Assignment

Designing Operations

Instructor: Mr. Boman Moradian

Submitted by: Anjani Manuri

EPGDBM, Roll Number-02

1 Process Flow Chart of HDPI’s Dispute Resolution Process and its Lead time & Cycle time

The assignment is to develop a process flow chart depicting the flow of the process related to HDPI’s (HSBC Electronic Data Processing India Ltd) Dispute Resolution Process.

It will show the existing process and the time taken by the staff to complete the entire process and the existing Lead Time and Cycle time.

In the end improvements, will be suggested to reduce the cycle time so that the entire process is rendered more effective.

The main objective of the Operations Team in the Disputes Department is to resolve credit card related disputes that are received from customers within 2 business days.

Given below is the typical flow of the process:-

1 Scanned documentation of customer disputes are received through an internal application.2 Agent receives this scanned image.3 Agent tries to identify the account number.4 Once the account number is identified, it is indexed to the correct profile of the customer.5 Then it is pushed into the relevant queue6 The item is then turned on to another agent.7 Agent identifies the type of dispute.8 If it is a “fraud” type dispute, the item is passed on to another queue9 From this queue, an agent picks it up within a day’s time and does the initial investigation.10 Once the initial investigation is done and it has been established as a fraud type dispute, the item is

pushed into a different queue again.11 Then the item is picked up by another agent.12 Agent requests for a sales draft from the merchant’s bank13 The item is pended in a queue for 30 calendar days until the sales draft is received14 The sales draft is received.15 Sales draft is analysed.16 It has been established that the dispute claim is genuine.17 The customer is credited.18 Case is closed.

PROCESS FLOW CHART

Process Banking OperationsBeginning Entry of Customer DisputeEnding Resolution of customer dispute

S No. Time (mins)

Step Description

1 5 X Receiving of scanned customer dispute form into the system

2 5 X Agent received the scanned image

3 3 X Agent identifies the account number

4 6 X Document is indexed to correct customer profile

5 2 X Item is passed to the relevant queue

6 3 X Item is turned on to another agent

7 4 X Agent identifies the dispute type

8 2 X Item is passed to another Queue

9 10 X Agent picks up and

carries out the initial investigation

10 5 X Item is pushed to another que

11 2 X Item is picked up by the agent

12 5 X Agent requests for a sales draft

13 43200 X Item is pended for 30 calendar days

14 4 X Sales draft is received

15 5 X Sales draft is analysed

16 6 X Dispute claim is established as genuine

17 5 X Customer is credited

18 4 X Case is Closed

TOTAL 43276 8 8 1 1 0

PROCESS FLOW CHART SUMMARY

Symbol # of Times Time (Minutes)8 28

8 (Lead time =T0) 43

1 43200

1 5

0 O

ANALYSIS

The actual lead time for the entire process is 43 minutes The total cycle time is 43276 minutes. Suggestions can be considered to reduce cycle time for the process

SUGGESTIONS FOR IMPROVEMENT

Once the dispute form is indexed, the item could be handled by the same operator instead of the claim being handed over to another operator. This would reduce the number of touch points.

The initial investigation can also be handled by the same operator. Once the sales draft has been requested, an upfront credit can be issued instead of pending the case

for 30 days. This will drastically reduce the cycle time and also improve the customer experience.

PROCESS FLOW CHART WITH SUGGESTED IMPROVEMENTS

S No. Time (mins)

Step Description

1 5 X Receiving of scanned customer dispute form into the system

2 5 X Agent received the scanned image

3 3 X Agent identifies the account number4 6 X Document is indexed to correct

customer profile

5 4 X Agent identifies the dispute type

6 10 X Agent carries out the initial investigation

7 5 X Agent requests for a sales draft8 5 X Customer is credited9 4 X Case is ClosedTotal 47 2 7 0 0 0

POSSIBLE CHANGES AFTER SUGGESTED IMPROVEMENTS

The total cycle time is 47 minutes which has been drastically reduced. The lead time has been brought down to 37 minutes

Symbol # of times Time ( mins)2 10

7 37

0 0

0 0

0 0

2. Where does your organization fall in the ‘Service Matrix’? Explain.

Service Factory Service Shop

Mass Service Professional

HSBC Electronic Data Processing India Ltd.

The banking BPO is a highly labour intensive business as it experiences heavy volumes and hence there is a need for skilled/unskilled labourers.

Fixed costs are comparatively lower than labour costs. There is a high interaction level as operators are involved in customer contact either via phone or

through emails.

CAN YOU ENHANCE THE CUSTOMER CONTACT YOU ARE CURRENTLY PROVIDING? IF SO HOW?

There is no further scope to enhance the customer contact. We have all methods possible. Customer can contact us via phone, postal mail as well as email. All possible avenues have been explored.

3.a) Identify the parameter of competition in your business.

First time resolution Rate per hour or Unit per hour Attrition rate Customer Satisfaction surveys or the CSAT score Soft skills of staff like communication skills etc Quality of service

b) Develop order winners and qualifiers for your business segments.

LOW

HIGH

Deg

ree

of L

abor

In

tens

ity

LOW

HIGH

Service Matrix

Degree of Interaction & Customization

Serial Number Parameters Qualifiers1 First time resolution 302 Rate per hour/Unit per hour QQ3 Attrition Rate Q4 CSAT Scores 305 Communication skills Q6 Quality of service 40

c) Critically comment if the process choice and various other elements of your business fit the above.

First time resolution:- Very important from the customer’s perspective as it is not advisable to give the customer a run-a-round while he is anticipating a quick resolution. Not resolving a credit card dispute quickly could lead to the customer avoiding payments and thereby a lot of finance charges could get accumulated for

the customer.

Rate per hour:- Number of units processed in an hour is of utmost importance from the business perspective as it reflects on the competency of the business unit.

Attrition Rate:- Low attrition levels is generally preferred so that we can minimise on the costs incurred for training and hiring procedure

CSAT Scores:- Reflects the business’ performance. Very important in order to bid for future business deals.

Communication skills:- Good communication skills displayed by the employees creates a good impact on the business and also has an effect on the overall customer experience.

Quality of service:- Important from both customer as well as business perspective.