City bank has a staff planning policy based on a maximum utilization level for e
ID: 346157 • Letter: C
Question
City bank has a staff planning policy based on a maximum utilization level for each operation. For example, the allowable utilization for operation A is 50%. If the workload for this operation is expected to increase in the next planning period, clerks will be hired to ensure the utilization to be about 50%. Conversely, if the workload is expected to decline, clerks will be assigned elsewhere as long as the 50% utilization rule is not violated. The manager believes that such a policy will allow the bank to maintain a specified service level (in terms of customer waiting time), which is harder to monitor. An internal study shows that for most operations, there is significant variability in the job arrival pattern as well as the processing times for the jobs. Does this policy work correctly to achieve the specified service level? Please briefly justify your answer
Explanation / Answer
City Bank has worked very welll with this policy but there are things which can be improved in this policy. Some of them have been discussed below:
1. Firstly 50% utilization level is not a good number with a reputed bank like City Bank. It can be increased by providing more facilities to their employees. Also, it is possible to modify the channels of communication of the bank and the customers, so that the customers can interact rapidly with the bank and there is no wastage of time and value in the process.
2.Secondly, in case of declining workload when you will transfer the employees to other department then it will surely going to degrade the performance of the employees. So to maintain an optimal level of work performance, employees should be familiar to their roles and responsibilities with atleast 1 month of On-job Training. It will increase the feeling of commitment towards the organization amongst the employees.