customer satisfaction (pnb)
TRANSCRIPT
CUSTOMER SATISFACTION IN PNB 0541914308
PROJECT REPORT
ON
“CUSTOMER SATISFACTION
IN PNB”
SUMMER TRAINING PROJECT REPORT
Submitted for Partial Fulfilment for the Award of the Degree of
MASTER OF BUSINESS ADMINISTRATION
MBA (PT) (2008-11)
UNDER THE GUIDANCE OF
Dr. -----------------
SUBMITTED BY
--------------
MBA (PT) 3rd Sem
(0541914308)
GITARATTAN INTERNATIONAL BUSINESS SCHOOL
(Affiliated to GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY)
ROHINI, NEW DELHI -110085
2008-11
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INTRODUCTION
OBJECTIVES OF STUDY 8
SCOPE OF STUDY 8
LIMITATION OF STUDY 8-9
PROFILE OF BANK 10-13
ACHIEVEMENTS 14-15
VISION & MISSION 16
VALUE & ETHICS 16
SWOT ANALYSIS 17-18
PRODUCTS & SERVICES 19
LITERATURE REVIEW 20
AWARDS AND DISTINCTIONS 21
CUSTOMER SATISFACTION 22
BENEFITS OF CUSTOMER SATISFACTION 23
WHAT CONSTITUTES SATISFACTION? 24
WHAT ARE THE TOOLS 25 CUSTOMER SATISFACTION SURVEYS 25-31
RESEACH METODLOGY & DESIGN 32-34
SAMPLE METHOD 35 SAMPLING METHOD 36
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SAMPLE SIZE 36 METHOD OF DATA COLLECTION 36 TYPES OF DATA 36-37
DATA ANALYSIS &INTERPRETATION 38
SHARE OF DIFFERENT TYPES OF ACCOUNTS 39
SATISFACTION OF RESPONDENTS WITH SERVICES OFFERED 40
RATINGS OF THE SERVICES OFFERED BY THE RESPONDENT’S LIFE
INSURANCE COMPANY 41-42
TABLE SHOWING MOTIVE BEHIND THE SELECTING PNB 43-44
CONSUMERS WILLINGNESS TO RECOMMEND THEIR LIFE INSURANCE
COMPANY TO OTHERS 44-45
CONSUMERS WILLINGNESS TO SHIFT THEIR A/Cs 45-46
CONCLUSION 47
SUGGESTIONS & RECOMMENDATION 48-50
REFRENCES 51
ANNEXURE; QUESTIONNAIRE 52-55
EXECUTIVE SUMMARY
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This project at Punjab National Bank was undertaken during the period of 45 days as part
of my summer training.
As part of summer training, I was made to accompany customer relationship officer to
observe client interaction, gauge the level of satisfaction by listening and solving queries
of existing clients also helped in making new clients.
My Summer Training included the following: -
An In-depth Induction through the Computer Based Training Module
Learning the Basics of the various Banking Operations such as – Procedure of
Opening New Account (Savings, Current), Printing and Updating of Passbook,
procedure of opening a F.D., deposits and withdrawals, issuing of ATM Cards and
internet banking passwords etc.
Punjab National Bank is providing maximum amount of loan among PSB’s
Various Documents necessary or required at the time of Opening of Account and
Sanctioned of Loan
Accompanying Customer Relationships Officer to observe client interaction
During the course of my training, I got valuable insights about the working in a bank
branch, internet banking and client interface.
.
INTRODUCTION
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OBJECTIVES OF THE STUDY
To have an insight into the attitudes and behaviours of customers.
To find out the differences among perceived service and expected service.
To produce an executive service report to upgrade service characteristics.
To understand consumer’s preferences.
To access the degree of satisfaction of the consumers
SCOPE OF THE STUDY
This study is limited to the consumers with in New Delhi city. The study will be able to
reveal the preferences, needs, satisfaction of the customers regarding the banking
services, It also help banks to know whether the existing products or services the are
offering are really satisfying the customers needs
LIMITATIONS OF THE STUDY
Although the study was carried out with extreme enthusiasm and careful planning there
are several limitations, which handicapped the research viz,
1. Time Constraints:
The time stipulated for the project to be completed is less and thus there are chances that
some information might have been left out, however due care is taken to include all the
relevant information needed.
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2. Sample size:
Due to time constraints the sample size was relatively small and would definitely have
been more representative if I had collected information from more respondents.
3. Accuracy:
It is difficult to know if all the respondents gave accurate information; some respondents
tend to give misleading information.
4. It was difficult to find respondents as they were busy in their schedule, and collection
of data was very difficult. Therefore, the study had to be carried out based on the
availability of respondents.
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1. PROFILE OF THE BANK
Punjab National Bank (PNB) was registered on May 19, 1894 under the Indian
Companies Act with its office in Anarkali Bazaar Lahore. The Bank is the second largest
government-owned commercial bank in India with about 4,500 branches across 764
cities. It serves over 37 million customers. The bank has been ranked 248th biggest bank
in the world by Bankers Almanac, London. The bank's total assets for financial year 2007
were about US$60 billion. PNB has a banking subsidiary in the UK, as well as branches
in Hong Kong and Kabul, and representative offices in Almaty, Dubai, Oslo, and
Shanghai.
1895: PNB commenced its operations in Lahore. PNB has the distinction of being
the first Indian bank to have been started solely with Indian capital that has
survived to the present. (The first entirely Indian bank, the Ouch Commercial
Bank, was established in 1881 in Faizabad, but failed in 1958.) PNB's founders
included several leaders of the Swadeshi movement such as Dyal Singh Majithia
and Lala HarKishen Lal,[1] Lala Lalchand, Shri Kali Prosanna Roy, Shri E.C.
Jessawala, Shri Prabhu Dayal, Bakshi Jaishi Ram, and Lala Dholan Dass. Lala
Lajpat Rai was actively associated with the management of the Bank in its early
years.
1904: PNB established branches in Karachi and Peshawar.
1940: PNB absorbed Bhagwan Dass Bank, a scheduled bank located in Delhi
circle.
1947: Partition of India and Pakistan at Independence. PNB lost its premises in
Lahore, but continued to operate in Pakistan.
1951: PNB acquired the 39 branches of Bharat Bank (est. 1942); Bharat Bank
became Bharat Nidhi Ltd.
1961: PNB acquired Universal Bank of India.
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1963: The Government of Burma nationalized PNB's branch in Rangoon
(Yangon).
September 1965: After the Indo-Pak war the government of Pakistan seized all the
offices in Pakistan of Indian banks, including PNB's head office, which may have
moved to Karachi. PNB also had one or more branches in East Pakistan
(Bangladesh).
1960s: PNB amalgamated Indo Commercial Bank (est. 1933) in a rescue.
1969: The Government of India (GOI) nationalized PNB and 13 other major
commercial banks, on July 19, 1969.
1976 or 1978: PNB opened a branch in London.
1986 The Reserve Bank of India required PNB to transfer its London branch to
State Bank of India after the branch was involved in a fraud scandal.
1986: PNB acquired Hindustan Commercial Bank (est. 1943) in a rescue. The
acquisition added Hindustan's 142 branches to PNB's network.
1993: PNB acquired New Bank of India, which the GOI had nationalized in 1980.
1998: PNB set up a representative office in Almaty, Kazakhstan.
2003: PNB took over Nedungadi Bank, the oldest private sector bank in Kerala.
Rao Bahadur T.M. Appu Nedungadi, author of Kundalatha, one of the earliest
novels in Malayalam, had established the bank in 1899. It was incorporated in
1913, and in 1965 had acquired selected assets and deposits of the Coimbatore
National Bank. At the time of the merger with PNB, Nedungadi Bank's shares had
zero value, with the result that its shareholders received no payment for their
shares.
PNB also opened a representative office in London.
2004: PNB established a branch in Kabul, Afghanistan.
PNB also opened a representative office in Shanghai.
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PNB established an alliance with Everest Bank in Nepal that permits migrants to
transfer funds easily between India and Everest Bank's 12 branches in Nepal.
2005: PNB opened a representative office in Dubai.
2007: PNB established PNBIL - Punjab National Bank (International) - in the UK,
with two offices, one in London, and one in South Hall. Since then it has opened a
third branch in Leicester, and is planning a fourth in Birmingham. Gatin Gupta
became Chairmen of Punjab National Bank.
2008: PNB opened a branch in Hong Kong.
2009: PNB opened a representative office in Oslo, Norway.
Board of Directors
S N Name Residential address Other Directorships1 Shri S. S. Kohli
Chairman & Managing Director
J-170, Rajdoot Marg,Chanakya PuriNew Delhi
PNB Capital Services LtdPNB Housing Finance LtdPNB Gilts Ltd
2 Shri T S NarayanasamiExecutive Director
8, Asiad VillageMajor Dhyanchand Marg,New Delhi-110 049
PNB Capital Services LtdPNB Housing Finance LtdPNB Asset Management Services Ltd
3 Shri P M Sirajuddin D-II, 206West Kidwai Nagar,
Nil
4 Y.S.P. Thorat B/6, Dhanastra122, Natahamal Parikh Marg, Colaba,Mumbai – 400 005
Nil
5 Shri P R Mehta 47, Nehru Nagar,Model Town,Ludhiana. – 141 022
Nil
6 Shri K.D. Khera 15/2, West Patel Nagar,New Delhi – 110 008
Nil
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7 Shri K.S.Sampath New No.21/1, Old No. 9/1, Ramanujam Street,T. Nagar, Chennai – 17
Nil
8 Shri V.K. Vadhera Shanti Kutir96, Gautam NagarNew Delhi – 110 049
Nil
9 Shri Ashok Jain 118, Jaipur HouseAgra – 282 010
Uttar Pradesh State Road Transport Corporation (U.P.S.R.T.C.)
10 Shri Sudarshan Sareen
N-62, Greater Kailash Part – I,New Delhi – 110 048
Nil
11 Shri Virander Kumar Sibal
29, Sector – 5Chandigarh
Nil
The Directors of the Bank do not have any pending litigations or cases pertaining to economic offenses or any other liabilities in their personal capacities. SEBI or any other regulatory body in India or abroad on the directors has levied no penalty.
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2. ACHIEVEMENTS
Punjab National Bank announced its Q1FY2010 results on 29 July 2009,
delivering 62% y-o-y growth in net profits to Rs832 crore (Rs512cr),
substantially ahead of expectations on account of large treasury gains, apart
from healthy operating performance.
While the bank’s deposit growth was reasonably robust at 4.4% sequentially
and 26.5% y-o-y, unlike the peers its growth in advances also remained strong
at 38% y-o-y.
In spite of being at the forefront of PLR cuts, the bank posted a healthy growth
in Net Interest Income (NII) of 29% y-o-y.
Other Income surged 113% y-o-y, driven by strong treasury gains of Rs355
crore during the quarter in line with industry trends, even as Fee income was
also robust at 45% y-o-y, on the back of strong balance sheet growth.
Operating expenses were higher than expected on account of Rs150 crore of
provisions for imminent wage hikes.
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Gross and Net NPA ratios remained stable sequentially at 1.8% and 0.2%,
with the bank not adopting the guidelines of treating floating provisions as
part of tier 2 capital instead of adjusting against NPAs on express permission
from the RBI.
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2.1 VISION AND MISSION
Vision
To evolve and position the bank as a world class, progressive, cost effective
and customer friendly institution providing comprehensive financial and
related services.
Integrating frontiers of technology and serving various segments of society
especially weaker section.
Commited to excellence in serving the public and also excelling in corporate
values
Mission
To provide excellent professional services and improve its position as a leader
in financial and related services.
Build and maintain a team of motivated workforce with high work ethos.
Use latest technology aimed at customer satisfaction and act as an effective
catalyst for socio economic development.
2.2 VALUES AND ETHICS
Bonding and Integrity
Ethical conduct
Periodic disclosure
Confidentiality and fair dealing
Compliance with rules and regulations
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2.3 SWOT ANALYSIS
STRENGTH
Wide network
Large number of customers
Fast adaptability to technology
Brand image
WEAKNESS
Casual behaviour
Corruption and red tapism
Slow decision making due to large hierarchy
High gross NPA
OPPORTUNITIES
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Home to home banking services
Diversification towards other fields
Globalization
THREATS
Stiff competition from SBI and other private players.
2.4 PRODUCTS AND SERVICES
Savings Fund Account - Total Freedom Salary Account, PNB Prudent Sweep, PNB
Vidyarthi SF Account, PNB Mitra SF
Account Current Account - PNB Vaibhav, PNB Gaurav, PNB Smart Roamer
Fixed Deposit Schemes - Spectrum Fixed Deposit Scheme, Anupam Account,
Mahabachat Schemes, Multi Benefit Deposit
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Scheme Credit Schemes - Flexible Housing Loan, Car Finance, Personal Loan, Credit
Cards
Social Banking - Mahila Udyam Nidhi Scheme, Krishi Card, PNB Farmers Welfare
Trust
Corporate Banking - Gold Card scheme for exporters, EXIM finance
Business Sector - PNB Karigar credit card, PNB Kushal Udhami, PNB Pragati Udhami,
PNB Vikas Udhami
Apart from these, and the PNB also offers locker facilities, senior citizens schemes, PPF
schemes and various E-services.
LITERATURE REVIEW
History of Banking in India
Without a sound and effective banking system in India it cannot have a healthy
economy. The banking system of India should not only be hassle free but it should be
able to meet new challenges posed by the technology and any other external and internal
factors.
For the past three decades India's banking system has several outstanding achievements to
its credit. The most striking is its extensive reach. It is no longer confined to only
metropolitans or cosmopolitans in India. In fact, Indian banking system has reached even
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to the remote corners of the country. This is one of the main reason of India's growth
process.
The government's regular policy for Indian bank since 1969 has paid rich dividends with
the nationalisation of 14 major private banks of India.
Not long ago, an account holder had to wait for hours at the bank counters for getting a
draft or for withdrawing his own money. Today, he has a choice. Gone are days when the
most efficient bank transferred money from one branch to other in two days. Now it is
simple as instant messaging or dial a pizza. Money have become the order of the day.
The first bank in India, though conservative, was established in 1786. From 1786 till
today, the journey of Indian Banking System can be segregated into three distinct phases.
They are as mentioned below:
Early phase from 1786 to 1969 of Indian Banks
Nationalisation of Indian Banks and up to 1991 prior to Indian banking sector
Reforms.
New phase of Indian Banking System with the advent of Indian Financial & Banking
Sector Reforms after 1991.
2.5 AWARDS AND DISTINCTIONS
Ranked among top 50 companies by the leading financial daily, Economic Times.
Ranked as 323rd biggest bank in the world by Bankers Almanac (January 2006),
London.
Earned 9th place among India's Most Trusted top 50 service brands in Economic
Times- A.C Nielson Survey.
Included in the top 1000 banks in the world according to The Banker, London.
Golden Peacock Award for Excellence in Corporate Governance - 2005 by
Institute of Directors.
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FICCI's Rural Development Award for Excellence in Rural Development – 2005
3.1 CUSTOMER SATISFACTION
Customer satisfaction refers to the extent to which customers are happy with the products
and services provided by a business.
Customer satisfaction levels can be measured using survey techniques and questionnaires
DEFINITIONS:
Definition 1: Customer satisfaction is equivalent to making sure that product and service
performance meets customer expectations.
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Definition 2: Customer satisfaction is the perception of the customer that the outcome of
a business transaction is equal to or greater than his/her expectation.
Definition 3: Customer satisfaction occurs when acquisition of products and/or services
provides a minimum negative departure from expectations when compared with other
acquisitions.
Gaining high levels of customer satisfaction is very important to a business
because satisfaction customers are most likely to be loyal and to make repeat orders and
to use a wide range of services offered by a business
There are many factors which lead in high levels of customer satisfaction including.
Products and services which are customer focused and hence provide high levels of value
for money.
What is clear about customer satisfaction is that customers are most likely to
appreciate the goods and services that they buy if they are made to feel special. This
occurs when they feel that the products and services that they buy have been specially
produced for them or for people like them.
3.2 BENEFITS OF CUSTOMER SATISFACTION
The importance of customer satisfaction and support is increasingly becoming a
vital business issue as organization realize the benefits of Customer Relationship
Management (CRM) for providing effective customer service. Professionals working
within customer-focused business or those running call centers or help desks, need to
keep informed about the latest customer satisfaction techniques for running a valuable
customer service function. From small customer service departments to large call centers,
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the importance of developing a valued relationship with customers using CRM is
essential to support customer and long-term business growth.
What Do Customers Want?
Before we begin to create tools to measure the level of satisfaction, it is important to
develop a clear understanding of what exactly the customer wants. We need to know
what our customers expect from the products and services we provide.
Customer expectations have two types –
Expressed
Implied
Expressed Customer Expectations are those requirements that are written down n the
contract and agreed upon by both parties for example, product specifications and delivery
requirements. Supplier’s performance against these requirements is most of the items
directly measurable.
Implied Customer Expectations are not written or spoken but are the ones the customer
would ‘expect’ the supplier to meet nevertheless. For example, a customer would expect
the service representative who calls on him to be knowledgeable and competent to solve a
problem on the spot.
There are many reasons why customer expectations are likely to change overtime.
Process improvements, advent of new technology, changes in customer’s priorities,
improved quality of service provided by competitors are just a few examples.
The customer is always right. Supplier’s job is to provide the customer what he/she
wants, when he/she wants it. Customer satisfaction is customer’s perception that a
supplier has met or exceeded their expectations.
3.3 CONSTITUTES WHAT SATISFACTION?
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We cannot create customer satisfaction just by meeting customer’s requirements
fully because these have to be met in any case. However failing short is certain to create
dissatisfaction
Major Attributes of customer satisfaction in banking industry can be summarized
as:
Product quality
Premium Outflow
Return on Investment
Services
Responsiveness and ability to resolve complaints and reject reports.
Overall communication, accessibility and attitude.
WHAT ARE THE TOOLS?
Customer expectations can be identified using various methods such as:
Periodic contract reviews
Market research
Telephonic interviews
Personal visits
Warranty records
Informal discussions
Satisfaction surveys
Depending upon the customer base and available resources, we can choose a method
that is most effective in measuring the customer’s perceptions. The purpose of the
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exercise is to identify priorities for improvements. We must develop a method or
combination of methods that helps to continually improve service.
3.4 CUSTOMER SATISFACTION SURVEYS
Formal survey has emerged as by far the best method of periodically the customer
satisfaction. The survey are not marketing tools but an information—gaining tool.
Enough homework needs to be before embarking on the actual survey. This includes:
Defining Objectives of the Survey
Design Survey approach
Develop questionnaires and forms
Administer Survey (Email, Telephone or Post)
Method of compiling data and analyzing the findings
Format of the report to present the findings
There is no point in asking irrelevant questions on a customer satisfaction
questionnaire. The basic purpose is to find out what we are doing right or wrong. Where
is the scope for improvement, where do we stand vis-à-vis other suppliers. How we can
serve the customer better?
A customer satisfaction measurement survey should at least identify the following
objectives:
Importance to customers (Customers priorities)
Customer’s perception of supplier’s performance
Your performance relative to customer’s priorities.
Priorities for improvement
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Survey forms should be easy to fill out with minimum amount of time and efforts on
customer’s part. They should be designed to actively encourage the customer to complete
the questions. Yet they must provide accurate data should also be sufficiently reliable for
management decision making. This can be achieved by incorporating objective type
questions where customer has to “rate” on scale of say 1 to 10. For repeated surveys, you
could provide the rating that was previously accorded by the customer. This works like a
reference point for the customer.
Space should always be provided for the customers own opinions this enables
them to state any additional requirements or report any shortcomings that are not covered
by the objective questions.
Normally, we deal various personnel at various levels in the customer’s
organization—the buyer, user, receiving inspector, finance and purchase person etc.
surveying a number of respondents for each customer gives a complete perspective of
customer satisfaction. It may be necessary to device a different questionnaire for each of
them.
Respondents must be provided a way to express the importance they attach to
various survey parameters. Respondents should be asked to give a weighting factor, again
on a rating scale of say, 1 to 10, for each requirement. This gives a better indication of
relative importance of each parameter towards overall customer satisfaction and makes it
easier for suppliers to prioritize their action plans by comparing the performance rating
(scores) with importance rating (weighing).
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4.1 CONSUMER RESEARCH IN DIFFERENT DISCIPLINES
A considerable body of literature exists on consumption, consumer behaviour and
consumer decision making process.
Most of the consumer research focused on adopter categories, habits, attitudes and
intentions rather that on actually measuring the satisfaction level with the service.
4.1.1 CONSUMER SATISFACTION PROCESS
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The paramount goal of marketing is to understand the customer and to influence buying
behaviour.
The process can be depicted as follows:-
Need recognition- realization of the difference between the desired and the current
situation that serves as a trigger for entire process.
Search for information.
Pre purchase alternative evaluation.
Consumption(utilization of the procured option)
Post purchase alternative re-evaluation.
Divestment(disposal of the unconsumed product and it’s remnants)
4.2 WAYS FOR MAINTAINING RELATIONS WITH THE CUTOMERS
ADOPTED BY PNB
The ability of the banking industry to achieve the socio-economic objectives and in the
process bringing more and more customers into its fold will ultimately depend on the
satisfaction of the customers. We have a strong belief that a satisfied customer is the
foremost factor in developing our business.
A need was felt by us at Punjab National Bank that in order to become more customers
friendly the Bank should come out with Charter of its services for the customers. Citizens'
Charter concept was considered as a base instrument to fill this need and accordingly this
document was prepared. This document was made in consultation with the users and
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highlights our Bank's commitments towards the customer satisfaction, thus ensuring
accountability and responsibility amongst its officials and staff. This Code for customers
not only explains our commitment and responsibilities along with the redressed methods
but also specifies the obligation on the part of customers for healthy practices in
Customer-Banker relationships.
This is not a legal document creating rights and obligations. The Code has been prepared
to promote fair banking practices and to give information in respect of various activities
relating to customer service.
We wish to acknowledge the initiative taken by the Ministry of Finance, Government of
India and Ministry of Administrative Reforms and Public Grievances for encouraging us
to bring out this Code.
We maintain constant consultations with our clientele through various Seminars,
Customer Meets, etc. to evaluate improve and widen the range of service to customer.
However, all our customers are requested to keep us informed of their experiences about
the various services rendered by the Bank and feel free to comment on this Code. We
intend to bring it out in many Regional Languages in subsequent years.
COMMON PRACTICES FOLLOWED BY PNB BRANCHES
Display business hours.
Render courteous services.
Attend to all customers present in the banking hall at the close of business hours.
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Provide separate 'Enquiry' or 'May I help you' counter at large branches.
Offer nomination facility to all deposit accounts (i.e. account opened in individual
capacity) and all safe deposit locker hirers (i.e. individual hirers).
Display interest rates for various deposit schemes from time to time.
Notify change in interest rates on advances.
Provide details of various deposit schemes/services of the Bank.
Issue Demand Drafts, Pay Orders, etc.
Display Time-Norms for various banking transactions.
Pay interest for delayed credit of outstation cheques, as advised by Reserve Bank of
India (RBI) from time to time.
Accord immediate credit in respect of outstation and local cheques upto a specified
limit subject to certain conditions, as advised by RBI from time to time.
Provide complaint/suggestion box in the branch premises.
Display address of Regional/Zonal and Central Offices as well as Nodal Officer
dealing with customer grievances/complaints.
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5.1 STATEMENT OF THE PROBLEM
This Study will help us to understand the consumer’s satisfaction about banking
services and products. This study will help banks to understand, how a consumer selects,
organizes and interprets the Quality of service and product offered by banks.
The market is more aware and realistic about investment and returns from financial
products. In this background this study tries to analyze the customer satisfaction towards
banking services in general and PNB in particular.
5.2 NEED FOR THE STUDY
The deeper the company understands of consumer’s needs and
satisfaction, the earlier the product or service is introduced ahead of
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competition, the greater the expected contribution margin. Hence the study
is very important.
This study will help companies to customize the service and product,
according to the consumer’s need.
This study will also help the companies to understand the experience and
expectations of the existing customers.
.
5.3 REASERCH METHODOLOGY
A descriptive study tries to discover answers to the questions who, what, when,
where, and, sometimes, how. The researcher attempts to describe or define a subject,
often by creating a profile of a group of problems, people, or events.
Such studies may involve the collection of data and the creation of a distribution of the
number of times the researcher observes a single event or characteristic (the research
variable), or they may involve relating the interaction of two or more variables.
Organizations that maintain databases of their employees, customers, and suppliers
already have significant data to conduct descriptive studies using internal information.
Yet many firms that have such data files do not mine them regularly for the decision-
making insight they might provide.
This descriptive study is popular in business research because of its versatility
across disciplines. In for-profit, not-for-profit and government organizations, descriptive
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investigations have a broad appeal to the administrator and policy analyst for planning,
monitoring, and evaluating. In this context, how questions address issues such as
quantity, cost, efficiency, effectiveness, and adequacy.
Descriptive studies may or may not have the potential for drawing powerful inferences.
A descriptive study, however, does not explain why an event has occurred or why the
variables interact the way they do.
5.4 SAMPLE METHOD
Convenience sampling method is used for the survey of this project. It is a non-
probability sample. This is the least reliable design but normally the cheapest and easiest
to conduct .In this method Researcher have the freedom to choose whomever they find,
thus the name convenience. Example includes informal pools of friends and neighbours
or people responding to a newspaper’s invitation for readers to state their position on
some public issue.
5.6 SAMPLE SIZE
Sample size denotes the number of elements selected for the study. For the present
study, 100 respondents were selected at random. All the 100 respondents were the
customers of different branches of PNB.
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5.7 SAMPLING METHOD
A sample is a representative part of the population. In sampling technique,
information is collected only from a representative part of the universe and the
conclusions are drawn on that basis for the entire universe.
A convenience sampling technique was used to collect data from the respondents.
5.8 METHOD OF DATA COLLECTION
To know the response, the researcher used questionnaire method. It has been
designed as a primary research instrument. Questionnaires were distributed to
respondents and they were asked to answer the questions given in the questionnaire.
The questionnaires were used as an instrumentation technique, because it is an
important method of data collection. The success of the questionnaire method in
collecting the information depends largely on proper drafting. So in the present study
questions were arranged and interconnected logically. The structured questionnaire will
reduce both interviewers and interpreters bias.
Further, coding and analysis was done for each question’s response to reach into
findings, suggestions and finally to the conclusion about the topic.
5.9 TYPES OF DATA
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Every decision poses unique needs for information, and relevant strategies can be
developed based on the information gathered through research. Research is the systematic
objective and exhaustive search for and study of facts relevant to the problem
Research design means the framework of study that leads to the collection and
analysis of data. It is a conceptual structure with in which research is conducted. It
facilitates smooth sailing of various research operations to make the research as effective
as possible.
PRIMARY DATA
Primary data are those collected by the investigator himself for the first time and thus
they are original in character, they are collected for a particular purpose.
A well-structured questionnaire was personally administrated to the selected sample to
collect the primary data.
SECONDARY DATA
Secondary data are those, which have already been collected by some other persons for
their purpose and published. Secondary data are usually in the shape of finished products.
Two types of secondary data were collected for the preparation of the project work:
Internal Data was generated from company’s brochures, manuals and annual reports
External Data, on the other hand, was generated from magazines, research books,
intranet and internet (websites).
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CUSTOMER SATISFACTION IN PNB 0541914308
Gitarattan International Business School 3
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TABLE 6.1
SHARE OF DIFFERENT TYPES OF ACCOUNTS
SL. No. NATURE OF
ACCOUNTS
NUMBER OF
RESPONDENTS
PERCENTAGE OF
RESPONDENTS
1. Saving A/Cs 78 78%
2. Current A/Cs 9 9%
3. Fixed Deposits 4 4%
4. Loans 3 3%
5. Others 6 6%
Total 100 100%
Analysis: Above table shows that 78% respondents have Saving A/Cs, and 9% have
Current A/Cs and rest of the respondents have 13% share of other A/Cs in total (which
includes fixed deposits, loans, and other products)
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Interpretation: This means most of the respondents are having Saving A/Cs which
means the bank deposits are enriching as Saving A/Cs share is most.
TABLE 6.2
SATISFACTION OF RESPONDENTS WITH SERVICES OFFERED
BY PNB BRANCH
SL. No. RESPONSE NUMBER OF
RESPONDENTS
PERCENTAGE OF
RESPONDENTS
1. Satisfied 89 89%
2. Not satisfied 11 11%
TOTAL 100 100 %
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Analysis: From the above table it could be inferred that 89% of the consumers are
satisfied with the service and quality of products of their bank. Only 11% of consumers
are not satisfied.
Interpretation: Most of the respondents are satisfied with the service offered by PNB.
Presently the bank offers varieties of services and the customers are getting a good rate of
return from their deposits. Customers are getting good service from the bank.
TABLE 6.3
RATINGS OF THE SERVICES OFFERED BY THE RESPONDENT’S
LIFE INSURANCE COMPANY
SL. No. RATINGSNUMBER OF
RESPONDENTS
PERCENTAGE OF
RESPONDENTS
1. EXCELLENT 05 5%
2. VERY GOOD 09 9%
3. GOOD 76 76%
4. AVERAGE 06 6%
5. POOR 04 4%
TOTAL 100 100 %
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Analysis: From this table it could be inferred that 76% of the consumers have rated
service offered as ‘good’, 9% of them have rated them as ‘very good’, and 05% of them
have rated as excellent and average’ while only 4% have rated as ‘poor’
.
Interpretation: Service offered by the bank is improving day by day. Returns consumers
are getting are also attractive. Majority of the customers rates good, very good and
excellent because of the customer service offered by the bank. Banks are providing a
good service to the customers due to increased competition in the market. This may be
the reason for more satisfaction
TABLE 6.4
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TABLE SHOWING MOTIVE BEHIND THE SELECTING PNB
SL.NO ATTRIBUTE SCORE RANK
1. Brand name 56 1
2. Customer service 30 2
3. Interest 12 3
4. Others 2 4
Analysis: This table show the strengths and weaknesses of the brand, and what are the
important criteria or factors on which decision-making is done. From this table we can
infer that consumers give more importance for ‘Brand name’, secondly they prefer
‘satisfaction’, and then ‘returns on investment’.
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Interpretation: This purely shows that people are now looking forward for better
customer service in addition to the brand name in which they are investing and the returns
they are getting.
TABLE 6.5
CONSUMERS WILLINGNESS TO RECOMMEND THEIR LIFE
INSURANCE COMPANY TO OTHERS
SL. No. RESPONSES NUMBER OF
RESPONDENTS
PERCENTAGE OF
RESPONDENTS
1. Recommended 92 92%
2. Not recommended 08 8%
TOTAL 100 100 %
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Analysis: From this table it can be noted that the majority of consumers (92%) would
like to recommend their bank services to others and only 8% of consumers would not like
to recommend it to others.
Interpretation: Since the competition has increased in the field of benefits and service of
banking. So customers are getting good service, so that they are willing to recommend
their bank services to others.
TABLE 6.6
CONSUMERS WILLINGNESS TO SHIFT THEIR A/Cs TO OTHER
BANKS
SL. No. RESPONSES NUMBER OF
RESPONDENTS
PERCENTAGE OF
RESPONDENTS
1. Shift 8 8%
2. Doesn’t shift 92 92%
TOTAL 100 100 %
Gitarattan International Business School 4
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Analysis: From this table it can be noted that the majority of consumers (92%) doesn’t
like to shift their A/Cs to other banks.
Interpretation: The reason can be increasing customer satisfaction and quality services
offered by the bank.
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CONCLUSION:
The project entitled “A STUDY TO UNDERSTAND THE CUSTOMER
SATISFACTION AT PNB” has helped me in studying satisfaction about services and
products offered to consumers.
Since the opening up of the banking sector, private banks are in the
fray each one trying to cover more market share than the other.
Yet, PNB is far behind SBI. PNB must also be alert what with Private Banks
(ICICI, HDFC) breathing down its neck.
I am sure the bank will find my findings relevant and I sincerely hope it uses my
suggestions enlisted, which I hope will take them miles ahead of competition.
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SUGGESTIONS & RECOMMENDATIONS
With regard to banking products and services, consumers respond at different rates,
depending on the consumer’s characteristics. Hence PNB should try to bring their new
product and services to the attention of potential early adopters.
Due to the intense competition in the financial market, PNB should adopt better
strategies to attract more customers.
Return on investment company reputation and premium outflow are most
preferred attributes that are expected by the respondents. Hence greater focus
should be given to these attributes.
PNB should adopt effective promotional strategies to increase the awareness level
among the consumers.
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PNB should ask for their consumer feedback to know whether the consumers are
really satisfied or dissatisfied with the service and product of the bank. If they are
dissatisfied, then the reasons for dissatisfaction should be found out and should be
corrected in future.
The PNB brand name has earned a lot of goodwill and enjoys high brand equity.
As there is intense competition, PNB should work hard to maintain its position
and offer better service and products to consumers.
The bank should try to increase the Brand image through performance and service
then, only the customers will be satisfied.
Majority of the people find banking important in their life, so PNB should employ
the strategies to convert the want in to need which will enrich their business.
In short, I would like to say that the very act of the concerned management at
PNB in giving me the job of critically examining consumer satisfaction towards financial
products and services of the company is a step in their continual mission of making all
round improvements as a means of progress.
I am sure the bank has a very bright future to look forward to and will be a
trailblazer in its own right.
REFERENCES
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There was an immense need and flow of the information. While conducting the analysis
as well as while writing the report, which was gathered through various sources
mentioned below: -
Internet
http://pnbindia.com last accessed on 2/08/2009
http://moneymarket.com last accessed on 7/08/2009
Other Printed Literature such as
PNB Product Manual Guide
Annual General Reports of PNB (2008 – 2009)
PNB Performance Highlights 2008 & 2009
Books
Customer satisfaction measurement simplified
- Jeffrey Gitomer
Why satisfied customers defect “Harvard Business Review nov-dec 1995
Customer Satisfaction measurement & management : using the voice of
customer
- Naumann Giel
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QUESTIONNAIRE
Name:
Phone off: Phone Res.
Occupation
Office Address
Monthly Income: 5000 – 10000 10000 – 20000
And above
Type of Bank’s you are holding saving account with-
1. Nationalized / co-operative
2. Private
3. Multinational
How
long have you been banking with them?
1. Less than 1 year
2. 1-3 year
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4year and above
How would you rate your experience with your current bankers?
1. Excellent
2. Good
3. Fair
4. Poor
Do you presently hold a credit Card?
1. Yes
2. No
Does your bank charges you on the transaction that you do on the
credit Card?
1. Yes
2. No
Which of these factors influenced your decision to open an account
with your current bank?
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1. Facilities provided by the Bank
2. Recommendation by friend / relatives
3. Advertisement
4. Brand
5. ATM’s
6. Branch timing
How important are the banking facilities for you?
services Not Important Average Important Very Important
A.T.M
Phone Banking
Locker facilities
Cash / Cheque Pick up
Insurance
Facilities with
Your account
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Banking Hours
Discount in restaurants
& Shopping malls
Free Drafts /Pay orders
365 days Branch
Banking
Would you be interested in opening a saving account with the Punjab
National Bank?
Bank which can be accessed at over 1450 ATM’s all over the
country for free*
1. Yes
2. No
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