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Principle # 7 – Mechanisms for Complaint Resolution This presentation is made possible by the Smart Campaign www.smartcampaign.org
Principle # 7 – Mechanisms for
Complaint Resolution
This presentation is made possible by the Smart Campaignwww.smartcampaign.org
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1. Client protection principles2. Principle #7 in practice3. The client perspective4. Participant feedback5. Tools for improving practice6. Conclusion and call to action
Agenda
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1. Appropriate product design and delivery2. Prevention of over-indebtedness3. Transparency4. Responsible pricing5. Fair and respectful treatment of clients6. Privacy of client data7. Mechanisms for complaint resolution
Client Protection Principles
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1. Client protection principles2. Principle #7 in practice3. The client perspective4. Participant feedback5. Tools for improving practice6. Conclusion and call to action
Agenda
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Mechanism for Complaints Resolution
The Principle in Practice:
Providers have a mechanism for collecting, responding in a timely manner, and resolving problems for customers. The mechanism is used to resolve individual complaints and improve products/services.
Consider this:Suggestions boxes are not effective for responding to specific problems in a timely way.
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Set a complaints policy
Actively use a mechanism
Train staff
A written policy requires customer complaints to be taken seriously, fully investigated and resolved in a timely manner without bias.
Put in place a mechanism to handle customer complaints, dedicate staff resources to it, and ensure that it is actively used.
Train staff to handle complaints and refer them to the appropriate person for investigation and resolution.
The Principle in Practice
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Inform clients
Monitor the system
Use the information
Inform clients of their right to complain and how to submit a complaint to the appropriate person.
Use internal audit or another monitoring system to check that complaints are resolved satisfactorily.
Use complaints information is to improve products, sales techniques, and other interactions with clients. Use it to correct mistakes that may be harmful to other clients.
The Principle in Practice
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Examples of complaint mechanisms
Email the MacroDreams Customer
Response Department: [email protected]
Call the MacroDreams Customer Response
Line: 555-555-555
Send an SMS to the MacroDreams
Customer Response Line: 555-555-555
Leave a comment card in the Suggestion Box at your local branch
Visit a Customer Service Desk.
Call for locations: 555-555-555
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Good Practice: Using Multiple Complaints Channels
Suggestion/ Complaint on-
siteBranch Teller
Written suggestion / complaint
Branch Manager
Suggestion/ Complaint via
feedback mechanism
Complaints Agent
Immediately Up to 14 days
Source: Adapted from Banco Solidario
Good practice: Assess the complexity and urgency of the complaint then use an
appropriate mechanism.
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1. Client protection principles2. Principle #7 in practice3. The client perspective4. Participant feedback5. Tools for improving practice6. Conclusion and call to action
Agenda
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How Dissatisfied Clients Affect the Institution
A very satisfied client will talk about his/her experiences with 3-4 people, but a dissatisfied client will tell 8-9 people.
When a client’s complaints are received, answered, and solved, there is a 90% chance that s/he will return to the institution.
90% of dissatisfied clients whose problems are not resolved will never return to do business with the institution again.
Finding
s from
the
Field
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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.
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1. Client protection principles2. Principle #7 in practice3. The client perspective4. Participant feedback5. Tools for improving practice6. Conclusion and call to action
Agenda
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Feedback from ParticipantsWhat channels does your institution use to receive, respond to, and resolve complaints?
What complaints or suggestions have you received at your institution? How did your institution respond?Has the complaints management system evolved at your institution since you began working there?
Do clients take the opportunity to give their feedback?
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1. Client protection principles2. Principle #7 in practice3. The client perspective4. Participant feedback5. Tools for improving practice6. Conclusion and call to action
Agenda
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Technical Tools Getting Started Questionnaire: Self Assessment for MFIsSmart LendingSmart SavingsTechnical Guide for Investors
Samples and Case Studies Complaints Analysis Spreadsheet from FMMBComplaints Handling Brochure for Clients from OBSComplaints Handling Manual from FONDESURCOComplaints Handling Manual from TamweelcomClient Welcome Kit
Tools available from the Smart Campaign
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1. Client protection principles2. Principle #7 in practice3. The client perspective4. Participant feedback5. Tools for improving practice6. Conclusion and call to action
Agenda
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Financial institutions can adopt this principle by having a mechanism for collecting, responding to, and resolving problems for customers.
By adopting this principle, financial institutions can attract and retain clients and build a positive, trustworthy image.
The Smart Campaign offers tools to help providers create/ improve a mechanism for complaint resolution.
Conclusion
Call to Action: What “next steps” can your institution take to institutionalize and/or improve a mechanism for redress of client grievances?
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Thank you!Endorse the Smart Campaign. Visit www.smartcampaign.org
Sign up to receive news and information.
Download the Getting Started Questionnaire and conduct a client protection self-assessment.
What’s next?
Email us! [email protected]
