the pace of change demand an agile, flexible organization. We will work with lawmakers to assure we have the necessary flexibility to respond. Building on a Strong Foundation Vision 2013 builds on a solid foundation of service and operational excellence. In this time of uncertainty, it is crucial that we balance an immediate need to address the current dynamic changes with a strong commitment to the future. We will continue to invest in Intelligent Mail, the Flats Sequencing System, flexible networks, and other initiatives that promise to deliver additional gains, especially in customer value. Vision 2013 We will adapt to changing customer needs to remain viable and to grow the postal business. We will leverage our strengths to create new value. And we will embrace change, incorporating new technology and new approaches to respond more quickly to rapidly evolving customer needs. 1. Focus on What Matters Most to Customers BLUE COLORED ICON IMAGE OF A KEY Our Vision is guided by one principle — that we exist to serve our customers. Our plan is built around satisfying the needs of tomorrow’s customers and creating new solutions that meet the requirements of a rapidly changing market. Start with Customer Needs Blue colored icon image of the number one in a circle We will listen to what customers tell us is important and tailor solutions to the needs of specific customer segments, such as small businesses. We will use data from Intelligent Mail and other sources to make our products more relevant and our service more responsive. Provide Excellent Customer Experiences Blue colored icon image of a thumbs up symbol We will provide a positive, consistent experience no matter where, when, or how customers choose to do business with us. We will reduce distractions and eliminate outdated requirements. Access will be expanded and information streamlined to make it easier to use our services. Build on Trusted Relationships Blue colored icon image of a handshake We will continue to earn our customers’ trust by our performance and by open dialogue about what we can do together to grow the business. We will provide new tools and support to help employees reach out to customers to expand use of the mail. And we will ensure the highest standards of ethics and accountability in all we do. Communicate Effectively Blue colored icon image of an arrow hitting a target in the center We will work with all stakeholders to deliver a clear, consistent message about the future of mail. We will use the full spectrum of marketing and promotional tools to improve customer awareness of our products. And we will create an effective two-way dialogue with customers, partners, and employees to better recognize and respond to emerging opportunities. 2. Leverage Our Strengths Blue colored icon image of a mail box We will build from our strengths — an unrivaled national network, sophisticated information systems, and dedicated employees in every community. There is enormous opportunity to leverage these assets to create new customer value and generate profitable new revenue. Build on the Reach and Capability of the Network Blue colored icon image of a post office We will better integrate our delivery, Post Office, and online services to deliver convenience and value. We will renew Post Office operations to enhance quality and efficiency. With carrier services, we will further simplify receiving and returning merchandise, and spread the word that customers can now do most of their mailing and shipping—even international services—right from their home or office. Use Information to Enhance Products and Performance Blue colored icon image of four puzzle pieces connected as a square We will use information technology to add new value to our products and services. Total mail visibility — the ability to “see” mail at all points in transit — will give customers much greater insight into the effectiveness of their mailings while it drives continued breakthroughs in service efficiency. We will improve the integration of information, eliminate unnecessary data collection, and minimize the paperwork burden for customers, partners, and employees. Empower Employees to Build the Business Blue colored icon image of a postal employee handling a package We will provide employees with the skills, support, and flexibility necessary to deliver world-class business results. Employees will be more focused on gaining and keeping customers. Responsibilities will evolve to meet changes in the market, technologies, and mail volume. Every employee will have a broader set of customer-focused skills. 3. Embrace Change Blue colored Icon image of an arrow pointing from the lower left to the upper right We must embrace change to ensure the Postal Service is relevant and responsive to customer needs. We will use the Internet more extensively to build our business. We will take a leadership role in adopting environmentally sustainable business practices. And we will collaborate to drive change, accelerate innovation, and create new value. Use the Full Potential of the Internet Blue colored icon image of a globe with the letters www on the equator, supported by a hand We will create a more customer-friendly usps.com and new mobile applications that offer immediate access to postal information and services. We will work with innovative companies to design Web-based services and create new applications for mail. We will design mailing and shipping services that complement the Internet, leveraging the power of mail to attract customers to Web sites and expand our market. Be a Sustainability Leader Blue colored icon image of a leaf within a stamp We will build a conservation culture, reduce energy use in facilities and transportation, and extend efficiency practices to water and other resources. We will help our customers “go green,” expanding use of mail for recycling. We will engage suppliers, employees, customers, and the communities we serve to adopt environmentally sustainable practices. Collaborate to Grow the Business Blue colored icon image of a light bulb We will collaborate in new ways with customers, employees, and suppliers to develop profitable new offerings. We will encourage innovation and new technologies, support initiatives that increase mail response rates, and improve address quality to improve returns on our customers’ investment in mail. We will pursue strategic alliances where partners complement or extend our services and offer opportunities to leverage our assets. Vision 2013 Image of a building with a triagular roof, three pillars, and a foundation. On the roof is the phrase "Viable Postal Service for Future Generations Affordable Universal Service". On the left pillar of the building image are displayed the words Focus on What Matters Most to Customers Start with Customer Needs Provide Excellent Customer Experiences Build on Relationships Communicate Effectively On the center pillar of the building image are displayed the words Leverage Our Strengths Build on the Reach and Capability of the Network Use Information to Enhance Products and Performance Empower Employees to Build the Business On the right pillar of the building image are displayed the words Embrace Change Use the Full Potential of the Internet Be a Sustainability Leader Collaborate to Grow the Business At the bottom foundation of the building image are displayed the words "Strong Foundation, Service, Efficiency, Trust" For a complete version of Vision 2013 go to usps.com. We welcome all ideas and comments. Phone: 202-268-2273 E-mail: transformation@usps.gov Office of Strategic Planning U.S. Postal Service Headquarters 475 L’Enfant Plaza SW Rm 5016 Washington, DC 20260-5016 Vision 2013 Overview Printed on recycled paper. Image of the Postal Service Logo, blue eagle head with the words United States Postal Service