Efficiency Improvement and Quality Initiatives Application in Financial Institutions

MSc. Ajtene Avdullahi, MSc. Vjosa Fejza

Abstract


Financial institutions in today’s economy have no longer the luxury to improve profit simply by increasing revenue. These firms, due to the significant measuring reductions in the financial services industry needed to improve operational efficiencies and merely support existing processes with fewer resources. This paper explains the benefits of Lean, Six Sigma, Total Quality Management and Lean Six Sigma that have improved organization's performance, by cutting costs and waste, improving their products or services, increasing profitability as well as enhancing customer satisfaction. The applicability of quality management practices in financial institutions in Kosovo is presented and also their efficiency and effectiveness. By analyzing data from Raiffeisen Bank Kosovo, this paper highlights the benefits of Individual and Micro companies customer segment as the result of organizational change and successful application of quality initiatives from financial institutions in Kosovo.

Keywords


Lean; Six Sigma; Financial Institutions; Efficiency; Microcompanies;

References


Andersson, R., Eriksson, H. and Torstensson, H. (2006),”Similarities and differences between TQM, Six Sigma and Lean”. The TQM Magazine, 18(3), pg. 282 - 296.

Antony, J. (2011)”Six Sigma vs Lean: Some perspectives from leading academics and practitioners”, International Journal of Productivity and Performance Management, 60(2), pg. 185 - 190.

Antony, J. and Banuelas, R. (2002),”Key ingredients for the effective implementation of Six Sigma program”, Measuring Business Excellence, 6(4), pg. 20 - 27.

Arnheiter, E. D. and Maleyeff, J. (2005),”The integration of lean management and Six Sigma”, The TQM Magazine, 17(1), pg. 5 - 18.

Bianchi, M. (2009), "Networking approach to sustainable project management for transition countries." Accepted paper for the 1st International Conference on Sustainable Management of Public and not for Profit Organisations.

Black, K. and Revere, L. (2006),”Six Sigma arises from the ashes of TQM with a twist. 10” International Journal of Health Care Quality Assurance, 19(3), pg. 259 - 266.

CBK (2014): Financial Stability Report No 4, May 2014, Central Bank of the Republic of Kosovo, Prishtinë, http://www.bqk-kos.org, [Accessed 25 November 2014].

CBK (2014): Quarterly Economic Assessment No. 7 Q2 2014, Central Bank of the Republic of Kosovo, Prishtinë, http://www.bqk-kos.org, [Accessed 30 November 2014].

Carmichael, Ch., Mullen, S. and Ernst-Jan M. (2012), Banking Industry Leverages Lean Principles to Eliminate Waste Lean Thinking in Financial Services A, pg. 1-12.

Frost, B. (2007), ”Applying a Lean Six Sigma approach can generate rapid results in Six Sigma deployments”, Retrieved from http://www.ssqi.com/breakthroughs/whitepaper-pdfs/EB-Lean-Services-012507.pdf

Henderson, K. M. and Evans, J. R. (2000),”Successful implementation of Six Sigma: benchmarking General Electric Company”, Benchmarking: An International Journal, 7(4), pg. 260-282.

Ishikawa, K., What is Total Quality Control? – The Japanese Way, Prentice Hall London 1985.

Knights, D., and McCabe, D, (1997),”Can a leopard change its spots- seeking quality in financial services”, Managing Service Quality, 7(2), pg. 102-105.

Kristensen, K., Dahlgaard, K. K. and Kanji, G. K., (1993),”Quality motivation in East and Asian countries. Total quality Management”, London, Taylor and Francis,.

Marketing and PR Department and Finance Department, 2005-2013, Annual Report of Raiffeisen Bank Kosovo 227 Raiffeisen Bank Kosovo J.S.C. Prishtina.

Marketing and PR Department and Finance Department, 2007, Annual Report of Raiffeisen Bank Kosovo 227 Raiffeisen Bank Kosovo J.S.C. Prishtina,.

Pepper, M. P. J. and Spedding, T. A. (2010),”The evolution of lean Six Sigma”, International Journal of Quality and Reliability Management, 27(2), pg. 138 - 155.

Shah, R. and Ward, P. T. (2007),”Defining and developing measures of lean production”, Journal of Operations Management, 25(4), pg. 785 - 805.

Sharma, U. (2003),”Implementing lean principles with the Six Sigma advantage: how a battery company realized significant improvements”, Journal of Organizational Excellence, 22(3), pg. 43 -52.

Sullivan, L.P., (1986), The seven stages in company-wide quality control, Quality Progress.

Wilkinson, A., McCabe, D., and Knights, D. (1996),”Looking for quality: a survey of quality initiatives in the financial services sector”, Total Quality Management, 7(1), pg. 67-78.

Yoshizawa, T., (1987), Exploratory Data Analysis in the Development Stage of New Products. Proceedings of the 46th session of the ISI invited papers 5(3), pg. 1-11.


Full Text: PDF

DOI: 10.21113/iir.v5i1.13

Article Metrics

Metrics Loading ...

Metrics powered by PLOS ALM

Refbacks

  • There are currently no refbacks.




Copyright (c) 2016 M.Sc. Ajtene Avdullahi, M.Sc. Vjosa Fejza

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.
x
Message