Performance measurement

functioning meterIntroductionThis bailiwick is close operations Management in general and exercise treasurement in specific, which is broadly a study of an organizations transaction. LYCATEL has been chosen as Model Company in send to beat its exertion. This report provide focus on studying the divergent beas of their operations. This repot pull up stakes too look at the positive or negative impacts of operational stopping points interpreted by the participation. This report provide positively contribute to highlight many inconveniences which may lead company towards betterment or vice versa. eventu e real last(predicate)y the conclusion leave proceed to nearly recommendations base on our analysis.This report will begin with brief explanation of performance meter and its colligate concepts. The next section will introduce the Model Company and interpretation of the problem. lastly the company will be analyzed on the al-Qaeda of performance measure tools an d recommendations will be made.Performance MeasurementPerformance measurement provoke be defined as a passage in which we occlusion or measure out the company from different angels that how they ar performing in their national. If we explore history, organisations attain al bearings measured performance in some way d superstar the financial performance that they are making profit or non.However, traditional performance measured, based on follow accounting nurture provide little to harbour companies on their quality journey. They never check the performance of an organisation seen by their guests that how they tele audio close organisations performance.According to an article published in PMA NewsletterEvaluating performance is important, but we quite a little not limit the performance measurement to this purpose. If we want to manage for results and manage through measures we should dispense the performance measurement not provided as a rear-view mirror to evaluate our past performance but as a tool to support decision making process in the organisation twenty-four hour period by day. instantly a days in a successful contribute quality organisation, performance measures by the improvements seen by the client as comfortably as by the results delivered to some other stakeholders, such as the lotholders.In the issue of Perspectives on Performance, Max Moullin recommended his personal definition of performance measurement and explained the aims of it.We would homogeneous to contribute to the discussion what he asserted. Here is how Moullin defined performance measurementPerformance measurement is evaluating how well organisations are managed and the value they deliver for guests and other stakeholdersWe are not totally agreed with this definition because the word he utilise how well should be decided after the measurement, we cant joint that the organisation is doing well or not before the measurement. plainly as far other concerns it coers the both sides that the performance measurement tells the client satisfaction and the stakeholders. Obviously if the clients are happy with the products or organisation they will stick with them and organisation will introduce profit, its just the different angle to see the things.Tools for Performance MeasurementWhen we talk about measuring stick something the first concept in the mind comes that measurable things should be tangible. So question arises here how we can measure intangible things? Then on that point should be some tools to measure the performance like if we want to measure the speed we measure in km/hr or if at that place is some liquid then we measure in litre and distance in meters but for organisations we check that how respectable is their performance.It is really easy to evidence that in some organisation, some operation is not doing well or its performance is not very good but how we can say that what exactly we mean by these words Well or wide-cu t.To justify this we pick out something to measure the performance of operations in an organisation, some tool to do that. For this we will use Slacks possible action as a tool and measure the performance. His theory is also a best match with our case. In his theory he is using Quality, pelt along, Dependability, tractableness and Cost as tools to measure the performance.And these tools can be used to measure that the organisation isGivesDoing things Right a Quality expediencyGivesDoing things Fast a Speed advantageGivesDoing things On-Time a Dependability advantageGivesChanging what you do a tractability advantageGivesDoing things cheaply a Cost advantageThe LYCATEL GroupIn this section a brief introduction is presumptuousness about LYCATEL which is a dynamic, fast growing alternative provider of telecoms operate for consumers and businesses throughout the world. We will asses their performance in the UK commercialize that how they perform in the market from customers po int of view. LYCATEL Group c all overs several countries all over the world but we will check its performance specifi distinguishy in the UK.The LYCATEL Group offers a broad product portfolio comprising of pay telephony stands includingCarrier to carrier wholesale services trade mental capacitysresidential Indirect Access Services (1xxxx)Mobile services (MVNO)Through a relentless focus on providing high voice quality by partnering with over 70 ball-shaped telecommunications carriers, the LYCATEL brand serves its growing base of over 2 buginal customers who want to make low monetary value outside(a) bellyaches.LYCATEL Groups FUTUREThe LYCATEL Group is committed to being the first choice telecommunications provider focused on serving global deferral segments that submit a need to call internationally whilst managing their monthly bud pops through prepaid solutions.VisionTo create a world-class telecommunications organisation where their happy tribe team up with their bus iness partners to continually drive fell costs and deliver superior value propositions to their customers.MissionTo be the global market leader in the prepaid international profession card business by 2008.To diversify their revenue mix by development prepaid carrier to carrier wholesale, prepaid residential and prepaid international mobile businesses, accounting for 40% of revenue streams by 2008.To delight their customers by providing low cost, high quality telecommunications services.Performance Key FactsGenerates over 700 cardinal proceeding of voice calls each month handling over 1.2 gazillion completed calls daily.Operates a state-of-the-art global network comprising over 2,500 E1s cartel modern VOIP and traditional TDM technology.Employs over 150 talented professionals in the UK, Ireland, Spain, Switzerland, Italy, Germany, France, Norway, Denmark, Finland, Austria, Netherlands, Sweden, Belgium and Portugal.Interconnects with over 70 blue chip telecommunications car riers.Operates though a broad europiuman distribution network of wholesalers providing access to over 300,000 outlets, including own controlled outlets in winder locations.Provides customer services through a 24-hour multi-lingual call centre.Brand is recognised and used by over 2 jillion pan-European consumers.Is the European prepaid calling card market leader with an estimated market share of 25% in the UK, 20% in Holland, 20% in France and growing quick in Scandinavia, Italy, Germany, Spain, Austria and Switzerland?Has annualised global revenues in excess of $300 million and on target to achieve global revenues of $500 million in 2006.Calling CardsLYCATEL calling cards enable their customers to make international calls well and cost effectively.Providing over 100 calling card product brands to the market place including Uni Asia, Uni Tel, Lyca India, Latino Tel, Euro Tel, Africa Tel, They originate over 350 million proceedings per month, of which we usher out over 60 milli on minutes to the Asian Sub-Continent, 70 million minutes to Africa, 20 million minutes to the US, 35 million minutes to Europe and 20 million minutes to the UK per month.The LYCATEL Group produces and distributes 6 million calling cards a month making us iodin of the biggest European operators in this sector. They achieve this through an extensive network of wholesalers ensuring that their customers can easily purchase cards at over 300,000 retailers across Europe including own controlled outlets in key strategic locations or online through their e-shop at www.LYCATEL.com. (3)Measuring the Performance of LYCATELAs we all know that there is a big competition in telecommunication companies now a day in the UK and all over the world. Everyone is trying to give the best to their customers in this competitive market and want to bind the customers with them forever because they know the value have been changed. Now the customers satisfaction is a very big issue for the companies in the UK and all over the world.In telecommunication companies if someone needs to contact any one in the company, need any information, or they have any complaints or any block out of matter they have, they go through customer services. So it means customer services play a vital role in these companies and founder a deep impact on the customers as well. Thats wherefore we decided to measure the performance of their (LYCATEL Group) customer services.We gathered views of people about LYCATELs customer services and measure them using our tools to get their performance.Now we will try to measure their performance using different tools. No doubt that the facts figures they are showing in their charts are very good and the company is progressing but it is not enough if we compare with their competitors oddly in the UK. We will asses their performance using some tools like Quality, Speed, Dependability, Flexibility and Cost. We took brush up of the people about their customer services in which we will check these certain areasQualityOne of the main factors in quality measurement is to evaluate the level of complaints. There are many sources to check the customers complaints. Different businesses use different strategies in order to get feed back. There have been many companies and websites formed in order to collect the positive negative reviews of the company. We have measured companys customer services on the basis of customers complaints registered on one of the original web source, which is famous to collect customers views. There have been many complaints registered regarding their scurvy customer services depicted in one of the customers view asViewBought Africa tel lycatel phone card and it gave me 5 minutes to talk yet claiming I had more(prenominal) minutes. I guess they disappeared in the thin air. I then proceeded to call customer service, who do not expect to know what they are lecture about, did not answer or help me in any way shape or form, they just wanted me to get off the phone by giving me phony information.(4)In our research we found that customers were not much dis retaliate with the products of the company but with the customer services. A number of complaints were found regarding language barriers especially accent related issues.The customer services dont seem to be well accomplished. They have not been equipped with proper information as reflected in the view which clearly shows the communication gap amid management and lag.We also found many complaints regarding warrant claims and mean term between failures when measured the performance of customer services. Another persons view as follows Very notional. Customer service too bad. I have online account with lycatel and I paid through credit card and they took the money and did not credit my account. Trying to contact them but call center could not help me on this. Very bad service.SpeedCommunication is known as a backbone in the compass of customer servic es. LYCATELs customer services lacking in the field of communication due to their pronunciation problem as their or so of the staff is non English. The consequences of this factor is influencing very negatively on their customer query time. The bad communication leads to misunderstanding, repetition and finally frustration. This does not only results in delaying customer query but also increases the order lead time.ViewBought Africa Tel Lycatel phone card and it gave me 5 minutes to talk yet claiming I had more minutes. I guess they disappeared in the thin air. I then proceeded to call customer service, who do not seem to know what they are talking about, did not answer or help me in any way shape or form, they just wanted me to get of the phone by giving me false information.DependabilityIn this regard we would like to share personal pick up of one of our colleagues, who was dealt with many of the customer assistants including their supervisors. He experienced that every person h e spoke to was not strong at all. Every assistant provided different information on a same query but no one could solve it. Finally it was found that information provided by each of the members of the staff did not experience in the policies of the company. The same issue was also reflected in many other views.ViewIts so annoying when the card tells you have 195 minutes for the call. You make a call for one hour. A couple of hours later you go back and the card tell you have no funds. What happened to the other 2 hours? You call the customer service team (at YOUR expense), am left retentivity for over 15 minutes only to be told that the computer does not update for 6 hours. You call back again in the dawn over 9 hours later only to be told the same thing.FlexibilityOur research found that LYCATEL is not flexible enough to provide solution for diversity of queries. Very minor issues are discussed with supervisors or transferred to others. This causes dissatisfaction and finally s hows inflexibility. The customer assistants are not equipped with the variety of information thats why they depend on their seniors.ViewI bought a 5 card, used it once for about 20mins, (out of an apparent 1000+). And then, despite it still having credit, I could never call a single other number on it again. Needless to say their customer services are the very attractive you fear coming across, i.e. a million miles away, deaf to your concerns and completely inefficient to do anything to rectify your loss of time, money and whist.CostMinimizing the cost is one of the main objectives of any organization. When companies try to minimize their costs they essential consider many factors in order to make decisions. Lyca tell seems to increase cost due to the delay of handling costs. These problems eventually result in dissatisfaction and seemingly if one customer is dissatisfied hundred of other are touch on due to the word of mouth. Hence labour productivity effects immediately on t he increasing costs and puts bad impacts on efficiency.ViewI am so frustrated with my attempts and loss of time that I will not buy this card again and will relay my experience to my friends too.There was nothing good in my experience about Lycatel and their calling cards. Open a card without using it, and you will be amazement Lycatels computers will use the card for you. I thought I would have received loads of minutes on the cards but Lycatel.com never fulfilled this for me. I therefore do not recommend Lycatel.com. conundrum DescriptionAnalysis has pointed out a problem in their customer services. Being business doctors it is diagnosed that actually the problem doesnt exist straightway in the customer services but in their operations.The statement we arrived at as diagnosed above is based on our detailed analysis by utilising the performance tool in the early section. Our research has found that the root cause of the problem exists in operations management because that the cal l centres of LYCATELs are based in India which is purely an operations based decision as the service layout is wrongly designed. Due to the cheap labour most of the customer services staff is hired from the mentioned country. LYCATEL deals with millions of customers in the UK market every day. Further more it is found that many other problems link to this decision. closure/RecommendationIt is recommended that LYCATEL should realize the customers concern and they should change their layout of call centres from India to UK.Our conclusion is based on our detailed analysis where all factors are analysed and we find that in order to improve quality, speed, dependability, flexibility and reduce cost the service layout must be redesigned and call centres should be based in the UK. And British people should be hired. This will not only reduce the customers complaints regarding language barriers but also improve quality satisfaction.Properly expert employees with better communication will i ncrease the speed of handling calls which will eventually reduce the cost and also reduce the waiting calls time.LYCATELs call centres are basically structured in India due to the cost effectiveness. They have surely seen one side of the picture but have totally ignored the other side. Our calculations show that if one person is dissatisfied it can distract 100s of customers. If LYCATEL satisfies one customer it means he is delivery hundreds of customers which is actually cost effectiveness. Another angel of cost reduction can be considered by employing well trained staff who can satisfy three times more customers as compare to less trained staff. As LYCATEL is operating in different parts of the world, We recommend that gauzy scaled call centres should be established for only UK based customers which other way of considering cost effectiveness.Our research has also found that people life story in India are not much familiar with the ethnical set of the UK, this is also one of the reasons which results communication gaps when dealing with totally different cultural background customers.References(http//www.balancedscorecardreview.it/c2005/Definition-of-Performance-Measurement.pdf) 12/03/09 2030Max Moullin Defining performance measurement in Perspectives on Performance Volume 2 (Issue 2 March 2003)(http//www.lycatel.com/LycaTelHome.aspx) Date 14/03/09 1400(http//www.reviewcentre.com/reviews93358.html) 16/03/09 1945