In order to develop a service it is necessary to “translate” these fuzzy requirements into quantitative service design requirements; QFD makes this translation possible. Services are not developed as a whole; instead, these are developed through the integration of different components. The component features are what provide the functionality, that in turn satisfy client requirements.Firm organization is another factor that effects service development. Unfortunately, the importance of the service development process is not known by all the employees. For this reason, the establishment of an appropriate communication system is particularly important. This system must keep the meaning of the clients´ requirements during the development process.
PREVENTIVE DESIGNThe biggest advantage of QFD is that it promotes the development of services in a proactive way. When applying QFD, more than 90% of changes on service design are performed before the market entry takes place. These changes are less expensive since they are performed “in the worksheet”. This makes it possible to prevent the problems instead of reacting to them. REDUCTION OF DEVELOPMENT TIME QFD application allows reducing costs and the time needed to introduce the new service into the market. CLIENT SATISFACTIONQFD´s is oriented to the “voice of the customer” and not to the “thoughts of the developer”. With the focus on the consumer, all decisions made during the service design are targeted at the customer.
“Voice of the Customer” (VOC):QFD starts with the establishment of objectives. These objectives derive from clients’ requirements and are called the “Voice of the Customer”.Design requirements:The “how” are the design requirements of the service.; it is necessary to define how each client’s requirement will be satisfied by the service. These are measurable features that can be evaluated at the end of the development process.Relation matrix:Relations between the client and design requirements are not always 1:1, there are complex relationships and varying levels of strength. A single design requirement may have an influence on several of the client’s requirements.
An empty column indicates no relationship between the client and design requirements. This may reveal that the translation from “What” into “How” was not properly conducted.
Mobile Banking Case Analysis : Service Design for m-banking
ABC bank had been a pioneer in automation
and highly regarded for its technology
Anjali- in charge of Special Projects Cell
Enjoyed an edge over other mid-cap banks by
effective deployment of IT and networking
for managing its costs of service delivery and
efficiency of operations.
Directors are aware of successful m-banking
applications in developing countries like
Philippines, South Africa and Kenya.
In Oct 2008, RBI issued guidelines for banks
to provide mobile banking among different
accounts of banks.
Non-banking transactions are not yet
Allowed to banks-licensed, physical presence
in India, implemented core banking.
Domestic rupee transactions, daily cap for
fund transfer and purchase of
goods/services-Rs.50,000 per customer.
Governed by KYC, AML and CFT.
Secure and ensure
confidentiality, integrity, authenticity and
Risk factors in m-banking are
anonymity, elusiveness, rapidity and poor
Anonymity and elusiveness can be managed
after completion of UID.
Attractive design of service would be key to
successful launch of m-banking.
Decides to use SERVQUAL tool to determine
the gaps in customer expectations and their
Intends to get responses from urban and
rural customer compiled and analyzed on 5
reliability, assurance, tangibles, empathy and
Plans a cross functional team to identify
design characteristics of m-banking and then
perform cost benefit analysis to get
competitive edge in market.
QFD will translate customer requirements
into product or service specifications.
She want to build an m-banking USP to
attract high value customers from
competition as well as new customers from
rural areas which is a very long run process.
By this we can say she should follow
thorough analysis and professional service
`The QFD technique is based on the analysis of the clients’
requirements, which normally are expressed in qualitative
terms, such as: “easy to use”, “safe”, “comfortable” or
The QFD methodology is based on the development of a
series of matrices called “House of Quality”
The QFD technique allows for a competitor
assessment with Benchmarking. The competitor’s
services are compared to the company’s services.
Benchmarking is carried out for “What” and
The two companies’ services are compared along
the lines of client requirements (“What”)
In the technical competitor comparison
(“How”s), the design requirement fulfilment will
Gap 1: The difference between management
perceptions of what customers expect and
what customers really do expect
Gap 2: The difference between management
perceptions and service quality
specifications - the standards gap
Gap 3: The difference between service quality
specifications and actual service delivery - are
standards consistently met?
Gap 4: The difference between service delivery
and what is communicated externally - are
promises made consistently fulfilled?
Gap 5: The difference between what customers
expect of a service and what they actually
TANGIBLES - the appearance of physical
facilities, equipment, personnel and
RELIABILITY - the ability to perform the
service accurately and dependably
RESPONSIVENESS - the willingness to help
customers and provide a prompt service
EMPATHY - a combination of the following:
Access (physical and social) -
approachability and ease of contact
Communication - keeping customers
informed in a language they understand and
really listening to them
Understanding the customer - making the
effort to get to know customers and their
ASSURANCE - a combination of the following
Competence - having the requisite skills and
Courtesy - politeness, respect, consideration
and friendliness of contact staff
Credibility - trustworthiness, believability and
honesty of staff
Security - freedom from danger, risk or doubt
To assess the quality of physiotherapy
Measuring service quality in information
To determine the relative importance of
critical factors in delivering service quality of
banks in Malaysia
Primarily forced by convenience and promptness.
It is convenient, low cost channel and not
location specific like ATM.
Month-on-month transactions carried out through
mobile banking are surging both in volume and
Increasing smart phone adoption and initiatives
such as media promotions and customer
education programs for mobile banking have led
to this uptrend.
Fast growing transactions through mobile
banking-Prepaid mobile recharges, DTH
recharges, ticket bookings (movies/travel) .
The key players in the mobile banking market in
India are ICICI Bank, HDFC Bank, SBI Bank, Axis
Bank, Canara Bank, Syndicate Bank, Bank
of Baroda etc.
The SBI group dominates this space in volume
terms with an overall share of 67.4 per cent in
Private and foreign banks follow, with an overall
share of 30.1 per cent in November.
Around 3% of SBI's and 10million of ICICI Bank
customer base are currently registered for mobile
According to RBI data, a total of 3.7 crore mobile
transactions took place between February and
November 2012, jumping around 1.7 times in
volumes over this 10-month period.
Currently there is no cap on per-day transactions
for encrypted transactions in banking
channels, including mobile banking which are set by
individual banks depending on their risk perception
of the respective channels.
However, for unencrypted transactions, such as
those through SMS, the RBI has set a limit of Rs
5,000 per day.
According to the MasterCard Mobile Payments
Readiness Index, India ranked 21st among 34
countries with the score of 31.4 on a scale of 100.
It is data-driven survey of the global mobile
payments landscape which relies on an analysis of
34 countries and their readiness to use three types
of mobile payments: person to person, mobile e-
commerce and mobile payments at the point of
It also points out that consumers in India have
not yet fully embraced mobile payments. Only
14% of Indian consumers are familiar with both
P2P and m-commerce transactions, and 10% are
familiar with POS transactions.
Singapore topped the charts with a score of 45.6
followed by Canada and the US with scores of 42
and 41.5, respectively.
Domestic and international fund transfers
Commercial payment processing
Bill payment processing
Peer to Peer payments
Portfolio management services
Real-time stock quotes
Personalized alerts and notifications on security prices.
SMS banking services are operated using both push
and pull messages.
Push messages are those that the bank chooses to
send out to a customer's mobile phone, without the
customer initiating a request for the information.
Typically push messages could be either Mobile
marketing messages or messages alerting an event
which happens in the customer's bank account, such
as a large withdrawal of funds from the ATM or a
large payment using the customer's credit card, etc.
Status of requests for credit, including mortgage
approval, and insurance coverage
Check book and card requests.
Exchange of data messages and email, including
complaint submission and tracking
Insurance for Rural India
• Non-availability of network connection
• � Cost of network connectivity (air-time) to
• � Security of confidential data
transmitted/received over the air
• � Speed of transactions
• � Data loss and recovery
M-PESA for poor people, farmer and daily wages people by
•The initiative is currently up and running in
Rajasthan, India’s largest state, where a pilot allows HDFC
customers to enjoy basic banking services at the 2,200
retailers that support the initiative across the state’s 320
villages and 54 towns.
Payment gateway for NGO
• One Time Payment Only
• Payment Gateway can be integrated with any bank
• Payment Gateway cost depends up on plan
• Payment Gateway system can be integrated on their
existing website or they can set-up new website for same.