Jury still out on Crozier’s Royal legacy
The general consensus is that Adam Crozier has done a good job during his tenure at Royal Mail, isn’t it? In a strictly business world, top executives largely live or die by their company’s financial results. Crozier inherited Royal Mail when it was reportedly losing £1m a day, and transformed it to a company that now makes £1m a day. So, is the proof in the pudding? Well, the jury is still out it seems.
With Royal Mail making headlines for all the wrong reasons during 2009 – as the Communication Workers Union conducted a series of localised and national strikes across the UK – Crozier was accused of ‘going missing’ during a key period. His absence from the public spotlight left Lindsay Hoyle MP, a Labour member of the Commons’ Business committee, remarking “why are we paying huge bonuses and salaries to Adam Crozier for him to have disappeared off the face of the earth”.
Furthermore, the Financial Times reported a senior industry source as saying that while Crozier is a good communicator, “there are a lot of people who just don’t rate him, yet he has made quite a lot of progress with modernisation”.
Talking exclusively to Post&Parcel, former Royal Mail director, John Modd, now director of mail at Triangle Management Services, said: “Adam Crozier’s departure from Royal Mail is probably quite timely. He has had several years in one of the most demanding jobs in Britain and a move back into media -given his background -probably makes personal and professional sense.”
Is Royal Mail in a better state now than when Crozier joined? Modd said: “The answer is a qualified yes in that the group overall has improved its profitability and the underlying cost base has been significantly reduced,” answered Modd. “That said, he has failed to restore the public’s traditional faith in the integrity and public service ethos of the Royal Mail and the Post Office – but that was probably too much to ask in the new communications age, which has left hard copy letters and unattractive retail outlets looking less and less relevant to millions of people.”
Modd added that Crozier has proved no better than his predecessors in “really getting to grips with the industrial relations mess”, which all the indications are will be back in the headlines in due course.
What key attributes will Crozier’s successor need to finish leading Royal Mail through its period of modernisation? “He or she will need, above all, to be a good communicator who can create a feeling of belief in, and long term commitment to, the postal business – something lacking in the top leadership in the Leighton years.
“Royal Mail is more than just a macho managerial challenge. It’s also about merging heritage with technology; and inspiring trust in both customers and employees. It’s a difficult job, make no mistake. Nor will the political dimension go away. Good candidates might be put off by the continuing uncertainty about privatisation. And the new CEO’s salary will be a big issue: my betting is it will be less lucrative than Crozier’s £1m+ package,” added Modd.
So it seems, at present, that opinion is divided. Only in a year or two’s time, as the postal industry continues to grapple with technological advancements, e-substitution, and dwindling letter mail volumes, will we truly know whether Crozier laid the foundations for a Royal success or failure.
What are your thoughts on the departure of Adam Crozier? What is your verdict on his time at Royal Mail? Has he been successful? What does the future hold for the company? Please comment below.
