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Date: March 5, 2017

To: Kathleen Buchmiller, Market Operations Manager


Through: Brett McMahan, Market Sales Manager
From: K. Sujeewa Chamarasinghe, Relationship Manager (Kingsgate F.C.)
Subject: Recommendation Memo to Reduce Long Bank Teller Lines
Purpose
The purpose of this memo is to provide our findings hitherto on the study conducted base on the
proposal given on February 15, 2017 under the subject Proposal for the Study Clients to Reduce
Long Teller Line in Order to Increase Client Satisfaction
Summary
With the consent of Market Operations Manager, we conducted the study to determine the best
cause of action to reduce long bank teller lines at Kingsgate Financial Center, Kirkland, WA. We
carried out the study to determine the reasons for the clients to prefer teller line over the
convenient banking options such as online banking, mobile banking and customer service
hotlines. We also used the study to determine expertise and perspective towards technology
including demographic information, figure out the limitations, regulations and competition,
evaluate our existing convenient banking options, and finally submit a recommendation report
base on our findings of the clients that prefer teller lines.
Even though Bank of America offers convenient banking options, a significant population of the
clients that visit Kingsgate Financial Center prefer to use conventional bank teller line that
mostly serve by a single teller creating a long line. Thus we conducted a study to determine the
reasons for the clients to prefer teller line over the convenient banking options as well their
demographics. We used the study to determine the competition, limitations and regulations too.
We completed the study following the tasks described in our proposal provided on February 15,
2017. We gathered information from the clients using a questionnaire. We studied the
competitors with mystery shops, analyzing their websites and convenient banking options. In
addition, we studied scholarly articles conducted on technology use in banking industry vs
customer satisfaction, and studied limitations and regulations that impede clients using
convenient banking options such as ATMs and mobile banking.
Our study findings revealed that majority of the clients that prefer bank teller lines are baby
boomers who struggle with technology, do not trust technology, and favor human touch. The
second biggest population that prefer bank teller lines are the business owners who have
experienced longer check holding times when they deposit checks using ATMs or mobile app.

Until we educate and fully win the non-users of convenient banking options, and resolve longer
check holding times that affect business clients, we recommend to add a bank teller as soon as
possible to reduce the traffic. We also recommend to conduct small group awareness meetings
for non-users of convenient banking options to increase convenient banking user base faster.
Memo to Kathleen Buchmiller March 5, 2017 Page 2

Introduction

To determine the best cause of action to reduce long teller lines at Kingsgate Financial Center,
Kathleen Buchmiller, Market Operations Manager, authorized us to conduct a study to find out
the reasons for the clients to prefer teller line over the convenient banking options, determine the
said clients expertise and perspective towards technology, figure out demographic data of the
clients that prefer teller line, determine the limitations, regulations and competition, evaluate our
existing convenient banking options, and finally submit a recommendation report based on
findings.
At present, we, Bank of America (BOA) provide ultramodern technology for our clients to fulfill
their banking needs virtually and or conveniently with the convenient banking options such as
ATM, online banking, mobile banking, and client service hotline etc. Majority of the clients have
accustomed and commended the convenient banking options as the convenient banking options
absolutely cater to their busy life styles.
However, despite all the convenient banking options, BOA Kingsgate Financial Center confronts
a struggle to handle long teller lines resulting increase client complaints and dissatisfaction.
Even if we offer our service to assist and coach on the convenient banking, the clients who prefer
the teller line refuse our service. Rather the clients who prefer traditional bank teller lines over
the convenient banking options ask us to inform the higher management to increase the number
of bank tellers. Some of them also show their frustration by leaving the bank or informing us that
they are going to take their funds to the competitors.
Therefore, we conducted the study to determine the best cause of action to reduce long teller
lines at the Kingsgate Financial Center by conforming to the tasks approved by the Market
Operations Manager.
Find out the reasons for the clients to prefer teller line over the convenient banking options
Determine the said clients expertise and perspective towards technology
Figure out demographic data of the clients that prefer teller line
Determine the limitations and regulations
Determine competition
Evaluate our existing convenient banking options
Data analysis and preparation of the recommendation report
We completed all the tasks given on the proposal even before the deadline. We found out that
preponderance of clients who prefer teller line over the convenient banking options are baby
boomers who have limited technological savvy, do not trust the security of machines, and also
like do banking with human beings rather than machines. The second biggest group that prefer
teller line over the convenient banking options are business clients who commented that the
check holding time with the ATMs and mobile banking are much greater than depositing with a
teller which is a limitation of BOA. Our findings further disclosed that clients have a limited
knowledge and do not worried about government regulations.
Memo to Kathleen Buchmiller March 5, 2017 Page 3

The tasks of determine the competition revealed that Chase Bank has the most user friendly web
site. Chase also leading the competition with offering the latest ATMs for their clients. Even
though the US Bank lag behind in providing latest technological features to its clients, they
compensate the weakness with having sufficient staff members to assist the clients. However,
BOA is leading far greater than the competition when it comes to introducing, implementing and
coaching clients on how to use convenient banking options.
In the following sections, we elaborate further details about the research methodology, results,
conclusions, and recommendations base on the study finding.
Research Methods
We conducted the study using primary and secondary research. Primary research conducted
distributing a questionnaire on every 3rd client came to the teller line and obtained 62 replies in
total. The questionnaire included quantitative questions amalgamated with qualitative questions.
Quantitative questions used to identify demographic data and technological savvy of the clients
who prefer to use teller line over the convenient banking options. The qualitative questions used
to determine the reason for them to prefer teller line over the convenient banking options.
Primary research also conducted by the Relationship Manager visiting the competitors as a
mystery shopper to identify the ways that competitors handle the lobby traffic, the way the
competitors educate clients on convenient banking options, and analyze the quality and quantity
of competitors ATMs.
We commenced the secondary research even before submitting the research proposal and it
really help us to continue the study on par with the schedule. Secondary research focused on
areas such as previous studies conducted on convenient banking and customer satisfaction,
limitations and government regulations, compare and evaluate our convenient banking options
with competitors, and also to double check the accuracy of demographic information collected
during the survey.
More details about the research methodology we pursued to address the key tasks as follows.
Task 1 - Find out the reasons for the clients to prefer teller line over the convenient banking
options
The quantitative question included to find out the reason that clients visit the financial center: To
deposit (cash /check), Withdraw, Cashiers Check, Money Order, Change, and Other. If the
clients came to withdraw or deposit, an additional qualitative question asked to determine the
reason they selected the teller line instead of convenient banking options.
As we assumed the answers in the questionnaire for the question to discover the reason for the
clients to select the teller line instead of convenient banking options were cluttered. But we
selected the similar replies excluding miscellaneous replies to conform into our purpose of the
study that to find out the reasons for long bank teller lines in our Kingsgate Financial Center and
recommend solutions to reduce the teller lines.
Memo to Kathleen Buchmiller March 5, 2017 Page 4

Task 2 - Determine expertise and perspective towards technology of the clients that reluctant
to use convenient banking options
We included a quantitative question in the survey with a grading scale of excellent to poor for
clients to rank themselves on their technological savvy. An additional qualitative question What
is the reason for you to use the teller line instead of convenient banking options included for the
clients who have very good and excellent technological knowledge, but still prefer the teller line.
Task 3 - Figure out demographic data of the clients that prefer teller line
The demographic data such as gender, age and occupation collected with the survey, and then
verified with our existing records for accuracy.
Task 4 - Determine the limitations and regulations
The qualitative questions design in the survey revealed certain limitations and regulations
(internal or external). We compared the limitations and report the findings in the results segment.
We also used the findings of other studies to determine the limitations and regulations.
Task 5 - Determine the competition
We began to analyze the competitors convenient banking options such as online banking,
mobile banking, ATMs and even customer hotline services even before submitting the proposal.
Online banking and mobile banking options analyzed downloading the apps for our existing
personal accounts. Competitors ATMs and lobby arrangements checked during the Relationship
Managers mystery shops. The analysis on competitors web site content, design, presentation,
and user friendliness etc. initiated simultaneous to the preparation of proposal the submitted on
February 15, 2017.
Task 6 - Evaluate our existing convenient banking options
On February 24, 2017, we completed the evaluation on our existing convenient banking options.
We compared the features in our online banking and mobile banking options with the
competitors.
We also took turns and called the customer service hotlines of BOA as well as competitors. We
contacted the hotlines multiple time using different time frames (morning, afternoon, late
afternoon) to analyze the waiting time, politeness, enthusiasm and ownership of the
representatives.
Task 7 - Data analysis and preparation of the recommendation report
We drafted the final recommendation memo and will be submitting to the Market Operations
Manager through the Market Sales Manager for the perusal. We managed to complete the tasks
even before the deadline due to secondary research commenced even before submitting the
proposal and because of the dedication of the team members. We included our recommendations
based on the results of the study aiming to improve our services to the clients further.
Memo to Kathleen Buchmiller March 5, 2017 Page 5

Results
In this section we present the results of our study only with the most important findings.
Task 1 - Find out the reasons for the clients to prefer teller line over the convenient banking
options

The Reason for the Visit

Other To Deposit
28% 32%

Money Order
1%
Cashier's Check
2% To Withdraw
Change 36%
1%

To Deposit To Withdraw Cashier's Check Money Order Change Other

For the quantitative question included to find out the reason the clients visit the financial center,
we found out that 32.4% of the clients come to deposit cash or checks, 35.6% come to withdraw
money, 2.2% come to get cashiers checks, 0.6 % money orders, 0.9% come to change their
money, and 28.3% come for other banking needs such as meeting a banker, notary etc.
As we expected, replies for the additional qualitative question designed in the questionnaire for
the clients who came to withdraw or deposit, but selected the teller line instead of convenient
banking options contained too many variations. So, we considered only main replies to improve
the clarity of the study.
26.8% of the respondents informed that the lack of technological savvy
21.7% of the respondents informed that the check realization time for checks deposited
using ATMs or mobile banking app take much longer than with a bank teller
18.4% of the respondents informed that they dont trust security of the machines
14.9% of the respondents informed that they prefer human touch than the machines
7.2% of the respondents informed that they have several functions such as deposit,
withdraw, change, balance transfers and, bill pays etc. to fulfill on a single visit
6.8% of the respondents informed that they get only $20 bills from the ATMs
4.2% of the respondents informed that amount they can withdraw at ATMs is insufficient
Memo to Kathleen Buchmiller March 5, 2017 Page 6

Task 2 - Determine expertise and perspective towards technology of the clients that reluctant
to use convenient banking options
For quantitative question we included to determine the technological savvy of the clients
revealed that 28.4% of the clients with excellent technological savvy, 36.5% with very good
technological savvy, 18.7% with good technological savvy, and 16.4% with poor technological
savvy.
Our analysis on the additional question given to the clients with excellent or very good
technological savvy but still reluctant to use convenient banking options received answers
similar to 1st qualitative question in the questionnaire. Thus we considered only one of the
answers per a questionnaire to keep the findings authentic.
82.8% of the business clients responded of having very good or excellent technological savvy
categories. However, out of the business clients who claimed very good or excellent
technological savvy, 65.2% answered the qualitative question informing that the realization time
for checks deposited using ATMs or mobile phones take much longer time than the checks
deposited with a bank teller.
Moreover, 52.4% of the clients with good or poor technological savvy responded the
questionnaire indicating that they dont trust machines.
Task 3 - Figure out demographic data of the clients that prefer teller line
The demographic data revealed that out of the clients who prefer teller lines 55.4% age above 54
years, 59.3% consist of females, and 25.6% consist of business clients.
Task 4 - Determine the limitations and regulations
We expected clients to reply the questionnaire with the concerns they have about government
regulations such as Anti Money Laundering Act and Patriotic Act etc. that limit or control the
monetary transactions, but surprisingly none of the clients that responded the questionnaire
havent mentioned about the regulations.
Yet, 21.7% of the clients responded about the longer holding time for the checks deposited using
ATMs or mobile banking, and 4.2% of the clients responded about the insufficient withdrawal
amounts at our ATMs indicating Bank of Americas limitations.
Task 5 - Determine the competition
Our findings on the competitors web sites revealed that Chase Banks newly design website
carries the simplest and easiest design among all financial institutions while BOA website
clutters with overloaded information. Chase branches also facilitate ATMs that are modern, fast
and full of features compared to BOA ATMs. US Banks convenient banking options falls
behind all other competitors, but they overcome the obstacle by having sufficient staff members
to provide excellent service to the clients. All the competitors including credit unions in the
neighborhood consist more bank tellers to handle the lobby traffic than our financial center.
Memo to Kathleen Buchmiller March 5, 2017 Page 7

However, online reviews and rankings affirmed that BOA beats all the competitors when it
comes to educating clients on convenient banking options, creating online and mobile banking
profiles for the clients, and downloading mobile apps for the clients.
Task 6 - Evaluate our existing convenient banking options
Our study revealed that we, BOA leads the mobile banking segment with nearly 22 million
active mobile users and more than 3.7 billion logins per year. However, our online banking app
does not have any significant advantage over the competitors. Chase lead the industry by
providing latest ATMs in its branches.
We identified that BOA has the second longest waiting time with 22 minutes to contact the
Customer service while Wells Fargo provides the least time of 15 minutes. Other factors we
monitored such as politeness, enthusiasm, and ownership of the representatives fall into the equal
ranking. All the representatives showed a hurry and lack of ownership during rush hours.
Task 7 - Data analysis and preparation of the recommendation report
We completed all the tasks including data analysis, and complete the recommendation report
based on findings of the study with the submission of this report.
Conclusions
We designed the study to determine the best strategies to reduce the long teller lines with the
bank tellers at Kingsgate Financial Center.
Based on the study findings, we concluded that baby boomers who consist the majority that
prefer traditional banking teller lines cannot be converted into the convenient banking options
overnight due to their age, lack of technological knowledge, lack of trust on the convenient
banking options, and the likeness to do banking with human beings rather than with machines.
Even business clients, the second biggest segment who prefer teller lines over the convenient
banking options affirmed a BOAs limitation that longer holding times on the check deposited at
ATMs and mobile banking apps than the check deposited at bank tellers, need to be provided
with a solution as they generate more revenue to the Kingsgate Financial Center. However, we
excluded considering government regulations as a problem as the government regulations affect
all the banking and financial services equally.
Recommendation
We recommend adding a bank teller as soon as possible to reduce the traffic until we educate and
completely win the non-users of convenient banking options, and resolve the longer check
holding times that affect business clients. We also recommend to conduct small group awareness
meetings for non-users of convenient banking options to increase convenient banking user base
faster. Furthermore, we recommend the higher management to speed up the replacement
process of current ATMs with Modern ATMs in order for us stay top in the competition as our
study findings as well as other studies we analyzed show a correlation between customer
satisfaction and reliability of the banking technology.
Memo to Kathleen Buchmiller March 5, 2017 Page 8

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