Cost of Poor Quality in Banking - 3462 Words

Industrial research report COST OF POOR QUALITY SUBMITED TO: MR. AZHAR NISAR LETTER OF TRANSMITTAL Mr. At Gulistan-e-Johur Karachi. RESEARCH VISIT BY STUDENTS Dear Sir, Assalam o alikum Bahria University is federally accredited University based at Islamabad with its campus at Karachi. University is educating is students in the fields the of management science, computer, Engineering, Medical and Dental Surgery. Management science students are guided to carry out subject based research in various business and corporate organizations. This enhances their abilities to think independently and resolve the management problems logically. Some students of BBA-7 have selected your bank to carry out research with reference†¦show more content†¦Particular attention should be given to the cost of poor quality and to customers views about the relative importance of the attributes of service. If the cost of quality is high, looking through the Six Sigma, the cost of poor quality is still higher. Companies bear a huge cost of about 9-16 percent of their revenues on problem solving. COPQ can take in the following forms: †¢ cost generated from producing defective material †¢ cost involved in fulfilling the gap between the desired and actual product or service quality †¢ cost of lost opportunity due to the loss of resources used in fixing the defect, including all the labor cost, rework cost, disposition costs and material costs that have been added to the unit up to the point of rejection †¢ appraisal cost if there is an inspection point Banks are fined for failing to provide accurate transaction reports to the FSA and for serious weaknesses in systems and controls in relation to transaction reporting. One there is the reputational damage that comes from being fined and then there is the cost of correcting errors and fixing the defective processes. It is seen that companies ignore the cost quality analysis, overlooking its potential significance and end up paying failure cost. 1†¦ how does employee involvement support in TQM. If u r required develop program. What elements would u include? 2†¦ think of a team u have been on recently. It could be aShow MoreRelatedBenefits Of Credit From Multiple Lenders1148 Words   |  5 Pagesconsidering the cost incurred when it is denied credit by its bank for reasons. As an illustration, a temporary liquidity shortage leads the bank to be forced to deny credit even to its loyal borrowers. Hence, given these possibility and risk of not being able to raise funding from an alternative bank for the first time, it may be worth to initiate and maintain multiple lending relationships despite the costs is needed. A number of researches state that firm size, firm’s quality and loan quality have importantRead MoreMicrofinance and Its Delivery Models1602 Words   |  7 Pagesthe finding that the poor can save, can borrow, and will certainly repay loans. This is the world of microfinance. Definition Microfinance may be defined as provision of thrift, credit and other financial services and products of very small amounts to the poor in rural, semi-urban or urban areas for enabling them to raise their income levels and improve living standards For several decades, many economies including the Indian, experimented with subsidized credit for the poor. But the only tangibleRead MoreProblems, Solutions and Prospects for the Development and Progress of the Banking Industry in Nigeria1209 Words   |  5 PagesAHMADU BELLO UNIVERSITY ZARIA FACULTY OF ADMINISTRATION DEPARTMENT OF ACCOUNTING AUDIT MANAGEMENT ACCT 707 USENI YUSUF ONWUDE MBF/ADMIN/0483/2009-2010 [pic][pic]INTRODUCTION SOLUDO.C (2004: 4) The Nigerian banking system has undergone remarkable changes over the years, in terms of the number of institutions, ownership structure, as well as depth and breadth of operations. These changes have been influenced largely by challenges posed by deregulation of theRead MoreThe Effect Training Has on Organizational Efficiency885 Words   |  4 Pagespossessed by employee (multi-skilling). 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Customer satisfaction, customer retention and repeat business some key indicators of how customersRead MoreEssay On Banking Industry965 Words   |  4 PagesBanking Industry in 2010-11 †¢ During 2010-11, banks improved in terms of asset quality and profitability. Stress test showed that banks remained reasonably resilient to liquidity and interest rate shocks †¢ There were emerging concerns about banking sector stability related to disproportionate growth in credit to sectors such as real estate, infrastructure, NBFCs and retail segment, persistent asset-liability mismatches, higher provisioning requirement and reliance on short-term borrowings to fundRead MoreChallenges in Service Marketing1168 Words   |  5 Pagesperception of risk. From the firm s perspective, service intangibility can make services difficult to promote, control quality, and set price. †¢ Services are often produced and consumed simultaneously. This creates special challenges in service quality management that product companies do not even consider. Products are tested before they go out the door. If a product has quality problems while in production, the company can fix them and customers are none the wiser. Service production happensRead MoreMobile Phones And Mobile Technology1064 Words   |  5 Pagesmobile banking service. Literature Review Mobile technologies are changing economic life in rural areas of Bangladesh, where many people are using cell phones for a range of financial transactions, such as receiving and sending money transfers. Indeed, mobile banking is already being used by banks and mobile network operators to provide millions of unbanked consumers in rural areas as a way to store and access money digitally. The limited information available suggests that mobile banking is helpingRead MoreImpact Of Globalization On The Economy Essay1626 Words   |  7 Pagesenvironment. 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Thus I believe the study of these banks will provide the fair condition of banking sector of the country. The banks of