Public Disclosure Authorized · Increasing use of mobile phones •As mobile phone penetration increases, the potential customer base increases as well New use cases •Newer use

Women Agent Training Deck

For the training department of MFS providers

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Points to note

This training deck is intended for the use of the training departments of MFS

providers to train their women agents.

It seeks to serve as a generic template for key considerations to be kept in mind

when delivering training to women agents.

The deck may be customised to include key operational procedures such as

business processes and agent network compensation which may vary according

to individual providers.

2

Contents

I. Understanding how MFS can help women and women agents

II. Focus on training women agents

III. Explaining the business case to newly on-boarded women agents

IV. Key operational procedures

i. Common MFS products

ii. Legal requirements

iii. Compliance and obligations

iv. Customer service

v. Liquidity Management

vi. Grievance redressal

vii. Agent support

V. Risks in MFS and risk mitigation

VI. Training Assessment

3

I. Understanding how MFS can help you

There are a number of reasons for you to sign up

5

“Everything that is

great in the world, all

the works, beneficial

and good, half must

be credited to

woman”

-Kazi Nazrul Islam

You will be earning and this will help you become financiallyindependent enabling you to make your own financial decisions.

Become financially independent

You will learn new skills such as engagement with customers,time management, communication, multi tasking and technicalskills which can be transferred to any situation.

Develop new skills

You will become better enabled, equipped and empowered tomake key decisions.

Sense of empowerment

You will contribute towards the financial inclusion of your fellowcitizens and help serve people in need.

Contribute towards nation building

You will have a much greater personal legacy. This business willhelp you become an agent of change and a role model for otherwomen.

Personal legacy

Stories from women agents

6

MFS brings reputation, respect and remuneration to women

Shahida is a 42-year-old woman and stays with her husband and three daughters at

Jalakathir Upazilla in Barisal. Prior to becoming an MFS agent, she was working with an

insurance company as a group leader. She was satisfied with the work, but the income was

not sufficient to save enough money for the future of her family.

She opened her independent insurance office. This built confidence into her to handle cash

and manage customers on her own. She became also became an MFS agent . There was

substantial growth in her reputation in her upazilla and around.

The daily customer footfall is around 50, which is high considering the geographic location

of her outlet. She does transaction amounting to BDT 40,000 per day. She says, “I open at

least 17 new women MFS accounts in a month. I have monthly targets that I need to

achieve to earn benefits in the form of incentives and gifts from the provider.”

She believes, “If we teach women how to use MFS by giving more time to a woman

customer, they can surely understand the benefit of MFS and get motivated to use it

themselves in their mobile phones.” Shahida is satisfied with the confidence and trust that

her women customers place in her. She is thankful to MFS for providing her with

the opportunity to live with dignity and respect in a society where it is difficult

for women to work outside their homes.

Stories from women agents

7

MFS, a primary source of income for women

Shikha is a 37-year-old divorcee. She lives with her father and daughter. She lives in Mirpur(in Dhaka). Her daughter is studying in high school, while her father is a retired governmentemployee. At an early age, she became the sole bread-winner for her family.Initially, she was working at a school, before joining a micro-finance institution as a fieldofficer. The work required intensive travelling. While she was good at her work, constanttravel made it difficult for her to manage her family. She decided to leave the job and startsomething of her own.

She knew of MFS and its benefits from outlets around her house. She was confident thatworking on her own terms as an MFS agent will provide her the much neededtime to take care of her elderly father and shape the future of her daughter.Hence, she decided to become an MFS agent. This was three years ago.

She owns a shop and has recruited two staff members, whom she has trained. Beside MFS,she also provides mobile accessories. As of now, per month customer footfall at her outlet is500 and per day turnover is BDT 100,000. Initially, she did face some challenges with respectto training and adoption of technology, but it took her just six months to overcome thesechallenges. In her day-to-day operations, she has learnt the tricks of the trade. The field staffof MFS providers confide that Shikha is their top performing agent who brings good businessto them and, hence, provide priority service to her.

While Shikha has a male-dominated customer segment, she feels that women, too, should useMFS and derive the benefits of it. Her message for fellow women is to overcome thesocial barriers and leverage MFS as a primary source of income.

Many opportunities exist for growth and success

8

Growth in MFS

• MFS will continue to grow exponentially as the most accessible channel for financial services

Increasing use of mobile phones

• As mobile phone penetration increases, the potential customer base increases as well

New use cases

• Newer use cases such as salary disbursements and bill payments are steadily gaining ground. Developing countries across the world are using MFS for financial inclusion and women agents have a major role to play.

Convenience

• MFS still remains the most convenient method of accessing financial services Research shows that women MFS users are few and here women MFS agents can make a difference. hence a lot rides on you.

Agent economics

• Becoming an MFS agent is cost effective and gives good return on investments with low costs and low overheads

On average, an

agent makes

6,057 BDT per

month from the

MFS business.

II. Focusing on training women agents

Why do we need You - The Women Agents?

10

Increasing women

participation in

the MFS sector

and empowering

women to control

their financial lives

cannot be done

without women

agents.

Women possess Certain Inherent as well as Evolved Characteristics of that position

them better to serve MFS customers

You are perceived to be more patient andtherefore better capable to explain MFS towomen users and increase their uptake

You are seen as being better at selling to bothmen and women in most markets.

You score higher than men in the customerservice ratings

You are more efficient at processing customerqueries than men

MFS will not only give you higher societalrespect and dignity, but also a medium oflivelihood to support your family.

You are very often highly trusted members oftheir respective communities.

You have a

major role !!!

What do women customers say about you

11

“We confide in apa (sister) about our household distress. We transactsafely with her, especially if we do not want others to know about it”

- Women customers at an MFS outlet run by a women agent

“The agent always asked me for my mPIN and I used to tell him. I onlyrealised later from the apa that I should not have shared it with him”

- An female MFS user in Dhaka explaining customer protection methods by women agent

“Whenever I had to withdraw my college fees, I had to visitat least 4-5 agents, before I located a female agent whowas willing to give me the cash, without any extra charge”

- A young out-of-station student in Sylhet describing her experience of a large

cash-out transaction

“I don’t trust the agent, but rather rely on my friends and family members toguide me. If there was a female agent, I can speak to her freely and trust her”

- An MFS user in Chittagong, decrying the lack of support from the male agent

There are challenges for agents and customers

12

Product

Insufficient product knowledge

Social

Affordability

Technical literacy requirements

Risks of fraudSocial biases

Security concerns

Harassment

FraudOperational

Agent knowledge and behaviour

Trust in channel

Service denial

Account opening process

Network downtime instances

While these issues are faced by a broad range of customers

and agents, women are much more susceptible to these

barriers due to the prevailing socio-cultural environment in

the country, especially in rural areas.

III. What is the Business Case for You -

Women Agents

What do you invest?

14

Adequate time to devote to the MFS agency

• You must be willing to spend time building the MFS business

Efforts in acquiring and servicing your customers

• Customers have to be acquired after explaining the benefits of the products and services

Investment in liquidity

• Financial investment will be needed to manage optimum float levels

Investment in infrastructure

• Your outlet must reflect the messaging of the provider

You will need different type of support as investment apart from the regular investment

being made by all agents.

Support from

family members

is a critical aspect

for women agents. A

positive family

environment can

be the difference

between success

and failure.

Efforts required from You

15

Transactions

Liquidity

Marketing

InformationYou must provide any information that thecustomer might seek with regards to the productsand services offered

Products and services must be marketed usingcollateral provided by the provider. Branding ofthe premises must also be done.

Investment must be made to maintain both e-floatand cash to ensure optimum liquidity

Cash-in and cash-out transactions have to beconducted based on the needs of customers

Acquisition

You are required to acquire MFS customers andon-board them following the procedures laid outby the provider

Grievance

Redressal

You must proactively try to resolve anycomplaints that a customer may have. Goodknowlesge of the grievance redressal processes ofthe provider is essential.

New women agents

may consider

seeking

assistance from

family members

during the initial

periods of the

agency operations

until she achieves

increased familiarity

with the operations

and confidence

Do you think family support will be an issue?

16

The support of your

family members,

especially men,

will greatly enhance

your chances of a

successful business

Having the support of your family members willhave a definite positive effect on your MFSbusiness

We know that some male family members may behesitant when it comes to you starting an MFSagency.

The reasons may be diverse but we understand.

We will conduct a separate group orientation andsensitisation session for them

There may be resistance…

…But we will support you!

Callout!

17

What are the various products and services that agents can offer to customers?

What products can you offer to your customers?

18

1. Disbursement of inward foreign remittances.

2. Cash in /out using mobile account through agents/Bank branches/ ATMs/MobileOperator's outlets.

3. Person to Business (P2B) Payments ‐ e.g. a. utility bill payments, b. merchant payments.

4. Business to Person Payments (B2P)- e.g. salary disbursement, dividend and refundwarrant payments, vendor payments, etc.

5. Government to Person Payments (G2P) e.g. elderly allowances. Freedom‐fighterallowances, subsidies, etc.

6. Person to Government Payments (P2G) e.g. tax, levy payments.

7. Person to Person Payments (P2P) One registered mobile Account to another registeredmobile account.

8. Other payments such as microfinance, overdrawn facility, insurance premium, DPS, etc.

Beware of OTC transactions!!!

Transactional limits

19

Bangladesh Bank has stipulated the following transactional limits for MFS

Transactions Limits

Daily Deposit 5 times (maximum)

Daily Withdrawal 3 times (maximum)

Daily Deposit Amount BDT 50 - 25,000

Daily Withdrawal Amount BDT 50 - 25,000

Daily Transfer Amount BDT 10 - 10,000

Monthly Deposit 20 times (maximum)

Monthly Withdrawal 10 times (maximum)

Monthly Deposit Amount BDT 1,50,000

Monthly Withdrawal Amount BDT 1,50,000

Monthly Transfer Amount BDT 25,000

Daily Agent Cash In/B2B Credit 5 times

Compensating the agent network

20

What are the commissions that you can receive?

How do you ensure high commissions

• Commissions are paid immediately into your registered MFS account

• You will receive commission on registering new customers and for conducting transactions

• There will be special incentives from time-to-time depending on the promotional activity of the provider

• Once you register as an MFS agent your MFS account is also registered

• Commissions are paid directly on the completion of any transaction that you conduct

• Make customers adopt multiple use cases resulting in more “cash in” transactions

• Facilitate payments of services at the agent location• Encourage customers to receive money from friends and

relatives into their mobile wallet• Encourage cash withdrawal from your store and make them

use the cash to purchase “other products” from your store• Remember to offer discounts on “other products” to ensure

a happy customer

Registration of agent

MFS account

Registering

customers

Conducting

transactions

Commission

paid

immediately

on

completion of

successful

transaction

Commission

paid

cumulatively

at intervals

along with

incentives

Text message sent

via SMS confirming

payment and amount

Compensating the agent network

21

The commissions

that operators pay

agents must, at a

minimum, be

generous enough to

persuade agents to

invest in

float, learn and

remember relevant

processes, and

serve MFS customers

Commission on customer acquisition

Commissions on transactions

Frequency of payouts

<To be filled by Provider>



Registering customers is more beneficial

22

• According to research, registered users are more likely to use mobile money for purposes

other than domestic money transfer.

• This means that these registered users are likely to conduct more cash-in transactions at

your agent outlet, especially since you registered them as customers.

• Registered users are also likely to use mobile money more often than unregistered users.

They are 8% more likely to use MFS at least once a month than unregistered users. This

means they will visit your outlet more often once they are registered.

Customer registration

100 customers registered<Input Commission

on registration>Amount

Cash in Transaction

100 customers conducting cash-in transactions for various services availed

<Input Commission on cash-in

transactions>Amount

Non registered customer transfer

100 customers come for OTC transfers only<Input Commission charged for OTC

transfer>Amount

Earnings through registered customers

Earnings through non-registered customers

Total earnings: BDT <Amount>

23

Products to offer- benefits to you

Encouraging customers to use a wide variety of products is extremely beneficial for all parties!

• Customers who use a variety of services apart from simple money transfer will tend to load more cash into their MFS accounts

• They are likely to visit your agent outlet if they are happy with your service

• This means you will have increased cash in transactions and as a result an increase in commissions as well

The commission for

cash-in paid to you

for each transaction

will be _____________

The more customers

who cash-in at your

outlet the higher

your commission will

be!

How do you encourage usage of all MFS services

• Facilitate payments of services at the agent location

• Make sure your customers know about the various services and products available through MFS

• Use every possible opportunity to educate the customer about common services which are more convenient through MFS

24

Products to offer- how customers will use them

1. Recharge

2. Load money

1. XXXX

2. XXXX

3. XXXX

1. XXXX

2. XXXX

3. XXXX

Additional points to note

<Please enter any additional points or instructions in this space>

25


1. Recharge

2. Load money

1. XXXX

2. XXXX

3. XXXX

1. XXXX

2. XXXX

3. XXXX



26


1. Recharge

2. Load money

1. XXXX

2. XXXX

3. XXXX

1. XXXX

2. XXXX

3. XXXX



IV. Key operational procedures

How to open a MFS account?

28

1. Filling up the account opening form of the customercorrectly

2. Ensuring collection of passport size photograph of thecustomer

3. Ensuring collection of Know Your Customer (KYC)documents from customers

4. Provide customer with their copy of the account opening form

5. Maintain appropriate records of customers andtransactions

Your role and responsibility as an agent

Typical KYC documentation

accepted

1. Copy of National ID card

2. Copy of citizenship certificate

3. Copy of driver’s license/ Passport

You are required to register and open MFS accounts of allcustomers using the devices that the provider hasprescribed with all the necessary documentationrequirements.

It also must be understood that deviation from prescribedprocesses will result in adverse impacts to your business.

29

How to open an MFS account- phone instructions

1. New customer

2. XXXX

1. XXXX

2. XXXX

3. XXXX

1. XXXX

2. XXXX

3. XXXX



30

How to open an MFS account- phone instructions

1. New customer

2. XXXX

1. XXXX

2. XXXX

3. XXXX

1. XXXX

2. XXXX

3. XXXX



Why are Know Your Customer (KYC) documents required?

31

The KYC documentation norms are mandatory and these processes enables You to:• Create customers’ risk profiles and monitoring suspicious transactions• Track customers’ use of services

MFS Account activation and

storage of documents for

future reference

Verification of KYC documents

and customer details compliant

with the MFS guidelines

Filling of account opening

form and collection of KYC

documents

Acquisition Verification Activation and Storage


Liquidity management

32

Liquidity Management in MFS is the optimal and sustainable handling, controlling and directing of cash and e-float

Inadequate liquidity will lead to turning customers down or service denials

Liquidity required depends on:

• Average transaction volume

• Average transaction value

• Cash-in/cash-out balance

• Max transaction size

1. Maintain adequate amount of both e-float and cash asprescribed by the provider

2. Plan in advance for increased transactions during periods ofhigh customer footfall

3. Be aware of how much time it will take to rebalance

4. Do not wait till your float or cash balances are depleted

�Disappointed customers

�Damaged trust in the system and thus long-term loss of both existing and potential future customers

�No business for agents

No liquidity


Liquidity management

33

Adapt the 1.5 stock rule of replenishing float

This works on the premise that you will need to have 1.5 times the previous days outflow (cash and e-money (float)), in stock, to effectively serve the customers on the next day.

If today, You have

provided a cash-out

of BDT 100,000 and have accepted

deposits or cash-in

worth BDT 50,000; You will need to have

cash worth BDT

100,000 x 1.5 = BDT

150,000 the next day in order to effectively

serve customers.

The same applies for e-

money (float) = BDT

50,000 * 1.5 = BDT

75,000. So she needs to

ensure she has uploaded

her agent wallet with BDT

75,000.

Thus, the total working

capital she will invest is

150,000 BDT + 75,000

BDT = 225,000 BDT for

the next day, if today she

has done business worth

BDT 150,000

Customer service

34

1. Always be courteous to customers regardless of transactionsize or frequency

2. Try and exceed customer expectations

3. Keep the agent outlet neat and organised making it a safe andsecure place for customers to transact

4. Listen to customer’s views and feedback and try and improvethe service accordingly

5. Do not debate or argue with the customer- always try to solvethe customer’s problems

Customer service is anything we do for the customer that is reliable & reassuring, done with courtesy and competence

Good customer service is the ability to consistently & constantly exceed customer expectations

Addressing capacity gaps among your customers

Key parameters for providing superior customer service

1. Product knowledge

2. Communication

3. Problem resolution

4. Professionalism


At the agent level these processes drive both structured growth as well as streamlinedoperations. You must understand these processes and also understand that deviation from thesame is likely to impact your business adversely. These processes may include:

• Customer acquisition• Collection of documentation• Conducting transactions• Communication with MFS provider

Compliance and obligations

35

Internal Business Processes

Branding

You can always contact the support call centre or contact the MFS field

staff for any queries you have regarding business processes

Since your outlet will be the customer’s first interaction with the MFS provider, it isextremely important to ensure that the outlets are branded in a correct manner, using theapproved collateral provided by the provider.

• Branding would impart knowledge to visitors at your outlet about the existenceof the product and service at the outlet

• Branding would also attract immediate attention of a customer looking for anMFS outlet nearby

• Branding material from a trusted MFS provider would also increases yourcredibility as an agent


36

Liquidity

You must:• Constantly monitor the status of your cash/e-

cash balances• Rebalance, if the transactions reaches a defined

minimum operating level• Proactively modify cash/e-cash balances to match

routine demand fluctuations• Be aware of all modes of rebalancing

Effective liquidity

management techniques

Adapting the 1.5 stock

rule of replenishing float.

Your liquidity requirement will depend on:

• Average transaction volume• Average transaction value• Cash-in/cash-out balance• Max transaction size• Expected increase in transactions

No liquidity could lead to service denial! It is to be avoided at all costs!


37

Warning!

Non compliance of these responsibilities can

lead to termination

1. Follow the business processes as laid out by the MFSprovider

2. Ensure proper branding of the agent outlet using collateralprovided by the provider

3. Maintain the requisite amount of e-float and cash asprescribed by the provider

4. Maintain full confidentiality of customer data collected foraccount opening


Confidentiality

Confidentiality is the assurance that sensitive information remains private and not able to be viewed or used by those unauthorised to do so.

• You must should ensure that any information collected from your customer is not shared with unauthorised persons.

• All documentation and records collected must be stored in a secure manner with access available only to authorised persons.

• You should handover or transmit data only to authorised staff of the MFS provider. Special care should be taken with sharing phone numbers of women customers.

Grievance redressal

38

1. Record any complaints raised by customers

2. Maintain a complaint register and log every complaint madeby customers

3. Aim for speedy resolution of any grievances that customersmay have by taking support of the provider staff

4. Instruct and direct the customer to approach the MFSprovider through the means of a call centre or a designateddepartment

You are the customer’s primary contact point for any MFSconcern or issues.

It is extremely critical as an agent to take up and understand thecustomer complaints in a professional manner and try resolvingthem at a high rate of successful closure of complaints.

Escalation:

YOU must ensure that you understand the escalation matrix for various issues and communicate the same to the customer


Common issues faced by customers

39

• Use the material provided by the MFS provider to explain the difficult terms to the customer

• Use practical demonstrations to explain the terms

• Share material such as pamphlets and brochures with the customer for easy reference in the future

Understanding

terms used in

MFS

Unauthorised

charges

Unauthorised

access to

customer PIN

Fraud during

transactions

• Immediately escalate the issue at hand to the representatives of the MFS provider

• Prominently display a chart of all charges and fees at the agent location


• Ask customer to change the PIN at the earliest

• Guide the customer on security risks of sharing PIN or transacting in crowded places


• Note down the customer complaint in the complaints register with all details of the transaction

• Update the customer based on the response from the provider

Common Issues faced

by customers

Possible redressal

methods to be employed

by agents

How will providers support you?

40

Your entitlements from your provider

Agents are entitled to business support from the provider,in terms of branding and marketing, technical issues as wellas business tools to enable them to perform better.

Women agents, in particular, will receive morehandholding in every facet of operations as they start theMFS business.

Agents must understand who the key points of

contact within the provider staff for different support

functions

Dedicated back office support

Call centre Access

On ground Support – dedicated pool of field staff

Receive Merchandise – tariff posters, fliers

Receive business tools – agent record sheet, transaction books, registration forms

V. Risks in MFS and mitigation strategies

Callout!

42

What are the different risks that you may face as women MFS agents?

There are a number of risks that you may face at agent level

43

Operational

Unauthorised access to agent

phone

Technical failure

Fake customer identity

ReputationalFraud

Counterfeit currency

Phishing, SMS fraud

Unauthorised PIN access

Reversal request

Incorrect transaction

Improper verification of KYC

Security

Theft and robbery

While there are many other risks associated with MFS, these

are the most relevant to you as women agents.

New women agents are particularly susceptible to security risks and risks of fraud. Both,

You and Your Provider have to ensure adequate handholding to protect you during daily

operations.

There are mitigation mechanisms which can be put in place

44

Operational

• You need to be cognisant of the different kinds of transactions and customers which visit the outlet.

• In case of any suspicion contact your provider.

• The outlet should never be left unattended.

• Sufficient liquidity must be maintained both in e-float and in cash.

• Collection of original documentation from the customers may reduce the incidence of this type of fraud.

• KYC documents should be screened thoroughly.

• Maintaining a copy of KYC will also help reduce this risk

ReputationalFraud

• You must attend the training provided by your providers to be aware about the possible frauds

• You need to identify counterfeit and fake text messages

• You must be aware of the processes to be followed while reporting a fraud

Security

• You must adhere to the provider guideline on infrastructure to deter potential theft.

• You also should ensure that your outlet is located in a crowded place and attended by a male staff so that any incidence of theft would not go unnoticed.

• You should know the contact information for the local police/local government officials who can assist you when security risks arise

As women agents, you must incorporate the following measures in your agency operations tomitigate the risks involved in agency banking.

SCENARIO 1: OTC TRANSACTIONS AND REGISTRATION

45

A woman from the community approaches you to conduct an OTC money transfer to a phone number she has with her. She says the phone number is the account of her mother.

What do you do in this scenario?

SCENARIO 2: LOST PIN AND CASH OUT

46

A customer with a registered account approaches you. She wants to know if money a relative sent to her account actually arrived, and wants to check her balance. In addition, she cannot remember her PIN.

If the money did come through, she wants to perform a cash-out transaction.


SCENARIO 3: ALLEGATIONS OF FRAUD

47

A male customer with a registered account approaches you. The customer alleges that 1,000 taka from his account has disappeared, and he does not know how. He is angry, and is demanding the money be returned to him.


THANK YOU !!!

48

Do you feel confident that you too can become one of these successful women MFS agents?

Annexure: MFS in Bangladesh is rapidly growing

49

Adoption and usage rates of MFS in Bangladesh are increasing month on month

As of August 2016 there were 373.09 lakh

customers of MFS across the country

These customers conducted 123,652,738

transactions in one month!

The transactions were worth 20,343.22 crore BDT

These customers were serviced by a network of 633,294

MFS agents spread across the country

On an average there are

4,120,858 transactions conducted daily worth

678.11 crore BDT

In the few years since the launch of the MFS guidelines, the sector has shown significant growth.

As Bangladesh is a bank-led model, all of the MFS products on the market are run by banks or their

subsidiaries. Bangladesh Bank has allowed 28 banks to offer MFS, of which 19 banks have already

started to work on their MFS products in some capacity.

Although MFS in Bangladesh was initially seen by consumers as a cash

transfer service, this is beginning to change. Other types of services, such

as utility bill payment, salary payment, payment collection, merchant

payment, and savings schemes are also available in the market.

Documents

Public Disclosure Authorized · Increasing use of mobile phones •As mobile phone penetration increases, the potential customer base increases as well New use cases •Newer use