USPS Falls Short on E-Commerce: GAO Report

The U.S. Postal Service has once again been given a failing grade in e-commerce by the General Accounting Office.

In a new report to Congress, the GAO reported that the USPS “continues to have difficulty defining, identifying, and classifying its Internet-related initiatives.”

And the GAO blames that on the fact that “management of USPS’ e-commerce program has been fragmented,” and that implementation has been “inconsistent across the various business units.”

In addition, the GAO found that the USPS has made only limited progress during the past year in resolving the problems documented in an earlier report. Moreover, financial information on USPS online programs is incomplete and inaccurate, the GAO continued.

The report also asserted that the USPS is subsidizing its online initiatives with revenue from other products and services.

“In response to our previous report, USPS officials noted that ‘e-commerce products and services in the aggregate are to cover their incremental costs and thus not to be cross-subsidized,’ the GAO reported. “To date, based on financial information provided to us, this goal has not been met.”