wqd2011 - innovation - mashreq bank - improving the on-boarding experience for retail customers

22
Innovation Storyboard Mashreqbank Improving the on-boarding experience for retail customers Jul 2011 on going Lean Central Team

Upload: dubai-quality-group

Post on 15-Jan-2015

649 views

Category:

Education


4 download

DESCRIPTION

Innovation case study submitted by Mashreq Bank during 3rd Continual Improvement & Innovation Symposium organized by Dubai Quality Group's Continual Improvement Subgroup to celebrate World Quality Day 2011.

TRANSCRIPT

Page 1: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

Innovation Storyboard

Mashreqbank

Improving the on-boarding experience for retail customers

Jul 2011 – on going

Lean Central Team

Page 2: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

2 2

About Mashreq

Mashreq has provided banking and financial services to millions of customers and businesses since 1967.

We are one of UAE's leading financial institutions with a growing retail presence in the region including Egypt, Qatar, Kuwait and

Bahrain.

We focus on providing our customers access to a wide range of innovative products and services.

Mashreq is invariably among the highest performing banks in the region. Last year we recorded a Net Profit of AED 803 million

from a Total Operating Income of AED 4.4 billion over the same period. At the end of last year our Total Assets stood at AED

84.8 billion.

Our branch network extends across the UAE with one in every two households in the UAE banking with us. We also have

customer service centers in key retail locations and one of the largest ATM networks in the country. We also have 12 overseas

offices in nine countries, including Europe, US, Asia and Africa.

Introduction

Vision To provide our customers the most rewarding banking

relationships

Mission Being relationship based

Delivering superior service

Being the primary bank to our customers

Being the Employer of Choice

Values We are on a constant journey towards service

excellence, developing innovative new products and

financial solutions. Anticipating your needs and providing

you with new opportunities, convenience and peace of

mind, stem from our core beliefs.

Teamwork, cooperation and responsiveness drive the

way we work and form the basis of our core values

Customer focused We act in the interest of our customers, seeking to exceed their

expectations

Transparent and fair We are clear, concise and open in all our communications, and

treat customers and our colleagues with fairness, respect and trust

Progressive We are fast, agile and constantly think of ways to enhance

customer experience

Bold We challenge established practices and take smart risks

Individually Responsible We each take responsibility for the quality of our work, the success

of the bank and delivering the brand promise to each customer

Page 3: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

2. The Idea

11

Diagnostic indicated improvement opportunities across 5 dimensions of the lean programme

SOURCE: Team analysis

Customer

Performance Management

Organization and Skills

Mindsetsand Behaviours

Process Efficiency

Key improvement opportunities

▪ Onsite account opening can be improved by ~60% without any further investment

▪ Opportunity to achieve all business turn around time targets

▪ KPIs tracked at different units are not aligned end to end

▪ No link between KPIs and overall bank performance

▪ Lack of scoreboards at any of the units, only dashboards reflect performance

▪ Lack of structured and regular huddles

▪ 6 units involved in the E2E onboarding process across 4 different groups

▪ Minimal involvement of back end units in the onboarding process in terms of FTEs

▪ Skills gaps required to be closed with coaching on the back of gap analysis to allow multi skilling and flexible resourcing

▪ Surveys reflect customer‟s overall satisfaction below target being cheque books and debit cards delivery one of the main causes of dissatisfaction

▪ The process to get fully onboarded involves 7 different touch points with the bank

▪ Main issues for staff:– Excessive

documentation– Insufficient transfer

of knowledge between frontline and back end units

– Units working independently

▪ Staff expect:– Collaborative work

environment– Sustainable changes– Simpler processes

for the customer

Page 4: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

2. The Idea (contd.)

2

There is significant opportunity to improve onboarding processes

Process Time savings2, days

1 Personal banking branch1

2.0

4.5

56%

2 Manual accountSME branch1

2.0

6.0

67%

3 Manual accountGold center1 5.0

60%

2.0

With additional investment card printers and preprinted cheque books

times could be reduced furtherto ~20 minutes

Improvement opportunities

▪ Use quick account (with activation) for all onsite onboarding

▪ Standardize managerial approval and remove EDMS check

▪ Train front end staff in e-name check and risk matrix

▪ Document SLA for compliance response

▪ Trigger signature update process on scanned images

▪ Send AOF directly by the branch to Infofort rather than through CCAM

Current

Opportunity

1 On-site account opening

2 Full onboarding process, including active account and delivery of all security items and accesses

Page 5: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

2. The Idea (contd.)

4

Overall satisfactionKey drivers tracked as part of onboarding for CASA customers

SOURCE: Transaction survey (Product quarterly report by Market probe), Jan ‟11 – Mar ‟11Personal banking - Current accounts opened at branches

Key insights

▪ Gaps to target persist, with significant improvement opportunities

▪ Receiving fully on-boarded account significantly below target

0

10

20

30

40

50

60

70

80

90

100

85%

Q1 ‟11Q4 ‟10Q3 ‟10Q2 ‟10

100%

Product featuresand services

0%

Time taken toopen the account

Ease of completingapplication formsand related document

50%

Providing productrelated information

85%

Bundled or valueadded service

Time taken to receivecheque books, etc.

Transaction survey indicates issues with cheque books and debit cards

VOICE OF THE CUSTOMER

Page 6: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

2. The Idea (contd.)

5

213

17

27

35

7

38

4847

7272

8182

0

10

20

30

40

50

60

70

80

90

100

16 - 218 - 156 - 73 - 5< 2 > 3022 - 30

Late delivery of cheque books and debit cards reduce customer satisfaction

SOURCE: Transaction survey (Product quarterly report by Market probe), Jan ‟11 – Mar ‟11Personal banking - Current accounts opened at branches

VOICE OF THE CUSTOMER

Satisfaction

Incidence

Most significant drop of satisfaction level

after 2 weeks

days

Percent

After 6 days the courier company stops trying to deliver the package to CDC. The package is only

sent again if the customer contacts Mashreq

More than 50% of the packages are delivered after 5 days

Page 7: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

666

Issues with cheque book and debit card also high in complaints log

VOICE OF THE CUSTOMER

Customer feedback

6

Gold General Banking

SME

CRM complaints log

CCAM Mail Box

“I am not interested in an

account number! I would like to have a

fully functional account which is in

line with the Mashreq Promise as part of my welcome

pack!”

Note: Totals presented for CRM data is a sample of 12 months – June 2010 to May 2011; CCAM Mail Box data is a sample of 3 months – April 2011 to May 2011

"Still do not have my cheque book

and no one knows where it is or who I

need to call?"

"What I was promised as part of my welcome pack

required continuous follow-up"

"My address / mobile details are still not updated?"

0

20

40

60

80

100

120

Account not activated

Benefits not received

Cheque book not received/ not issued

Address not updated

3,500

3,000

2,500

2,000

1,500

1,000

500

0

Account not activated

Cheque book not received/ not issued

Benefits not received

Address not updated

0

10

20

30

40

50

Account not activated

Cheque book not received/ not issued

Address not updated

Benefits not received

0

200

400

600

800

Com-plaints: signature not updated

Pending status

Com-plaints: CIS linkages

Activa-tion

Escala-tion inquiries

2. The Idea (contd.)

Page 8: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

2. The Idea (contd.)

77

Customer journey to a new account involves 7 touch points with the bank

1 Actual delivery to customer P.O. box by Empost is not tracked2 Product quarterly report by Market probe Jan ‟11 – Mar ‟11, Current accountsSOURCE: Team analysis

Branch

DST

Cheque,DCCCourier1

MOL

WWW

Apply- TCC- Mobile

MOL

ReceiveTCCCourier2

Current total time: 4.5 - 7 days

Welcome call

Relation-ship call

VOICE OF THE CUSTOMER

PIN

Letterbox

TIN

DBC

Snooze

Snooze

Snooze

Fullyon

boarded

Snooze

20‟ - 1 day

31.3%

0.5-3 days 4 days

0.5-3 days

0.5-3 days

1.0% 37.7% 0.0%7.6%

17.4%

9.3%1

24.4%

Timeline

Reworks

N/AN/A

6% of customers receive cheque books and debit cards after 2 weeks or

more (e.g. 2% take more than 1 month) 2

Primarily due to account number / TIN being

incorrectly entered by the customer

Page 9: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

2. The Idea (contd.)

9

Customer onboarding process

Card Ops

▪ DCC generation

▪ Pin print

▪ TCC print

CDC

▪ Delivery, dispatch, vendor management

Branch delivery centre

▪ Cheque book, DCC

Empost

▪ Pin delivery

DST - Payroll

DST - SME

Gold

SME branch

▪ A/C opening

WWW

▪ MOL access

▪ TCC access

MOL

▪ Mobile banking

DBC

▪ TIN

▪ Risk level (L3)

▪ Ename check

Compliance

7.3

Compliance

23.0

Data centre

Data centre

▪ Card issuance

▪ Cheque book issuance

Vendor – NPP

▪ Branch delivery

▪ Pin delivery to Empost

Mail centre

X

Mail centre▪ Manual account

▪ Quick account

CCAM

51.1

CCAM

48.9

▪ Aramex, Eurostar (DCC + cheque)

▪ Orange (TCC)

Courier

Courier

100

30.3

100

30.4

15.5

1.8

3.4

56.5

56.4

66.0

* Only for DST (SME and payroll > 9,000)1Three months RBG data (March – May 2011)

Branch

*

MOL

21.0

Vendor – Cupola

% of applications that go through each unit100% = 2,677 ø / month1

46.9

0.5

99.5

0.5

PROCESS EFFICIENCY

Touch points

Page 10: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

3. Process

▪ On-site customer on-boarding reduced to 30 minutes with only one touch-point

▪ Off-site customer on-boarding reduced to next day for Gold and 3 days for SME and personal banking

▪ Solutions to achieve all business turn around time targets identified

▪ Welcome and relationship calls designed for improvement of customer experience and cross sell opportunities

1

E2E design executive summary

Design solutions

Customer

Performancemanagement

Organization and skills

Mindsets and behaviours

Process efficiency

▪ KPIs aligned across all units involved in the client on-boarding process

▪ KPIs linked to overall bank performance

▪ Performance scoreboards designed for CCAM

▪ Structured and regular huddles for CCAM

▪ As identified in the „Voice of customer‟ survey, design solutions focus on personalized cards, courier delivery of items instead of pick-up at branch, and bound cheque books instead of loose cheque leaves

▪ Skills gaps for CCAM staff identified and training plan being finalized to allow multi skilling and flexible resourcing

▪ Staff issues identified in focus group to be addressed though planned re- enforcement.

▪ Regular and structured surveys to ensure staff engagement and change acceptance

Page 11: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

3. Process (contd.)

6SOURCE: Customer survey on account on-boarding experience from July 25th to July 31st run on 10 branches (103 customers)

VOICE OF THE CUSTOMER

Percent

Customer expectations on cheque book and debit card delivery

Majority of customers (59%) want cheque book and debit card delivered on same day

Customer expectations on receipt of MOL access, TIN, TCC

Key insights

▪ 83 % of the customers prefer personalized embossed debit cards over a ready to use card without a name

▪ Courier delivery was preferred over branch pick up by 63% of customers surveyed

▪ The survey indicates that 70% of the customers do not require loose cheque leaves while waiting for their cheque book

Percent

0%

5%

10%

15%

20%

25%

30%

35%

40%

Immediate Same day Next day 2nd day 3 days or more

0%

5%

10%

15%

20%

25%

30%

35%

40%

Immediate Same day Next day 2nd day 3 days or more

59% 68%

Page 12: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

3. Process (contd.)

7

Design solutions address key issues identified in VoC analysis

Key issues Design solutions

▪ Quick account for all onsite customers with generation of account number and activation in ~ 30 minutes

▪ Consolidated form for multiple products and requirement customer information only once across products

▪ Difficulty in completing application forms and related documents

▪ Reduced front line up front rejections, ensuring quick completion of data entry by CCAM

▪ Address not updated

VOICE OF THE CUSTOMER

▪ Customer dissatisfaction with the time taken to open the account

▪ Account not activated

213

17

27

35

7

38

4847

7272

8182

0

10

20

30

40

50

60

70

80

90

100

16 - 218 - 156 - 73 - 5< 2 > 3022 - 30

▪ Enhanced delivery schedules for offsite customers (from 4 to 3 days) and instant cards and cheques for onsite customers

▪ More than 50% of the packages are delivered after 5 days

SOURCE: Customer questionnaire on on-boarding run in branches

days

Percent

Page 13: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

3. Process (contd.) Installing card printers in all branches cost AED 4m, but there are less costly alternatives

Options

Card

Cheque

▪ Print embossed chip cards in all branches

▪ Print embossed chip cards in 50% of branches covering 80% of account openings

▪ Print embossed magnetic stripe cards in all branches

▪ Cheque book printer in all branches

Decisions required

▪ Agreement on whether to offer uniformed service offering or differentiated offering

▪ Agreement on technological solution

Cost

▪ 4m

▪ 2.2m

▪ 2.2m

▪ 4.4m

PROCESS EFFICIENCY

11

Description

▪ 55 card printers with maintenance and support from Cupola

▪ 30 card printers with maintenance and support from Cupola

▪ 55 card printers (hardware only)

▪ 55 cheque book printers (personalized)

AED

▪ Print embossed magnetic stripe cards in 50% of branches

▪ 1.2m ▪ 30 card printers (hardware only)

▪ Cheque book printer in 50% branches

▪ 2.4m ▪ 30 cheque book printers (personalized)

▪ Cheque printer in all branches ▪ 358k ▪ 55 cheque printers (personalized)

▪ Cheque book printer in 50% branches

▪ 195k ▪ 30 cheque printers (personalized)

PIN pad▪ Pads for PIN generation ▪ 82k ▪ PIN pads for all SSOs

Page 14: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

3. Process (contd.) High level cost/benefit analysis for card printers

0.7

0.2

TotalCredit card printing and dispatch

0.1

Debit card printing and dispatch

0.4

Cost savings from card ops

0.1

Printer invest-ment (5-year annual-ized) all branches1

0.8

Total today 20111

0.5

Credit card printing and dispatch

0.1

Debit card printing and dispatch

0.4

SOURCE: Procurement/external vendors, monthly SBR, Card Operations1 Annualized

Post cost savings, running card printers in all branches is AED +0.2 million more costly

AED (millions) Proposed investment

Approximate savings

PRELIMINARY

Page 15: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

3. Process (contd.)

• Activate account

• Deliver se-curity items

• Ensure production

• Dispatch internally

• Perform relationship call

• Perform welcome call

• Meet customer promise for delivery

• Complete data entry

• Upload

signature

PERFORMANCE MANAGEMENT

Aligned KPIs across different units will result in measuring performance from the customer’s perspective

RM/SSO/TSU/PMU

CCAM

Card Ops (issue debit card)

CDC(Cheque book issuance)

DBC/TSU/ PMU/RM

CDC (de-livery to the customer)

Head of Proposition

Branch

▪ 30 min account activation

▪ Reduce reject rate to < 10%

▪ Meet business SLA on TAT, accuracy

▪ Same day cheque production

▪ Dispatch as per agreed schedule

▪ Overall On -Boarding

Area KPI

▪ Ensure customer contacted

▪ Meet objectives of Welcome call

▪ Meet objectives of relationship call

▪ Set up sales meetings

Decisions required

▪ Agreement on KPIs being tracked across units

▪ Agreement on owner of overall KPI

▪ Same day card production

▪ Dispatch as per agreed schedule

• Ensure production

• Prepare package

31

Single KPI across all units to be agreed (proposal for

overall TAT)

Page 16: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

3. Process (contd.) Regular Performance Review meetings at different levels will ensure timely corrective actions

Performance review

Tracking mechanism

Daily MonthlyDaily

Level

Frequency

Huddle board daily/

monthly results

ThursdayWeekly Meeting

(5:00 pm)

Weekly

WNS Dashboard,

CCAM Performance

Board

Weekly MonthlyDaily

Level

Frequency

Teammanager

Processors/ Senior

Processors

Daily huddles not held

Weekly

Process Specialist

Weekly dashboard with WNS

From To

Team manager

Unit Manager

Process Specialist

Weekly Coaching,

1:1 Sessions

Monthly Meeting

Unstructured, irregular

fortnightly meetings

PERFORMANCE MANAGEMENT

Decisions required

▪ Agreement required on the frequency of the meetings at all levels

Daily Huddle(12:30

pm)

Processors/ Senior

Processors

Unit Manager

General Coaching sessions (during the day

as needed)

33

Page 17: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

3. Process (contd.)

34

Morning huddles are structured and aligned with performance boards' data

Purpose: To identify plan for the day / week based on current results against KPIs. Highlight success areas with top performers. Review policy updates. Obtain feedback and define the concerns.

Attendees

▪ Team Manager

▪ All team members –Processors, Senior Processors, Process Specialists

Output

▪ All staff to be aware of gaps in performance

▪ All staff have a clear vision on what to be treated as Individual and Team Task for the Day

▪ Registered issue(s) for timely resolutions

Meeting rules▪ Update board with KPIs prior to the meeting▪ This is not a problem-solving meeting – agree to take problems/improvement ideas off line▪ Keep mobile devices switched off

Morning Huddle (15 mins)

Review team KPIs ▪ Discuss TAT / Accuracy percentage with process focus▪ Review errors and inquiries and identify areas of concern▪ Evaluate last day/week results, recognize top performers

Raise problems for resolution▪ Identify key / pending issue(s), appoint staff for resolution▪ Obtain feed-back , ideas for improvement on long-term goals

Agenda▪ Greet; check for absence ▪ Update on Update tracker (policy, product changes, etc.)▪ Discuss Team news / Team barometer

Summarize Plan of the Day▪ Identify 1 Item/ Initiative for Today – Errors / Accuracy /

Wrong up front rejects / Inquiries▪ Obtain commitment for training plans for business / WNS▪ Communicate / Reinstate the SLAs

Time

10 mins

Timing: 12:30 pmDaily at Performance Board

SOURCE: Discussions with CCAM – Head of CCAM, Unit managers, Process specialists

PERFORMANCE MANAGEMENT

Decisions required

▪ Institutionalize huddle in CCAM as way of management

2 mins

3 mins

Page 18: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

3. Process (contd.)

40

Skills matrix developed to support skill development in CCAM

Impact through better skill development and more flexible

staffing

ORGANISATION AND SKILLS

Page 19: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

4. Results

33

Onsite account activation now completed in 30 minutes and involves only two touch points1 with the bank

1 Changed status since last DMG

SOURCE: Team analysis

Branch

Welcome call

Relation-ship call

Fullyon

boarded

ActiveQuickAccount

Instant DebitCard

MOL

AssistedMOL access

Self Created PIN

TINthrough IVR1

Day 0 Day 1

… Key Improvements

• On-boarding time reduced from 4.5 – 7 days to same day

• Welcome and relationship call process in place

• Courier drop offs (24.4%) reduced by instant onsite delivery

Instantcheques

30 minutes

Day 211…

Page 20: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

4. Results (contd.)

44

Offsite account activation now completed in 3 days and involves only three touch points1 with the bank

Welcome call

Relation-ship call

Day 0 Day 2Day 1

Key Improvements

• On-boarding time reduced from 6– 21 days to 3 days

• Welcome and relationship call process in place

Fullyon

boarded

ActiveAccount

Day4

Day211

Receivechequebook and debit card

Courier sets up delivery time with customer

Day 3

1 Changed status since design DMG

SOURCE: Team analysis

MOL access

MOL

TIN, PINthrough IVR1

Page 21: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

Q & A

Page 22: WQD2011 - INNOVATION - Mashreq Bank - Improving the on-boarding experience for retail customers

Thank You