Mechanisms for Complaint Resolution Objectives Recognize the importance

Mechanisms for Complaint Resolution

Objectives • • Recognize the importance of resolution of client complaints Understand different types of complaints mechanisms and how they can be used effectively.

No Complaints ≠ Completely Satisfied Customers If your institution does not receive concerns or complaints, be careful: • Clients could be happy with your products and customer service, or • Clients might not feel empowered to share their concerns and complaints or • They might not know how to do so, or • Clients might not feel like they can complain without this affecting their business relationship with the institution.

Philosophy to consider Complaints and suggestions are GIFTs to the institution. They help an institution understand client needs and innovate for improvement.

Examples v Email the Macro Dreams Customer Response Department: customers@md. info v Call the 3 rd party/Agent Customer Response Line: 555 -555 v Call the Macro Dreams Customer Response Line: 555 -555 v Send an SMS to the Macro Dreams Customer Response Line: 555 -555 v Leave a comment card in the Suggestion Box at your branch v Visit a Customer Service Desk. Call for locations: 555 -555

Surveys indicate clients don’t know how to complain Campaign research indicates that clients are not aware of communications channels for complaints, grievances, and queries, or lack such options all together Respondents that replied 'no' to question: "Did MFP inform you where to complain? " 100% 86% 80% 71% 62% 60% 66% 40% 20% 0% Benin Georgia Pakistan Peru

It’s not that clients don’t have complaints Of clients who have had reason to complain, many do not do so “It is so expensive to complain, then sometimes it has no use. ” – Woman, Telavi, Georgia “If you go to complain to [the MFP] office, or elsewhere, you won’t get another loan. ” – Man, Parakou, Benin

Mechanism for Complaints Resolution The Principle in Practice: Providers have a mechanism for collecting, categorizing, analyzing, and responding to customer complaints in a timely manner. The mechanism is incorporated into staff performance reviews and rewards and it is used to improve product and service quality. Consider this: Suggestions boxes and/or client satisfaction surveys are not substitutes for a complaint mechanism.

CPP 7: Standards of care The FI has effective system to receive and resolve complaints. The FI informs clients about their rights to complain and how to submit a complaint. The FI uses information from complaints to manage operations and improve product and service quality.

CPP 7: Standards of care Frontline staff are not only complaint contact Far branches and 3 rd party complaints heard 2+ channels; reflect needs & preferences Resolution prioritizes severity System in place to effectively receive and resolve complaints. ü ü The FI informs clients about their rights to complain and how to submit a complaint. ü Clients informed about channels ü Displays at branches, use agents and flyers ü Clients notified of progress and status The FI uses information from complaints to manage operations and improve product and service quality. ü ü ü Regular review of KPIs Internal Control and sample reviews In staff appraisals and bonuses Data analysis used for improvement Staff and 3 rd party training covers

Good Practice: Multiple Complaints Channels Good practice: Assess the complexity and urgency of the complaint then use an appropriate mechanism. Branch Teller Suggestion/ Complaint on-site Branch Manager Immediately Source: Adapted from Banco Solidario Written suggestion / complaint Complaints Agent Suggestion/ Complaint via feedback mechanism Up to 14 days

Tools available from the Smart Campaign

Key Messages • At least two channels for complaint resolution • Collect, analyze, notify, and respond on time! • Management does regular review, incentives, and analysis to improve product/service quality. • Internal control - verify policies and procedures for complaints handling. Field checks on sample basis. • Staff and third parties are trained and clients are informed