South Africa Edition 2

THE MARKET
We deliver, whatever it takes. This is the promise
made by the South African Post Office (SAPO) and
- judging by an operating profit that has improved
by 44 percent (adjusted for the pension fund asset)
to R431 million in the past year – SAPO keeps
its promises.
As a parastatal organisation, SAPO is bound
by the mandate of its main shareholder, the state.
This positions SAPO as a critical delivery channel
for government services, intrinsically involved in
the Department of Communications’ strategic
drive to become a “global leader in harnessing
information and communication technology for
socio-economic development”.
Being a global industry player, SAPO
continues to keep abreast of the market with
regard to customer requirements, technology
and competition. This is borne out by the
organisation’s R892 million CAPEX in the last
year to maintain cutting edge equipment, welltrained
staff and new facilities to serve larger
areas.
Balancing national requirements with meeting
global competition head-on is a challenge that
also provides SAPO with enormous opportunities
for growth and development. SAPO’s solid
foundation, though, is what facilitated its financial
division Postbank becoming the leading bank of
Mzansi accounts, with a market share of 41%.
In 1991, the South African Post Office was
launched as a limited company operating with
the purpose of providing services and products
that meet the needs of both the commercial and
private sector.
It was then the tremendous potential of
Priority Mail, already offered by SAPO, was
recognised and developed as an independent
division now known as Speed Services Couriers
– an example of how SAPO keeps abreast of
worldwide trends.
SAPO’s market is possibly one of the most
diverse in South Africa, given that its products
and services touch almost everyone in one way
or another.
ACHIEVEMENTS
In a far-reaching achievement, SAPO’s Postbank
recently opened no fewer than 848 784 new Mzansi
accounts. Postbank also contributed greatly to
the national Savings Drive by launching its Visabranded
Postbank card, and sold retail bonds worth
R1,4 billion.
In its bid to uplift and advance small and
medium enterprises, the Post Office purchased
around R900 million worth of products and
services through its procurement programme.
South Africa’s focus on skills development
was also assisted by SAPO putting over 1,000
learners through Information, Communications
and Technology (ICT) courses, as well as training
18 e-cadres whose task is to instruct and assist
the public in the use of the Post Office’s new
technology.
Training of senior and middle management
has also received urgent attention to ensure that
staff have the necessary skills to manage SAPO’s
business within the context of a new and ever
changing environment.
Another important achievement set to continue
into the future is SAPO’s growing role in assisting
national government, provincial governments
and municipalities to serve communities. During
2006/07, the Post Office began delivering identity
documents for the Department of Home Affairs
and handling motor vehicle registrations and
licence renewals for several provincial transport
departments.
With its solid infrastructure, SAPO is proving
to be an invaluable aid to government.
HISTORY
The South African Post Office has a long and
fascinating history, with sailors from 1500 to
1652 creating “postal stones” under which they
would leave letters in the hopes that they would
be found by other ships and delivered. The letters
were sometimes wrapped in waxed canvas; the
address accompanied by the letters DGG – Door
God Geleyd, meaning “Guided by God”.
In 1781, mail workers handled official mail
articles in Simon’s Town, Saldanha Bay and
Robben Island - while keeping an eye out for
hostile ships!
March 1792 saw acting governor Johan
Rhenius issue a proclamation to establish a
post office in a small room beside the pantry
in the Castle, Cape Town. Adriaan Bergh was
appointed postmaster and Aegidius Ziervogel
the first postman. Letters were accepted every
morning between 09:00 and 10:00 at a cost of
six “stuiwers” (half pennies). The postman would
deliver the mail the next morning at an additional
cost of two “stuiwers”.
Lieutenant-general Janssens, governor of
the Cape Colony, initiated a regular inland mail
service between Algoa Bay and False Bay in
1805. Farmers were contracted to convey mail on
horseback between the two centres. Apart from
letters, these first mailbags contained copies
of the first Kaapsche Stads Courant, the Cape
newspaper of those days. A mail wagon ran twice
weekly between Cape Town and Stellenbosch.
In 1806 the Cape Colony was again under
British rule and Sir David Baird ruled that Khoi
runners would convey letters and small packages.
Farmers on the route were paid to provide food
and shelter for the runners.
The new railroad links of 1904 lead to a faster,
more reliable service. Mail for major towns not
close to the railroad was transported by mule and
horse cart.
With the steady growth cities of 1931, more
postmen were appointed. However, the number
of mail items declined. Investigations showed
that much time was wasted by postmen walking
enormous distances to the doors of houses, and
knocking. If recipients weren’t home, mail was
returned to the office and delivered later. A
system already in use overseas was introduced:
Residents had to put up a “receiving device”
at their front door or gate. They weren’t happy
about this, but it made a huge difference to mail
service.