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Figure 8. Postal Service's Balanced Scorecard The Postal Service developed a rigorous performance review process tied to achieving the targets set....

Read the Case Study in chapter eight in the text Page 402-404: “Quality in Practice: Using the Balanced Scorecard at the USPS”. In a 2-3 page paper, respond to the “Key issues for discussion” questions on page 404. Also, note what are some of the advantages and disadvantages of using a Balanced Scorecard approach. Please remember to provide your supporting sources.

Figure 8.14:  U.S. Postal Service’s Balanced Scorecard The Postal Service developed a rigorous performance review process tied to achieving the  targets set. Ann Wright, then-manager of performance assessment, stated, “USPS has  developed a National Performance Assessment (NPA) system, which provides detailed  measures for each of the corporate-level indicators, that provides a line-of-sight link to unit  and individual perfor mance down to the front-line supervisor. These are consistent across  operating areas and job categories within the operating units. Each of the indicators is  objective and measurable, and focuses on results or outcomes rather than activities or  processes.” Individual and unit performance within organizations ares driven, in large part,  by the focus given to specific activities and by the incentives associated with achievement of  the specific goals. The NPA system provides a systematic approach more akin to the private  sector, and, in fact, the Postal Service has been a forerunner of “pay-for-performance”  approaches now being implemented elsewhere in the federal government. The results of these initiatives have delivered impressive results. The Postal Service has  improved its performance on those measures assessing a safe and secure environ ment. USPS has been recognized as one of the best places for minorities to work. The Postal Service’s  implementation of the REDRESS (Resolve Employment Disputes Reach Equitable Solutions Swiftly) program has received national recognition. The USPS Occupational Safety and 
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Health Administration OSHA Illness and Injury rate improved to 6.3 in 2004 from 8.7 in  2000. The results of the annual employee satisfaction survey, expressed as an index for six  key questions (where a larger index indicates improvement), have advanced from 57.5 in  2000 to 62.1 in 2004. The improvements in the workplace, along with aggressive  implementation of automation and other management investments, have led to a remark able  growth in postal productivity that has outpaced the growth of productivity in the U.S.  economy. The result is that the Postal Service is delivering more mail to more places, with  fewer employees. Postal delivery service also has improved significantly. First-class mail  performance has improved to over 95 percent of overnight mail being delivered on time, with improvements in other categories of first-class mail. One way to summarize the effectiveness of the postal implementation of the balanced  scorecard approach is to refer to the assessment of the American Society for Quality in their  annual American Customer Service Index, where they described the Postal Service in their  2004 survey as “the most improved organization” since the comparative measurement  program began in 1994. In an overall compari son to industry ratings of customer  satisfaction, the Postal Service ranked above the Transportation, Telecommunications, and  Utilities averages, and about equaled the Services industry. Key Issues for Discussion 1. Explain how the Voice of the Employee sup ports improved internal processes (Voice of the  Business), and how the Voice of the Businesssupports customer satisfac tion (Voice of the  Customer). 2. While  Figure 8.14  shows only representative measures associated with the balanced  scorecard, suggest some other measures that might be included, using your knowledge of  postal operations.
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