Group Member: Supervisor:Abdul Jabbar(1125101) Memoona Afridi

Fozeb Illahi ( 1125113)

Fahad (1235308)

Irfan Hydar (1035142)

Abid Zaman (1125102)

Shaharyar (1039142) Date: 13/11/12

Project Name:

Inefficiency of Services- ( MCB)

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Executive Summary

Key Findings:I. Business Condition:One of the leading bank in Pakistan With more than 60 years of experience.Number of complaint regarding Bank Statements, pay order and online transaction affecting customer engagement

II. Types of Product:Retail BankingCorporate BankingVirtual BankingIslamic BankingPrivilege Banking

III. Customer Needs (Voice of Customer):Online Transactions are slow.Issuance of Pay order is very late.Bank Statement are not provided on time.Bank statements are not printed properly.

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Executive SummaryIV. Current Condition of Process:Online Transaction is taking more time so work load is increasing.Pay order is issued late so employees and customer has to stay more in bank.Bank Statements are issued late.Inefficient monitoring system.Lack of co-ordination.

V. Customer Needs (Critical to Quality)99% delivery of bank statement to customer99% delivery of pay order to customer95% delivery of online transaction to customer.

VI. Main Problems in Improvement Process:Cost will be higher if new people will be hired.Unwillingness by clearing GBO to make Pay order.

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Executive SummaryLesson Learned:Identify time loss of transaction.No proper monitoring system is in place.Inefficiency of customer service department.Team work.Importance of timely delivery.

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Vision:To build customer loyalty.

Mission:To increase customer satisfaction by ensuring timely execution and delivery of services.

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DefineInefficiency of Services- Current IssuesEfficient service is the core of any business. Inefficient service increase customer

dissatisfaction and customer expectations are impacted negatively. Customer expectations are that services should be provided on time.

Customer complaints for last 3 months are 75 from which 40 complaints are related to service issues and 25 complaints are related to employees behavior. Major complaints for service issues related to pay order and bank statement.

Tools in Define Phase:Tools that we used in our project are:

CTQ Specifications Project Charter Process Map Stakeholder Analysis

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Define-CTQ

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Project Tit le: Ineff ic iency of Services Business: MCB South Region Karachi

In scopeTransaction TimeBank Statement 3 min. Pay order& Online transaction 10 min.Out of ScopeOther Services.

The key problem faced are: • Pay order and bank statement are not provided• Online system is not working properly.

Problem Statement

Project Scope

53% of our complaints are related to service inefficiency out of 75 complaints according complaint centre. • Time loss. 5 min for Pay order and online transaction.2 min for Bank Statement•Decrease in customer loyalty – Decrease in region deposit up to Rs.38M.

Customer:•100% delivery of bank statement and pay order according to customer requirement.•95% speedy online delivery.

Business Case

Goal Statement (Measurable)

Project Title:Project Title: Inefficiency of ServicesInefficiency of Services Business: Business:

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Project Tit le:Project Tit le: Non delivery of Bank Statements Non delivery of Bank Statements Business: Branch VGPB / GB - Business: Branch VGPB / GB - PakistanPakistan

Customer: Improve customer satisfaction Increase in customer retentionBusiness: Improve Regional performance Increase in Goodwill of Bank

IT services, Complaints department, Training & developement, service quality.

Define 21st Oct - 25th Oct 2012Measure & Analyze 30th Oct - 3rd Nov 2012Improve & Control 06th Oct - 10th Oct 2012

Project Plan/ Milestones / Deliverables

Name Role % of time spent Abdul Jabbar Group Leader 100%Abid Zaman Back - Up 100%Fozeb Illahi Team Member 100%Irfan Haider Team Member 100%Shaharyar Team Member 100%Fahad Team Member 100%

Projected Benefits Barriers/ Support required

Roles of Team Members

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DEFINE – Process Map

Customer enter into the BankCustomer fills the concern Form

Submit to the authorized people

Delivery to the customer

Request send to

supervisor

Return back to authorized

peopleVerification Process

Level 1: Core Process

Level 2: Sub-Process

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Stake Holder Analysis

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MEASURE - CONTEXTIn measure phase analysis current performance level and identify goals we hope to achieve. It integrates

visuals presenting flowcharts, process Map, sample Data sets, summary statistics and run charts.

Keen and accurate observation is very important in the initial part for the phase - if we can observe an event

(or even its effects) we can measure it. If we can measure it, we can improve it.

Getting our measures right the first time is very critical.

Tools in Measure Phase:

Tools that we used in our project are: Detailed As-is process MAP Histogram Data collection plan

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MEASURE – Data Collection Plan

Performance Measure

Operational Definition Data Source and Location

Sample Size

Who will collect the data

When will data be collected

How will data be collected

Other Data that should be collected at the same time

BANK STATEMENT, PAY ORDER, ONLINE TRANSACTION

Time from customer enters into the bank for pay order, bank statement and online transaction till the customers get their work done.

1. Customer fill the concerned form.2. Form / cheque is verified by authorized person.3. Pay order, bank statement is issued to customer.

Last 3 months

RM, ROM

Data will be collected at the time of transaction

Data will be collect by transaction time report, Service desk

Service desk and IT division for cmplaints.

Histogram 1

Volume of Complaints

August 13

September 12

October 15

Histogram 2

Break up according to Department

Customer Service Operation

August 7 6

September 5 7

October 7 8

Histogram 3Break up according to categoy

Pay order Bank statement Online transaction

August 5 7 1

September 4 5 3

October 6 7 2

AS – IS Process

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ANALYZE - CONTEXTThe problem in Bank was that a major number of customers were not satisfied with our service. After

gathering and analyzing more information, we found out that ‘ there is Inefficient service (BANK

STATEMENT, PAY ORDER, ONLINE TRANSACTION ISSUES) ”. Inefficient service increase customer

dissatisfaction and customer expectations are impacted negatively. Customer expectations are that services

should be provided on time. Our goal was to meet the expectation. For this reason, we decided to resolve

this problem by studying the entire process of issuing Pay order, Bank statement and online transaction.

After analyzing the entire process flow, two main areas were identified:

a. Customer Service

b. Operation

Tools in Analyze Phase:

Tools that we used in our project are:

Histogram

Fishbone Diagram (Cause and Effect)

Pareto Chart18

Pareto ChartPay order Bank statementOnline transaction Other

No. of Complaints 15 20 7 32

% of Complaints 20% 27% 10% 43%

Cumulative % 20% 47% 57% 100%

ANALYSIS – Fishbone Structure

Environment People Process

Measurement Machine Material

What is the problem with theissuance of bank Statements, pay orders and online transactions.

Rules & RegulationsNo training program for staff

Management Conflict

Resistance to change

Low employee engagement

No standard procedure for monitoring

Low Employee Engagement

Two Systems functioning

Work repetition

Network Issues

No Back up support systems

Workload

Maintenance Issues

Improper system updates

Only one printer available

No standard for paper quality

Envelopes not properly sealed

Mailing envelope is too small

No Photocopy Machine

No precise reports to measure it

No proper tracking systems

No proper return mail monitoring

Branch Security

Law & order

Printing error in slips

Infrastructure

Location

Outdated Systems

Maintenance

Delayed power back up

No token system

Unavailability of stationary

Legal requirements

Customer Service and Service desk report mismatch

IMPROVE - CONTEXTIn improve phase, we need to identify alternative ways to improve performance. Try to evaluate how well

alterative will be able to meet target, performance, goals. We need to specify criteria for choosing a course of

action. Present conclusion regarding alternatives and identify recommended solutions.

Tools in Improve Phase:Tools that we used in our project are:

Brainstorming

To Be Process Map

Solution Evaluation Matrix

Implementation Plan Stakeholder

Communication Matrix

Training Strategy

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Brainstorming

Brainstorming helps us creatively and efficiently generate a high volume of ideas in a short period of time.

The basic rules of brainstorming are: Be clear about what your brainstorm is supposed to produce Set a quota of ideas Play off other people’s suggestions List ideas without comment, discussion or criticism Challenge assumptions and go a little crazy Brainstorm one day; check back the next day

Based on the significant factors that we found, here are the ideas that we should elaborate:1. Revise the responsibility of GBO2. Proper Job distribution3. New Supervisor4. New Department5. More authority to Operations Manager

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TO – BE Process

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Solution Evaluation

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Stakeholder Analysis

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Pre-Live Training Program

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Post-Live Training Program

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CONTROL - CONTEXTThe main objective of this area is to ensure that the entire process has close controls and is being monitored.

Control is required at all levels of the new process. It is the state of stability normal variation and predictability.

Process of regulating and guiding operations and process using quantitative Data.

Number of MIS and Graphs were used to measure the effectiveness of the process.

The control phase helped us to fix the process and shows the level of commitment and seriousness towards customer

complaints and organization's internal issues

To excel and have satisfied customers, we need to meet customer needs at all times.

Tools in Control Phase:Tools that we used in our project are:

Control Chart

Control Plan

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Control Chart-1        Volume of ComplaintsAugust 13September 12October 15November  12December 10January 8

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Control Chart 2  Customer Service OperationsAugust 7 6September 5 7October 7 8November  7 5December 6 4January 5 3

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Control Chart 3

  Pay Order Bank Statement Online transactionAugust 5 7 1September 4 5 3October 6 7 2November  4 7 1December 3 6 1January 2 5 1

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Control Plan

Indicators Control limit Checking item

Checking Frequency

Responsibility

T1 Daily MIS & CSO Report

Monthly BOM

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Tools OverviewTools Overview

1. Histogram2. Fishbone Diagram (Cause

and Effect)3. Pareto Chart

1. Histogram2. Fishbone Diagram (Cause

and Effect)3. Pareto Chart

1. Brainstorming2. To Be Process Map3. Solution Evaluation

Matrix4. Implementation Plan

Stakeholder5. Communication Matrix6. Training Strategy

1. Brainstorming2. To Be Process Map3. Solution Evaluation

Matrix4. Implementation Plan

Stakeholder5. Communication Matrix6. Training Strategy

1. Control Chart

1. Control Plan

1. Control Chart

1. Control Plan

1. CTQ Specifications2. Project Charter3. Process Map4. Stakeholder Analysis

1. CTQ Specifications2. Project Charter3. Process Map4. Stakeholder Analysis

1. CTQ tree to identify measures

2. Performance standard

3. Detailed As-is process MAP

4. Histogram

1. CTQ tree to identify measures

2. Performance standard

3. Detailed As-is process MAP

4. Histogram

ONTROLONTROLEFINEEFINE

MPLEMENTMPLEMENT

EASUREEASURE

NALYZENALYZE

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THANK YOU

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