Download - Hepta Serve Service Transformation
“There is only one boss, and whether a person shines shoes for a
living or heads up the biggest corporation in the world, the boss
remains the same.
It is the customer!
The customer is the person who pays everyone’s salary and who
decides whether a business is going to succeed or fail. In fact, the
customer can fire everybody in the company from the CEO on
down, and he can do it simply by spending his money somewhere
else. Literally everything we do, every concept perceived, every
technology developed and associate employed, is directed with this
one objective clearly in mind – pleasing the customer.”
- Sam M. Walton, CEO Wal-Mart
Hepta Serve Model for Hepta Serve Model for Service TransformationService Transformation
Hepta Serve ModelHepta Serve Model
Peop
le
Capa
bility
Build
ing
Proc
ess
Capa
bility
Build
ing
Serv
ice
Assu
ranc
e
Serv
ice Ed
ge
Balan
ced
Measu
remen
t
Serv
ice
Prod
uct
Desig
n
Focu
s
Pro
cess
Pro
cess
Business
Health Check
Design Process
Rollout Institutionalization
Leadership CommitmentLeadership Commitment
Leadership CommitmentLeadership Commitment
Managerial Commitment & TimeManagerial Commitment & Time Service Quality ChampionService Quality Champion Service ReviewsService Reviews Develop StandardsDevelop Standards Establish Scorecards with Internal & External MatricesEstablish Scorecards with Internal & External Matrices Monitor ImplementationMonitor Implementation Short Interval Control & Review ProcessShort Interval Control & Review Process
Best Practice : Leadership Best Practice : Leadership Best Practice : Leading US BankBest Practice : Leading US Bank
Establishing an Executive Level “Champion” & Monthly Establishing an Executive Level “Champion” & Monthly Service Quality Meetings chaired by CEOService Quality Meetings chaired by CEO
Best Practice HighlightsBest Practice Highlights Designating an executive-level "Service Quality Champion" Designating an executive-level "Service Quality Champion"
whose sole job is to boost service quality measurementswhose sole job is to boost service quality measurements Monthly high-level Service Quality Meetings chaired by the Monthly high-level Service Quality Meetings chaired by the
CEO and run by the Service Quality ChampionCEO and run by the Service Quality Champion Hold leaders responsible for improving service quality Hold leaders responsible for improving service quality
performance performance Department and division leaders report on and review the Department and division leaders report on and review the
bank's many service metricsbank's many service metrics Partnership with Gallup to help the company establish and Partnership with Gallup to help the company establish and
enhance its Service Measurement Program and evolve it enhance its Service Measurement Program and evolve it into a superior customer loyalty effort. into a superior customer loyalty effort.
Leadership CommitmentLeadership Commitment Best Practice : Indian BankBest Practice : Indian Bank
Organizational Structure to facilitate setting up of a Organizational Structure to facilitate setting up of a dedicated Service Quality Group with a defined mandate to dedicated Service Quality Group with a defined mandate to measure, improve & drive service quality initiativesmeasure, improve & drive service quality initiatives
Best Practice HighlightsBest Practice Highlights Dedicated “Customer Service Quality Group” with its Dedicated “Customer Service Quality Group” with its
Design on Design on Service metrics to measure performance of every unit Service metrics to measure performance of every unit Identification of root causes for service breakdowns Identification of root causes for service breakdowns Customer communication Customer communication Customer feedback analysisCustomer feedback analysis Convener of “Customer Service Council” constituting heads of Convener of “Customer Service Council” constituting heads of
various departments to monitor, track & report progress on various departments to monitor, track & report progress on various customer service initiativesvarious customer service initiatives
““Internal BPR Unit ” with its Design on implementation of Internal BPR Unit ” with its Design on implementation of policies and process improvements relating to service delivery policies and process improvements relating to service delivery across all retail products and channelsacross all retail products and channels
Best Practice : LeadershipBest Practice : Leadership Best Practice : Leading Indian BankBest Practice : Leading Indian Bank
Measurement includes external feedback from Customers. Measurement includes external feedback from Customers. The integration of service performance matrices into The integration of service performance matrices into employee performance management employee performance management
Best Practice HighlightsBest Practice Highlights Internal & External measurement metricsInternal & External measurement metrics
External Feedback from customersExternal Feedback from customers Internal metrics of “Audit ratings” and “Sigma levels”Internal metrics of “Audit ratings” and “Sigma levels”
Using the service quality "numbers" just as management Using the service quality "numbers" just as management uses its financial numbers: to establish goals, measure and uses its financial numbers: to establish goals, measure and reward performance, and make changes to reach reward performance, and make changes to reach established goalsestablished goals
Complete integration of customer service into the Complete integration of customer service into the employee Performance Management System at all levels of employee Performance Management System at all levels of hierarchyhierarchy
ProcessProcess
PROCESS CAPABILITYPROCESS CAPABILITY
Two Elements to Process Capability:Two Elements to Process Capability: Organizational pieceOrganizational piece
What do we do?What do we do?
FlexibleFlexible Human pieceHuman piece
How do we do?How do we do?
Customer FriendlyCustomer Friendly
In-patient Admissions: A family shows up for admissionIn-patient Admissions: A family shows up for admission The business piece includes checking the registration, reserving The business piece includes checking the registration, reserving
bed, handing out necessary brochure, collecting the advance bed, handing out necessary brochure, collecting the advance money, etc.money, etc.
The human piece includes a cheery greeting, offer of The human piece includes a cheery greeting, offer of information, a comfortable seating area. The human piece may information, a comfortable seating area. The human piece may also include changing the bed type if the family wish to change, also include changing the bed type if the family wish to change, making special arrangement for an unexpected handicapped making special arrangement for an unexpected handicapped individual, etc. individual, etc.
Process CapabilityProcess Capability Best Practice : Leading Indian BankBest Practice : Leading Indian Bank
Role definition , Documentation & Measurement for Role definition , Documentation & Measurement for ProcessesProcesses
Best Practice HighlightsBest Practice Highlights Processes are classified into:Processes are classified into:
Enabler ProcessesEnabler Processes Support ProcessesSupport Processes Management ProcessesManagement Processes
All processes are documented and control documents are All processes are documented and control documents are managed as per Document Management system guidelinesmanaged as per Document Management system guidelines
Measurements are established for all the processes and Measurements are established for all the processes and data collection done to track performancedata collection done to track performance
Continuous Process Continuous Process ImprovementImprovement
Continuous Root Cause Analysis & Process Continuous Root Cause Analysis & Process ImprovementsImprovements Identify and extract issues that concern the customerIdentify and extract issues that concern the customer Obtain feedback from units who interacted with the Obtain feedback from units who interacted with the
customer customer Review of current process of handling the raised issueReview of current process of handling the raised issue Identify root cause of failure, if anyIdentify root cause of failure, if any Initiate process change (if required) and track impactInitiate process change (if required) and track impact
Example RCA :Banking Example RCA :Banking Issue : Cheque Deposited Not CreditedIssue : Cheque Deposited Not Credited Root Causes & Action PlansRoot Causes & Action Plans
Cheque rejected / returned casesCheque rejected / returned cases New product line in esearch for uploading reject cheques New product line in esearch for uploading reject cheques Strengthening of front end checks . Fortnightly audit by CTDStrengthening of front end checks . Fortnightly audit by CTD Outbound calling at branches for all final returnsOutbound calling at branches for all final returns
Amount parked in Insufficient details account/collection Amount parked in Insufficient details account/collection accountaccount
Pay-in slips with mobile numbers introduced Pay-in slips with mobile numbers introduced Selective Outbound Calling at RPCs to facilitate repairSelective Outbound Calling at RPCs to facilitate repair
Front End Service request creation ErrorsFront End Service request creation Errors Training given to front end to ensure proper SR type selectionTraining given to front end to ensure proper SR type selection
CTD shared the SR audit findings with front end on fortnightly CTD shared the SR audit findings with front end on fortnightly basis basis
Process Performance Process Performance ImprovementImprovement
Example : Reduction of Turn Around Time (TAT) for the Example : Reduction of Turn Around Time (TAT) for the customer customer
StrategyStrategy Re-engineering of process flows Re-engineering of process flows
Segregating dissimilar activities so as to reduce process Segregating dissimilar activities so as to reduce process timetime
Map “start & end” of the process of each transaction in Map “start & end” of the process of each transaction in considerationconsideration
Identify process gaps, reasons for delay & points where Identify process gaps, reasons for delay & points where these delays happenthese delays happen
Set targets based on customer expectations & industry Set targets based on customer expectations & industry standardsstandards
Initiate process change to meet the desired level of Turn Initiate process change to meet the desired level of Turn Around Time Around Time
Measure TAT on a fortnightly basis & convert into a sigma Measure TAT on a fortnightly basis & convert into a sigma metric on a branch, regional & national levelmetric on a branch, regional & national level
Six SigmaSix Sigma
Initiative Activity/ Process Measurement
Cash Turn Around Time (TAT)
Demand Draft/ Pay Order Turn Around Time (TAT)
A/C Opening Forms TAT for the form to reach the Regional Processing Centre
A/C Opening Forms Rejection % age of forms rejected
System Handover Turn Around Time for branch to handover after customer hours
Demat A/C Form Rejections % age of forms rejected
NRI A/C Form Rejections
NRI A/C Form Turn Around Time
SIX
SIG
MA
PeoplePeople
People Capability: TrainingPeople Capability: Training
Functional Training:
SWIFT: Structured Workplace Induction and Functional Training
Behavioral Training
Customer First: Behavioural training for customer facing staff
Continuous testing: The
learning matrix
On-the-job-assistance
Multi pronged approach to developing knowledge and skill
Centralized Help Desk
Example : Leading Indian Private Bank
People CapabilityPeople Capability Best Practice : Leading US BankBest Practice : Leading US Bank
Project Green Revolution: Empowering individuals through knowledge is the Project Green Revolution: Empowering individuals through knowledge is the core value of green revolutioncore value of green revolution
Best Practice HighlightsBest Practice Highlights ““Green” stands for an individual’s job proficiency level Green” stands for an individual’s job proficiency level Three proficiency levels of employees:Three proficiency levels of employees:
Never trained on the functionNever trained on the function Trained on the job but less than 3 months on the deskTrained on the job but less than 3 months on the desk Trained and handled the desk for more than 3 months – ChampionTrained and handled the desk for more than 3 months – Champion
Green Revolution aims at training every employee on minimum 4 functional Green Revolution aims at training every employee on minimum 4 functional skillsskills
2 main skills which is the main function,2 backup skills2 main skills which is the main function,2 backup skills Individual Performance Assessment & CoachingIndividual Performance Assessment & Coaching
Gallup surveys customers who had visited a bank branch or phoned a call Gallup surveys customers who had visited a bank branch or phoned a call center during the previous weekcenter during the previous week
Within two weeks, everyone from the employee involved in the transaction to Within two weeks, everyone from the employee involved in the transaction to top management knows how the customer rated that interactiontop management knows how the customer rated that interaction
Leaders use the system's weekly reports to Design attention and praise on Leaders use the system's weekly reports to Design attention and praise on areas that are performing well -- and to take corrective action in areas that areas that are performing well -- and to take corrective action in areas that are under-performingare under-performing
Service leaders use the information to help team leaders analyze processes Service leaders use the information to help team leaders analyze processes that may be creating service quality issuesthat may be creating service quality issues
Team leaders use the information to coach individual employees on what they Team leaders use the information to coach individual employees on what they have done well and where they need to improve.have done well and where they need to improve.
People Capability ProcessPeople Capability Process
INDUCTIONINDUCTION Customer Service – an organizational valueCustomer Service – an organizational value Orient to the cultureOrient to the culture
FOCUSED TRAININGFOCUSED TRAINING Standards and ScriptsStandards and Scripts Skill EnhancementSkill Enhancement
Customer handlingCustomer handling CommunicationCommunication Conflict Resolution and Stress ManagementConflict Resolution and Stress Management
Developing TrainersDeveloping Trainers PERFORMANCE MONITORINGPERFORMANCE MONITORING
Individual Feedback SystemIndividual Feedback System Coaching and CounselingCoaching and Counseling
RECOGNIZING & REWARDINGRECOGNIZING & REWARDING RE TRAININGRE TRAINING
Best Practice - RecruitmentBest Practice - Recruitment Best Practice : Leading Indian HospitalBest Practice : Leading Indian Hospital
The recruitment process of Hiring People with a Service The recruitment process of Hiring People with a Service Attitude by identifying competencies & customer service Attitude by identifying competencies & customer service traitstraits
Best Practice HighlightsBest Practice Highlights
The selection process is well defined, with an interview process The selection process is well defined, with an interview process emphasizing on these 5 steps. It also ask the interviewer to list emphasizing on these 5 steps. It also ask the interviewer to list 10 competencies, which also should include those behavioral and 10 competencies, which also should include those behavioral and customer serving traits.customer serving traits.
The JDs, are structured with those service level expectations The JDs, are structured with those service level expectations explicitly getting mentioned.explicitly getting mentioned.
The internal site of the organization provide the Manager’s Tips The internal site of the organization provide the Manager’s Tips & Tools, on how to assess people on customer service skills, the & Tools, on how to assess people on customer service skills, the interview techniques etc.interview techniques etc.
Service RecoveryService Recovery Best Practice : Leading Indian HospitalBest Practice : Leading Indian Hospital
Uses Service Recovery through a “RELATE” process by Uses Service Recovery through a “RELATE” process by Turing Potentially Negative Situations to Positive Ones.Turing Potentially Negative Situations to Positive Ones.
The healthcare has much larger contact time with the customer, The healthcare has much larger contact time with the customer, and use of service recovery as a tool is of much greater and use of service recovery as a tool is of much greater importance to the industry , than probably anyone else. importance to the industry , than probably anyone else.
Best Practice HighlightsBest Practice Highlights Service Recovery ModelService Recovery Model
RecognizeRecognize EmpathizeEmpathize ListenListen ApologizeApologize Take ResponsibilityTake Responsibility Explain what you’re going to doExplain what you’re going to do
Service Recovery CourtesiesService Recovery Courtesies Complimentary upgrade, lunch, a health check, free membership Complimentary upgrade, lunch, a health check, free membership
in the clubs, etc., as our tools for service recovery.in the clubs, etc., as our tools for service recovery.
Standards & ScriptsStandards & Scripts Best Practice :Leading Indian HospitalBest Practice :Leading Indian Hospital
Using criteria to clearly communicate expectations about Using criteria to clearly communicate expectations about performanceperformance
Best Practice HighlightsBest Practice Highlights Customer Service StandardsCustomer Service Standards
Standard PhrasesStandard Phrases Functional StandardsFunctional Standards
Telephone EtiquetteTelephone Etiquette Standards PhrasesStandards Phrases Call handlingCall handling
Personal Grooming StandardsPersonal Grooming Standards Dress CodeDress Code Personal HygienePersonal Hygiene
Creating ScriptsCreating Scripts Review PurposeReview Purpose Identify SituationsIdentify Situations Involve StaffInvolve Staff Fine TuneFine Tune
ImplementImplement MonitorMonitor
BalancedBalancedMeasurementMeasurement
Performance ManagementPerformance Management Best Practice : Leading US BanksBest Practice : Leading US Banks
An integrated approach to performance management that An integrated approach to performance management that links service performance, incentivization & coachinglinks service performance, incentivization & coaching
Best Practice HighlightsBest Practice Highlights Service Measurement Program is based on six key principles:Service Measurement Program is based on six key principles:
Measuring service quality at the team levelMeasuring service quality at the team level Measure the key factors that affect service quality and customer Measure the key factors that affect service quality and customer
loyaltyloyalty Develop effective incentive programs that significantly reward Develop effective incentive programs that significantly reward
performanceperformance Measurement process and incentive program should be Measurement process and incentive program should be
relatively simple, has substantial face-validity, and is easy to relatively simple, has substantial face-validity, and is easy to understandunderstand
Communications and training related to the program must be Communications and training related to the program must be continuouscontinuous
Measurement, intervention, and coaching must take place with Measurement, intervention, and coaching must take place with the individual customer-facing employees as close to the time of the individual customer-facing employees as close to the time of their interaction with the customer as possibletheir interaction with the customer as possible
Measurement – Managing for Measurement – Managing for PerformancePerformance
Best Practice : Leading Indian BankBest Practice : Leading Indian Bank External Feedback from CustomersExternal Feedback from Customers
We obtain customer feedback through a monthly surveyWe obtain customer feedback through a monthly survey Survey is conducted by an external agency:Survey is conducted by an external agency:
Covering over 90,000 customers across the countryCovering over 90,000 customers across the country Covering customers across touch points with the bankCovering customers across touch points with the bank
Survey results are used to design strategic and operational Survey results are used to design strategic and operational initiatives for improving customer serviceinitiatives for improving customer service
Survey Designes on:Survey Designes on: Customer interaction skills and attitudinal aspects of employeesCustomer interaction skills and attitudinal aspects of employees Product and Process knowledgeProduct and Process knowledge Quality of resolution provided to the customerQuality of resolution provided to the customer Other factors impacting quality of service like “Wait time in the Other factors impacting quality of service like “Wait time in the
queue” etc.queue” etc. Results of branches surveyed uploaded on intranet within 48 hrsResults of branches surveyed uploaded on intranet within 48 hrs Weekly results of phone-banking shared through intranet Weekly results of phone-banking shared through intranet Immediate correction: business units have opportunity to identify Immediate correction: business units have opportunity to identify
gaps & take quick corrective measures gaps & take quick corrective measures
Service AssuranceService Assurance
Service AssuranceService Assurance Strong Accessibility & ReachStrong Accessibility & Reach
For a Telecom Provider this Translates toFor a Telecom Provider this Translates to Geographical ReachGeographical Reach 24x7 availability24x7 availability Resource Availability – Service DesksResource Availability – Service Desks Multilingual approach Multilingual approach
Reliability & ConsistencyReliability & Consistency For a Telecom Service Provider this Translates toFor a Telecom Service Provider this Translates to
Coverage – ( Regional Player / National Player)Coverage – ( Regional Player / National Player) Ability to make and receive calls wherever he wantsAbility to make and receive calls wherever he wants Ability to make / receive calls inside a buildingAbility to make / receive calls inside a building No Call Drop ( no cut off while talking )No Call Drop ( no cut off while talking ) Sound Clarity ( No cracking, echo, disturbance or gaps in Sound Clarity ( No cracking, echo, disturbance or gaps in
speech )speech )
ServiceServiceEdgeEdge
Service EdgeService Edge Empowerment of Front End Empowerment of Front End End to end Process IntegrationEnd to end Process Integration Integrated CRMIntegrated CRM Integrated systemsIntegrated systems Real-time information availabilityReal-time information availability Capability to execute actions on-lineCapability to execute actions on-line
Service Edge: CRMService Edge: CRM
Best Practice : Leading Indian BankBest Practice : Leading Indian Bank Customized CRM System that has defined workflows, provides Customized CRM System that has defined workflows, provides
system driven tracking of TAT, escalation mechanism to system driven tracking of TAT, escalation mechanism to bottleneck & flow back of current status to all channelsbottleneck & flow back of current status to all channels
Best Practice HighlightsBest Practice Highlights Customer Relationship Management System Customer Relationship Management System
Helping to scale up existing processes by defining standard workflowsHelping to scale up existing processes by defining standard workflows Automated workflow and assignment rules for 1700 requestsAutomated workflow and assignment rules for 1700 requests
Providing system driven tracking by reducing dependence on emails Providing system driven tracking by reducing dependence on emails and eliminating follow-upsand eliminating follow-ups
Offering a universal view of the Customer to benefit both the sales and Offering a universal view of the Customer to benefit both the sales and service organizationsservice organizations
Reducing cost through collaboration between departments and a Reducing cost through collaboration between departments and a reduction in deviation from processes CRM rolled out to cover 1000 reduction in deviation from processes CRM rolled out to cover 1000 units over 13000 usersunits over 13000 users
TAT tracking on an individual and aggregate levelTAT tracking on an individual and aggregate level Built-in 5 level escalation to address individual bottlenecksBuilt-in 5 level escalation to address individual bottlenecks Flow back of information on status to all channelsFlow back of information on status to all channels
Service Product DesignService Product Design
Product DevelopmentProduct Development
Strategy Feasibility Development Launch Scale-up
P0 P4P3P2P1
P0 = do we want to do it ?
P1 = is it viable ?
P2= are we ready to launch?
P3= is the project mandate complete ?
P4= is any restructuring needed to enhance success ?
Phase 0Phase 0
StrategyFeasibility Development Launch Scale-up
P0= do we want to do it ?
Value propositionValue proposition Does the customer need already exist?Does the customer need already exist? Will the customers pay to satisfy this need?Will the customers pay to satisfy this need? Can we be first in market place with this product?Can we be first in market place with this product?
Phase 1Phase 1
Do we know customer requirements ?Do we know customer requirements ? Have we created the product design /specification to Have we created the product design /specification to
meet customer requirements?meet customer requirements?
Strategy Feasibility Development Launch Scale-up
P1 = is it viable ?
Phase 2Phase 2
Is technical installations UAT successful ?Is technical installations UAT successful ? Operations team tests the system to check if it meets Operations team tests the system to check if it meets
all requirements and processes are in placeall requirements and processes are in place Ensures no glitches during usage by customersEnsures no glitches during usage by customers
Strategy FeasibilityDevelopment Launch Scale-up
P2= are we ready to launch?
Phase 3Phase 3
Strategy Feasibility Development Launch Scale-up
Preliminary release of product (still under development) Preliminary release of product (still under development) forfor EvaluationEvaluation Feedback by select customersFeedback by select customers
P3= is the project mandate complete ?
Phase 4Phase 4
Strategy Feasibility Development Launch Scale-up
Does the product meet customer expectation?Does the product meet customer expectation? Does the product meet our expectation?Does the product meet our expectation?
Resolving issues if any during the pilotResolving issues if any during the pilot
Nation wide phased roll outNation wide phased roll out
P4= is any restructuring needed to enhance success ?
CONTINOUS IMPROVEMENTCONTINOUS IMPROVEMENT
““Even if you are on the right track,Even if you are on the right track,You will get run over if you sit there.”You will get run over if you sit there.”
Presentation ImplementedPresentation Implemented