1. Project Arrow An introduction 1.1.1

2. CONCEPTUALIZATION OF PROJECT ARROW Present Scenario 70% of India’s 1.1 billion people live in rural areas Most villages & small towns do not have enough connectivity /outlets to the mainstream economy Potential of India Post India Post has over 1.55 lakh post offices across India, with more than 1.25 lakh in rural areas This vast network provides a huge opportunity to connect remote areas with the mainstream Make post office the “window to the world” for ‘aam aadmi’. Project Arrow conceived in April 2008 Focus on improving the core operations of post offices & Enhancement of “look and feel” to create a unique identity 1.1.2

3. SCOPE AND OBJECTIVES OF PROJECT ARROW "Get the core right" "Modernize the look and feel" ScopeObjectives Make a visible, tangible, and noteworthy difference in post offices that matters to the common man Verify and certify progress on ongoing basis using clearly defined Key Performance Indicators (KPIs) for each improvement area Set the foundation for a comprehensive transformation of India post Focused efforts to significantly improve four core areas of the postal service –Mail delivery –Savings Bank –Remittances –Office service levels Broad approach to upgrade, enhance capacity and quality in –Branding –Technology –Human resource –Infrastructure 1.1.3

4. Four Core Areas “Get the core right” Mail deliverySavings bankOffice service levelRemittances Ensure same day delivery of mail received and same day dispatch of mail collected Reduce transaction time at counters and for account transfer/closure and settlement of deceased claim cases Improve customer satisfaction along all parameters from appearance to operations Delivery of money orders on the day of receipt and providing web-enabled remittance services 1 34 2 1.1.4

5. 5 1.1.5 GOALS AND ISSUES - Mail Sorting and dispatch Mail collection Mail delivery Mail receipt & beat sorting All mail is not delivered on the day of arrival All letter boxes are not cleared every day Mis-sorting and delay in mail dispatch All mail is not sorted for delivery on the day of receipt Issues Punctuality in receipt of mail Completion of beat sorting to include all mail in day’s delivery Same day delivery of all mail received in the post office Clearance of all letter boxes to connect with day’s dispatch Same day dispatch of all articles booked and collected from letter boxes GoalsFunctional Area

6. 6 KPIs AND TARGETS IssueKPITarget All mail is not sorted for delivery on date of receipt Per cent mail sent for delivery (Speed Post)100% Per cent mail sent for delivery (Ordinary)100% Per cent mail delivered same day (Regd. Post)100% Per cent mail delivered same day (Speed Post)100% Per cent mail sent for delivery (Regd. Post)100% Per cent mail delivered same day (Ordinary)100% Per cent mail correctly sorted (Speed Post)100% Per cent mail correctly sorted (Regd. Post)100% Per cent mail correctly sorted (Ordinary)100% Time from mail office to customer receiptLess than 24 Hrs Mail transit time (end-to-end)As per norms Network Issues Deviation of beat completion time30 min All mail is not delivered on the day of arrival Mis-sorting and delay in mail dispatch Mail 1.1.6

7. 77 ACTIVITIES FOR IMPROVEMENT Activity No.IssuesIssue drivers All mail is not sorted for delivery on day of receipt All mail is not delivered on the day of arrival Sorting and Dispatch Mail Collection 12 3a 3b3b Activities Mail 1 Revise mail arrangements – look for alternative transport Improper mail arrangement Carry out beat revision & reduce dead beat mileage 10 Improper beat planning 11 Develop beat back up Postman availability 12 Strengthen monitoring of postmen performance Postman compliance 12 Strengthen monitoring of postmen performance Inadequate supervision 13 Improve letter box clearance – mechanized clearance/rationalize Inefficient systems/ processes Retain local mail during dispatch14 Sorting process Unreliable mail arrival Monitor mail arrival and take corrective actions 2 Insufficient time for beat sorting Estimate required manpower Employ outsourced manpower for peak load Ensure postman multi-skilling Implement beat sorting at mail office Arrange bulk mail delivery from mail office 3456734567 Streamline pre-delivery processes Ensure availability of equipment and accessories Inefficient sorting process 8989 Popularize PIN codes Incomplete address 15 1.1.7

8. 88 GOALS AND ISSUES - SB Ensure one-time transactions are within acceptable norms All account transfer/closure and deceased claim cases are immediately worked on (zero pendency) Transaction time within acceptable norms Automated operations (e.g., passbook printing, cash withdrawal) No cash shortage at post office Automated account balances at end of day Faster end of day balances between HO and SO No errors in end of day account balances GoalsFunctional AreasIssues Customers need to wait unduly long Delay in settling deceased claim and account transfer requests Customers need to wait unduly long Entries made manually in passbook Shortage of cash delays payment End of day account balancing is time consuming Back office – account balancing etc. Regular transactions – cash withdrawal etc. One time transactions – account opening, closure & transfer and deceased claim cases 1.1.8

9. 9 KPIs AND TARGETS – SAVINGS BANK IssueKPITarget Delay in settling account open, close & transfer & deceased claim requests Time to close account6 minutes Per cent bank accounts electronically converted 100% Time to open account10 minutes End of day account balancing is time consuming Time for account transfer1 day Time to settle deceased claim case7 days 5 minutes Average transaction time for deposits Average transaction time is very high for regular transactions SB 6 minutes Average transaction time for withdrawals 100% Offices with all modules of Meghdoot & Sanchay Post installed 1.1.9

10. 10 ACTIVITIES FOR IMPROVEMENT IssueActivities Activity No. Delay in settling account open, close & transfer and deceased claim requests Encourage depositors to register nominees5 Digitization of all manual records2 3 End of day account balancing is time consuming Clarify rules for deceased claim cases6 Streamline account transfer procedure4 1 Revise cash balances & withdrawal limits Average transaction time is very high for regular transactions 3 Re-engineer savings bank operating processes SB Issue Drivers Nominations are not available Manual update of accounts Manual processes Deceased claim verification rules not clear in the field Complex and unclear account transfer process Cash not available at post office Old & complex operating processes Re-engineer savings bank operating processes2 Complicated operating process Digitize all manual records2 Manual update of accounts 1.1.10

11. 11 CLARIFY RULES FOR DECEASED CLAIM CASES Why? How? – Implementation detailsWho? Maintain a register for deceased claim cases as per the format given in the SB manual (Dureja’s book) All deceased claims should have a date of receipt Check the register daily to ensure that applications are entered in the register on a daily basis In case of nomination, deceased claim application should be sanctioned within three working days of its receipt In case there is no nomination, application should be sent for verification on the day of receipt Educate staff that as a rule, documents to identify deceased claimant include passport, driving license, PAN Card, ration card/other certificates issued by competent officer Pending deceased claim cases to be monitored on a daily basis If number of pending deceased claim cases exceeds five, the postmaster should quickly take corrective actions 1 Post office Postmaster/Div. Head Postmaster Division Head Postmaster/Div. Head Postmaster Postmaster/Div. Head/PMG 2 3 4 5 7 8 9 1 2 3 4 5 7 8 9 Rules for settling deceased claim cases are not well understood in the post offices, leading to long lead times for settlement Process for deceased claim settlement is not followed uniformly Educate staff that as a rule, a death certificate attested by gazette/competent officer should be a reasonable proof of death Postmaster 66 1.1.11

12. 12 GOALS AND ISSUES - Remittances Remittances Payment of Money Order IssuesGoalsFunctional Areas Booking of Money Order All money orders received to be paid on the same day All money orders are not being paid on the same day eMOs to replace manual money orders Increased use of iMOs Low usage of eMOs & iMOs 1.1.12

13. KPIs AND TARGETS – REMITTANCES IssueKPITarget All money orders are not being paid on the same day Percent money orders paid on the same day100% Percent money orders booked as eMO Low usage of eMOs & iMOs 100%* Percent money orders booked as iMO Remittances * As per demand 1.1.13

14. GOALS AND ISSUES – Office service level IssuesGoalsFunctional Areas Office Service Level Customer Interface Ensure friendly interaction of staff with customers to enable highest customer satisfaction on staff behaviour Current staff attitude in post offices is significantly lower than aspirations Counter Operations To ensure consistency in quality of service To ensure all counter transactions are completed within the specified time norms To reduce waiting time at counters Counter transactions often exceed the prescribed time limits There are often long queues at counters Ambience To keep post office neat & clean to ensure highest customer satisfaction on ambience Present level of ambience needs major improvement 1.1.14

15. KPIs AND TARGETS IssueKPITarget Present level of ambience needs major improvement Customer satisfaction score on ambience (on a scale of 10)8 10% Per cent of transactions that exceed the time norms as committed in the Citizen’s Charter Inconsistent quality of counter operations with high waiting & transaction time 15 mins Average waiting time at counters Office Service Level Current staff attitude in post offices is significantly lower than aspirations Customer satisfaction score on quality of customer interface (on a scale of 10) 8 Per cent compliance of postmaster on the daily checklist prescribed95% 1.1.15

16. Thanks 1.1.16