When people try to discover whether the Postal Service is operating more efficiently or not, they often talk about TFP. What is TFP? TFP stands for Total Factor Productivity. It measures the ratio of the Postal Service’s outputs to its inputs, in other words, how much output the Postal Service produces with the inputs it uses.
By its very nature, the U.S. Postal Service is a labor-intensive organization. In fact, labor makes up three-quarter of total postal costs — or $57 billion.
Controlling these costs is essential to the long-term viability of the postal system. That’s why our latest...Read More