Management Essay Example: Operations and Banking

Efficiency in operations will make it possible for the management to come up with plans on how to ensure that the clients take the minimum time possible in the queue. If not, they will be dissatisfied with the systems and operational inefficiency, thus causing a mass exodus of the depositors to other banks considered to be more efficient and customer focused. Therefore, if the bank does not adapt this system, it will be difficult to meet the ever changing demands and expectations from the clients, a strategy that will eventually mitigate the possibility of remaining competitive. Once a problem in customer dissatisfaction has been determined, it becomes possible for the management to come up with viable solutions in trying to solve the issue. Moreover, the operating systems of the bank ae considered to be the main cause of high levels of inefficiency, meaning that an immediate remedy should be found.

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The project will be carried out to ensure the creation of self-healing values in the Bank that will help in the establishment of operational excellence. The project aims to ensure there is a provision of formal training that will include giving out a precise definition of the guidelines that can be used in the implementation of their plans (Reinartz, Krafft, & Hoyer, 2014). The project had intentions in ensuring their employees understand what is expected of them.

The project will also ensure that customer flow in the bank in terms of wait time is minimized on a continuous basis. Once the framework for customer flow is created, the employees have to be shown how the processes were carried out for the day with the help of CCTV cameras and their respective areas of improvement. Moreover, it allows for operations to be performed to ensure there is a creation of a standard workflow (Chen, & Popovich, 2013). A typical application of a standard work is mostly applied in this process. Standard practice has to be established between the processes, and in most cases, they will be targeting the connections existing between them. The resultant outcome is the ability and willingness to work as a team, thus solving complex issues that may be presented by clients.

The project ensures the abnormal flows are made realistic. If a normal flow is rigidly defined, identifying abnormal flow is not a difficult task. Thus, it will be easy to have corrections made on how such abnormalities can be prevented from occurring again. In addition, the employees are kept in flow to ensure a good flow of operations. The performance of the employees has to be maintained and improved for the business to have a continued flow of improvements. This is not the actual journey used in eliminating wastes. It is mainly concerned with maintenance as well as improvements to support the business in growing.

Description of Counter Measures for Improvement

Different countermeasures have been put in place to ensure the improvement of the operation of the bank and its branches. Lack of proper planning and customer oriented focus significantly affected the bank as its customer base reduced drastically since other rivals offered better services. A customer interested in doing business will in most cases identify this institution as unsafe for investments, thus the possibility of applying for loans.

Capitec Bank developed an operational management system prepared in Excel. This system is expected to be used in running the business, and it proved to be a difficult task. In the efforts to counter this particular problem, numerous advancements will have to be done. Kaizen project has developed a more sophisticated platform for the management operating system as a way of boosting operational efficiency (Campbell, 2013). Nevertheless, the new standardized tool could not guarantee that the fast growing requirements of the business are met to the maximum, given that the management is not mainly focused on employee and customer satisfaction.

Situation Before and After Kaizen Effect

Human error causes a flaw in the amount of results produced. This leaves room for inconsistencies due to poor customer management and thus the implementation of the Kaizen project. The management operating system of Capitec Bank and Holdings Limited consisted of check measures and actions that were used to achieve the objectives within the structure of operation. However, some of the systems used could not manage to cater for the growing number of customers, leading to a slow rate of operational efficiency and the inability to meet most of their demands. Additionally, poor communication to the customers and marketing strategies means that the bank could always come second to the existing and even future ones. For instance, having Microsoft Excel as the display place for the system shows that the program is limited since the fast growing needs of the bank could not operate under the system (Gronroos, 2012). Excel had a hard time in the accommodation of the files the bank required to run the system. Manual operation wasted time instead of understanding the business and dedicating more time to the clients’ satisfaction. Data updating in before the Kaizen project is not real time, and it is hard to control and check the specially made user views.

The new display place for the management operating system after the Kaizen effect allows for expansion, thus the possibility of implementing customer satisfaction initiatives. The sophisticated platform gives time and space to the complex needs and requirements of the customers, thus meeting their expectations. The fast growing requirements of the bank can now be completed within the new platform management operating system. Capitec Bank currently can set goals, have an overlook at the performance and facilitate all time plans. Sharing of timely reports makes it easy for the management to enact corrective actions in the bid to ensure that efficiency has been met in the operations (Winer, 2014). As a result, both the employees and even the management will be satisfied with the increment in the number of customers and a reduction n the rate of complaints. After the Kaizen effect, the bank will be in a position to make improvements in the view of the future to ensure success and prosperity. This will be done in favor of the stakeholders who includes the customers, staff, and the shareholders.

Standardization

Standardization of processes is the key to the future thriving of the Capitec Bank and Holdings Limited. Standardization refers to the process where technical standards or tools are developed and implemented based on an accord to maximize the function ability and efficiency of the subject under the process. In the near functioning of the after Kaizen management operating system, it standardization is aimed at accomplishing all the objectives of Capitec Bank. It is targeted to be a solution that is manageable from a central point. The targeted goal for the standardization is to ensure that everything has been done in conformity with the customer expectations. It is intended that any piece of information in the system is combined and cumulated into the structure of operations, thus increasing efficiency and minimizing the waiting time on the queue. This standardization measure is aimed at ensuring the business makes the high-level decisions by facilitation of the management operating system. One of the key reasons to this is that other rival banks have standardized their operations and have updated machines such as computers and efficient operating systems. Once the management has ensured that the services are effective, it becomes possible for the customer service employees to increase their speed as they primarily depend on the speed and efficiency of the computers and communication systems that they use to disseminate information.

The standard solution will also play a crucial role to facilitate the making of important decisions in the branches of the bank. Centrality will standardize it to ensuring the modified management operating system gives most helpful ways out to problems like distribution of resources. A major standardization effect will enable task scheduling to be faced on a day to day basis without any difficulties (Boulding, et al., 2015). The main driving forces for the standardization process are to ensure an improved effectiveness in the operational system and make the branches of the Capitec Bank Holdings Limited efficient. This would enable a good service bay for the clients of the bank. The standardization of the management operating system is to ensure all these goals are achieved at the branch level. The central monitoring and tracking of all activities and data updates being made real time are the major upgrades of the standardization of the tool.

Plan for Capitec Bank Holdings Limited

Capitec management is eyeing the future with greater plans for service provision to a larger population. The plans include expansion to overseas, internationalizing to different parts of the world. Asia could be the next preferred destination for the bank’s services provision. It is yet to make foreign acquisitions and get involved in coup d’état as well as competitions that are influenced in other countries apart from the African neighbors. The management has hinted the bank’s plans to double the point-of-sale terminals. The bank will assess the customer behavior with every alteration to their operation system to protect their market ("Investor Relations | Capitec Bank," 2016). They are aiming at providing training for their staff in the future to ensure proper provision of services. The bank intends to employ the highly qualified class of employees in order to provide a high value of performance for their clients. The bank management is encouraging a future feedback program from both the private consumers as well as external customers to ensure customer retention in the future. The Capitec Bank and Holdings Limited as a business is not looking to enter the markets in Africa in future. The main reason is the business model it has incorporated. The model will fail to work with expected success due to the uncertain environment and high rate of unemployment.