Postal department faces glitches in CBS implementation; reveals plan for better prospects

SHILLONG: Crashing servers, technical glitches in software and inability to evaluate workload are the new revelations that have emerged as the postal department is trying hard to implement an error free Core Banking System (CBS) in Meghalaya. As a result the customers of post offices where CBS is in effect continue to face internet link failure and slow connectivity although it was pointed out by the Office of the Chief Post Master General (CPMG) here recently that the matter would be settled in a couple of days. This internet connectivity issue is otherwise a national phenomenon as the postal department in the country is dependent on the Dedicated Server Hosting based in Chennai.
Director Postal Services (HQ), NE Circle, Som Kamei on Wednesday informed that a server has crashed and the other is unable to store data due to heavy load of investments and other postal transactions made by customers in order to retain the then interest rates, which took a dent in the new financial year, during the financial year ending March 31.
“There are two servers on which the postal department is dependent – one at Mysore and another at Chennai. As per information received by us, these servers will be replaced with newer ones,” said Kamei while stating that it will take a months’ time to fix them. He added that the software Infosys Finacle, a core banking product that provides universal banking functionality to banks, being used by financial houses all over the world is also used by India Post to run CBS.
“Our partner, Infosys Finacle could not interpret the volume and as a result, the software developed technical glitches. We also learnt this is the first major project for Finacle and they could not imagine the capacious load involved,” he added.
Customers facing the burnt on the other hand are alleging why a ‘novice player’ like Finacle is allowed to handle such a department as large as India Post instead of a seasoned player like TCS.
Kamei said that such decisions are taken by the concerned union ministry while adding that the department of posts in a recent circular has allowed offline collection of premiums and other deposits that do not require CBS platform.
Some customers have complained that when they make investments in postal schemes through bank cheques in any sub post offices then the cheque is sent to GPO for clearance which the GPO intimates to the sub-post office where the customer is seeking to make the investment following which the necessary certificate / passbook is issued to the customer. But this clearance is time consuming and in case of outstation cheques, it takes more than a fortnight.
Many customers faced ‘undue’ delays during the last financial year ending and are demanding an amendment to this trend. Kamei informed a pilot project is already underway in selected cities in the country including one in the Northeastern region called Post Bank of India (PBI) or simply payments bank – a state owned commercial bank which will use the existing network of public sector postal service, India Post.
Once started, Kamei said that this will allow customers to get their cheques cleared over the counter by the clerk with a handheld device.
With deep penetration of post offices in every nook and corner of the country accounting to about 1, 54,000 branches of which 90% are in rural areas, the payments bank will also serve the purpose of other union government schemes, such as, NREGA, Jan Dhan and others.