Key Operation and Supply Management
Concepts Learned from Case
1. Marketing Control Task Force
2. Order qualifiers
3. Gold Service Guarantee Program
4. Awareness phase
5. Action phase
Case Objectives: -
1. A task force has been set up
to improve the quality of
services, but find out how it will
make a difference.
2. Find out what changes will
occur as a result of the
guarantee program.
3.
________________________________
Assumptions made (if any)
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1.
2.
3.
Case Discussion Questions and
Answers: -
1. What are the objectives of the service guarantee program? (Min-50 words)
By understanding and analyzing the needs of its target customers through a
four-year-old survey, the company's competitors' actions, supported by its
broad market, enabled management to quickly determine whether certain
services would be of benefit to its customers. Good location, high interest rates,
etc. Extended branch hours. Almost all competitors entered the market, which
became the baseline performance (order qualification). And with that, the
quality of service and recognition of this bank has been declining recently, so
the purpose of this project is to improve that as soon as possible.
2. Is a total payout of $860 over 10 months for 300 branches good or bad? (Min
120 words)
Dividing $860 by 300 yields $2.86. This is not a bad result, since it means that
each store paid approximately less than $3 per store. Since this is the total of
the whole, it is possible that some stores made a mistake twice and paid $10.
Are service upsets and errors decreasing? Are employees motivated to provide
excellent service, are the bank's processes and operational capabilities
improving so that GCB can implement this service guarantee? Can we pay
$5.00 per service upset? Also, is the current service guarantee adequate? Is the
program a failure? It is believed that this is because they improved while trying
many things with many questions such as the following. Although it was difficult
to evaluate the results due to the short period of time, the service guarantee
was announced to the public, and the company was able to make
improvements. It also provides training to its employees.
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3. Are the bank’s services and processes services truly redesigned to meet the
service guarantee promises? (Min 50 words)
I think it is safe to assume that the bank's services and processes have really been
redesigned to deliver on its service guarantee promise. Specifically, the recognition
phase of making the public aware of Bourbon Bank's existence. Provide excellent
customer service By communicating to the outside world.
Both customer and internal programs
The "action" phase of demonstrating the bank's commitment to its employees. In
addition, internally, promotional videos can be used to Raise awareness and action
on service assurance. Externally, we have established a Gold Service Telephone
Line to answer customer questions and problems
4. Is GCB’s service guarantee program well-designed and executed? Is it successful?
Show 5-10 evidences of either success or failure (200-250 words)
The bank initially introduced three specific guarantees. First, it guaranteed
checking and savings account statements. Accuracy. If there is an error, regardless
of the reason, the customer will be paid $5.We will respond to your mortgage or
auto loan application within the time frame specified by you. This guarantee is the
employee responsible for the application personally promises to respond within the
time frame specified by the customer. We will try to stay within the time frame. If
the employee fails to do so, GCB will pay the customer $5.00. Finally, the bank
promises that the customer who calls The Gold Service Telephone Line will not be
transferred or asked We don't make you go through the process twice or make you
look for answers on your own. In such cases, the employee will be paid $5.00 on
the spot. The reforms are considered to have been successfully implemented
through thorough internal training and system enhancements. An integral part of
life in the U.S. is the exchange of phone calls and chats with customer service. In
the U.S., there are many operational errors and small problems such as wrong
invoices, items not arriving, wrong reservations, and network disconnections.
Customer service is the first point of contact when such problems occur. Although
this seems to be a strong ally, when you actually contact them, you find that they
are by-the-book and lack the spirit of service, and although they say they will
check and get back to you, you never hear back from them. I am very frustrated
with this.
5. What are your final recommendations? (150-200 words)
My final proposal is to continue the system as it is and solve the problems little
by little as we hear from customers and employees as they arise. We will verify
what we have done. In particular, if the system could not be implemented as
planned, it is necessary to carefully analyze the factors as to why it could not be
implemented as planned. In addition, qualitative information, not necessarily
quantitative data, is sometimes used to identify issues. It is also necessary to
consider the use of qualitative information, such as behavioral observation,
which has been attracting renewed attention recently. Based on the verification
results, what countermeasures and improvements should be taken in the future
will be discussed, and care must be taken to ensure that the hypothesis is
verified and the factors are analyzed properly. The PDCA cycle originated in the
production and quality management model, but today it is a basic framework
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that is widely used for strategy implementation, business management, and
operational improvement in various functions such as procurement, production,
and sales.
Conclusion
Bourbon Bank took these measures to stay ahead of its competitors. Business
management is becoming increasingly important for companies to continue to grow and
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create new value. Now, I believe that some companies have business management
systems that are not working well, and even if they have created systems and rules,
there are problems that prevent them from utilizing them in their operations. In
addition, more and more companies are embarking on structural reforms in anticipation
of national reforms in the way they work, as well as medium- to long-term plans based
on sustainability management. Furthermore, the environment is becoming easier to
tackle technologically and cost-wise, as BI and planning applications can be introduced
in the cloud at a lower cost and in a shorter period of time than in the past. We must
identify issues throughout the company while also utilizing external support and
frameworks, and come up with business management that is easy for everyone to use. If
this can be done, the productivity of the work of the entire company, as well as the head
office functions, will increase, and the performance of the company will be maximized.
References
1. David Hillier , Iain Clacher, Stephen A. Ross, Randolph W. Westerfield Robert R. Dockson Deans Chair in
Bus. Admin., Bradford D. Jordan Professor (2017), Fundamental of Corporate Finance
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