Watching the Dona-hoot videoIn the first Don'tKnowHow video, our man with the "business plan" 'splained to us peons why the "model" just wasn't working. See, the big brains at HQ figgered that mail volume would just keep going up & up forever & ever, and they'd throw in an increase in the price of a stamp every now & then, and things would be hunky-dory. Well, gosh, things got all out of kilter. WHO'D A THUNK IT??? (From now on, Duh=Donahoe). Duh went to a great deal of trouble to equate the Postal SERVICE with a business, despite the fact that the Postal Service was never intended to be a business, and was set up 230 years ago to provide UNIVERSAL mail service for our country. However, IF the Postal Service WAS a business, why haven't the MORONS who set up the "business model" been fired, along with their successors, who CONTINUED to follow a flawed business plan??
What we have here is Duh FRAMING HIS ARGUMENT.
The plain facts of the matter are well known. The current "problem" the Postal Service is facing is a result of one of the worst recessions in U.S. history, coupled with a near-collapse of the financial sector (source of a HUGE amount of mailings), the imposition of an extra yearly $5 BILLION+ set aside for retiree healthcare, the effect of a massive COLA increase in late 2008, the use of accounting "assumptions" by the USPS which ADDED $800 MILLION in costs for workers comp, a HUGE increase in the cost of gasoline which cost additional $MILLIONS, and possibly a drop in mail due to use of the internet.
This is what we call ADVERSITY in the "business" world. BUT, as many politicians have proven, there is OPPORTUNITY in ADVERSITY. And that's where the "framing" comes in.
Say you have something you'd like to do. Say you don't really have a good reason to do it. Then along comes a PROBLEM. What you do is present the thing that you've been wanting to do as a "solution" to the PROBLEM (even though it isn't).
Almost all of the "problems" facing the USPS are of a temporary nature, and as such, could be solved WITHOUT DROPPING 6-DAY DELIVERY.
I think the COLA increase cost the USPS an extra $Billion or so. The retiree healthcare prefunding clocks in at somewhere between $5 & 6 BILLION, the workmen's comp "assumption" added $807 MILLION, the fuel increases added many more $MILLIONS, the MASSIVE recession probably cut AT LEAST 5% <maybe 10> in revenues ($3.5 BILLION), AND we had a "business plan" which included buying flats sorting machinery to sort the gazillions of flats which Duh said we DON'T have - now THAT'S A PLAN!!
So, even without the $Billions WASTED on unnecessary FSS equipment, I figure the USPS would have MADE an EXTRA $11-12BILLION last year without the special circumstances which occurred. Figure we'd have been about $10 Billion in the black (even without FSS waste).
Seems to me that the "plan" to go to 5-day delivery is UNNECESSARY.
Again, Duh FRAMED his argument making use of a confluence of events which really had no bearing on his "solution". The "problem" could be solved without going to 5-day delivery.
My sense is that IF 5-day delivery is implemented, that will bring about the demise of the Postal Service. The Postal Service is NOT a business - it was created to provide universal delivery service to the ENTIRE country. If you want to "frame" the argument in "business" terms, think what would happen to McDonald's or WalMart if they decided on a "business plan" that included closing their stores on Saturday!!


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