• on May 5th, 2014 in Strategy & Public Policy | 0 comments

    The U.S. Postal Service’s workforce demographics add an extra layer of challenges to an organization that already has plenty. We recently blogged about the Postal Service’s brain drain – the loss of institutional knowledge due to a large number of workers retiring. This week we look at the additional challenge of creating a robust corporate succession plan when nearly half of the Postal Service’s executives will be eligible to retire by 2015.

    Succession planning is a major undertaking at many organizations. But it’s especially difficult when the pool of candidates is shrinking. The Postal Service has been downsizing for the past decade – 200,000 fewer career employees since 2004. It has an urgent need to identify and develop top talent for future executive positions. Without a sound plan, the organization faces significant operational disruptions. Our recent management advisory on the topic noted that the Postal Service has established a sound Corporate Succession Planning (CSP) program to identify and develop top-performing employees for new or expanded executive roles. We found the Postal Service has incorporated many best practices of successful organizations, such as laying out a strategic vision, getting buy-in from top leadership, providing early career development, encouraging diversity, and emphasizing retention. Further, potential successors said the program met their expectations and was effective in developing them into leaders.

    We encouraged the Postal Service to move quickly to approve developmental activities so potential successors have the skills they need when leadership positions become available.

    Share with us your experience. If you are in the private sector or with a different government agency, how does your organization handle succession planning? Do you see the effects of this plan on training and retention? If you are a postal employee, how can the Postal Service ensure it has a successful executive succession plan when attrition is such a factor?

  • on Apr 4th, 2011 in Labor | 13 comments
    Consumer needs for postal services are changing quickly resulting in the U. S. Postal Service developing a plan to right size the workforce. New Postmaster General and CEO Pat Donahoe announced on March 24 that the Postal Service plans to enact the Reduction in Force (RIF) and Voluntary Early Retirement (VER) processes with the goal of eliminating 7,500 administrative, supervisory, and postmaster positions. Additionally, the Postal Service will cut the number of vice president level officers by 16 percent and eliminate the senior vice president position. Since 2007, the Postal Service has sponsored a number of recruitment and retention initiatives. One initiative identified critical needs in finance, supply management and engineering. Other efforts included the revamping of the Corporate Succession Planning process and the formation of a Leadership Development and Talent Management group in Human Resources. As the Postal Service continues to right size, one question remains: How can it develop a strategy to retain needed talents and attract new ones for its future, especially in a time when it is focusing on cost cutting? What does the Postal Service need to do to retain, develop, and attract future workers? Let us know what you think!