Bank of America
Using Six Sigma in Banking
Bank of America is a large, complex organization with high goals to be #1 in customer satisfaction, the world’s most admired company and the world’s largest bank. To achieve these goals, the Bank recognized the need for an enterprise-wide quality system that focused on customer needs and key business strategies. To execute its quality system, Bank of America favored rapid deployment across the company for complete enculturation. Bank of America’s Three-Point Plan
Bank of America’s three-point plan called for the company to focus its efforts, enable high quality and generate results. To execute its plan, the Bank took the following steps: •
Focused the company on the customer by organizing around customer segments and aligned the company top to bottom, linking performance plans to strategic goals. •
Developed business process excellence by applying voice of the customer to identify and engineer the critical few business processes. •
Built a capable workforce by hiring more than 225 external Six Sigma master Black Belts and Black Belts, using Six Sigma across businesses, eliminating waste and variation/errors in core processes, and driving revenue growth by expanding Six Sigma into sales environments.
In its first two years, Bank of America’s quality system has achieved the following results: •
The CEO and executive team contributed $75 million in Six Sigma annualized productivity benefits. •
Customer delight was improved by 20%, and the Bank added 2.3 million customer households. •
1.3 million fewer customer households experienced problems – down 29%. •
Stock value increased by 52%.
Bank of America has had ten quarters of increasing earnings per share – up 29% since 2002. •
2002: Bank of America named Best Bank in the US and Euromoney’s World’s Most Improved Bank.
Sample of Survey Results
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