Advisory Council to shape modernisation at Post Office Ltd
Britain’s Post Office Ltd is launching a new Advisory Council to help its transformation process. The state-owned company overseeing a network of 11,780 post offices across the UK is now actively looking for members for the new advisory body.
The Council could be made up of customers, staff, postmasters, interested businesses or charity groups – anyone with an interest in the future of the Post Office.
About 20 or 30 people will sit on the Council on a voluntary basis, with Post Office Ltd promising a “broad mix” of people and interests.
It will meet three times each year, starting in March 2014.
Paula Vennells, the chief executive of Post Office Ltd, said the Advisory Council would be part of her company’s efforts to build a “customer-focussed, multi-channel retailer with a powerful public purpose” following its separation from Royal Mail last year.
“The Advisory Council will play an important role in reflecting a cross section of views, skills and experience from the diverse communities which make up 21st century Britain,” Vennells said.
“So we want to hear from the people and organisations that value our services and want to work with us to innovate, support the transformation of our business and inspire a bright future for the Post Office.”
Post Office Ltd said it is currently going through the biggest transformation in its 370-year history. The programme involves the conversion of post offices into “Main” post offices with extended hours and a full range of products and services, or “Local” post office branches which involve providing a streamlined range of core services, often within convenience stores.
About 6,000 branches – just more than half the network – are to be transformed in this way with the help of more than £1.3bn in government subsidies.
Post Office Ltd has seen its customer numbers fall by 11m over the last decade despite enjoying £5bn in government subsidies during that time.
Post Office Ltd was separated from Royal Mail Group last year prior to the mail company’s privatisation. It remains state-owned, but the UK government has stated its wish to see it eventually become a mutual company – owned by staff and stakeholders.
Post Office Ltd currently makes a profit on paper, but only thanks to the continuing government subsidies. The company employs about 8,000 people, with 97% of branches being run by franchisees or retail partners.
Small businesses
Separately, UK consumer watchdog Consumer Futures has just issued new research looking at how the postal needs of small businesses are set to change.
The report highlights how mail users are moving their physical communications to Internet-based alternatives, sending more mail electronically. However, it concluded that many businesses do not envisage abandoning post in the future, even if they expect to send lower volumes.
Businesses using parcel services do not tend to expect their needs will change in future, the report suggests, although they note the rising expectations of their customers regarding parcel deliveries.
The report said small businesses are generally happy to use Royal Mail for their mail needs, “providing prices do not rise substantially and service quality remains high”, but parcel users are far more likely to use alternative providers.
