In the past 18 years, the Postal Service has reorganized its field structure at least three times. In 1992, the Postal Service reorganized its field structure from five regions and 73 field divisions into 10 areas and 85 districts. From 2002-2006 the Postal Service changed its field structure to nine areas and 80 districts, and adjusted again in 2009 to eight areas and 74 districts. Under the current structure, area offices ensure headquarters directives are implemented, and district offices are responsible for managing major functions within a specified region of an area, including day-to-day management of subordinate post offices and customer service activities other than processing and distribution. The Postal Service believes the most recent consolidation will provide an annual cost savings of approximately $100 million.
Other organizations have streamlined their management structure, whether looking to utilize new technologies or just save money during difficult economic times. For example, United Parcel Service recently announced it was reducing its U.S. regions from five to three and its districts from 46 to 20, and Walmart announced it was reducing its regions from five to three.
What do you think of the Postal Service’s field structure?
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This topic is hosted by the Office Audit Field Financial – West team.