Postal pieces
One of today's speakers was Alex Bachelor, Marketing Director at Royal Mail. His address was entitled "Corporate turnaround: the new Royal Mail".
In an ebullient performance, he explained how the current management team has turned Royal Mail from losses to profit and restored quality of service. But he admitted that the changes had been slow coming: the single daily delivery (SDD) was introduced 20 years after it was first talked about and Pricing in Proportion (PiP) was introduced 11 years after it was first mooted. Also he acknowledged the human cost - a reduction of 33,000 in full-time employees and of 20,000 in temporary staff - while trumpeting the introduction of a five-day week for staff and a 25% increase in pay since March 2002.
Predictably he challenged the current regulatory framework as it bites on Royal Mail: "Our regulator is proactively promoting competition but, at the same time, constraining our commercial freeedom". He emphasized that Royal Mail has 'lost' 2.5 billion items of mail a year to downstream access and pointed out that this was happening at a time when market volumes are decreasing for the first time in a decade.
The delegates to the conference were supplied with electronic voting handsets and the chairman of this particular session asked us to vote on whether we thought that, following this "corporate turnaround", Royal Mail is now in the top flight of postal operators worldwide. Some 38% said 'Yes', while 35% answered 'No', and the rest were unsure.
Labels: Royal Mail


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