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Govt looks to breathe life into post office

Simnikiwe Mzekandaba
By Simnikiwe Mzekandaba, IT in government editor
Johannesburg, 29 Nov 2016
New telecoms DG Robert Nkuna sees SAPO as a strategic entity to drive implementation of the ICT White Paper.
New telecoms DG Robert Nkuna sees SAPO as a strategic entity to drive implementation of the ICT White Paper.

Although many have given up on a tech-savvy post office network, the Department of Telecommunications and Postal Services (DTPS) wants to modernise the country's postal services.

This is the word from newly-appointed DTPS director-general (DG) Robert Nkuna, who says the department is looking to develop a modern roadmap that will benefit the postal services sector.

Government has also identified the SA Post Office (SAPO) as a strategic entity to ensure it extends digital government services and e-commerce, and promotes financial inclusion.

The SAPO has a large physical network of branches that can be used as access points to government services by communities, especially those in rural areas.

However, years of maladministration, industrial action, poor management and financial instability have dampened efforts to stabilise the country's largest postal operator.

The DTPS, whose mandate is to clean up and strengthen post office management, has been working to restructure the postal sector to contribute towards the provision of universal access, while at the same time continuing to provide quality and secure traditional postal services.

Nkuna says: "The postal services sector is very important in the successful implementation of the National Integrated ICT Policy White Paper. It is not a standalone policy. It is part of the comprehensive policy overhaul to modernise the ICT sector for the inclusion of all citizens."

According to the White Paper, SAPO lends itself as a strategic platform through which citizens and businesses can access ICT, including e-government, e-commerce, e-post, e-finance and general ICT services.

"This entails maximising the benefits and impact of the current infrastructure through the introduction of new ICT services and products."

Strong leadership

Last year, the department appointed industry veteran Mark Barnes as CEO of SAPO. Barnes' appointment has been heralded as a step in the right direction to drive the growth and stability of the embattled company.

The DTPS also appointed a new board to guide operations and bring stability to SAPO.

SAPO group CIO Mthoko Mncwabe previously noted the post office is on a digital journey.
SAPO group CIO Mthoko Mncwabe previously noted the post office is on a digital journey.

Since his appointment, Barnes has focused on turning SAPO around, with digitisation of services a huge part of that process.

The post office is already seeing an increase in its international mail business, with volumes up 20% compared to last year, according to Barnes.

SAPO is an ideal partner for e-commerce because it has the largest infrastructure, the largest database and clients, he says.

SAPO group CIO Mthoko Mncwabe previously noted the post office is on a digital journey and using technology to improve customer experience.

In August, SAPO launched a free app to allow customers to keep track of all their parcels and locate their nearest branches.

Mncwabe also stated the post office plans to introduce an Internet banking platform in the near future.

The country's largest postal network also wants to distribute payments to more than 15 million South African social grant beneficiaries, he noted.

Global network

This week, the department hosted ambassador Bishar Hussein, DG of the Universal Postal Union (UPU), as part of a discussion process on how to modernise the country's postal network to benefit from e-commerce.

According to Hussein, one of the envisaged outcomes of the visit was to implement a postal network hub for Southern Africa in South Africa, following the approval of a UPU strategy that focuses on e-commerce, financial inclusion and postal reform.

The UPU proposal is aligned to the turnaround strategy of the post office.

Hussein notes the UPU identified countries that have good telecommunications infrastructure and sea and air entry points. He adds that SA was chosen as a starting country in the region and other countries are welcome to set up their own hubs.

"Africa is not well represented in the current global e-commerce map. The continent has one billion people who are mostly young and tech-savvy. They represent an exciting market. Global postal hubs are an idea whose time has come, [but] only if they get off the ground."

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