The past few years have been tumultuous for the U.S. Postal Service. Mail volume has dropped 20 percent to 171 billion pieces from its peak in 2006, and over the last four years experienced unprecedented financial losses totaling $20 billion. In 2010 alone, the Postal Service experienced its largest 1-year net loss of $8.5 billion.
Contract fraud is a big problem for the federal government and quite possibly for the U.S. Postal Service, which currently manages over 20,000 contracts worth $29 billion. Conservative business estimates project up to 5 percent of contracted dollars are lost to fraud, meaning $1.45 billion of Postal Service funds are potentially at risk.
The American marketplace is experiencing constant changes in the ways that companies conduct business and communicate with customers. Like other businesses, the Postal Service must also innovate to stay relevant. The Office of Inspector General plans to examine innovation processes currently used by major U.S. corporations to learn about best practices/processes.