Case - IBM CREDIT

Jithin Babu

It is in the business of financing the computers, software & servicesIts operations comprises of five steps

Sales rep. request for financing – call operator wrote down the request on a piece of paper.Specialist check the creditworthiness of the potential borrowers & wrote on a piece of paper.Business practices dpt. modifying the standard loan covenant in response to customer request.Price dpt. determined the appropriate int. rate to charge the customerAdministration dpt. turned all the information into a quote letter and delivered through Federal Express.

The entire process was taken six days on avg.When the sales representatives calls

No one could tell where the request was & when it could be done.

To improve this Process IBM Credit tried several fixes

Improvement actions taken by the Company

Install a control deskThey could answer the sales representative’s question about the statusEach dpt. would return the request to the desk

Found out that the actual work took only 90 minutes onlyRe-engineer the overall credit issuance process Replaced its specialists with generalistsDeveloped a new, sophisticated computer system to support the generalistsThe new turn around becomes 4 hours instead of 6 days.

Thank You