Team E Caroline Chandler, Aubree Harris, Nichesa Jones, Ryan LaMantia, Morgan Squatriglia Team E...

USPS & Amazon

Sunday Deliveries

Team ECaroline Chandler, Aubree Harris, Nichesa Jones, Ryan LaMantia, Morgan Squatriglia

September 24th, 2014

Agenda • Introduction

Agenda • Introduction• Define the Issue

Agenda • Introduction• Define the Issue• Establish the Decision Criteria

Agenda • Introduction• Define the Issue• Establish the Decision Criteria• Collect and Analyze the Data

Agenda • Introduction• Define the Issue• Establish the Decision Criteria• Collect and Analyze the Data• Identify and Evaluate Possible Solutions

Agenda • Introduction• Define the Issue• Establish the Decision Criteria• Collect and Analyze the Data• Identify and Evaluate Possible Solutions• Defend and Implement Decision

Agenda • Introduction• Define the Issue• Establish the Decision Criteria• Collect and Analyze the Data• Identify and Evaluate Possible Solutions• Defend and Implement Decision• Evaluate, Review, and Revise

Agenda • Introduction• Define the Issue• Establish the Decision Criteria• Collect and Analyze the Data• Identify and Evaluate Possible Solutions• Defend and Implement Decision• Evaluate, Review, and Revise• Conclusion

Introduction

Introduction

• Contract

Introduction

• Contract• United States Postal Service

Introduction

• Contract• United States Postal Service• Amazon

Introduction


• DECIDE

Introduction


• DECIDE• Helps organize and outline decisions

Introduction


• DECIDE• Helps organize and outline decisions• Get to the root of issues

Introduction


• DECIDE• Helps organize and outline decisions• Get to the root of issues• Find the most appropriate solution(s)

Define the Issue

Define the IssueShould Amazon and United States Postal Service

continue their expansion of Sunday deliveries?



Stakeholders



StakeholdersUnited States Postal Service




Amazon




AmazonTaxpayers




AmazonTaxpayersCustomers




AmazonTaxpayersCustomersEmployees

Establish the Decision Criteria

Establish the Decision CriteriaCriteria


Customer Satisfaction


Customer SatisfactionEffect on Taxpayers



Amazon/Distributor Satisfaction



Amazon/Distributor SatisfactionEmployee Satisfaction

Collect & Analyze Data

Collect & Analyze DataCustomer Satisfaction

Collect & Analyze DataCustomer Satisfaction• Availability to all customers

Collect & Analyze DataCustomer Satisfaction• Availability to all customers• Shipping rates

Collect & Analyze DataCustomer Satisfaction• Availability to all customers• Shipping rates• Twitter feedback

Collect & Analyze DataCustomer Satisfaction• Availability to all customers• Shipping rates• Twitter feedback• Common items delivered


Employee Satisfaction


Employee Satisfaction• Part-time employees


Employee Satisfaction• Part-time employees• Wages roughly $15.30/hour


Employee Satisfaction• Part-time employees• Wages roughly $15.30/hour• 25% premium

Collect & Analyze Data

Collect & Analyze DataAmazon Satisfaction

Collect & Analyze DataAmazon Satisfaction• Mutual advantage

Collect & Analyze DataAmazon Satisfaction• Mutual advantage• Generating more sales

Collect & Analyze DataAmazon Satisfaction• Mutual advantage• Generating more sales• USPS has the widest range of coverage

Collect & Analyze DataAmazon Satisfaction• Mutual advantage• Generating more sales• USPS has the widest range of coverage• Competition with physical retailers


Affect on Taxpayers


Affect on Taxpayers• Mostly from government


Affect on Taxpayers• Mostly from government• No significant increase

Identify & Evaluate Solutions• Remain in current cities

Identify & Evaluate Solutions• Remain in current cities• Expand to more cities

Identify & Evaluate Solutions• Remain in current cities• Expand to more cities• Expand to other retailers besides Amazon

Identify & Evaluate Solutions• Remain in current cities• Expand to more cities• Expand to other retailers besides Amazon• Break contract

Decision Matrix

Criteria Weight Remain in Current Cities

Expanding Cities Covered by Amazon

Expand Additional Distributors

Break Contract

Customer Satisfaction 25% 4 6 7 2

Effect on Taxpayers 35% 4 3 2 5

Amazon Satisfaction 20% 6 7 3 0

Employee Satisfaction 20% 7 6 6 2

Total 100% 5.00 5.15 4.25 2.65

Alternatives

Defend & Implement

Defend & ImplementAdvantages

Defend & ImplementAdvantages• Working with Amazon

Defend & ImplementAdvantages• Working with Amazon• Only covering large cities

Defend & ImplementAdvantages• Working with Amazon• Only covering large cities• Targets small businesses

Defend & ImplementAdvantages• Working with Amazon• Only covering large cities• Targets small businesses • Most profitable service is deliveries


Disadvantages


Disadvantages• USPS current financial position


Disadvantages• USPS current financial position• More resources committed


Disadvantages• USPS current financial position• More resources committed• Potentially risky


Disadvantages• USPS current financial position• More resources committed• Potentially risky• Wanted to remove Saturday deliveries



Trade-off:



Trade-off: Contract with Amazon

Defend & Implement

Defend & Implement• Impact on Stakeholders

Defend & Implement• Impact on Stakeholders• Taxpayers

Defend & Implement• Impact on Stakeholders• Taxpayers• Amazon

Defend & Implement• Impact on Stakeholders• Taxpayers• Amazon• Competitors

Defend & Implement• Impact on Stakeholders• Taxpayers• Amazon• Competitors• Customers

Defend & Implement• Impact on Stakeholders• Taxpayers• Amazon• Competitors• Customers• Employees


• EDGE Perspective


• EDGE Perspective• Environmental


• EDGE Perspective• Environmental• Diversity


• EDGE Perspective• Environmental• Diversity• Globalization


• EDGE Perspective• Environmental• Diversity• Globalization• Ethics

Evaluate, Review & Revise

Evaluate, Review & Revise• Evaluate

Evaluate, Review & Revise• Evaluate• Customer surveys• Employee surveys

Evaluate, Review & Revise• Evaluate• Customer surveys • Employee surveys• Revenue growth

Evaluate, Review & Revise• Evaluate• Customer surveys• Employee surveys • Revenue growth

• Review Annually

Evaluate, Review & Revise• Evaluate• Customer surveys • Employee surveys • Revenue growth

• Review Annually

• Revise

Evaluate, Review & Revise• Evaluate• Customer service• Employee service• Revenue growth

• Review Annually

• Revise• Examine all surveys & customer responses

Evaluate, Review & Revise• Evaluate• Customer service• Employee service• Revenue growth

• Review Annually

• Revise• Examine all surveys & customer responses• Analyze best decision for USPS

Conclusion

Questions?

SourcesAmazon.com. (September 22, 2014). Determine shipping rates. Retrieved September 11, 2014 from: http://www.amazon.com/gp/help/customer/display.html?nodeId=468636 Bishop, Todd. (May 7, 2014). Amazon and USPS Expand Sunday Delivery to 15 more cities, will reach ‘large portion’ of U.S. this year. Retrieved September 9, 2014 from: http://www.geekwire.com/2014/amazon-expands-sunday-delivery-15-cities-deal-u-s-postal-service/ Dimondstein, Mark. USPS testing Sunday package delivery. (November 30, 2013). Retreived September 22, 2014 from: http://www.nalc.org/news/precord/ArticlesPDF/11-2013/11-2013_news.pdf LoGiurato, Brett. (December 2011). USPS Ends Next-Day Mail: The Impact for Consumers and Companies That Depend on it. International Business Times. Retrieved September 9, 2014 from: http://www.ibtimes.com/usps-ends-next-day-mail-impact-consumers-companies-depend-it-379100 Nixon, Ron. (November 11, 2013) Postal Service to make deliveries for Amazon. Retrieved September 22, 2014 from: http://www.nytimes.com/2013/11/11/business/postal-service-and-amazon-strike-deal.html?_r=0

http://www.amazon.com/gp/help/customer/display.html?nodeId=468636

http://www.geekwire.com/2014/amazon-expands-sunday-delivery-15-cities-deal-u-s-postal-service/

http://www.nalc.org/news/precord/ArticlesPDF/11-2013/11-2013_news.pdf

http://www.nytimes.com/2013/11/11/business/postal-service-and-amazon-strike-deal.html?_r=0

Team E Caroline Chandler, Aubree Harris, Nichesa Jones, Ryan LaMantia, Morgan Squatriglia Team E...

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