Twc Pmeeds Report

8/6/2019 Twc Pmeeds Report

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Asias Friendliest Experience Delivery SystemTerminal Report

Technical Working CommitteeHuman Resource and Development Department

1

Terminal ReportTechnical Working Committee

PAGCOR Mabuhay Entertainment Experience

Delivery System


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Executive Summary

This Terminal Report presents the imperatives for our transformation towards a service

oriented business organization while laying down the frameworks, infrastructure and

support mechanisms to achieve our vision of becoming a truly global and competitive

government corporation. It summarizes the work conducted by the Technical Working

Committee on Pagcor Mabuhay Entertainment Experience Delivery System.


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INTRODUCTION

Long-range planning

does not deal with

future decisions, but

the future of present

decisions.

Peter F. Drucker


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Forces for change

urs is a time of a very turbulent yet exciting business environment. Economic powersare on the verge of shifting from the dominant West to countries in Asia particularly

India, Japan, South Korea and China. Service industries now dominate the globalbusiness make-up, amounting to 55% of total economic activity in the US alone1.

In the gaming sector, Asian countries has started opening up their economies to gamingfirms. Leading the new entrants to the gaming business are Singapore, Taiwan, and Thailand.Noteworthy of course, is the opening up of Macau in 2001 to foreign casino investors, endingStanley Hos 40-year casino monopoly.

City Weekend Beijing, an on-line business magazine based in China, reported on 01 May2006 that Macau raked in sales of US$5.8 billion in 20052. The Nevada Gaming ControlBoard reported casino sales of US$6.03 billion in the same year. For comparison, PAGCORearned PhP 21.19 billion or roughly US$ 375 million in 20043.

These changes in the market have great impact on how the Philippine Amusement andGaming Corporation can claim its stake of the future. Can PAGCOR get a sizeable amountof the gaming money circulating in Asia?

Strategic plan

Aware of these tremendous challenges, PAGCORsenior managers held a Strategic Planning Seminar-Workshop in August last year. The workshopparticipants identified our business strategy -strengthening our resources to compete globallyusing our distinctive customer service as our mostpotent weapon and our people as our most valuedammunition.

Core Values

Early this year, the Board of Directors adopted ascompany policy the core values of PAGCOR:customer service excellence, integrity, teamwork

and social responsibility.

It is the Customer Service Excellence dimensionthat the TWC attempted to define through thePAGCOR Mabuhay Entertainment ExperienceDelivery System.

1 US Census Bureau. http://www.census.gov/econ/www/servmenu.html2 City Weekend. http://www.cityweekend.com.cn/en/beijing/cib/2006_05/casinos-power-macau-3 2004 PAGCOR Annual Report

O

1. Train and Professionalize Personnel2. Implement Reward System

Skills, Attitude, Enhancement of CasinoPersonnel

Courteous Employee, Faster Deals, FasterSM Servicing, Faster Delivery of Amenities

Satisfied, Happy Customer, MoreCustomers, Longer Playing Time, More

Visits

Revenue Growth

STRATEGY

Learning andGrowth

InternalProcesses

Customer

Financial

Balanced Scorecard, Group 3able 1.l k h


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Framework Setting

On February 15, 2006, the Board of Directors approved the PAGCOR MabuhayEntertainment Experience Delivery System (PMEEDS) as the guiding framework in comingup with a strategic and holistic customer service delivery system. It also approved the

creation of the Technical Working Committee (TWC), convened on 01 March 2006 andtasked to review existing standards for front liners and align said standards with thePMEEDS. The envisioned output is a comprehensive service manual for all serviceproviders.

The TWC later on shortened PMEEDS toAsias Friendliest Experience Delivery System orAFEDS for easy recall, without losing its original meaning- that of providing a truly Filipinogaming experience. AFEDS consists of three major components- strategy formulation,implementation and strategic control and evaluation- geared to unite all company resourcesand initiatives in transforming PAGCOR into a customer-focused, service-orientedorganization, true to its claim of providing Asias Friendliest Experience (AFE) in thegaming industry.

Scope of Committee Work

The Technical Working Committee embarked on the review process with the end in view thata more responsive, realistic and practical customer service standards which are consistentwith our market positioning strategy will be developed and codified into a manual. Toachieve this, the committee went through the following key activities:

Capability BuildingContinuous capability building activities were conducted to equip the members withnecessary theoretical foundations on service marketing. Committee members pored overvarious literatures on service marketing to get a good grasp on how other serviceorganizations perform. These were complemented with actual or practical observations ofseveral service-oriented businesses, chief of which is our very own Casino Filipino.

Figure 1:MABUHAY EXPERIENCE

DELIVERY SYSTEM

Define Target Experience

Develop standards

Draft written policies

Develop hiring criteria

Develop training and orientation programs

A s ia s F r iendl ies t

CUSTOMERSERVICE

PACKAGE

MONITORING

StrategyFormulation

ImplementationStrategic Controland Evaluation

RewardsPrograms

Remedialand Sanction

Programs

Define Target Experience

Develop standards

Draft written policies

Develop hiring criteria

Develop training and orientation programs

A s ia s F r iendl ies t

CUSTOMERSERVICE

PACKAGE

MONITORING

StrategyFormulation

ImplementationStrategic Controland Evaluation

RewardsPrograms

Remedialand Sanction

Programs


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TWC members went around Casino Filipino branches in Metro Manila where customerservice contacts with customers were observed. East Bay Casino and Resort also was visitedto benchmark their customer service, human resource and operations practices with ours.

Review of Existing Standards for Front liners

In assessing our existing customer service competencies as an organization, TWC used the Four Stages of Service Firm Competitiveness (Table 2) as guide in determining ourcurrent level.

The Casino Observation Tours in the different Metro Manila Branches provided the TWCinsights on the quality of our personal (interaction between service providers and customers)and non-personal contacts (tangiblesfacilities and equipment, including uniforms).

The quality of our tangibles varies, from impressive to unappealing in each casino. Theservice providers were courteous and helpful, however, there were instances where deliveryof service is slow and in particular (and almost consistent in all branches), preparation of a

jackpot receipt took a longer time than necessary.

During the TWCs focus group discussion with branch and corporate representatives, severalissues on conflicting priorities were raised. Among these were issues on cost-cutting/ costsaving, limited manpower and unnecessary procedures/controls- innocently instituted tominimize/avoid expenses, error or fraud but adversely affects the quality of service delivery.

Generally, the customer service delivery we observed can be described as inconsistent andhighly dependent on many variables.

These evidences suggest that our level of customer service competitiveness is between Stage1 (Available for service) and Stage 2 (Journeyman), heavily characterized by the following:

Customers patronize us because we are the only dominantly available option.

Operations of the firm can be described as reactive, heavily relying on band-aidmeasures instead of treating organizational defects.

Service quality is not consistent in all branches and across service areas (slot machine,treasury, gaming areas, etc.).

Our back office is given importance, realizing its role in the service delivery but notyet fully maximized.

We have yet to introduce the Player Tracking System as a way to record and managecustomer information.

Introduction of new technology is generally restricted due to shortterm costconsiderations.

Casino personnel follow stringent rules and procedures. Front line management generally controls the workers first, process second.

Stage 1 is a hit or miss service delivery. Providing quality customer service is highlyvariable and is less a concern than keeping costs down. Stage 2 on the other hand shows thatPaGCOR has become aware of customer expectations and is now exerting incremental effortto meet them.


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TABLE 2

FOUR STAGES OF SERVICE FIRM COMPETITIVENESS4

Identification of Moments of Truth (MOT)

The technical committee proceeded on reviewing the casino service cycle (Figure 2) andidentifying the various moments of truth with customer. To have something to start with, welimited our review only to personal contacts and touched a little about non-personal contacts,mostly under tangibles.

4 Benjamin Schneider and David E. Bowen, Winning the Service Game (USA:1995), 209-210.

Stage1. Available for

Service

2. Journeyman3. D istinctive

Competence Achieved

4. World Class Service

Delivery

Customers patronize

service firm for

reasons other than

performance.

Customers neither

seek out nor avoid the

firm.

Customers seek out the

firm based upon its

sustained reputation for

meeting customer

expectations.

The company's name is

synonymous with service

excellence. Its service

doesn't just satisfy

customers, it delights them

and therby expands

customer expectations to

levels its competitors are

unable to fulfill.

Operations is

reactive, at best.

Operations functions

in a mediocre,

uninspired fashion.

Operations continually

excels, reinforced by

personnel management

and systems that support

an intense customer focus.

Operations is a quick learner

and fast innovator; it masters

every step of the service

delivery process and

provides capabilities that are

superior to competitors'.

Service

Quality

Is subsidiary to cost,

highly variable.

Meets some customer

expectations,

consistent on multiple

dimensions.

Exceeds customer

expectations, consistent on

mutiple dimensions.

Raises customer

expectations and seeks

challenges, improves

continuously.

Back Off ice Counting Room. Contr ibutes to service,

plays an important

role in the total

service, is given

attention but still a

separate role.

Is equally valued with front

office, plays integral role.

Is proactive, develops its

own capabilities, and

generates opportunities.

Customer Unspeci fied, to be

satisfied at minimum

cost.

A market segment

whose basic needs

are understood.

A collection of individuals

whose variation in needs

are understood.

A source of stimulation,

ideas, and opportunity.

Introduction

of New

Technology

When necessary for

survival, under

duress.

When justified by cost

savings

When promises to enhance

service.

Source of first-mover

advantages, creating ability

to do things your competitors

can't do.

Workforce Negative constraint. Efficient resource,

disciplined, follows

procedures.

Permitted to select among

alternative procedures.

Innovative, creates

procedures.

First Line

Manageme

nt

Control workers. Controls the process Listens to customers,

coaches and facilitates

workers

Is listened to by top

management as a source of

new ideas. Mentors workers

to enhance their career

growth.


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Initially, we identified a total of 235 moments of truth, which was later trimmed down to itsfinal number, 86, when service providers having similar MOTs were grouped together.However, these MOTs are not exhaustive, in the sense that more MOTs may still beidentified later on due may be to introduction of a new product, a new system, or a new

process in the casinos.

The Service Flowchart

A service flowchart typically aids service providers and managers in mapping out their workflow to standardize each step in the service delivery process. A well-written serviceflowchart will state how much time a certain process must take place, who is responsible, andwhat to do in case of service failures.

Unfortunately, we discovered that casino operations have no defined service flowchart yet,thus creating an atmosphere of confusion both to the service providers and customers. Whatis presented above is an overview of our service flowchart minus the intricate details,particularly on what to do in the event that a service failure occurs. It is not explicit about

how far can a service provider go in placating a customer, when should it be referred tosupervisor or manager, and how empowered these people are in recovering from servicefailures.

FIGURE 2:CASINO SERVICE CYCLE

Goes back to theteller or chips/ tokensto cash exchanges.

...13?...Will theyCOMEBACK?

Desires to come tothe casino

Seeks for valet

services

Enters the MabuhayZone

Pays the casinoentrance fee

Goes thru Processing Point

Proceeds to the teller for cashto chips/ tokens exchangesPlays the table games, slotmachines and/ or bingo

Orders food andbeverages

Goes to thecomfort room.

Leaves the

Mabuhay Zone

Seeks forvalet services 11

22

33

44

55

6677

88

99

1010

1111

1212


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Identification of Support and Facilitation Systems

The support and facilitation systems will be thoroughly discussed in the recommendationsection of this report.

Setting Performance Standards and Measures

Performance standards for service managers and service providers will rely on what theservice manual dictates them to do. The manual gives very specific behaviors required of ourservice providers for each particular situation or encounter with customers.

TWC however provided some starting points for both MSD and QCU to work on. Themanual itself contains self- reflection questions dubbed as Mabuhay Moment Checklistwhich the service provider and other entities in charge of monitoring his performance can useas indicators. Latter part of this report also contains specific recommendations on how the

monitoring system should be done consistent with the AFEDS framework.

FIGURE 3:CASINO SERVICE FLOWCHART


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Validation Process

On June 14-16, 2006, TWC conducted Focus Group Discussions (FGD) with representativesfrom various divisions/units of all Metro Manila casino branches and concerned corporatedepartments to:

Validate completeness and correctness of MOTs identified by the TWC Validate whether service promises are attainable and realistic

Validate the usefulness of indicators for each SERVQUAL dimension

Validate the appropriateness of recommended phrases

Generally, we received favorable feedback from the service providers themselves.Department heads likewise commended our efforts and sent their agreements on the initiativethat further validated the TWC output.

Specific comments and suggestions from FGD participants were then incorporated in thefinal drafting of the Moment of Truths.


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WINNING THE RAISEGuide for Asias Friendliest

Each of us isAsias Friendliest.


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eing in the service industry, our employees are perceived by our customers as theorganization itself. This means that their behavior and the experiences this behaviorcreates for customers are service quality in customers eyes. Since we carry the brand

of being Asias Friendliest Casino, our customer expects that their experiences will bedelivered by Asias friendliest employees.

The TWC proposes the accompanying customer service manual - Winning the Raise: TheAsias Friendliest Guide. This will serve as our Service Providers tool in delivering theAsias Friendliest Experience.

Winning the Raise is titled as such to veer away from the usual manual format depicting atraditional, inflexible, and process-focused organization. Service orientation needs a flexible,innovative and people-centered strategy that will provide each Service Provider thefollowing:

1. Top Rater

The Top Rater is a set of guiding principles that every employee must refer to whenperforming each moment of truth with a customer. It shall help us in setting the rightemployee mindset that will ultimately bring the ideal service behaviors. It is also adeclaration of commitment to service quality.

In crafting the Top Rater, the five service quality dimensions5, namelyResponsiveness,Assurance, Tangibility, Empathy and Reliability were used as reference of an excellentservice behavior.

2. Grooming Standards (Annex B)Formerly General Standards for Physical Appearance and Personal Hygiene

Being Asias Friendliest Service Providers, our employees are expected to enter thecompanys premises exhibiting an aura of neatness, orderliness, competence andreadiness to serve customers. These can be achieved by strictly adhering to the groomingstandards.

3. Moment of Truth (Annex C)Customer Contact Standards for Service Providers

Moment of truth, as mentioned earlier refers to any time customers come in contact(personal or non-personal) with the organization and use that contact as basis for judgingservice quality. This is the meat of the manual, where each MOT for all serviceproviders is identified and standards are set.

Features of the manual

Service Provider (SP) one of the main actors in every moment of truth; the termwas adopted by the AFEDS-TWC rather than employees or front liners because itcaptures the essence of providing customer service compared to other names that

5 Valarie A. Zeithaml, A. Parasuraman, and Leonard L. Berry,Delivering Quality Service: Balancing CustomerPerceptions and Expectations. (New York: The Free Press, 1990), p. 26.

B


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describes what the SPs are doing. The term service provider has gained wideacceptance among customer service practitioners all over the world because of itssuggestive value.

Service Promise a guarantee we declare to the customers on what they can expectfrom the service and what action we will take to recover from service failures.

Implicit a promise that is not stated openly to customers. It is evident throughthe actions repeatedly performed by service providers during each and everysingle Moment of Truth

Explicit a promise that is openly stated and brought to the notice of customers,it may, for instance, be published in advertisements. It spells out the quality ofservice that customers can expect from the service organization. Being AsiasFriendliest is the most explicit service promise that we give our customers.

Service Outcome/Product comprises the basic service (also called the main or coreservice) and all supporting services that facilitate, enhance, and support the serviceprocess and yield customer benefits.

A service outcome is the aspired result of a delivered service. Service products, onthe other hand, are those augmented products that come with casino transactions

Service Quality Dimensions (SERVQUAL) a set of globally accepted principaldimensions customers use to judge a companys service. TWC used these dimensionsto provide basic standards in the delivery of each MOT. In order to effectively deliverthe service promise, all five elements listed below must be present:

Table 3. The Five Service Quality DimensionsResponsiveness willingness to help customers and provideprompt service

Assurance knowledge and courtesy of employees and theirability to convey trust and confidence

Tangibles appearance of physical facilities, equipment,personnel, communication materials and even

of other customersEmpathy caring, individualized attention the firm

provides its customersReliability ability to perform the promised service

dependably and accurately


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Maximum Delivery Time (MDT) the length of time necessary for a particular serviceto be delivered, inclusive of a reasonable length of time to cover contingencies.

Recommended Phrases suited phrases are enumerated to provide SPs with

conversational tools in dealing with each MOT. These are only recommendedphrases, they may be adapted when best suit the situation. They may also be translatedin languages/dialects that will produce more positive results.

Mabuhay Moment Checklist provides SP with self- reflecting questions topersonally evaluate ones performance in a particular MOT. We want to encourageour SPs to be conscious of their performance so that the next delivery of the sameMOT will be improved or exceed customers expectations.

Mabuhay Zone

In addition, TWC introduced a Mabuhay Zone, an area in the casino where customerexperiences a distinct manner of reception. Service Providers greet customers withMabuhay, a truly Filipino greeting that expresses elation upon customers arrival.It also connotes a wish of good fortune and safe travel for departing customers.

The Mabuhay Zone starts at the main casino entrance where a customer is welcomedby the Doorman up to the area where qualifying tickets are sold by the TreasuryReception Assistant. It ends right after a customer has gone through the ProcessingPoint.

All SPs regardless of rank who are stationed at or passing through the Mabuhay Zoneare expected to render the Mabuhay greetings to all incoming and outgoing

customers.


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RECOMMENDATIONS

I will deliver service quality to

customers if you deliver a quality work

experience for me.

I will be responsive, courteous, reliable,

understanding and so forth

if you treat me that way, too.In other words, I am as important as

you want me to feel customers are.

But dont take advantage of me.

You must not only provide for my

security but also treat me as an adult

and facilitate my work,

and you must treat me fairly

by rewarding me based on my

contributions.

The Psychological ContractBenjamin Schneider and David E. Bowen,

Authors of Winning the Service Game.


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A. CONDITIONS FOR EFFECTIVE IMPLEMENTATION

inning the Raise: Guidefor Asias Friendliest is just one of the components ofAFEDS framework presented earlier. True to its nature as a system, all of its parts

should be independently working and seamlessly interconnected with the otherparts at the same time, in order to be effective.

Implementation of these standards requires other components of the AFEDS to be at work.This calls for the re-alignment, and to some extent, overhaul of all existing company policiesand programs to make them consistent with and supportive of Asias Friendliest Experience.

Thus TWC presents the following conditions for effective implementation:

1. Re-align Hiring Policy

The creation of the customer service manual provides the Human Resource and Development

Department with a tool not only in hiring new Service Providers but also in making judgmenton an employees assignment, promotion, and other personnel action. The companysparadigm shift from gaming to entertainment dictates that we need people who are bestequipped with customer service skills, people who are best suited to deliver our customersexpectations, wants and needs. This means discriminately hiring people who can demonstratethe competencies in delivering the Asias Friendliest Experience by passing a rigid screeningand hiring process.

On the spot written examinations and interviews are not enough in gauging ones ability andcapability in handling customer contact jobs. Though they may contribute a little, our hiringdecision must concentrate on applicants behavior that we observed during the hiring processand on what we know they are capable of doing, not on what they tell us they are capable of.This leads us to the need to review and redesign our hiring policy to one that strictly looks forservice competencies in applicants. Some available tools that may be looked at are thefollowing:

a. Behavioral Simulations we can design job simulations for our applicants. Jobsimulations create standardized condition that will require our applicants to role playthe position he/she is applying for. Through this test, we can observe how theapplicant handles given situations (from appealing to unappealing) and his ability todeliver the needs of the customers.

b. Personality Testing for Service Orientation hiring the right personality type for a

service position is important in our business. Generally, in searching for new ServiceProviders, it is also important to know their personal disposition, especially on howthey view themselves. Happier people, those who positively view themselves and theworld around them, prove to be happier at work, and their customers to be moresatisfied.

W


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Examples of personality tests that can be considered by our company are:

Hogans personality measure of service orientation (by Robert Hogan) service orientation is defined here as the willingness to treat coworkers andcustomers with courtesy, consideration and tact, perceptiveness regarding

customer needs and the ability to communicate accurately and pleasantly.6

Personality Measurement developed at Personnel Decisions, Inc. (inMinneapolis) assesses friendliness, competence and the degree to which a personis practical and realistic, courteous, tactful, and open-minded.7

Personality Measurement developed at CORE Corp. (in San Francisco) isdesigned to assess active, polite, helpful and personalized customer relations.8

Service traits and Attitudinal Response (STAR) Profiling offers valuable insightsinto ones service attitude and helps to evaluate ones potential for providingexcellent service. There are eight attributes to this profiling namely, Customer-

first Mindset; Positive Outlook; Professional Acumen; People Orientation; BasicRespect; Resourcefulness; Personalized Responsiveness and Reliability.9

c. Interviewing for Service Motivation- we can also use structured (competency-based) interviews wherein applicants will be verbally placed in situations they haveexperienced and will be asked how they behaved and why did they behave that way.Interviewers will then use a standardized scoring matrix to document the presence orabsence of statements made by the interviewees with regard to the importantmotivations and competencies required for the position. Interviewers are thenrequired to make judgments at the conclusion of the interview about certainindicators (see Table II for example).

In this method it is also important to use more than one interviewer to yield betterhiring decisions. One way in assuring that the objective of this method is achieved isby training the interviewers with the skills required.

We should also start viewing job applicants as our customers, and prospective ServiceProviders. Their first contact with our organization is a crucial moment where firstimpressions are being created. These impressions will later be modeled by successfulapplicants (those who gets hired), believing that the standards of behavior accorded himduring his application are the standards required of him when in contact with customers.

6 Benjamin Schneider and David E. Bowen, Winning the Service Game (USA:1995), 119-1207 Ibid.8 Ibid.9 Productivity and Service Quality, Singapore Institute for Quality and Productivity, 27-28.


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Table 3

Motivation and Competency Issues That Interviewers Must Rate at the Conclusion of a Structured

Interview10

Client Service

Is responsive to customer request even though the customer is not visible. Puts clients (internal/external) at ease in high-stress situations.

Is patient with clients; controls temper.

Solves problems for clients as a team member.

Oral Communication

Listens and understands the spoken words of others.

Communicates work-related concerns so they are understood.

Communicates technical information so it is understood.

Pressure and Adaptability

Works under pressure (handles several requests at one time).

Tolerates stress; bounces back quickly when frustrated,

Adapts to changing work conditions and crises.

Interpersonal Sensitivity

Calms down upset people by being responsive to their concerns.

Respects coworkers responsibilities/priorities as equal in importance to self inserving customers.

Is gently assertive in explaining own point of view.

2. Customer-Focused and Aggressive Training Programs

By providing adequate training programs to our employees, our company will not only equipour Service Providers with the professional, technical and customer service skills, it will alsoshow that our company invests in them and has interest in bringing them along in the future.

It builds a career for Service Providers in this particular industry, and not a dead-end. Thisalso helps in keeping our employees motivated.

The AFEDS includes developing orientation, training and probationary programs designed toprepare the employees to deliver the Asias Friendliest Experience on their first day of workand thereafter. With the customer service standards fully drafted, it is imperative for thecompany to design a training program to affect these standards.

On July 03, 2006, TWC met with representatives from Metro Manila casino branches,Customer Service Core Group, Core Values Team and other key corporate departments tocome up with the companys customer service training package in light of the service manualbeing drafted.

Together with the service standards, it will also be best to educate our Service Providers withthe service industry, the gaming sector, and the companys business strategies; skills incustomer service, and managing their self concepts. Figure 3 provides an overview of theproposed service path for all Service Providers.

10 Benjamin Schneider and David E. Bowen, Winning the Service Game (USA:1995), 123.


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Figure 3:Training Path for

Service Providers

Train-The-

Trainers

Workshop

5 days

Orientation

Workshop on

Winning the Raise1 Day

Core

Courses

Pre-requisite

Course

Orientation

Program forNew Officers

days

Semi- Annual Briefing on

Gaming and Hospitality

Industries

1 day

Orientation on PMEEDS

4 Hours

Alignment of Systems and

Processes5 Hours

Role of Service Manager

in Creating a Service

Culture

1 day

Senior Management

Session on ServiceManagement

4 Hours

Quarterly Briefing on

Customer Satisfaction

Surveys

4 Hours

Orientation

Program forNew FLLs

days

Train-The-

Trainers

Workshop

5 days

Orientation

Workshop on

Winning the Raise1 Day

Core

Courses

Pre-requisite

Course

Orientation

Program forNew Officers

days

Semi- Annual Briefing on

Gaming and Hospitality

Industries

1 day

Orientation on PMEEDS

4 Hours

Alignment of Systems and

Processes5 Hours

Role of Service Manager

in Creating a Service

Culture

1 day

Senior Management

Session on ServiceManagement

4 Hours

Quarterly Briefing on

Customer Satisfaction

Surveys

4 Hours

Orientation

Program forNew FLLs

days

Core Courses

Pre-requisite

Course

Technical

Competency

Courses for

New SPs

FLLTC for

New FLLs

Customer Service Plus: Telephone Courtesy, Service Recovery, Taking the Heat, Service Boosters , etc.

Winning the Raise

Brand Me ( Asias Friendliest Service Provider)

Emotional intelligencePersonality Development

(Grooming Standards)TOP RATER

Product Knowledge and Brand Recognition

Vision/ Mission Casino Filipino Products Marketing ProgramsCore Values

Customer Service Paradigm

Introduction to the Service Industry Customer Service Paradigm

Customer Relationship Management Course: Building Customer Loyalty

Core Courses

Pre-requisite

Course

Technical

Competency

Courses for

New SPs

FLLTC for

New FLLs

Customer Service Plus: Telephone Courtesy, Service Recovery, Taking the Heat, Service Boosters , etc.Customer Service Plus: Telephone Courtesy, Service Recovery, Taking the Heat, Service Boosters , etc.

Winning the Raise






(Grooming Standards)TOP RATEREmotional intelligence

Personality Development


Product Knowledge and Brand Recognition

Vision/ Mission Casino Filipino Products Marketing ProgramsCore Values

Customer Service Paradigm

Introduction to the Service Industry Customer Service Paradigm

Customer Relationship Management Course: Building Customer LoyaltyCustomer Relationship Management Course: Building Customer Loyalty

Figure 4:Training Path for Service

Managers and Trainers


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In order for us to consistently execute Asias Friendliest Experience, we must adopt arewards and recognition program that reinforces the prescribed employee behavior.

Bob Nelson, in his bestselling book 1001 Ways to Reward Employees, identified thefollowing elements of an effective rewards and recognition system:

1. It should reflect the company values and business strategy2. Employees should participate in the development and execution of the programs3. The programs can involve cash, non cash or both4. The rewards should encompass variety to meet the varying motivational needs of

employees

5. The programs should be made public6. The program should be reviewed regularly

With all these in mind it is about time that we study all existing rewards, align them withcompany/ branch/ team/ individual goals.

The following are kinds of rewards- formal and informal, cash and non cash in forms- that

can be used by PAGCOR:

Money as reward

It is thought that people will do almost anything for money so we have to think howto use this to direct employees towards delivering excellent customer service. Wemust let our employees believe that being Asias Friendliest (complies with all servicestandards) means receiving more than those employees who come to work just to bepresent.

The job as a source of reward

It is said that people will be more satisfied at work if theywill be able to deliver the job they were hired to do. Satisfiedemployees mean satisfied customers. This means that the jobcan provide motivation to employees. What the companymust do is to define well the job, provide the employees withthe knowledge and skills required, give them the opportunityto improve, and allow a certain level of empowerment orindependence.

Management on the other hand needs to be consistent in its goals and policies both inwords and action so as not to confuse the employees.

Recognition and feedback as rewards

The need for self esteem is the reason why recognition and feedback motivatesemployees to do better jobs. Simple ways of communicating with the employees thatthey did a good job, that what they did contributed to the companys success, thattheir presence meant a lot, etc. are considered rewards. As social beings, employees

Without greatemployees you

can never havegreat customerservice.

Richard F. Gerson


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feel they are rewarded once they receive recognition and feedback from theircustomers, from co-employees and especially from immediate supervisors andmanagers. When done correctly, this form of reward is by far the most inexpensive.

Achievement of goals as rewards

Goal accomplishment is important when the goals are accepted as important. Goalaccomplishment can be used as a basis for dispensing any other rewards such asmoney, feedback and recognition. Progress toward goal accomplishment and goalaccomplishment will be given public recognition and will be celebrated.

It is also important that goals that are set should be specific, challenging, achievableand are accepted service goals or committed in attaining the AFE. Goals may bewritten as achieving zero customer complaint in one year or receiving 5commendations a month from satisfied customers.

In light with the implementation of our Code of Discipline, simple yet frequentrewards can serve as mitigating factors for simple infractions/ misconduct.

4. Positive Remedial and Sanction Program

Part of strategic control and evaluation component of the AFEDS is developing remedial andsanction programs. A thorough monitoring system will enable the company to identifysubstandard performance rooted on problems in equipment, system, procedure, policy orpeople.

The role of remedial programs is to offer additionaltrainings, seminars or even counseling to employees withgaps in performance, specifically to address a problem ordeficit in any of the required competencies (attitude is partof a competency).

Remedial programs are not punishments but reinforcementmechanisms that can be used to bridge the gaps inperformance.

Sanction program on the other hand are needed to deal withemployees who continually fail to meet standards ofperformance despite undergoing specific remedialprograms. If the same employee keeps needing remedialtraining and/or can not pass remedial training standards,

then he/she needs to be separated from the company. It isimportant that the employee will be able to fit in thecompanys service culture. If this is not possible then thecompany has no choice but to replace the employee forsubstandard performance and be purged out of the system.

The visionary

companies have such

clarity about who theyare, what they are all

about, and what they

are trying to achieve,

they tend to not have

much room for people

unwilling or unsuited

to their demanding

standards.

Built to Last: Successful

Habits of Visionary

companies, James Collinsand Jerry Porras


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24

B. POLICY IMPLICATIONS: THE THREE SHIFTS

Shift in Logic

In our own corporate setting, tasks are allocated

by departments. These departments, havingdifferent goals, have, by necessity, differentpriorities. These priorities define the logic thatgoverns each department. More often than not,these logics come into conflict with one another.For example, concern for game protection(Surveillance logic) may decrease the number ofdeals (Operations logic); while cost cuttingmeasures (Accounting logic) may have adverseeffects on marketing efforts (Marketing logic),and so forth and so on.

Customers are not interested in our internalconflicts and problems. The most importantconsideration for them is how their needs are met.To meet customer needs, these opposing logicswill have to be welded into one synergistic logicthe sole purpose of which is to make ourcustomers happy by giving them the kind ofattention they want.

Therefore, to enhance our customer service capabilities, we will have to shift from multiple,disparate and, oftentimes, contradictory functional logics towards one unified and dominantlogic.

This one synergistic logic is what is known as Service Logic. Service Logic considersservice delivery from the perspective of customers, and then works internal systems aroundperceived customer preferences.

When all functional departments have the best interest of the customers in mind, or whenthey employ service logic in instituting policies, conflict and contradictions will beeliminated.

Shift in Strategy

The strategy we employ to meet our income projections is to expand our market whileretaining our customer base. More often than not, we look at our financial performance asour sole bottom line, and forget the rest.

A shift in strategy means that revenue is not the sole indicator of our firms performance. Itmeans that we should include, in our plans and goals, other indicators towards achievingcompetitive advantage. These indicators include, but not limited to the following:

Figure 6:Customer Focus PAGCOR

Synergy towards achieving customersatisfaction


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Market share (local and foreign)

Brand equity

Customer attendance (new players, repeat customers, quality of customers)

Customer satisfaction

Employee satisfaction (including quality of employees and applicants)

Turn over rate

Shift in Culture

Years of continuous growth has made us complacent and, to a significant degree, indifferentto the changing needs of our market. Many among us still choose to believe that customerswill continue patronizing our casinos no matter what happens. Thus, resistance to changeremains strong among our officers and employees.

Though outwardly proclaiming approval and support, in reality, some people pay little morethan lip service to marketing and customer service initiatives, regarding these initiatives asbeing unnecessary and irrelevant, even wasteful.

This attitude not only shows a lack of appreciation for the context within which casinosoperate, but also fails to recognize the direct relationship that exists between corporate healthand their own economic well-being.

In the meantime, our drive towards customer service excellence still has to overcomecorporate inertia.

Shifts in logic and strategy can only be sustained through a corresponding shift in corporateculture, the most efficient and effective way to effect lasting and permanent change.

Culture change, however, can only be as pervasive as it is persistent. Persistence is the name

of the game. Our every action must reinforce culture change. Unless our corporateenvironment becomes supportive to culture change, no progress can be expected in ourcustomer service enhancement efforts.

C. SPECIFIC RECOMMENDATIONS

Going back to the Four Stages of Service Firms Competitiveness, Stage 3 is whendistinctive competence is achieved,when a firm exceeds customer expectations and hasbecome consistent on multiple dimensions. Stage 4, world class service deliverywhen afirm has raised customers expectations, seeks challenges and improves continuously. Thecompanys name becomes synonymous with service excellence.

TWC has come up with the following specific recommendations that will help PAGCORdeliver the Asias Friendliest Experience, and hopefully, will lead us to Stage 4 service firm.

1. Create standards for Support Service Providers

TWC drafted the standards for front line Service Providers. It is equally important tocreatestandards for our Support Service Providers (SSP). By SSP we mean all otheremployees, work units or departments whose functions directly or indirectly affect the


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front line SPs in delivering AFE to our external customers. Each SSP must alsopractice the virtues of Asias Friendliest Service Provider to all internal customers.

2. Manage Tangibles

The tangible features of a business greatly influence the perception of customers. The

physical surrounding of employees and customers are incorporated in the psychologyof service quality that they experience. State of the art equipment, appealing uniformsand physical environment of the facility influences customers on how they perceivethe service quality of a firm.

Areas where tangibles or physical evidences of ourfriendliness are identified below:

Parking area

Driveways

Faade

Building and surroundings

Comfort rooms

Main lobby

Elevators

Tellers booth

Concierge counter

Offices

Gaming equipment

Slot machines

Tokens

Signage

Gaming paraphernalia includingcards

Physical appearances of customers(dress code)

Vehicles / shuttle service

There is no written standard on how our facilities, equipment and materials shouldlook like. Even though we do not always aspire for top-of-the-line equipment ormaterials, there should at least be minimum qualifications on what to use, until whento use it (life span or useful productive life), and how should these materials appear aspart of our servicescape.

A servicescape is how Mary Jo Bitner11 describes the physical surroundings ofemployees and customers in service firms. This includes environmental features suchas temperature, noise, music, layout features, space and furnishings.

Other non-personal contacts that need to be standardized are phone conversationswith customers, product/ brand advertisements, correspondence, and other contactpoints with customers that involve indirect/ nonhuman interactions.

3. Give a friendlier atmosphere for customers

Not only should we have facilities, processes and people that are friendly to our

customers. A deliberate initiative that makes it easier for customers to understand ourbusiness must also be put in place. Examples on this are educating our customers--beit on new policies, tutorials on various games for new customers, and including

Mandarin, Hanggul and Nihonggo translations in directional signs (comfort room,clinic, concierge, etc.) and other important notices or announcements. A sign in the

11 Author of Servicescapes, 1992


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27

concierge that we provide language interpreters for these three languages should alsobe prominently displayed.

Lastly, selling of show tickets and bingo tickets by our Service Providers havebecome a nuisance to some customers. We should review this policy and implementa subtler and softer ways of selling these tickets.

4. Consider improvements on policies on uniforms

We should re-study our policies concerning uniform of employees particularly thefollowing concerns:

Provision of nameplates, preferably made of metal, to all SPs, indicatingnicknames only to give a friendlier and personalized touch.

Provision oflockers to all SPs that are spacious enough to accommodate two(2) sets of uniform, shoes and other beauty/ hygiene items.

Provision of changing rooms complete with toilet and bath for SPs whocommute to work. This will encourage SPs not to wear their uniforms inpublic places, preventing it from getting soiled or creased.

Explore the possibility of providing in-house laundry service to ensure andmaintain well-pressed, freshly- laundered uniforms.

Expand participation of Service Providers on matters concerning theiruniforms (color, style, materials used, etc.)

Consider issuance of uniforms every year instead of every two years so as not

to prevent uniforms from looking old and worn-out.

5. Issue Grooming Kit as part of uniform

A Grooming Kit can be included as part of the uniform which will contain basicgrooming items such as comb, nail cutter, toothbrush and shaver (for maleemployees), among other. This will be issued annually to each employee.

6. Facilitate the work of Service Providers by providing appropriate work tools

Not only should the company equip our service providers with appropriate skillsthrough rigorous training. Equally important is the provision of appropriate work

tools to facilitate a service providers job. Examples are:

Wireless phones for Pit Supervisors per gaming area

Two-way radios for shuttle service and valet drivers

Empty Token Tube Station located in strategic areas for easy retrieval/disposal of used token tubes

Another set of uniform for SPs doing dirty jobs (example: collared polo shirtfor Slot Machine Attendants/ Technicians during hopper collection).


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Air Sea Guide for Concierge / ARO

Business cards for Concierge / ARO staff

7. Regularly review business processes

We have policies and procedures that are outdated and redundant. We should take

advantage of the innovations in science, information and communications technology to streamline our business processes- making it quick, easy, and user-friendly.

Review of our business processes should be a continuing and participative exercise tomake sure that they complement and not damage our efforts to become excellentprovider of customer service. Wasteful processes should be eliminated.

Introduction of the Slot Machine Computerized Receipt System and the GamingInformation System/ PTS will further enhance our customer service delivery but onlywhen we allow the use of their maximum potential in providing faster and accurateservice.

On the other hand, implementing a new system that will be seen by end-users andcustomers as additional layer or burden that results to more paper works, signatories,and waiting time will contradict our goal of providing the friendliest experience.

Information Technology will have to play an important role in planning, designing,implementing and controlling our information systems. It should serve as thebackbone of our business processes.

8. Measure and manage performance

Managing and measuring performance can be conducted in three levels: individual(each Service Provider/ Support Service Provider), team (work units/ branch) ororganizational (company-wide). Our recommendations include:

Design a customer satisfaction measurement system that will captureinformation or feedback from customers regarding quality of our customerservice delivery.

Devise an employee feedback system that will encourage team synergy andfriendly employee-management relationship by opening up channels for formaland informal communications.

Regularly conduct Work Climate Survey orEmployee Satisfaction Survey asone of the formal mechanisms to hear out the grievances, motivations, andconcerns of our employees.

Conduct regular monitoring and review of the performance appraisal systemtaking into account the proposed standards for service providers. Spot checkscan also be utilized to measure compliance of SPs.


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9. Institutionalize a system for monitoring and control /feedback and reporting

The Quality Control Unit should spearhead the monitoring of individual and group/branch performance on a regular basis. QCU should come up with a strategic andcomprehensive service quality assurance plan that can aid in managing

organizational performance consistent with AFEDS.

Feedback and reporting mechanisms should be part of this plan, to serve as inputs tothe rest of the components of AFEDS-- hiring, training and rewards.

Measuring the indicators of the desired service quality will be the task of evaluatorsdesignated by the company. The appraisal of the processes and outcomes must bedone on a regular basis.

10. Institutionalize briefings before and after duty shift

Briefings should be part of the service culture. All Service Providers must be

knowledgeable of the goings-on in the casino. Service Managers on the other hand,are expected to disseminate all relevant information to the Service Providers.

A briefing should be formalized in the sense that a uniform agenda must be set for allwork units/ departments. Of course, specific items in the agenda may vary accordingto the role, function and focus of a certain work unit.

Briefings however may also be casual or informal, in the sense that employees areencouraged to participate and ask questions. It should be a two-way communication

exercise where no one party monopolizes a discussion. It can also be a venue forpeprally, where good performers from last days work will get recognized and morale ofSPs will get boosted through motivational stories, sharing of success stories and thelike.

We can also take advantage of briefings (after duty) as our means of gettingimmediate feedback from the service providers. Since they are closest to customers,important customer concerns can be communicated instantly.

11. Explore the possibility of adopting a 10-hour duty shift in all branches

Branches will retain its operating shift schedule but will have to adopt a 10-hour workshift for all Service Providers, making all employees report to work one hour before

the operating shift starts. Similarly, they will leave one hour after the next operatingshift starts, as shown in the table below.

Duty Shift Operating Shift

5:00am- 3:00pm 6:00am- 2:00pm

1:00pm-11:00pm 2:00pm- 10:00pm

9:00pm- 7:00am 10:00pm- 6:00am

Table 4. Proposed Duty ShiftSchedule vis--vis OperatingShift


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The 1-hour allowance given before and after each operating shift will allow smoothtransition and turn-over of responsibilities to the next service provider. It also givesquality time for briefings and other housekeeping activities. Branch committeemeetings may also be conducted during the overlapping hours, encouragingemployees to be actively involved in branch activities since meetings can now be

conducted within ones shift schedule.

12. Consider External/ Third Party Assessment

In order to seal our commitment to service quality, the company may seriouslyconsider the assistance of third-party quality assessors to help us institutionalize ourservice quality initiatives.

We may start with the Philippine Quality Award. PQA is the highest level ofnational recognition for exemplary organizational performance. It aims to stimulatelocal companies and organizations to improve quality and productivity for the pride ofrecognition while obtaining a competitive edge and providing example to others. The

PQA establishes guidelines and criteria that can be used by local organizationsregardless of size, sector and maturity. It also provides specific guidance for globally-minded organizations that wish to learn how to manage for high quality by makingavailable detailed information on how recipient organizations were able to changetheir cultures and achieve eminence. Thus, it promotes sharing of information andbenchmarking of best practices and results among organizations pursuing qualityimprovement.12

13. Include non-organic employees in customer service training

Contracted or outsourced employees like security guards and janitors, includingwaiters and food servers should also undergo the same customer service training thatwe give our employees to ensure uniform quality of service. A system for qualifyingoutsourced or third- party service providers must also be instituted.

14. Imputing cost of service excellence

Cost has always been an issue in deciding whether a new project should beimplemented or a new machine purchased. Our pursuit for service excellencecompels us to review our cost concept particularly in making strategic choices.

A standard for cost-effectiveness should be created, including among others thefactors that determine cost-effectivenessreturn on investments, net present value,

long term cost and benefits, etc.

An IT project that is developed in-house may be cheaper at short glance but delaysand manpower cost would make it costlier in the long run.

12 Official website of Philippine Quality Award. www.pqa.org.ph


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The total cost of quality13 framework may be adopted for analyzing the expensesassociated with providing quality service. It proposes that service firms consider thefour components of the total cost of quality in making effective decisions. These aretheAssurance Cost(expenses incurred in inspection, collecting and processing qualitycontrol data), the Prevention Cost (cost of training, quality improvement programs,process modifications and vendor- qualification programs), the Internal- Failure Cost

(cost of re-working or re-doing faulty services before it reaches the customer), and theExternal Failure Cost(cost of placating a customer/ cost of service failures) .

The sum of these components makes up the total cost of quality. It is not often wiseto control only one of these four components in order to minimize total cost. In fact,by spending the right amount for each cost factors, reworking a service would becomeunnecessary and defective materials would have been intercepted before a customergets unsatisfied. By skipping one of these cost factors for sheer austerity would proveto be costlier in long run. It would cost us an unhappy customer that may never returnbut tells everyone he knows how bad his experience was with us.

15. Printing and dissemination of manual

The TWC strongly recommends that copies of the Winning the Raise: Guide for Asias Friendliest be distributed to all employees during training. Said manualshould also be printed in full color using good quality paper. Its lay-out and designmust be reader- friendly to encourage our Service Providers to read through it fromtime to time. The manual should also reflect what a quality product must look like.

Annex C discusses the complete publishing requirements of the manual.

13 D. Daryl Wyckoff, New Tools for Achieving Service Quality, Cornell Hotel and Restaurant AdministrativeReview, 1984.


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Arnold Cesar O. RomeroSr. Training and Development Officer

Human Resource and Development Department

Chairman

Lourdes C. BarriosTreasury Head

Casino Filipino Pavilion

Vice Chairman

Maria Victoria M. GutierrezPit Supervisor

Casino Filipino Pavilion

Secretary

MembersRodil L. De Los Reyes

Senior Marketing Officer

Marketing and Casino Customer Relations Department

Alfredo P. YabutPit Supervisor

Airport Casino Filipino

Carmelo S. SongcoAssistant Chief Security Officer

Casino Filipino Hyatt

Dominic R. FozSlot Machine Supervisor

Slot Machine Department

Dennis M. CalambaTraining Facilitator

Human Resource and

Development Department

ACKNOWLEDGMENTThe five months that the committee spent in

looking at our current level of

competitiveness as a service firm and

identifying areas for improvement has been

a daunting, educating and challenging

experience.

Amidst all these, it is the power of positive

thinking our ability to perceive reality and

dream of a better, nobler, higher possibility

at the same time- that has made us

persistent and unmovable in throwing in our

two cents worth towards attaining serviceexcellence.

We thank our corporate leaders for

providing us a compelling vision for our

future.

We thank our managers for giving us this

rare opportunity to be of service to PAGCOR.

We thank all those who have contributed

their share in the course of our committee

work.

Documents

Twc Pmeeds Report