Recent initiatives by Supply Chain Management, the purchasing arm of the United States Postal Service, including the issuance of a “Request For Information” has led the NAUMD’s Postal Committee to conclude that the process to replace the multi-vendor postal uniform program with a sole source provider is likely under way. Recently, an NAUMD postal dealer reported that an official from Supply Chain Management stated the goal is to issue a Request for Proposal to award the entire uniform program to one vendor.
The NAUMD’s Postal Committee is spearheading a number of initiatives to ensure the multi-vendor approach is retained. These include the appointment of a new committee chairman, adoption of a mission statement and focus on development of a strategy to preserve the multi-vendor distribution system. “We are committed to taking a much more active role on behalf of our customers and members, and are convinced that preserving the multi-vendor system is the best solution for all parties,” said newly named Postal Committee Chairman Roger Heldman. “To be certain, the situation is challenging, but by working together, we can improve the current program, which we believe is the best solution for our customers.”
The committee will meet in Washington, DC late this month to further develop strategies intended to improve, protect and propel the current postal program into the next decade and beyond. It plans to meet with representatives of the NALC and APWU as well as others who can help forge an approach to address the needs of the USPS. The USPS has been contacted, but at this time, it is uncertain if they will meet with the committee.
Lack of Communication Driving Uncertainty
Since the inception of a cash allowance in 1955, the NAUMD has enjoyed a healthy working relationship with USPS and its unions, collaborating with its customers on uniform redesigns that have enhanced and strengthened the image of the nation’s letter carriers and window clerks.
But the lines of communication with the USPS have been limited in recent years resulting in the current uneasiness. “There has been no recent communication between the NAUMD and USPS, so their intentions are unclear” notes Heldman. “We have been in contact with both the NALC and APWU, who have indicated that they too, are unaware of any impending change.”
But recent activity by the USPS Supply Chain Management, including inquiries on sales history and pricing information have drawn the attention of firms currently servicing the program, and is the impetus behind the association’s more proactive stance.
There are reasons why the USPS isn’t talking. First, the people who handle postal uniform items and decisions for the USPS are part of the labor relations department, and they are currently in the midst of contract negotiations with the NALC (contract expires November, 2011.) Earlier this year, a new contract was negotiated with the APWU (contract expires May, 2015).
The second reason surrounds the Sarbanes-Oxley Act of 2002, legislation enacted in response to the Enron and WorldCom financial scandals to protect shareholders and the general public from accounting errors and fraudulent practices. Prior to the legislation, USPS would regularly meet and talk with NAUMD, manufacturers and dealers involved in the postal program. But Sarbanes-Oxley threw the legality of such meetings into question, and the USPS decided to indefinitely suspend such activity. Counsel to NAUMD has advised the committee that such meetings are permissible, but to date, the USPS has not responded to NAUMD requests to resume communications.
Improvements to Program on Tap for DC Meeting
Key to the association’s goal of preserving the program is bringing greater value via cost saving measures and greater accountability. “The goal of our work in Washington is to make the program better for our customers,” says Heldman. “We hope to improve on the current program by identifying measures and technologies that would reduce administrative costs and provide the transparency that the postal service is seeking.”
But most of all, Heldman says, the committee will redouble its efforts to make its Mission Statement a reality, which is as follows:
• The role of the NAUMD Postal Committee will be protect and preserve the current multivendor distribution system of postal uniforms. Additionally, the committee will work to enhance and update the program to best meet the needs of its customers-the unions and the USPS. Further, the committee will promote the benefits and services of the current program to customers, the US Postal Service and postal workers and their unions.
• Lastly, the committee will provide information, education and representation to NAUMD members whose business includes postal uniforms.
An update from the Washington meeting will appear in the next NAUMD Industry News.
