The External Influences
The Royal Mail is the most iconic British institution, delivering the national postal service to whole of the United Kingdom. The external environment has been changing significantly over the last ten years and this has impacted the way in which the institution has been managed to represent a better organisation.
In order to understand these manipulation from the external environment which have affected the Royal Mail over the past ten years PESTLE and SWOT analysis 's were conducted, also with a porters 5 forces model frame work.
The findings from the analysis undertaken previously have resulted in three environmental changes which have impacted the way in which the Royal Mail operate shown through:
Management
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This was the aim to be able to meet targets and cope with environmental influences resulting in a decline of the traditional postal business. The companies aim were planned to transform the business and be able to focus on the growth of parcel deliveries, as this was a result of vast improvements in the productivity. Leading the company to lower its costs in the recent years, as it is expected to be more competitive and be able to sustain revenue growth. (http://www.thisismoney.co.uk/money/markets/article-3270365/Royal-Mail-fully-privatised-time-500-year-history-Government-divests-final-14-cent-stake.html)
"Saving the Royal Mail 's postal service in the Digital age" (Richard Hooper CBE 2010, p.24).
This results were the main factors of the encouragement of the change with 40% less efficiency, it has become the third most inefficient postal service within the UK functioning its services. The postal services in the European countries have already implemented the automatically sequencing machines which sort 90% of the letters being delivered by the organisations. This has lead the companies to operate at a lower costs, compared to the Royal Mail 's walk-sorting procedures to deliver the letters leaving this with only 70%.
• Delivering to
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With a greater convenience for parcel collections this will be able to persuade consumers to use the service and prove to them that it 's a still a useful service which needs to be operating at all times. Improved reliability will create a sense of trusts between the relations, this is aimed to develop into convincing the customers to use the other services in which its being provided. This will be a result of reduction in the sales losses continually increasing due to the technology development, allowing the company to operate without any fears and be able to offer the best services at low costs.