Driving Culture & Accountability

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1 EXPERIENCE 18 Driving Culture & Accountability Dan Barrett, Director, USPS Customer Experience and Market Insights Jannine Zucker, Principal, Deloitte Consulting LLP Jennifer Rome, Senior Manager, Deloitte Consulting LLP

Our team Deloitte is a Leader in Employee and Customer Experience 1 Global Leader in Employee Experience

HR Jennifer Rome Senior Manager Deloitte Consulting LLP Leading Employee Experience (EX) solutions for federal

Postal Priority Global Leader in CRM and Customer Experience Services -Gartner Global Tier 1 Provider of

2 Our team Deloitte is a Leader in Employee and Customer Experience 1 Global Leader in Employee Experience Consulting -ALM Jannine Zucker Principal Deloitte Consulting LLP Bringing a Customer Experience (CX) lens to HR Jennifer Rome Senior Manager Deloitte Consulting LLP Leading Employee Experience (EX) solutions for federal clients Dan Barrett Director, USPS Customer Experience and Market Insights Making Customer Experience (CX) a Postal Priority Global Leader in CRM and Customer Experience Services -Gartner Global Tier 1 Provider of Implementation Services -Medallia 2 Copyright 2018 Deloitte Development LLC. All rights reserved. 1. Citations on slide 19

3 Companies that put people first lead in the marketplace 12% 22% 2.3x CUSTOMER SATISFACTION 1 PRODUCTIVITY 2 REVENUE GROWTH 3 1 Social Knows: Employee Engagement Statistics (2011) 2 Employee Engagement Does More than Boost Productivity, Harvard Business Review (2011) Deloitte Global Human Capital Trends 3 Copyright 2018 Deloitte Development LLC. All rights reserved.

4 but despite the proven EX-CX connection, some organizations struggle to achieve this alignment Organizations struggle to Break down organizational silos and create shared accountability across the business Align operational metrics, processes, and policies across business units Identify friction points in both employee and customer journeys Link EX, CX and operational/financial data sets to identify shared drivers 4 Copyright 2018 Deloitte Development LLC. All rights reserved.

What has been your greatest challenge in connecting CX & EX?

7 The Solution: Shift ownership for Employee and Customer Experience to all business leaders Understand what drives Employee Experience Determine impact on Customer Experience Continuously measure and improve through Ongoing, Real Time Data Identify and action plan around the Shared Moments that Matter 7 Copyright 2018 Deloitte Development LLC. All rights reserved.

strong union presence 157M DELIVERY POINTS If it were a private sector company,

8 USPS is a large, complex organization: there are nearly 2.5B tracking events every day USPS has +31K retail outlets +600K employees with a strong union presence 157M DELIVERY POINTS If it were a private sector company, USPS would rank 37th in the Fortune 50 8 Copyright 2018 Deloitte Development LLC. All rights reserved.

9 Our business is changing, which has a significant impact on our operations and workforce. All Mail Total USPS Volume Billions of Pieces 26% DECLINE Packages & Shipping % INCREASE RECESSION RECOVERY NORMALITY 9 Copyright 2018 Deloitte Development LLC. All rights reserved.

10 Our USPS CX Council breaks down silos and promotes a customer and employee-centric culture. Customer Group 50 customers Validating issues Refining solutions and rapid prototyping EMPLOYEES FRONT-LINE SUPERVISORS OFFICERS ELT Employee Group customer-facing employees Priorities driven by Steering Committee Develops problem statements Addresses issues CX Council Steering Committee 10 Copyright 2018 Deloitte Development LLC. All rights reserved.

11 USPS is applying its CX principles across 5 employee-centric components WHERE WE WILL APPLY THESE PRINCIPLES Policy Evaluation EFFECTIVENESS EASE EMOTION I got the services I need. Consistent, high-quality level of service for customers across journeys and touchpoints It was easy to get the services I needed. Convenient service and simple process so customers understand where they are in their journeys I felt like a valued customer. Engagement and connection with customers by creating experiences Training Code of Conduct Human Centered Design Internal Communications Campaign 11 Copyright 2018 Deloitte Development LLC. All rights reserved.

12 USPS has convened frontline employees nationwide to listen and understand their experience. An overwhelming sense of pride was heard, seen and felt. 12 Copyright 2018 Deloitte Development LLC. All rights reserved.

A grassroots campaign led to the development of

instead of just going zoom, zoom, zoom down the

13 A grassroots campaign led to the development of Postal Proud materials, co-created with employees. I'd like our mail carrier to be more courteous, instead of just going zoom, zoom, zoom down the road. USPS Customer Feedback, Copyright 2018 Deloitte Development LLC. All rights reserved.

15 We have proud employees actively committed to CX and making it a priority every day. I am committed to making every customer experience a great one. Gerald Roane, Postmaster WDC at Friendship Post Office in Washington, DC 15 Copyright 2018 Deloitte Development LLC. All rights reserved.

16 And we ll continue to empower employees to deliver a world-class customer experience. Employee Focus Groups Re-Evaluate Stupid Rules Integrate CX Vision Implement Medallia CX- Centric Communications To uncover shared EX/CX drivers That prevent employees from delivering excellent CX Into frontline employee training To provide employees with real-time, actionable data via daily huddles and digital channels 16 Copyright 2018 Deloitte Development LLC. All rights reserved.

Knowing what to measure to move the needle on employee experience is

Key drivers of employee experience: Organizational Culture Employee

19 We ve learned what matters most to building a customer-centric culture. Four key indices stand out as drivers of customer-centric behavior, and these indices are linked to metrics that can be analyzed together with CX data and improved over time. Commitment Inclusion Courage Collective Focus Risk & Governance External Orientation Shared Beliefs Change & Innovation Key Indices 19 Copyright 2018 Deloitte Development LLC. All rights reserved.

20 We ve also tested what moves the needle on employee engagement and how to measure it. Simply Irresistible Organization Framework Meaningful Work Supportive Management Positive Work Environment Growth Opportunity Trust in Leadership Autonomy Select-to-fit Small, empowered Teams Unstructured time Clear and transparent goals Coaching Investment in development Agile performance management Flexible work environment Humanistic workplace Culture of recognition Fair, inclusive, diverse work environment Training and support on the job Facilitated talent mobility Self-directed, dynamic learning High-impact learning culture Mission and purpose Continuous investment in people Transparency and honesty Inspiration CROSS- ORGANIZATION COLLABORATION AND COMMUNICATION 20 Copyright 2018 Deloitte Development LLC. All rights reserved.

21 Use journey maps to understand what s driving customer experience but recognize the Employee Experience is a parallel, often hidden journey, that greatly impacts customer experience and map that CUSTOMER EXPERIENCE JOURNEY EMPLOYEE EXPERIENCE JOURNEY Employee Customer Career Pathing Training Customer/Employee interaction Performance Feedback 21 Copyright 2018 Deloitte Development LLC. All rights reserved.

What are your organization s greatest data challenges in connecting Customer and Employee Experience? 1. Identifying the drivers of Employee Experience 2.

22 What are your organization s greatest data challenges in connecting Customer and Employee Experience? 1. Identifying the drivers of Employee Experience 2. Determining the shared Moments of Truth for CX & EX 3. Enabling statistical analysis of CX and EX data sets 4. Providing real-time data to managers for action planning Text DELOITTEPOLL to and then 1, 2, 3, or 4 22 Copyright 2018 Deloitte Development LLC. All rights reserved. 22

24 The real magic lies in correlating and reporting CX and EX data in a single, user-friendly platform 1 24 Copyright 2018 Deloitte Development LLC. All rights reserved. 1. Mock-up of Medallia-Deloitte EX-CX dashboard 24

What types of insights would you like on a CEM dashboard like Medallia to provide?

27 Where can I start? Transforming the organization to deliver on the employee and customer experience Expand EX responsibilities beyond HR Make EX a shared responsibility across all the business and tie responsibilities and emphasize the role that each business unit plays in EX and CX Update performance metrics to include CX and EX Make employees and leaders accountable for CX and EX metrics by adding them, or increasing their weight, in performance metrics Enable Employees to tell you what s wrong Set up real-time feedback mechanisms where employees especially those on the front lines can bring issues to your attention and offer insights to solutions Make employee trainings customer-centric Infuse a customer mindset into all employee trainings, even if a training is to support internal customers (other employees) Embed design thinking capabilities into your workforce Equip individuals throughout your organization to tackle CX and EX challenges, not just those focused on developing solutions for external customers 27 Copyright 2018 Deloitte Development LLC. All rights reserved.

28 Thank you. S O U R C E S Deloitte named the undisputed global leader in Employee Experience Consulting based on capabilities by ALM Intelligence Source: ALM Intelligence; Employee Experience Consulting 2017; ALM Intelligence estimates 2017 ALM Media Properties, LLC. Rreproduced under license Deloitte named the undisputed global leader in CRM and Customer Experience Services based on completeness of vision and ability to execute by Gartner Source: Gartner, Magic Quadrant for CRM and Customer Experience Implementation Services, Worldwide, Patrick J. Sullivan, Ed Thompson, 8 January 2018 Deloitte named Global Tier 1 Provider of Implementation Services by Medallia Source: Deloitte / Medallia Partnership Overview, February 2015 This publication contains general information only, and none of the member firms of Deloitte Touche Tohmatsu Limited, its member firms, or their related entities (collective, the Deloitte Network ) is, by means of this publication, rendering professional advice or services. Before making any decision or taking any action that may affect your business, you should consult a qualified professional adviser. No entity in the Deloitte Network shall be responsible for any loss whatsoever sustained by any person who relies on this publication. As used in this document, Deloitte means Deloitte Consulting LLP, a subsidiary of Deloitte LLP. Please see for a detailed description of the legal structure of Deloitte USA LLP, Deloitte LLP and their respective subsidiaries. Certain services may not be available to attest clients under the rules and regulations of public accounting. Copyright 2018 Deloitte Development LLC. All rights reserved. Member of Deloitte Touche Tohmatsu Limited