Challenges and strategic thrusts
Building on a successful model
For almost 175 years, Swiss Post has been an institution that fosters national cohesion and provides public services on behalf of the Swiss Confederation. Through its strategy, Swiss Post is responding to current challenges and creating the conditions for the company to remain relevant to Switzerland in the future.
Swiss Post’s policy to date has been shaped by an unvarying “trinity” of three basic structural elements: state ownership, universal service and economic viability. In recent years, however, social and technological trends have accelerated developments on the markets, producing major changes in the environment in which Swiss Post operates. The increasing digitization of business processes is particularly disruptive, with the resulting change in customer requirements leading to a sustained decline in letter volumes and less demand for services in branches. Overall, this has not been offset by the growing parcel business. The value of the residual monopoly for letters weighing under 50 grams is falling continuously. Coupled with a prolonged period of low interest rates, this exacerbated the financial shortfall of the universal service.
Fulfilling the Federal Council’s mandate
Achieving a balance between state ownership, the universal service and economic viability is becoming more challenging. This is reflected in the strategic goals set by the Federal Council for the period 2021–2024. Swiss Post is expected to offer a high standard of marketable, innovative products, services and solutions in both physical and electronic form in its core business. The Federal Council’s new objectives recognize that Swiss Post is undergoing a challenging transformation, while also requiring it to establish the conditions needed to safeguard the company’s value sustainably in the medium term − and to do so by 2024. In addition, all business areas (with the exception of the subsidized area of PostBus) must achieve an industry-standard result.
The Swiss Post of tomorrow
Through its “Swiss Post of tomorrow” strategy, Swiss Post aims to build on its successful model and supplement the components of state ownership, the universal service and economic viability with sustainable growth, enabling it to meet the Federal Council’s strategic goals. Swiss Post is making substantial investments in an effort to achieve this and intends to continue generating profits, which it will then invest in its ongoing development and the fulfilment of its universal service obligation.
The Swiss Post of tomorrow is committed to a strong public service and is focusing on existing markets.
Four strategic thrusts
The “Swiss Post of tomorrow” strategy is based on four strategic thrusts:
- Development of services, offers and infrastructure
- Efficiency of organization and processes; adjusted prices
- Growth and acquisitions in existing and related business areas
- Environmental, economic and social sustainability in everything Swiss Post does
Swiss Post is continuing to develop its products and services in all five markets (see pages 22–23), ensuring that it remains viable and relevant for Switzerland.
More on the environment and strategy Financial Report pages 14–24Supporting the UN’s Sustainable Development Goals
Swiss Post is acting now – for tomorrow, for future generations, for the sustainable development of its environment and society. The 17 Sustainable Development Goals (SDGs) are the core of the UN’s 2030 Agenda for Sustainable Development. They are designed to tackle the most urgent global challenges by 2030. Swiss Post focuses its efforts on six goals where it can have the greatest impact.
More on the SDGs More on the corporate responsibility strategy