Hi,

can any one help me how to improve the revenue in a debt collection process(outbound) in quality perspective.

Any project that can be done using six sigma?????????

I am new to this outbound process as well debt collection is new to me.

 

Hi Nalini,

I had designed a project on debt recovery for an SME, and seems to be working well.

I am an strategic consultant with this group thus may no be able to quote the name.

Year on year there was a debt of about 10 - 14 Cr. per annum. The reasons were identified and analysed and the project is working by way of DMAIC. I own the project as the Black Belt and hand hold with the client team for the same.

feel free to ask further questions.

I am based out of ND but working on this project at Chandigarh.

 

regards,

Animesh

Hi Animesh, thanks for your points and request you to give me clear idea of what i should do.

In the organisation where i work in, they have just entered into a BPO. The process is debt collection(outbound). I now want proof myself as well help in the process improvement. I am as if now trying to implement DMAIC and streamline the process.

Help me. Tell me what i can do ?

Hi Nalini,

As understood by me the steps for u should be:

1.Identify and create the problem statement ( Take the help of varrious tools) - be very specific of your problem statement.Define the performance standards.

2.Define the process and vallidate the measurement system adopted.Check for process adopted for the process capability and then finalise performance objectives.

3.Identify & Screen the potential causes - the sources of variation to block them for better performance study.

4.Rest follow as per the design of DMAIC.

Should check & Study the process with the existing team as u r new in this system. Highly recomended not to folow a regular route - thus try to study and innovate to give you operational excellence.

Cheers.

Animesh

Hi Nalini,

I work in a multinational company which deals in Debt recovery. Dr collection (calling scenario outbound) can be gauged and set right by putting some control points in place.

• Run chart of calling time of all callers against the target? (I can help if you need more clarity on this, I assume here that the caller are given target).
  
• Promise to Pay flow can also be a guiding factor and plays a vital role.
  
• Promise kept rate which is the fallout of the above PTP (gross and individual).
  
• Right party Contact rate/ratiio this will help you understand the individual collectors capability and handicap.
  
• Call Tracker This if taken on an hourly basis will help you track the trend of the day and also you can predict the cash which it will generate.
  
• Discount and rebate This is very important from the stand point of settlement as you can make out and fix the lower and upper limit for settlment % looking at this trend. Also this trend will help you understand that whether the settlment was profitable or was a loss.
  

Do let me know if you have further queries

Regards

Sudhir

Hi all,

I would first of all like to THANK U all for the support provided.

I am very happy to see all your responses. I have got more info than what i expected.

There is no one in the organisation well known about the process. The process is about 1 yr tenured but the organisation have not seen much revenue on that.

In terms quality no one, every one are new including the collectors(FLA'S). So we are actually trying to figure out the root cause, and implement the corrective actions.

As you all suggested i have started to work on DMAIC with all your inputs.

I have already started to conduct specific training session,meetings. I can also see a gradual change in the way the collectors handle the calls.

Now i am going to start the project on what you all suggested.

will let u all know the result of my project.

Sudhir can u please give me details on run chart, promise to pay and promise kept rate.

Mainan, ur explanation was clear, thanks to u.

Animesh ur informations/guidance are very informative.

 

First of all I want to say that I got a lot of good ideas from the replies.  Like Nalini I too work for a debt recovery company and started looking into six sigma projects.  However our company purchases distressed consumer credit card debt then collects and outsources a % of the debt purchased (over 8 billion since the start of the company).  Anyway I wanted to know if anyone has additional information/resources on six sigma projects related to topics that Sudhir discussed.  I am rather new to SS but eager to learn.  Identifying an a problem/picking an appropriate project seems like the hardest part.  Any additional links, resources, insight would be much appreciated.  The company is http://www.atlanticcreditfinance.com/about_us.html if anyone was interested.