1
Toolkit for Urban Water Supply Projects
Module 4
KIOSKMANAGEMENT SYSTEM
Quick Reference Guide
1Introduction
2Main Principles of the Kiosk System
3Status of Operator, Contract Security Deposit and Company Goods
3.1The Status of Operator and the Contract
3.2Security Deposit (If Applicable)
3.3Goods Supplied by the Company
4Supervision and Monitoring of Operators and Kiosks
4.1Kiosk System: Responsibilities and Tasks
4.2Management and Monitoring Tools
4.3Data on Operators and the Performance of the Kiosks
4.4Operator Complaints
4.5Technical Problems and Damage Reporting
5Fetching Water at the Kiosk and Management of the Kiosk by the Operator
5.1Business Hours of the Kiosk
5.2Paid Water and Water Fetched Free of Charge
5.3Water Supply under Special Circumstances
5.4Using “Standard” Containers
5.5Fetching during Peak Demand Hours
5.6Service Provision
5.7Conflicts and Fights at the Kiosk
5.8Customer Complaints
5.9Kiosk Cleanliness and Hygiene
6How Customers Pay for Their Water
6.1The Tariff
6.2Payment System
7Company – Kiosk Operator Interactions and Transactions
7.1Kiosk Operator – Company: Summary of Interactions and Transactions
7.2Cash Depositing Procedures
7.3Meter Reading
7.4Paying the Water Bill
7.5Metering, Billing and Depositing Cycles
7.6Under and Over-Depositing by Operators
7.7Entrepreneurial Risks and Dishonest Operators
Appendix
Table 1: “Customer Exercise Books” (an example)
Table 2: Notebook kept by Kiosk Operators
Table 3: Alternative Cash Depositing Procedure
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1Introduction
This document is based upon Module 4, Section 1 and the numbering of the tables corresponds with the headings used in Section 1.
The Kiosk System Quick Reference Guide presented in this document is merely an example of how a WSP could manage its water kiosks.The Water Service Provider (WSP) is advised to adapt this Reference Guide to its own requirements.
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2Main Principles of the Kiosk System
No. / Component of kiosk system:1 / Kiosk operated by: / Kiosk Operator.
2 / Status: / Operator is not an employee but sells water on behalf of Company.
3 / Operating principle: / Operator is a customer and charged according to meter readings.
4 / Contract: / Operator signs contract with Company.
5 / Retail Tariff / Fixed by Company and approved by NWASCO.
6 / Sale of other goods: / Allowed and encouraged. Some goods cannot be sold at kiosk.
7 / Business hours: / Agreed by customers, Operator and Company.
Operator has to respect the agreed-upon business hours.
8 / Supervision / (Area level) / By Kiosk Supervisor or by the Customer Services Assistant (CSA).
9 / Supervision / (Regional level): / Regional Manager supervises Kiosk Supervisor/CSA.
10 / Supervision: / (Head Office level): / The Commercial Manager monitors the Kiosk System.
11 / Community participation: / Community and Chief are not involved in day-to-day management.
12 / Training : / Operators receive training (Workshop and/or on-the-job training).
Whereas a Kiosk Supervisor focuses upon the operation of the water kiosks and the monitoring of the Kiosk Operators, the Customer Services Assistant (CSA) has additional customer care-related tasks (see also Module 4, Section 10).
3Status of Operator, Contract Security Deposit and Company Goods
3.1The Status of Operator and the Contract
No. / Component of kiosk system:1 / Status of Operator: / Not an employee of Company
Sale of kiosk water is private business undertaking of Operator.
2 / Contract: / Specifies responsibilities and rights of Operator and Company.
Contract is signed by Company and Operator.
3 / Type of contract: / Resembles franchise contract.
4 / Appendix of Contract: / Contains the Rules and Guidelines for the Kiosk Operator.
Specifies which goods cannot be sold at the kiosk.
5 / Termination of contract: / Company has the right to terminate the contract if the Operator does not work in accordance with the contract.
3.2Security Deposit (If Applicable)
No. / Component of kiosk system:1 / Security Deposit (Yes/No?): / Yes.
2 / Amount: / KSh5,000
3 / Is the Security Deposit Refundable?: / Yes. Upon termination of contract and if Operator performed in accordance with contract.
4 / Purpose of Security Deposit: / To cover repair and maintenance costs caused by Operator negligence.
5 / Use of Security Deposit by Company: / To settle outstanding Operator debts in case of contract termination.
6 / Security Deposit and Billing: / Security Deposit does not appear on monthly Water Bill.
7 / Payment of Security Deposit? / By Operator to Company within one month after commissioning.
3.3Goods Supplied by the Company
No. / Component of kiosk system:1 / Status of goods supplied by Company: / Remain property of Company.
2 / List of goods supplied by Company: / Number: / Remarks:
1 / New 20-litre jerrycan / 1
2 / Folder for keeping receipts / 1
3 / Lock and keys for the kiosk door: / 1, 2 / 1 lock and 2 keys
4 / Lock and keys for the kiosk window: / 1, 2 / 1 lock and 2 keys
5 / A display book to keep the contract etc. / 1
6 / The contract / 1
7 / The Appendix to the contract / 1
8
9
10
4Supervision and Monitoring of Operators and Kiosks
4.1Kiosk System: Responsibilities and Tasks
No. / Component of kiosk system:1 / Supervision of Kiosk Operator: / Kiosk Supervisor or CSA
2 / Supervision of Kiosk Supervisor: / Kiosk Supervisor/CSA reports to Regional Manager.
3 / Monitoring of kiosk system: / The Commercial Manager of the WSP.
4 / Responsible for the kiosk system: / Managing Director
5 / Community participation: / Community not involved in day-to-day scheme management.
4.2Management and Monitoring Tools
No. / Component of kiosk system: / Tool: / Module1 / Supervision of Operator: / “Checklist for Kiosks and Kiosk Operators”. / 4
“Kiosk Supervisor/CSA Monthly Monitoring Sheet”
2 / Contract: / “Water Kiosk Management Contract”.
3 / Appendix of Contract: / “Rules and Guidelines for the Kiosk Operator”.
4 / Technical monitoring: / “Technical Monitoring and Evaluation of Kiosks” / 4
5 / Sale of water: / “Kiosk Operator,Shillings – Container Calculation Sheet” / 4
“Water Charge and Commission Calculation Sheet for Kiosk Operators” / 4
Other tools: / See: “Toolkit for Urban Water Supply Projects” / All
4.3Data on Operators and the Performance of the Kiosks
No. / Information to be collected: / Tool: / Module:1 / Weekly balances: / See the “Kiosk Monitoring Sheets” / 4
2 / Consumption data:
3 / Collection efficiency:
4 / Profitability:
5 / Reporting: / “Half-Yearly report of the Commercial Manager” / 4
Other tools: / See: “Toolkit for Urban Water Supply Projects” / All
4.4Operator Complaints
No. / Component of kiosk system:1 / Operator complaints (Principle): / Operatoris allowed to register complaints.
2 / Operator complaints (Communication): / Report complaints to the Kiosk Supervisor/CSA.
3 / Operator complaints (Communication): / Report complaints about Kiosk Supervisor/CSA to Regional Manager.
4 / Operator complaints (Communication): / Operator is allowed to fill in the Customer Complaints Register.
5 / Contacts with Management: / Operator has the right to discuss complaints and problems with the Regional Manager, Commercial Manager and Managing Director.
4.5Technical Problems and Damage Reporting
No. / Component of kiosk system:4.5.1 / Damage reporting: / Operator should report damage, maintenance requirements, low pressure and poor water quality to the Company as quickly as possible.
Operator is not allowed to carry out any repair work on the kiosk.
4.5.2 / Reporting acts of Vandalism: / Operator has to report all acts of vandalism to the Kiosk Supervisor/CSA.
Very serious acts of vandalism should be reported by the Kiosk Supervisor/CSA to theRegional Manager.
The Company is advised to report serious acts of vandalism to the police authorities and to the Chief
Technical Problems and Damage Reporting (cont.)
No. / Component of kiosk system:4.5.3 / Damage repair: / Minor damage can be attended to by the Kiosk Supervisor/CSA.
The Company is responsible for all repairs and maintenance work on the kiosk and distribution network.
If damage is caused by a third party, the Operator is not charged for the damage repair costs.
4.5.4 / Poor water quality (procedure): / Principle: Water of poor quality cannot be sold to customers.
The Operator has to flush out water of poor quality.
If the quantity water of poor quality exceeds 5 jerrycans (100 litres), the Operator should close the kiosk and inform the Kiosk Supervisor.
The reopening of the kiosk should be done in the presence of the Kiosk Supervisor/CSA. The Supervisor/CSA has to flush out poor quality water and record the quantities of water which have to be wasted until the Operator can start selling water of good quality.
The Operator should not pay for the flushed out quantity of water.
4.5.5 / Defective meter: / Operator should report a defective water meter to the Kiosk Supervisor/CSA.
Operator does not trust meter: / Operator should inform Kiosk Supervisor/CSA if he/she does not trust the meter. Operator can carry out onsite meter tests using 20-litre jerrycan.
The Kiosk Supervisor/CSA should carry out an onsite meter testing.
If the meter does not function properly, it should be repaired or replaced by the Company.
If necessary, the Operator should receive a rebate which covers the period between reporting and testing.
4.5.6 / Negligence of the Operator: / If damage can be attributed to Operator negligence, he/she is charged for all damage repair costs.
4.5.7 / Negligence of the Company: / If, after damage, which results in water wastage (leaking pipes and taps), has been reported by the Operator, the Company does not act promptly, the Operator has to receive a rebate which is based upon the time elapsed and quantities recorded between reporting and repair.
5Fetching Water at the Kiosk and Management of the Kiosk by the Operator
5.1Business Hours of the Kiosk
No. / Component of kiosk system:1 / Principle: / Business hours should be adapted to kiosk clientele and consumption.
2 / Business hours: / Business hours of the kiosk are the outcome of a discussion between the Operator, the kiosk customers and the Company.
The Company has to approve the proposed business hours of the kiosk.
The Operator has to respect the agreed-upon business hours.
5.2Paid Water and Water Fetched Free of Charge
No. / Component of kiosk system:1 / Principle: / Treated water has to be paid for.
2 / Exceptions: / Customers can fetch a small quantity of water, free of charge, to clean their container.
Customers can drink water, free of charge, at the kiosk.
Beneficiaries of the SWAS(*) can fetch a specific quantity of water/day, free of charge.
*): SWAS = Social Welfare Assistance Scheme.
5.3Water Supply under Special Circumstances
No. / Component of kiosk system:1 / Emergency: / What should be done?
Fire: / During fire the Operator should provide water free of charge.
If large quantities of water are required, the Operator has to record the meter readings (before and after the incident).
The emergency has to be reported to the Company.
The Company should not charge the Operator for the water supplied.
Cholera outbreak: / During other emergencies such as outbreaks of cholera, the Operator has to follow the instructions given to him or her by the Company.
2 / Funeral: / The Operator does not have to supply water free of charge during funerals.
The Operator may decide to close or open (after the agreed-upon business hours) his or her kiosk out of respect or to assist the people present at the funeral home.
5.4Using “Standard” Containers
No. / Component of kiosk system:1 / Use of 20-litre containers: / The Company and the Operator should sensitise kiosk customers to use 20-litre containers.
2 / Use of other containers: / If customers use receptacles of a different volume of size, they should measure the volume using a ‘standard”20-lite container.
5.5Fetching during Peak Demand Hours
No. / Component of kiosk system:1 / Organising customers: / During peak demand hours,the Operator has to organise his/her customers.
Customers should be asked to queue or to create an orderly line of jerrycans.
2 / Fetching water: / During peak demand hours, customers should not be allowed to fetch water themselves.
5.6Service Provision
No. / Component of kiosk system:1 / Assisting customers: / Operator should assist customers and the elderly and handicapped.
Operator should be friendly to customers.
2 / Fetching water: / Outside peak demand hours, customers are allowed to operate taps.
5.7Conflicts and Fights at the Kiosk
No. / Component of kiosk system:1 / In case of conflicts or fights: / If serious conflicts or even fights occur at the kiosk (for whatever reason) the Operator should close the kiosk and report the matter to the Kiosk Supervisor/CSA and the Chief.
If deemed necessary, the matter is reported to the policeauthorities.
5.8Customer Complaints
No. / Component of kiosk system:1 / Customer complaints: / If Customers have complaints, for instance, concerning the way in which the Kiosk Operator is carrying out his or her duties, they can contact the Kiosk Supervisor/CSA.
Customers can visit the Office of the Company and fill in the Customer Complaints Register.
5.9Kiosk Cleanliness and Hygiene
No. / Component of kiosk system:5.9.1 / Public health objective: / Kiosk hygiene and cleanliness are an important objective of the Company.
5.9.1 / Duties of the Operator: / Keeping the kiosk clean at all times is an important duty of the Operator.
Operator has to clean the kiosk and its direct surroundings (10 by 10 metres).
Operator should sensitise customers on the need to keep the kiosk clean.
5.9.1 / Role of the Kiosk Supervisor or CSA: / Kiosk Supervisor/CSA should assist the Operator in sensitising the community.
5.9.2 / Health & hygiene rules: / Customers are not allowed to do their laundry at the kiosk.
Residents are not allowed to eat at or near the kiosk.
Residents are not allowed to wash or repair bicycles, cars (etc.) at the kiosk.
Residents are not allowed to dump (organics and inorganic) waste at the kiosk.
Residents are not allowed to use the kiosk or its surroundings as a toilet.
5.9.3 / Tools used by Company to assure the cleanliness of the kiosk: / The Contract contains detailed rules and guidelines on kiosk cleanliness.
Supervision by the Kiosk Supervisor/CSA.
Sensitisation by the Operator and by the Kiosk Supervisor/CSA) of the community.
Customers and Chief are encouraged to report unhygienic (dirty) kiosks.
The half-yearly “Cleanest Kiosk” competition (winning Operator receives bonus).
6How Customers Pay for Their Water
6.1The Tariff
No. / Component of kiosk system:1 / Current retail tariff: / KSh91/m3.
KSh 2.00/full 20-litre jerrycan (= 22 litres).
2 / Approved by WASREB?(*) / Yes: O, No: O
3 / How should Operator charge: / Per 22 litres : O, Per 20 litres: O (22 litres = full jerrycan)
4 / How should Operators measure: / In case of doubt, Operator uses the 20-litre container supplied by Company.
*): WASREB = Water and Sanitation Regulatory Board
6.2Payment System
No. / Component of kiosk system:1 / Principle: / Customers have to pay for the water they fetch.
2 / Name of type of pre-payment system: / “Akalilwa System” (*)
3 / Fetching water (step-by-step):
a) / Each customer has to purchase an exercise book.
b) / The exercise book bears the customer’s name and kiosk number.
c) / When fetching, thecustomer presents the exercise book to the Operator.
d) / The amount paid by the customer is recorded in the exercise book.
e) / The amount paid is written in numbers and letters in order to prevent fraud.
f) / Amount paid corresponds with a number of containers (= Amount paid divided by price per container).
g) / The number of containers paid in advance is recorded in the book.
h) / When the customer comes to the kiosk to fetch water, the number of containers fetched is deducted from the total number of containers in order to calculate the balance.
i) / The Operator signs each time the customer fetches water with the exercise book.
4 / Principle: / Customer-Operator payment system is not imposed by Company. Operators are allowed to introduce their own arrangement.
5 / Amounts: / Customers can pay any amount.
6 / Customer credit: / Customer credits do not expire.
7 / Operator records: / The Operator is encouraged to keep track of amounts collected and quantities of water that have passed the meter.
*): Named after George Akalilwa, an Operator from Livingstone, Zambia.
See Appendix: Table 1: “Customer exercise books” (An example)
Table 2: Notebook kept by Kiosk Operators
7Company – Kiosk Operator Interactions and Transactions
7.1Kiosk Operator – Company: Summary of Interactions and Transactions
No. / Component of kiosk system:1 / The (kiosk retail) tariff: / KSh91/m3 (= KSh 2.00/22litres).
2 / The tariff is fixed and approved: / Fixed by the Company, approved by WASREB.
3 / Cash depositing: / Operators sign the Company “Cash Remittance Book” when they deposit cash.
4 / How the Operator is charged: / By the Company, according to the monthly meter readings.
5 / Operator commission: / Operator receives a commission for each cubic metre that passed the meter.
7.2Cash Depositing Procedures
No. / Component of kiosk system:1 / Depositing frequency: / The Operator is allowed to deposit more than once a week.
2 / Depositing location: / Operator can deposit the cash collected at the office of the Company.
Operator can remit to the Kiosk Supervisor/CSA when he/she visits the kiosk.
3 / Receipting: / The Operatorreceives a receipt after depositing cash.
The Company representative (Cashier/Kiosk Supervisor/CSA) also signs the receipt after the Operator has deposited cash.
4 / Cash depositing period: / The cash depositing period coincides with the metering cycle.
The meters are read on the 20th.
5 / Water Bill: / The total receipts are mentioned on the monthly Water Bill.
The cash deposited on the 20this taken into account for the next Water Bill.
(See the Appendix for an alternative cash depositing procedure)
Cash depositing Procedures: The Petty Cash Box (If Applicable)
No. / Component of kiosk system:1 / Objective: / Preventing Operators from overspending by providing the opportunity to deposit all the cash they collect.
2 / Principle: / The “Petty Cash Box” is separate from the normal cash-flow and cash depositing procedure used by the Company.
3 / Use of the Petty Cash Box: / The Petty cash Box is kept in the safe of the Company or in another secure place.
All the cash in the Petty Cash Box belongs to the Operator(s).
Operator can deposit and withdraw money from the Petty Cash Box.
The Company has a “Petty Cash Box Book” for each Operator/kiosk.
Every time the Operator deposits money in or withdraws money from the Petty Cash Box, he or she has to sign in the Petty Cash Box Book.
A Company representative (Kiosk Supervisor/CSA/Cashier) also signs.
The Operator can use the money kept in the Petty Cash Box to settle the Water Bill.
The Operator has 2 depositing options: Petty cash Box and Kiosk Account.
7.3Meter Reading
No. / Component of kiosk system:1 / Meter reading: / The kiosk water meter is read once a month.
The water meter is read on the 20th.
The meter should be read in the presence of the Operator.
3 / Who reads the meter?: / The water meter is read by the Kiosk Supervisor/CSA.
4 / Meter readings by Operators: / Operators should know how to read the meter and to interpret meter readings. This will allow Operators to identify irregularities, and to predict the water charge and Water Bill.
7.4Paying the Water Bill