Expansion of postal network in India
The Franchisee Scheme which entails setting up of Franchisee Outlets of postal network is already in existence. The Franchisee Scheme was launched in February 2007 in select urban areas for providing increased access to postal counter services in areas where opening of a Post Office was not possible as per prescribed norms. The scheme has now been extended to cover areas of new upcoming urban townships, special economic zones, major highway projects, upcoming new industrial centres, colleges, etc. The opening of Franchisee Outlets is in addition to opening of Post Offices wherever justified.
Unemployed youth are not debarred from working as Franchisees of the Department. The applicant in this regard should fulfill the criteria for selection, such as minimum age requirement, educational qualification, etc. Criteria for selection of Franchisees are in view of the need to select persons with capacity to manage and market a range of products, along with a sense of the community needs and public aspects of the job and willingness to accept technological options. The preference is given to postal pensioners and those able to provide computers.
More can be also found online at http://pib.nic.in/release/release.asp?relid=36147 The Franchisee Scheme which entails setting up of Franchisee Outlets of postal network is already in existence. The Franchisee Scheme was launched in February 2007 in select urban areas for providing increased access to postal counter services in areas where opening of a Post Office was not possible as per prescribed norms. The scheme has now been extended to cover areas of new upcoming urban townships, special economic zones, major highway projects, upcoming new industrial centres, colleges, etc. The opening of Franchisee Outlets is in addition to opening of Post Offices wherever justified.
Unemployed youth are not debarred from working as Franchisees of the Department. The applicant in this regard should fulfill the criteria for selection, such as minimum age requirement, educational qualification, etc. Criteria for selection of Franchisees are in view of the need to select persons with capacity to manage and market a range of products, along with a sense of the community needs and public aspects of the job and willingness to accept technological options. The preference is given to postal pensioners and those able to provide computers.
Details of the Franchisee Scheme
The Franchisee Scheme entails setting up of franchisee outlets instead of Post Offices in such areas where a Post Office cannot be opened as per prescribed norms. Details of the scheme are as under:
1. Only counter services have been franchised, while delivery and transmission will be continued through the Department. Linking arrangements for the franchised outlets will be provided by the franchisee.
2. The franchisee will provide service across the counter for a minimum defined time schedule with flexibility to work round the clock.
3. In addition to select urban areas, the Franchisee Scheme will now cover areas such as new upcoming urban townships, special economic zones, major highway projects, upcoming new industrial centres, colleges, polytechnics, universities, professional colleges, etc.
4. Products and services offered:
a Sale of stamps and stationery.
b. Booking registered articles, speed post articles, money orders (on EDBO model), e-post, etc.
c. Functioning as an agent for PLI and provide related after sales service, including collection of premia. (subject to fulfillment of criteria for PLI agents)
d. Marketing products for which the Department has a corporate agency or tie-up and provide related follow up services. (subject to agreement with the other organizations involved)
e. Providing retail and bill/tax/fine collection/payment services of the Department. (subject to agreement with the other organizations involved)
f. Facilitating the provision of e-governance and citizen centric services (subject to agreement with the other organizations involved)
g. Any other service introduced by the Department in future through its outlets which is considered amenable to the franchisee model. (subject to agreement with the other organizations involved)
The model has adequate flexibility built in to allow a range of services to be extended through the outlets according to the need/ demand, and to increase the range when found necessary. Thus, the range of counter services that can be offered through different outlets can vary, keeping in view the location and its capacity to generate revenues.
5. Criteria for Selection:
Applicants for franchisee outlets would need to submit an application in a prescribed proforma. The selected franchisee will sign a Memorandum of Agreement with the Department. Criteria for selection have been fixed considering the need to select persons with the capacity to manage and market a range of products, along with a sense of the community needs and public aspects of the job, and willingness to accept technological options. The criteria are as below:
a) Individuals, institutions/other entities would be eligible for taking up the Franchisee work. The Agreement will be entered into with the Head of the Institution/organization/entity.
b) Educational qualifications: 10+2 standard or 12th class pass of a recognized University or Board of School Education or Board of Secondary Education.
c) Preference:
a. Postal pensioners
b. Those able to provide computer facilities.
d) Premises: Proper appropriately located and accessible premises, properly maintained with suitable display of approved signages.
e) Applicant should be willing to make the necessary investments for the conduct of the business and be able to provide a sample business plan comprising details of how the premises will be run, what the opening hours would be, investments proposed, market conditions, proposals for marketing products, awareness of customer base, role in local community, budget, finances, etc. Two references from respectable persons of the locality where the franchise is proposed to be located would also be required to establish the character and antecedents of the applicant.
f) A business plan would be prepared taking into account the anticipated minimum level of business/ revenue worked out by the Divisional Head for the specific franchisee.
g) Security Deposit: The security deposit to be provided by the franchisee would be based on the maximum possible level of financial transactions likely be undertaken by the franchisee in a day. The minimum security deposit would be Rs.10,000 in the shape of a performance bank guarantee. Any infringement in terms and conditions of the Memorandum of Agreement would result in forfeiture of whole or part of the amount of security deposit at the sole discretion of the Department of Posts whose decision shall be final and binding.
h) Selection: Would be made by a committee comprising the Heads of the concerned Division and a neighbouring Division, based on a report from the Assistant Superintendent Posts/Sub Divisional Inspector Posts.
6. Remuneration to franchisee:
The franchisee will earn remuneration on commission basis on services provided, as fixed by the Department from time to time.
7. Monitoring
The monitoring mechanism for the scheme will be strengthened vis-à-vis regular outlets, with monthly monitoring by inspectors. An element of electronic monitoring will be introduced in due course.
8. Training
Introduction to the objectives, products/ services, basic procedures, upkeep of the premises and customer care would be part of induction training of the franchisee. The briefing will be done by the Assistant Superintendent Posts/ Sub-Divisional Inspector Posts of the area.
9. Branding of franchisee outlet
Standard signages for India Post franchisee would be provided to give a uniform look to all franchised outlets.
This information was given by the Minister of State for Communications and Information Technology, Dr. Shakeel Ahmad in a written reply to an un-starred question in the Lok Sabha today.
