The department of post has stepped into a high gear for a total revamp of its image. It has partnered with Ogilvy and Mather to help design a new logo and new uniforms to keep up with its new image.

This project christened 'Project Arrow' has been launched to initially upgrade 500 post offices, across 10 circles, mostly in rural areas, by the end of this calendar year.

The department has also partnered with consultancy firm Mckinsey and Co to form a complete turnaround strategy for the department. "This project is all about transformation and change and to incorporate a greater degree of efficiency," said Minister of State for Communications and Information Technology Jyotiraditya Scindia, who spearheaded this project.

Under the project, 500 post offices will receive a makeover, to represent the standardisation of quality. The department of posts has developed standardised and consistent interior and exterior blueprints for 500 post offices and will install uniform modular furniture across the post offices.

All the mails and parcels will henceforth be tracked till the time they are not delivered to the desired destination. "The first phase of this project covering 50 post offices will be flagged off on the 15th of August.

The rest of the 450 will be completed by the end of December," said Scindia. "After gauging the success of this pilot project, we hope to implement this in the rest of the post offices across the country," he added. At present, there are over 1,55,000 post offices, of which 26,000 are department post offices.

The minister also pointed out that over 500 postal employees have undergone training to provide the best service to customers.

Specialised training package for these 500 post offices have been designed and training has been initiated. Meanwhile, all the post offices under the project will be broadband-enabled, for technological upgrade of these post offices.

However, only over 20 per cent of the total mailing comprises personal mailing, which has been affected by the increased teledensity in the country and decreasing call rates by mobile phone operators. The increased usage of emails has also affected the personal mailing segment of the postal department.

Though the minister did not comment on the funds invested in Project Arrow, he said the funds were accounted for in the Budget and have been invested through internal accruals.

The minister further said request for the revision in interest rates for the savings scheme offered by the postal department, has been put forward to Finance Minster P Chidambaram.

In a communication to the finance minister dated May 9, 2008, Scindia wrote: "Unless interest rates of small saving schemes are revised upwards, there may not be any change in the present situation due to which post office small savings schemes will keep losing their attractiveness rapidly."

Scindia has also approached the finance ministry to introduce the scheme for granting loans against Post Office Savings Bank deposit schemes, which is not permitted at present.