Australia Post CEO says company needs to modernise

Australia Post CEO Paul Graham has stressed the importance of the future direction of the company in a speech to the American Chamber of Commerce in Australia. 

In his speech, Mr Graham has expressed that the ongoing public consultation on the discussion paper ‘Postal Services Modernisation’ will help inform the future direction of the company as an important public enterprise. 

“I believe in the transformational power of technology,” he says. 

“But the real disruptors are not technologies like wireless networks or mobile devices or apps. The real disruptors are people.” 

Mr Graham emphasied that the future direction of Australia Post is a story about people, not just technology, and that the choices made about its future should be guided by shared values. 

“It is up to us, in other words, to choose to respond to and embrace new technologies in ways that maximise the social, environmental, and economic benefits for our customers, communities and our country,” he says. 

In the midst of digital revolution, Mr Graham highlights that the Australia Post is seeking to modernize its services and stay relevant in the rapidly changing landscape. The principle of choice is at the forefront of this effort, as the company recognizes that it has agency in shaping its future.  

The call to modernise its postal services follows Australia Post’s financial crisis from declining mail volumes and foot traffic across the Post Office network. With the financial loss for the letters business expected to increase this year, it has become imperative for the company to change. 

“We are governed by the 1989 Australian Postal Corporation Act – an instrument legislated before the internet boom and the creation of smart phones, when letters were the dominant form of communication, online shopping was yet to take hold and digital service-provision largely did not exist,” Mr Graham states. 

“Performance standards issued under the Act are no longer fit for purpose to Australia Post as an enterprise or to the customers and communities we serve every day.” 

To continue its services, Australia Post has invested more than $200 million in new facilities, fleet, and technologies to improve its delivery and Post Office services, including the construction of the new Perth Parcel Facility.  

Additionally, it aims to have 100% sustainable electricity usage by 2025 and already has Australia’s largest fleet of electric delivery vehicles. 

It has also launched its Post26 strategy to simplify and amplify its operations with three clear imperatives: looking after each other, delighting customers and communities, and delivering a sustainable future both for the planet and financially.  

The company aims to reduce the operating costs of its letters service while continuing to serve communities, particularly in regional and rural areas. 

“Let me finish by coming back to the purpose of Australia Post. We are here to serve the interests of the Australian people,” the Australia Post CEO says. 

“That has always been – and will always be – our job.”