XN000022-1996-10-30 — Page 21

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The Post Office has been able to improve its services in a number of areas. Some good examples are the resumption of posting box collections on Sundays and public holidays, advance opening of 22 post offices on days of new stamp issues and introduction of posting boxes at some of the MTR stations on a pilot basis. At the same time as publishing its recent Annual Report, it produced a document setting out '100 Projects for Better Services" in 1996-97. Many of these could not have been implemented without the flexibility provided by the trading fund.

Of course, measuring performance in terms of customer service and customer satisfaction is often not straightforward, and we would not claim that the current measures fully reflect all areas of trading fund activities. This is an area where we continue to work with the trading funds to develop and improve performance measures. We will certainly take note of the suggestions Members have made today about the information which it would be helpful for trading funds to provide]

Productivity improvements

This brings me to productivity improvements. This is a key area in relation to the performance of Trading Funds.

I have earlier used the word "business-like" to describe the approach of trading funds in the provision of services to their customers. Under the Trading Funds Ordinance we also require them to manage their resources in a "business-like" manner, thus delivering better customer service and better value for money. With limited room for manoeuvre on fees and charges. whether because of statutory constraints, voluntary undertakings or competitive considerations. the General Manager of a trading fund, who is tasked with making his revenue balance expenditure, needs to control rising costs by boosting productivity.

I have already mentioned the reduced turn round times achieved for key transactions by the Land Registry. These have been achieved while the total number of staff has reduced by 1.0%.

In September 1996, the Post Office commissioned Culler Facer Canceller machines to cancel stamps and sort local and overseas mail automatically. These will save 46,000 man-hours per annum.

In December 1996, the process of stamp affixing and cancelling of first day covers and inserting of presentation packs will be automated to save 8,160 man-hours per annum.