Author: Archive

Consignia chiefs put their 10% rise on hold

Consignia chiefs at the centre of a “fat cat” pay row today caved in to pressure and turned down a 10 per cent rise. Peter Carr, chairman of industry watchdog Postwatch, had earlier said: “It is extremely difficult to justify such pay increases when the service is so poor and the company is losing £1.5 million a day.” After Mr Roberts turned the rise down, Mr Carr said: “This is a sensible decision from an eminently sensible man. There could be no justification for a 10 per cent increase to bosses when workers are offered only two per cent.”

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Consignia is facing £400m late post fine.

The Post Office is still failing to deliver enough letters on time despite pressure from the regulator, new figures reveal. If it fails to improve by the end of the month, the company could be fined up to 10 per cent of its £4billion annual turnover.

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Royal Mail misses all its targets

Royal Mail failed to meet any of its delivery targets in the nine months from April to December last year. Postwatch, the consumers’ group, condemned the result, saying that 300 million first-class letters arrived late in this period. Failure to reach all 13 service targets set by the postal regulator could mean fines for Consignia.

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Direct mail: strong growth

Despite the general economic slowdown, UK direct mail volume grew by 5.9% year on year, thanks to a strong 4th quarter of 2001, with expenditure up by 8.7%.

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Benefits of Universal Service Provision to Consignia

The UK Consumer Council for Postal Services, commonly known as
Postwatch, have commissioned London Economics to conduct a study that
will quantify the benefits of the Universal Service Obligation (USO) legally
imposed on Consignia 1 , the UK Universal Service Provider (USP) for postal
services.
In this study, London Economics, as commissioned by Postwatch, has
concentrated on the potential benefits that Consignia derives from being a
USP. Postwatch’s motivation to commission this work was based on the belief
that the study conducted by Postcomm, “An assessment of the costs and
benefits of Consignia’s current Universal Services Provision”, may not have
adequately quantified the benefits to Consignia as a Universal Service
Provider (USP
Contents: Research on USO Benefit
Analytical Issues in Measuring USO Benefits
Postal Expenditure in the UK
Review of Postcomm Study on the Cost of USO
Review of Research on Brands and Advertising
Economies of Scale and Scope in the Postal Sector
Review of Research on Elasticity of Demand and Pricing Externalities in Postal and Related Services

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Geodis looks to value-added logistics

Outsourcing, globalisation and the increased intermeshing of participants in the delivery and supply chains are changing and extending the meaning of the term <>. More than ever before, logistics services providers are being challenged to continuously reassess the practical value of the products in their portfolios. Furthermore, contractual partners expect innovative concepts and smoother flows of material and information to reduce process costs and to improve the efficiency of resource management. The prerequisite for meeting these requirements is a thorough acquaintance with markets and products. Therefore it seems that the future belongs to highly specialist businesses, not to generalists.

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