👉 Background: Australia Post has been around since 1809. And since then, it's fair to say the world has changed a lot.

• Less bills in mail and more bills online
• Less pen pals in mail and more social media connections
• Less horses and carriage to deliver messages and more fibre-optic cables

👉 What happened: As a result, Australia Post just reported a pre-tax loss of $200 million for 2023. A big part of the challenge is that AusPost is actually required (by law) to deliver mail five days a week, to even the most remote parts of Australia. That's expensive.

👉 What else: Australia Post is now considering some radical changes to keep the business afloat:

• They're looking into raising the price of stamps
• They're discussing cutting down how many days mail is delivered each week
• They're considering closing up to a third of over 4,000 postal outlets across the country...

Because currently, they aren't effectively utilising  their assets.

What's the key learning?

💡Asset utilisation is a measure of how effectively a company uses its assets to generate revenue or value. It's often calculated by dividing revenue by total assets.

💡Australia Post needs to looking at a range of new ways to effectively utilise their huge amount of assets (ie posties, 4,000+ post office outlets and distribution centres).

💡And with 70 post office outlets in Brunswick alone, it seems like shutting down outlets may be their first choice.

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