j&k bank final project aadil
TRANSCRIPT
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1.1INDUSTRY PROFILE
Banking in India originated in the last decades of the 18th century. The first banks
were The General Bank of India, which started in 1786, and Bank of Hindustan,
which started in 177! both are now defunct. The oldest bank in e"istence in India is
the #tate Bank of India, which originated in the Bank of $alcutta in %une 186, which
al&ost i&&ediately beca&e the Bank of Bengal. This was one of the three 'residency
banks, the other two being the Bank of Bo&bay and the Bank of (adras, all three of
which were established under charters fro& the British )ast India $o&'any. *or
&any years the +residency banks acted as uasi-central banks, as did their successors.
The three banks &erged in 1/1 to for& the I&'erial Bank of India, which, u'on
India0s inde'endence, beca&e the #tate Bank of India in 1.
History by ankit 2ain (erchants in $alcutta established the 3nion Bank in 184, but it
failed in 185 as a conseuence of the econo&ic crisis of 1858-5. The llahabad
Bank , established in 186 and still functioning today, is the oldest %oint #tock bank in
India.Joint Stock Bank co&'any that issues stock and reuires shareholders to be
held liable for the co&'any0s debt9 It was not the first though. That honor belongs to
the Bank of 3''er India, which was established in 1864, and which sur:i:ed until
114, when it failed, with so&e of its assets and liabilities being transferred to the
lliance Bank of #i&la.
*oreign banks too started to a'', 'articularly in $alcutta, in the 186s. The $o&'toir
d0)sco&'te de +aris o'ened a branch in $alcutta in 186, and another in Bo&bay in
186/! branches in (adras and +ondicherry, then a *rench colony, followed. H#B$
established itself in Bengal in 186. $alcutta was the &ost acti:e trading 'ort in India,
&ainly due to the trade of the British )&'ire, and so beca&e a banking center.
The first entirely Indian 2oint stock bank was the ;udh $o&&ercial Bank, established
in 1881 in *ai<abad. It failed in 18. The ne"t was the +un2ab =ational Bank ,
established in >ahore in 18, which has sur:i:ed to the 'resent and is now one of the
largest banks in India.
round the turn of the /th $entury, the Indian econo&y was 'assing through arelati:e 'eriod of stability. round fi:e decades had ela'sed since the Indian (utiny,
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and the
social,
industrial
and other
infrastructure had i&'ro:ed. Indians had established s&all banks, &ost of which
ser:ed 'articular ethnic and religious co&&unities.
The 'residency banks do&inated banking in India but there were also so&e e"change
banks and a nu&ber of Indian 2oint stock banks. ll these banks o'erated in different
seg&ents of the econo&y. The e"change banks, &ostly owned by )uro'eans,
concentrated on financing foreign trade. Indian 2oint stock banks were generally under
ca'itali<ed and lacked the e"'erience and &aturity to co&'ete with the 'residency
and e"change banks. This seg&entation let >ord $ur<on to obser:e, ?In res'ect of
banking it see&s we are behind the ti&es. @e are like so&e old fashioned sailing shi',
di:ided by solid wooden bulkheads into se'arate and cu&berso&e co&'art&ents.?
The 'eriod between 16 and 111, saw the establish&ent of banks ins'ired by the
#wadeshi &o:e&ent. The #wadeshi &o:e&ent ins'ired local business&en and
'olitical figures to found banks of and for the Indian co&&unity. nu&ber of banks
established then ha:e sur:i:ed to the 'resent such as Bank of India, $or'oration
Bank , Indian Bank , Bank of Baroda, $anara Bank and $entral Bank of India.
The fer:our of #wadeshi &o:e&ent lead to establishing of &any 'ri:ate banks in
Aakshina annada and 3du'i district which were unified earlier and known by the
na&e South Canara #outh anara 9 district. *our nationalised banks started in this
district and also a leading 'ri:ate sector bank. Hence undi:ided Aakshina annada
district is known as ?$radle of Indian Banking?.
Auring the *irst @orld @ar 115C1189 through the end of the #econd @orld @ar
14C159, and two years thereafter until the inde'endence of India were
challenging for Indian banking. The years of the *irst @orld @ar were turbulent, and
it took its toll with banks si&'ly colla'sing des'ite the Indian econo&y gaining
indirect boost due to war-related econo&ic acti:ities. t least 5 banks in India failed
between 114 and 118 as indicated in the following table
/
Yar! Nu"#r o$ #ank!
that $ai%d
&uthori'd ca(ita%
)R!. Lakh!*
Paid+u( Ca(ita%
)R!. Lakh!*
114 1/ /75 4
115 5/ 71 1
11 11 6
116 14 /41 5
117 76 /
118 7 / 1
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The 'artition of India in 157 ad:ersely i&'acted the econo&ies of +un2ab and @est
Bengal, 'araly<ing banking acti:ities for &onths. India0s inde'endence &arked the
end of a regi&e of the >aisse<-faire for the Indian banking. The Go:ern&ent of
India initiated &easures to 'lay an acti:e role in the econo&ic life of the nation, and
the Industrial +olicy Desolution ado'ted by the go:ern&ent in 158 en:isaged
a &i"ed econo&y. This resulted into greater in:ol:e&ent of the state in different
seg&ents of the econo&y including banking and finance. The &a2or ste's to regulate
banking included
The Deser:e Bank of India, India0s central banking authority, was established
in 'ril 145, but was nationali<ed on %anuary 1, 15 under the ter&s of the
Deser:e Bank of India Transfer to +ublic ;wnershi'9 ct, 158 DBI, /b9.
In 15, the Banking Degulation ct was enacted which e&'owered the
Deser:e Bank of India DBI9 ?to regulate, control, and ins'ect the banks in India?.
The Banking Degulation ct also 'ro:ided that no new bank or branch of an
e"isting bank could be o'ened without a license fro& the DBI, and no two banks
could ha:e co&&on directors.
Aes'ite the 'ro:isions, control and regulations of Deser:e Bank of India,
banks in India e"ce't the #tate Bank of India or #BI, continued to be owned
and o'erated by 'ri:ate 'ersons. By the 16s, the Indian banking industry
had beco&e an i&'ortant tool to facilitate the de:elo'&ent of the Indian
econo&y. t the sa&e ti&e, it had e&erged as a large e&'loyer, and a debate
had ensued about the nationali<ation of the banking industry. Indira Gandhi,
then +ri&e, e"'ressed the intention of the Go:ern&ent of India in the annual
conference of the ll India $ongress (eeting in a 'a'er entitled E#tray
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thoughts on Bank =ationali<ation.? The &eeting recei:ed the 'a'er with
enthusias&.
Thereafter, her &o:e was swift and sudden. The Go:ern&ent of India issued
an ordinance 0Banking $o&'anies cuisition and Transfer of
3ndertakings9 ;rdinance, 16099 and nationali<ed the 15 largest co&&ercial
banks with effect fro& the &idnight of %uly 1, 16. These banks contained
8 'ercent of bank de'osits in the country.%aya'rakash =arayan, a national
leader of India, described the ste' as a ?&asterstroke of 'olitical
sagacity.? @ithin two weeks of the issue of the ordinance,
the +arlia&ent 'assed the Banking $o&'anies cuisition and Transfer of
3ndertaking9 Bill, and it recei:ed the 'residential a''ro:al on ugust 16.
second dose of nationali<ation of 6 &ore co&&ercial banks followed in 18. The
stated reason for the nationali<ation was to gi:e the go:ern&ent &ore control of credit
deli:ery. @ith the second dose of nationali<ation, the Go:ern&ent of India controlled
around 1F of the banking business of India. >ater on, in the year 14, the
go:ern&ent &erged =ew Bank of India with +un2ab =ational Bank . It was the only
&erger between nationali<ed banks and resulted in the reduction of the nu&ber of
nationali<ed banks fro& / to 1. fter this, until the 1s, the nationali<ed banks
grew at a 'ace of around 5F, closer to the a:erage growth rate of the Indian econo&y.
In the early 1s, the then =arasi&ha Dao go:ern&ent e&barked on a 'olicy
of liberali<ation, licensing a s&all nu&ber of 'ri:ate banks. These ca&e to be known
as =ew Generation tech-sa::y banks, and included Global Trust Bank the first of
such new generation banks to be set u'9, which later a&alga&ated with ;riental Bank
of $o&&erce, 3TI Bank since rena&ed "is Bank 9,I$I$I Bank and HA*$ Bank .
This &o:e, along with the ra'id growth in the econo&y of India, re:itali<ed the
banking sector in India, which has seen ra'id growth with strong contribution fro& all
the three sectors of banks, na&ely, go:ern&ent banks, 'ri:ate banks and foreign
banks.
The ne"t stage for the Indian banking has been set u' with the 'ro'osed rela"ation in
the nor&s for *oreign Airect In:est&ent, where all *oreign In:estors in banks &ay be
gi:en :oting rights which could e"ceed the 'resent ca' of 1F,at 'resent it has gone
u' to 75F with so&e restrictions.
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The new 'olicy shook the Banking sector in India co&'letely. Bankers, till this ti&e,
were used to the 5-6-5 ðod Borrow at 5F! >end at 6F!Go ho&e at 59 of
functioning. The new wa:e ushered in a &odern outlook and tech-sa::y ðods of
working for traditional banks. ll this led to the retail boo& in India. +eo'le not 2ust
de&anded &ore fro& their banks but also recei:ed &ore.
$urrently /19, banking in India is generally fairly &ature in ter&s of su''ly,
'roduct range and reach-e:en though reach in rural India still re&ains a challenge for
the 'ri:ate sector and foreign banks. In ter&s of uality of assets and ca'ital
adeuacy, Indian banks are considered to ha:e clean, strong and trans'arent balance
sheets relati:e to other banks in co&'arable econo&ies in its region. The Deser:e
Bank of India is an autono&ous body, with &ini&al 'ressure fro& the go:ern&ent.
The stated 'olicy of the Bank on the Indian Du'ee is to &anage :olatility but without
any fi"ed e"change rate-and this has &ostly been true.
@ith the growth in the Indian econo&y e"'ected to be strong for uite so&e ti&e-
es'ecially in its ser:ices sector-the de&and for banking ser:ices, es'ecially retail
banking, &ortgages and in:est&ent ser:ices are e"'ected to be strong. ;ne &ay also
e"'ect (s, takeo:ers, and asset sales.
In (arch /6, the Deser:e Bank of India allowed @arburg +incus to increase its
stake in otak (ahindra Bank a 'ri:ate sector bank9 to 1F. This is the first ti&e an
in:estor has been allowed to hold &ore than F in a 'ri:ate sector bank since the DBI
announced nor&s in / that any stake e"ceeding F in the 'ri:ate sector banks
would need to be :etted by the&.
In recent years critics ha:e charged that the non-go:ern&ent owned banks are too
aggressi:e in their loan reco:ery efforts in connection with housing, :ehicle and
'ersonal loans. There are 'ress re'orts that the banks0 loan reco:ery efforts ha:e
dri:en defaulting borrowers to suicide The DBI in 185 for&ed $o&&ittee on
(echanisation in the Banking Industry 1859 whose chair&an was Ar $
Dangara2an, Ae'uty Go:ernor, Deser:e Bank of India. The &a2or reco&&endations of
this co&&ittee was introducing (I$D Technology in all the banks in the &etro'olis
in India.This 'ro:ided use of standardi<ed cheue for&s and encoders.
In 188, the DBI set u' $o&&ittee on $o&'uterisation in Banks 1889 headed by
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Ar. $.D. Dangara2an which e&'hasi<ed that settle&ent o'eration &ust be
co&'uteri<ed in the clearing houses of DBI in Bhubaneshwar, Guwahati, %ai'ur, +atna
and Thiru:anantha'ura&.It further stated that there should be =ational $learing of
inter-city cheues at olkata,(u&bai,Aelhi,$hennai and (I$D should be &ade
;'erational.It also focused on co&'uterisation of branches and increasing
connecti:ity a&ong branches through co&'uters.It also suggested &odalities for
i&'le&enting on-line banking.The co&&ittee sub&itted its re'orts in 18 and
co&'uterisation began for& 14 with the settle&ent between IB and bank
e&'loyees association.
In 15, $o&&ittee on Technology Issues relating to +ay&ents #yste&, $heue
$learing and #ecurities #ettle&ent in the Banking Industry 159 was set u' with
chair&an #hri @# #araf, )"ecuti:e Airector, Deser:e Bank of India. It e&'hasi<ed on
)lectronic *unds Transfer )*T9 syste&, with the B==)T co&&unications
network as its carrier.It also said that (I$D clearing should be set u' in all branches
of all banks with &ore than 1 branches.
$o&&ittee for 'ro'osing >egislation ;n )lectronic *unds Transfer and other
)lectronic +ay&ents 19 e&'hasi<ed on )*T syste&. )lectronic banking refers to
A;I=G B=I=G by using technologies like co&'uters, internet and networking,
(I$D,)*T so as to increase efficiency, uick ser:ice, 'roducti:ity and trans'arency
in the transaction.
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1., CO-P&NY PFROFILE
Pro$i% o$ J/ Bank
+relude
The % Bank was incor'orated on ;ctober 1st 148 co&&enced business on
%uly 5th 14. *ro& a s&all beginning the Bank has grown to beco&e a giant with a
wide network of branches s'read o:er the length and breadth of India. significant
contributing factor for this fast growth is the solid founding 'rinci'les, which are
dedicated to the cause of transfor&ing the bank not only as a financial heart but also
as a social heart of the co&&unity.
The % Bank is the first state owned Bank of the country and 4F of the
euity is held by the Go:t. of %. The Bank has a consistent tract record of growth
and 'rofitability. It has a uniue distinction of being banker to the % #tate Go:t.
and has also been a''ointed by DBI as its agency in %, res'onsible for carrying
general banking business of the central Go:t. and collection of ta"es 'ertaining to the
$entral Board of Airect Ta"es.
The land&ark achie:e&ents in the di:ersification of the Banks functions
include the s'onsoring of the two Degional Dural Banks :i<, a&ra< Dural Bank and
%a&&u Dural Bank! 'er&ission for dealing in foreign e"change, holding the lead bank
res'onsibilities in 1/ out of // districts of % #tate
Technology has 'layed a 'i:otal role in the growth of the bank,1 branches were
co&'uteri<ed during the year taking the total count of co&'uteri<ed business units as
on 41 &arch /1/ to 645 out of a total business unit count of 65 which includes 64
business units and 47 e"tension counters
new #;> were o'ened on core banking 'latfor& during /11 /1/ ,177 T(s
were 'rocured out of which 157 were co&&ended during financial year /11 /1/
taking the aggregate no. of count of T(s to 8.)-banking facility has been &ade
a:ailable at all $B# branches of the bank and the no. of e-banking costu&er accounts
stood at 1658 as on 4141/ .The 'ro2ect $T# co:ering do&estic, fore" and
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deri:ati:e &odules stands i&'le&ented. The JaD engine also stands i&'le&ented! all
the $B# branches of bank are enabled for DTG# and =)*T facility
$or'orate &odule of $T# cheue truncation9 was de'loyed and &ade functional at
$hennai9
The $$ TJs were installed at /4 &ore branches taking the total count to /1 in
addition $$ TJs were installed at 4 T( locations.
#yste& le:el asset classification for bringing trans'arency and efficiency in asset
classification was i&'le&ented and in the first 'hase asset classification of accounts
with sectioned li&it of Ds lakhs and abo:e was i&'le&ented through the syste&.
% Banks :ision and endea:or for being a de:elo'&ental institution, central to the
#ocio-)cono&ic de:elo'&ent of % #tate has rea'ed rich di:idends for the bank.
The 'olicy enabled the &obili<ation of low-cost de'osits and their de'loy&ent in
highly 'roducti:e, but credit-star:ed sector of the % econo&y. These sectors, a'art
fro& being high-yielding, accelerate the desired di:ersification of the banks credit
'ortfolio and also hel' fulfill the bank 'riority sector obligations.
The bank has set own a&bitious target for go:erning Ds1,, crore business by
(arch /14 with a net 'rofit figure of Ds1 crore.
The achie:e&ent of this &ile stone is 'lanned to coincidence with the 'latinu&
2ubilee celebration in /14.
To achie:e the cherishable target, the bank shall 'ursue a 'an-India aggressi:e growth
strategy, in co&&ission with its strategic business 'lan.
+resently the bank is the fastest growing bank in India with a network of &ore
than 65 branches s'read across the country offering world class banking
'roductsser:ices to the &asses. % Bank is going for& strength to strength Bank
has touched business turno:er of Ds.865/5 crores.
In short, Bank sees tre&endous re:enue growth o''ortunities in all businesses.
Bank will continue to increase its re:enue, and enhance shareholder :alue through
whiche:er &eans is &ost a''ro'riate, including organic de:elo'&ent, acuisitions,
2oint :entures and 'artnershi's. Bank will continue to i&'ro:e o'erational efficiency,
building on success to date, but wont hesitate to rein:est these sa:ings in new
'ro'ositions, new initiati:es, and new businesses es'ecially if they allow bank to
e"'loit 'rofitable growth o''ortunities. % Bank has a 'owerful set of brands that
'eo'le trust. Bank has 'ro:en 'roducts and ser:ices, an integrated distribution
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network that deli:ers, and financial strength. This is a tre&endous base on which to
grow business 'rofitably. Bank is confident to continue to be a winner.
In recognition of its e"cellent custo&er ser:ice, fair business 'ractices, o:erall
o'erational efficiency, o:erall 'erfor&ance, etc the bank has been felicitated by the
following awards during the last few years.
% Bank has been awarded as the best Bank in the 'restigious ‘Dun & Bradstreet
(D&B) – Polaris Software Banking Awards 2011.
% Bank0s nnual De'ort /8- has won three awards at the 'restigious >$+
/ Jision wards C the world0s largest award 'rogra&&e for nnual De'orts,
organi<ed by $alifornia-based >eague of &erican $o&&unications +rofessionals
>$+9, 3#.
;DG=IKTI;=> #TD3$T3D)
The % Bank has a four tier organi<ational structure, na&ely
$or'orate Headuarters,
Konal ;ffices,
$luster ;ffices and
Branch ;ffices.
1. $;D+;DT) H)AL3DT)D
The cor'orate Headuarter of the Bank is located at #rinagar and is headed by
$hair&an cu& $hief )"ecuti:e officer $);9, who is a''ointed by the %
Go:ern&ent for a 'eriod of 4 to years. Generally, the chair&an is selected for&
re'uted )cono&ists, Bankers or the d&inistrators of the state. The $hair&an is
guided by the Board of Airectors of the Bank.
Board of Airectors
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The Board of Airectors of the Bank consists of 8 &e&bers. The Board sits
&ore than a do<en ti&es in a year to re:iew the business acti:ities of the Bank. It also
'lans and regulates the future acti:ities of the Bank through 'olicy decisions and
ad&inistrati:e guidelines. ll the i&'ortant decisions of the Bank ha:e to be endorsed
by the Board of Airectors before their i&'le&entation.
(=G)()=T
The &anage&ent of the Bank consists of the following three categories.
#enior (anage&ent
(iddle (anage&ent, and
%unior (anage&ent.
t the to' of &anage&ent there is $hair&an cu& $);, who is followed by e"ecuti:e
'residents, 'residents, :ice 'resident and assistant :ice 'residents
In the (iddle (anage&ent, there are e"ecuti:e &anagers, senior e"ecuti:e
and e"ecuti:es. nd in the 2unior &anage&ent there are ssociate e"ecuti:es.
/. K;=> ;**I$)
3nder $or'orate Headuarters there are 11 Konal ;ffices s'read all o:er
India. <onal (anager, who is of the rank of :ice 'resident. The :arious de'art&ents
at Konal offices look after following i&'ortant functions
Supervision and ontrol
!redit
(IA
>aw,
Branches,
#ecurity,
General, etc.
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4. $>3#T)D ;**I$)#
3nder Konal ;ffices, there are $luster ;ffices. The $luster ;ffice is headed
by the ssistant :ice 'resident or senior e"ecuti:e (anager.
5. Branch offices
The :arious branches of the Bank in %a&&u and ash&ir #tate are di:ided
into different categories whereas in Aelhi Kone they are di:ided into / categories,
de'ending on the uantu& of business. These are, in % #tate, as follows
$ategory - :erage working abo:e Ds1. $rores.
$ategory B- :erage working Ds. . crores to Ds.1. $rores.
$ategory $- :erage working Ds.1. crores to Ds.. crores.
$ategory A- :erage working Ds./. crores to Ds.1. crores.
$ategory )- :erage working u' to Ds./.
In Aelhi Kone the :arious categories of the Branches of the Bank are
$ategory I- :erage working abo:e Ds./. crores.
$ategory II- :erage working u' to Ds./. crores.
HI#T;DI$> B$GD;3=A
)ntire banking in the state of %a&&u and ash&ir was 'erfor&ed bytraditional &oneylenders till 1/-4 and that too at e"orbitant interest rates. t the
sa&e ti&e so&e banks functioned but at a :ery li&ited scale, such as +un2ab =ational
Bank, Grind lays Bank and I&'erial bank of India. The role of these banks was
reduced to the acce'tance of de'osits, as they could not grant loans and ad:ances to
the 'eo'le of ht e state owing to the statutory li&itations. 3nder this scenario banks
could not a&eliorate the financial and social 'osition of 'eo'le of the state. To
o:erco&e this critical situation the then (ahara2a of #tate concei:ed an idea of setting
u' of a state Bank in the state. fter, 'rolonged e"ercises and deliberations the
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assign&ent for establish&ent of EThe %a&&u ash&ir Bank >i&itedM was gi:en to
the late #ir #orab2i = +ochkhanwala, the then (anaging Airector of the $entral Bank
of India. (r. +ochkhanwala for&ulated a sche&e on /5--14, suggesting
establish&ent of a #e&i #tate Bank with 'artici'ation in ca'ital by #tate and 'ublic
under the control of #tate Go:ern&ent. Thus the Bank was for&ally incor'orated on
1st of ;ctober 148 and co&&enced business fro& 5th of %uly 14 at its Degistered
;ffice, Desidency Doad, #rinagar, and ash&ir.
The %a&&u and ash&ir Bank li&ited has been the first of its nature and
co&'osition as a state owned bank in the country. The state Go:ern&ent besides
contributing half of the issued ca'ital also a''ointed it as its bankers for general
banking and treasury business. In its for&ati:e years, the bank had to encounter
se:eral serious 'roble&s, 'articularly around the ti&e of inde'endence, when out of
its total of 1 branches two branches of (u<affar-abad and (ir'ur fell to the other
side of line of control =ow +ak d&inistered ash&ir9 along with cash and other
assets in 157. Howe:er, the #tate go:t. ca&e to its rescue with the assistance of Ds
6. lacks to &eet the clai&s. Howe:er the bank steadfastly o:erca&e its difficulties
and ke't growing. *ollowing the e"tension of central laws to the #tate of %a&&u and
ash&ir, the bank was defined as a Go:t. co&'any as 'er the 'ro:isions of Indian
co&'anies ct 16. The Bank had its first full ti&e $hair&an in 171, following the
social control &easures in banks. The year 171 was a turning 'oint for the bank on
confer&ent of scheduled bank status and witnessed re&arkable 'rogress in all the
:ital fields of o'erations. Deser:e Bank of India declared the Bank as EM class bank
in 176.
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1., INTRODUCTION TO T0E STUDY
$usto&er is the nucleus around who& bank business ought to take sha'eo'erate, The
'olicies and 'rocedures should be used as tools to &anage the 'hysical resources, but
&ore i&'ortantly the hu&an resources as, banking ser:ices are rendered by hu&an
beings to hu&an beings. I&'ortant to custo&er ser:ice in banks are the syste&s and
organi<ational arrange&ent, as well as the characteristics and beha:ior of
e&'loyeese&'loyers towards custo&ers. There has been 'heno&enal growth of
ser:ice industries in recent years. (ore 'eo'le are now e&'loyed in ser:ice industriesthan in &anufacturing industries. good 'art of business sector with its banks, hotels,
law fir&s, consultation fir&s, air lines etc, is in the ser:ice business. In the changed
&ilieu, e:ery banking organi<ation tries to utili<e its resources in the &ost efficient
and effecti:e way. This calls for 'ro'ounding new conce'ts, de:elo' new skills,
redefine the ob2ecti:es and goals, for&ulate new strategies and reorient training and
&odify attitudes of the e&'loyees and e"ecuti:es so that 'roducts and ser:ices are
deli:ered to the custo&ers as 'er their de&ands and e"'ectations which would lead to
the satisfaction of custo&ers. $usto&er satisfaction is a do&inant factor in the success
of an enter'rise. In the banking industry where intangible 'roducts are to be &arketed,
the i&'ortance of custo&er satisfaction is all the &ore significant. The custo&er has,
therefore, necessarily and consistently to be the focal 'oint in all decision &aking
relating to the 'olicies, 'rogra&s and 'ractices of an organi<ation. *ro& this 'oint of
:iew, the 'ri&e function of banks can be defined as the creation and deli:ery of need
based custo&er ser:ice in a custo&er -satisfying &anner, to begin with! therefore, a
banker s‟
Task is to identify his custo&er and his needs. The 'roble& would really arise in
locating or identifying a 'otential custo&er on the one hand, and the right &arketing
and de:elo'&ental attitude on the other.
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.1 RE2IE3 OF LITR&TURE
Decent studies ha:e de&onstrated that knowing satisfying the custo&ers with
co&'etiti:ely su'erior ser:ices is the key to 'rofitable 'erfor&ance. The ser:ice fir&
&ust effecti:ely train &oti:ate its e&'loyees as well as all the su''orting ser:ice
'ersonnel to work as a tea& to 'ro:ide custo&er satisfaction. (any researchers ha:e
contributed a lot on custo&er satisfaction ha:e gi:en their own ideas about how to
satisfy a custo&er. #o&e of the i&'ortant studies are described here under
#tudies abroadHalstead 149 'ro'osed a &odel of satisfaction co&'laint resolution in which the
e"'ectations deter&ined the 'urchase ser:ice the related disconfir&ation. The study
further
#uggested that, to the e"tent the e"'ectations are clearly for&ed, the custo&ers are
&ore satisfied with co&'laint resolution. It also suggests 'ro:iding additional
ser:ices other then whate:er is e"'ected by custo&er, because ser:ice disconfir&ation
is &ore strongly correlated with satisfaction co&'laint resolution than warranty
confir&ation. %ones and #esser 19 re:eals that one of the ðods of &easuring
the i&'act of uality i&'ro:e&ent 'rocess in cor'orate sector is to create a custo&er
satisfaction sur:ey. The study discussed a sur:ey with one of the co&'any0s senior
officer, the $); 'roudly 'oints out that8/F of custo&ers sur:eyed res'onded with an
o:erall satisfaction and only 18F of its custo&ers were less then satisfied. There
di:isions with a:erage ratings co&'letely satisfied9, 5satisfied9 5.neutral9
4.dissatisfy9 and the lowest rating /.7:ery dissatisfied. The study concludes that
there is tough co&'etition in lubricant di:ision and its 'rice conscious custo&ers will
ne:er be satisfied, as it does not 'ay to &ake additional in:est&ent to try to satisfy
the&.otler 19 in his study co&&ents that so&e co&'anies raise e"'ectations to
&atch their 'erfor&ances. They ai& for total custo&er satisfaction as Nero", e.g.9
guarantees ?Total satisfaction ?and will re'lace at its e"'ense in dissatisfied
custo&er0s eui'&ent0s for a 'eriod of three years after 'urchase with the sa&e or
co&'arable 'roducts. nother co&'any like $igna ad:ertises that their co&'any will
be ne:er 1F satisfied until their custo&ers are too. ;ne of the studies of Toyota
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buyers showed those highly satisfied buyers shows high custo&er loyalty than those
who are 2ust satisfied. >o:elock and Ooung 179 in an article, ?>ook to consu&ers
to increase 'roducti:ityM, obser:ed that in &any ser:ices, atte&'t to i&'ro:e
'roducti:ity are likely to fail unless the su''ort of consu&ers can be secured. ;n the
contrary, so&e see consu&ers as a barrier to 'roducti:ity. They further obser:ed that
the insensiti:ity towards custo&ers can be a:oid by de:elo'ing custo&er trust in the
'roducti:ity related changes through syste&atic and 'lanned co&&unication 'rogra&
and by understanding custo&ers habit and understand deter&inants of custo&er
beha:ior. The study on ?selected deter&inants of custo&er satisfaction co&'laint
re'orts? by Bearden Teel 1849, ;li:er 189, re:eals that consu&er
satisfaction is based on the 'reference shares-'urchase belief, regarding 'roducts
'erfor&ance, e"'ectation
Aisconfir&ation belief or 'ost 'urchase 'erce'tion that a 'roduct could or could not
'erfor&s as e"'ected ha:e a significant influence on custo&er satisfaction. endall
Duss 179 re:eals that e"'ress warranties are 'ro&ises of co&'laint resolution
they often encourage unsatisfied custo&ers. *urther concluded by the& are that
e"'ectations of warranty ser:iced in case of durable goods are greater then non-
durable goods.>ele #heth 1889 says that for deter&ining custo&er satisfaction,
one of the factors will be the e"'ectations regarding after sale0s su''ort like tool free,
nu&bers, warranties, +arts a:ailability etc. they further re:eals that after sales su''ort
is said to be the lit&us test of fir&0s intentions towards its custo&ers. #olo&on 189
argues that custo&er satisfaction ser:ices with regard to co&'laining 'rocesses a
function of the ?congruence? between 'ercei:ed beha:ior the beha:ior e"'ected by
the role 'layer. Gilbert . $hurchill and $.#ur'renant 18/9 concluded that in
deter&ining custo&er satisfaction, a high correlation e"ists between 'erfor&ance
satisfaction of custo&ers. The study further concludes that in case of durable goods,
the satisfaction is &ore de'endent on the actual 'erfor&ance of the 'roduct then that
of non-durable goods.Bau&garten 17/9 in their nursing ho&e study found no
relationshi' between satisfaction as such functional attributes as the &odernity of the
ho&e, its si<e or any ob2ecti:e feature. To statistically significant degree they found
satisfaction related to the ability of the res'ondents to &ake friends there to the
nu&ber of such friends and to the religious affiliation of the ho&e. Aes'ite a difficulty
in s'ecifying which 'sychosocial :eritable are i&'ortant in any case and in &easuring
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the&. It is a taste, which should be handed for all but &ost co&&on'lace 'roduct
classification.
., OBJECTI2ES OF T0E STUDY
#tudy for % Bank car loan sche&e
The study ai&s to achie:e the following ob2ecti:es
1. To gauge the satisfaction of the custo&ers in organi<ations under study.
/. To identify the factors which act as i&'edi&ents for the custo&er satisfaction in
banksP
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. SCOPE OF T0E STUDY
The study was conducted to find out custo&er satisfaction towards % bank
with reference to car loans. Thus hel's in suggesting for solutions to 'ro:ide better 'erfor&ance.
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.4 NEED FOR T0E STUDY
The study was conducted to study about the custo&er satisfaction of % bank with
res'ect to car loans. There was a need to understand the :arious factors of a''raisalsyste& and gi:e re&edies to run the co&'any s&oothly.
$usto&er satisfaction can be critical baro&eter of how well a co&'any is ser:ing its
custo&ers. This infor&ation can show a co&'any what it needs to do to increase its
custo&er satisfaction le:el unless its &a2ority of custo&ers are totally satisfied. In
order to assess how satisfied or dissatisfied custo&ers are, co&'anies should
undertake sur:eys and understand what custo&ers need, when they 'ro:ide :arious
res'onses.
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4.1RESE&RC0 -ET0ODOLO5Y
•Desearch Aesign-
custo&er sur:ey was undertaken to assess the custo&ers. n e"'loratory
research design was ado'ted to conduct the study in order to know the i&'act
of % bank car loan sche&e a&ong the 'otential custo&ers. In order to get
the rele:ant data, 'ri&ary data was collected by &eeting the res'ondents
'ersonally.
• #a&'ling +lan-
+o'ulation of the #a&'le
The 'o'ulation of the interest was ash&ir :alley. rando& sa&'le design
was used. %udg&ent si&'le was also done to ensure &a"i&u& co:erage of
% bank custo&ers.
#a&'le #i<e
sa&'le of 1 res'ondents was taken in so&e organi<ations like institutions,
uni:ersities, hos'itals and in so&e sho''ing centers of the :alley.
• Aata collection
#ource of Aata
The re'ort &ainly consists of 'ri&ary data gathered through the
schedule of uestions asked to the res'ondents directly. Infor&ation about the
co&'any, its 'roduct ser:ices, features and &arket share were obtained fro&
the bank and for& other secondary sources such as &aga<ines, 2ournals,
annual re'orts etc.
The inter:iewer a''roached the res'ondents as if the was the &arketinge"ecuti:e of the bank and uestionnaire was for&ulated. The answers, ueries
and res'onses were noted down fro& each res'ondent and accordingly the
results were for&ed.
• Geogra'hical area of the study
The data collection for this 'ro2ect is restricted to the Jalley of ash&ir.
• #tatistical Tools
Tools are used for tabulation of data, 'ercentages are drawn for generali<ing
the study and gra'hs are used for ha:ing better 'ictorial re'resentation.
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6.1RESULT DISCUSSION
Co"(arati7 ana%8!i! o$ th 7ariou! #ank! in /a!h"ir 7a%%8
19 Head on co&'arison and the features of % bank with its co&'etitors in
the :alley.
#. =o. =a&e of the Bank Tenure Date of Interest
1.
% Bank
3' to 4 Oears 11.F
4 to Oears 11.7F
to 7 Oears 1/.
/. #tate Bank of India 3' to 4 Oears 1.7F
bo:e 4 Oears 11./F
4. +un2ab =ational Bank 3' to 4 Oears 11.F
bo:e 4 to Oears 1/F
5. ;riental Bank of $o&&erce 3' to 4 Oears +>D-1.F
bo:e 4 to Oears +>D-1F
. $entral Bank of India *i"ed Date +>D-/F
6. 3$; Bank *i"ed Date 11F
7. $anara Bank *i"ed Date 11.F
nalysis- It is e:ident fro& abo:e table that % Bank le:y high rate of
interest co&'ared to its arch ri:al co&'etitor state bank of India. if it is
allowed for &ore ti&e that the Bank will lose the hold of the 'otential
custo&ers. Therefore efforts &ust be raised by the bank &anage&ent to reduce
the rate of interest.
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/9 (argin (oney reuired for a:ailing the sche&e
nalysis - *ro& the gra'h it is obser:ed that the &argin &oney reuired for the sanction of loan of :arious banks is as
% Bank Q1F
3$; Bank Q1F
$anara Bank Q1F
;riental Bank of $o&&erce Q1F
$entral Bank of India Q1F
+un2ab =ational Bank Q1F
#tate Bank of India Q1F
Inference- It is e:ident that &argin &oney reuired is at 'ar with &ost of the banks .
Bank need to reduce it to catch hold of &ost the custo&ers and to &ake &ore
influence on 'otential custo&er.
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49De'ay&ent 'eriod of the sche&es for different banks
nalysis- *ro& the gra'h it is obser:ed that the &a"i&u& re'ay&ent 'eriod of
:arious banks is listed as
% Bank Q 7years
3$; Bank Qyears
$anara Bank Q6years
;riental Bank of $o&&erce Q7years
$entral Bank of India Q7years
+un2ab =ational Bank Q7years
#tate Bank of India Q7years
Inference- It is inferred that the % Bank offers only 7 years to &a"i&u&
re'ay&ent 'eriod while its co&'etitors #tate Bank of India so&e other banks also
'ro:ide the sa&e re'ay&ent 'eriod , it needs to be reduced to gi:e choice to the
'otential custo&ers &ake the sche&e &ore co&'etiti:e.
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59 #ecurity reuired by the :arious banks
#ecurity +ri&ary
Hy'othecation of :ehicle to be 'urchased
and banks charge to be registered with
DT;
$ollateral
a9 =o third 'arty guarantee reuired
in res'ect of 'er&anent e&'loyees
of state and central go:t,
e&'loyees of statecentral go:t
undertakings and autono&ous
bodies drawing salary through our
bank and where letter of
undertaking fro& e&'loyer is
a:ailable.
b9 Guarantee of one 'erson for all
other a''licants
nalysis- 3nder security, all the banks obey stated features.
9Luantu& of &a"i&u& finance offered by different banks
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nalysis- *ro& the gra'h it is obser:ed that the &a"i&u& finance offered by :arious
banks is as
% Bank Q/>acks
#BI Q1 >acks
$anara Bank Q1 >acks
$entral Bank of India Q/ >acks
Inference- It is inferred that % Bank has taken a ste' ahead of its co&'etitors
desired custo&ers can a:ail the choice to go for the lu"ury cars.
69)ligibility reuired for a:ailing loan fro& different banks
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E%igi#i%it89 • +er&anent e&'loyees of
statecentral go:ern&ent,
e&'loyees of go:ern&ent
se&i-go:ern&entundertakings and
autono&ous bodies.
• )&'loyees of 'ri:ate ltd
co&'anies 'ri:ate
organi<ations, re'uted
establish&ents and
e&'loyees on contractual
bases with centralstate
go:ern&ent,
go:ern&entse&i
go:ern&ent undertakings
and autono&ous bodies.
)ligibility criteria *or a b9
• (ini&u& age of a''licant
/1 years.
• (a"i&u& age of a''licant
at loan &aturity 8 years.
*or institutions, where
retire&ent age is 6 years,
the u''er age li&it shall be
68 years.
• (ini&u& e&'loy&ent The
a''licant &ust ha:e been in
current e&'loy&ent for a
'eriod not less than 1 year.
• (ini&u& net annual
inco&e Ds 7
R)&'loyees on contractual bases
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with centralstate go:ern&ent,
go:ern&ent! se&i go:ern&ent
undertakings and autono&ous
bodies shall be eligible, if they
ha:e been in current contractual 2ob
for a 'eriod not less than 1 year and
the re&aining contract 'eriod is
longer than the chosen re'ay&ent
'eriod.
Howe:er e&'loyees on adhoc
bases shall not be eligible9.
• Business&en, 'rofessionals
and self-e&'loyed
indi:iduals.
)ligibility criteria *or c9
• (ini&u& age of a''licant
/1 years.
• (a"i&u& age of a''licant
at loan &aturity 6 years
• (ini&u& 'eriod of
e&'loy&ente"istence t
least 4 years in business
• (ini&u& net annual
inco&e Ds 7
nalysis- It is e:ident that for eligibility all bank obey the abo:e described criteria
for the sanction of loan.
79+rereuisite for for&alities.
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#. =o. *;D(>ITI)# B=#
1. Inco&e ta" return 3$; Bank, $anara Bank,
;riental Bank of $o&&erce,
$entral Bank of India, +un2ab
=ational Bank, #tate Bank of
India.
/. $ertificate fro& $hartered
ccountant, =o need for IT return
certificate.
% and Bank
4. Bank account state&ent for 're:ious
&onths $urrent sa:ings9
ll banks reuire the state&ent of
accounts for the sanction of loan
nalysis- *ro& abo:e it is e:ident that only % and Bank doesnt reuire IT
certificate which is 'lus 'oint for the bank. Because of this, it is able to gras' &ore
custo&ers under its co:er.
89 =et annual inco&e for a:ailing loan.
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nalysis- *ro& the gra'h the &ini&u& gross salary inco&e for a:ailing loan is
% Bank QDs 7
3$; Bank QDs 1./ >acks$anara Bank QDs 1./ >acks
$entral Bank of India QDs 7
Inference- It is found that this is the added feature for % and Bank, with &ini&u&
inco&e of Ds 7 annually &ost of the 'eo'le could go for the sche&e.
9 dded infor&ation about the other banks.
a9 ;riental Bank of co&&erce.
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1. ;B$ also 'ro:ides finance to second hand cars under ETrue Jalue #che&eM of
(aruti 3dyog >i&ited.
/. It charges interest rate of +>D S/.F.
4. The re'ay&ent 'eriod is years.
5. (a"i&u& finance for second hand cars under ETrue Jalue #che&eM is 6 >acks.
. (argin &oney reuired is /F.
b9 In addition 3$; and $anara Bank also 'ro:ided finance for second hand
cars.
In addition to these banks, 'ri:ate cor'orate ha:e also entered into this
seg&ent of car financing in the :alley. It is shok >eyland which has been a &a2or
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'resence in Indias co&&ercial :ehicle industry for decades has also entered into
the line. In addition to 'ro:iding finance to their :ehicles they ha:e also started
'ro:iding finance to cars.
The sche&e goes as under-
1. )ligibility
)&'loyees of go:ern&ent se&i go:ern&ent undertakings, indi:iduals,
li&ited co&'anies, fir&s etc.
/. #ecurity
Hy'othecation of the :ehicle, no reuire&ent of third 'arty guarantee.
4. Date of Interest
It le:ies a constant flat rate of .7F
5. (argin (oney
The &argin &oney reuired for a:ailing loan is /F of the cost of the :ehicle.
. De'ay&ent
The re'ay&ent ti&e for the loan is 4 years in eual &onthly install&ents.
Speial "eatures of t#e S#e$e%
Instant *inance
=o hidden charges.
=o guarantor reuired.
=o ser:ice charges.
Analsis of t#e ' and ank ar loan S#e$e
19wareness about the car loan sche&e a&ong the res'ondents of % and Bank.
Total =o. of Des'ondents Q4
=o. of aware res'ondentsQ/45
=o. of unaware res'ondentsQ66
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$once't- Gra'h re'resenting the awareness a&ong the res'ondents about the
sche&e.
nalysis- The abo:e gra'h shows 78F res'ondents know about the sche&e while as
//F doesnt ha:e clear idea about the sa&e.
Inference- This suggests that :ery few doesnt ha:e the clear cut :ision about the
sche&e though they are fa&iliar by na&e E*inanceM or E>oanM only, which creates
wrong i&'ression about the sche&e. genuine effort fro& the Bank side could
con:ert this 'ercentage into future custo&ers.
(onthly inco&e of the res'ondents
nalysis- It is e:ident fro& the gra'h that the &onthly inco&e of the res'ondents is
as
Ds---Ds 1 Q/4F
Ds1---Ds 1 Q4/F
Ds1 and abo:e Q5F
/9 +ercentage of custo&ers who ha:e a:ailed the car already through this sche&e.
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nalysis- It is analy<ed that 44.44F res'ondents who already own a car ha:e
ado'ted the sche&e of the bank while the 66.66F ha:ent got the car through this
sche&e.
Inference- It is inferred that 'ro&otional strategies need to be ado'ted to re:erse the
trend and increase the awareness le:el, as is used by the co&'etitors. +ro'er
awareness ca&'aign will clear the doubts fro& the &inds regarding the sche&e.
59 Deasons for the non-ado'ting of the car loan sche&e.
nalysis- *ro& the gra'h it is clear that the reasons for not ado'ting the car loan
sche&e are
4/
>AQ>ack of ad:ertise&ent
>TQ>ack of attracti:eness
IB+Q Indifference of banking 'eo'le
;BQ ll of abo:e
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>ack of ad:ertise&ent Q/F
>ack of attracti:eness co&'ared to co&'etitors Q48F
Indifference of banking 'eo'le Q5.F
ll of abo:e Q44F
Inference- It is inferred that lack of ad:ertise&ent and lack of the sche&e as
co&'ared to #tate Bank of India are the key reasons for the non-ado'tion of the sa&e
by the custo&ers. Therefore, it is essential that ad:ertise&ent and attracti:eness &ust
be done in such a way to counter the co&'etitors and &ade &ore li:ely so that &ore
and &ore 'otential custo&ers could relish the sche&e.
9 wareness about the sche&e of other banks +articularly #tate Bank of India9.
nalysis- The abo:e 'ie chart shows that 84F of 'eo'le are aware about the sche&es
of other banks while 17F are unaware about the sa&e.
Inference- @hen the awareness le:el of % and bank is co&'ared with that of the
other banks it is found to be 78F which is less. #o efforts &ust be &ade by the % and
44
ware. 84F
3naware. 17F
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Inference- It is inferred that the 'rint &edia is considered to be the strongest tool in
bringing awareness to the 'eo'le.
79Dating of % Bank car sche&e with other banks
nalysis- *ro& the gra'h the rating of % and bank with other banks is as
Good Q4/F
#atisfactory Q48F
$an i&'ro:e Q4F
)"tre&ely Bad Q.F
Inference- It is obser:ed that &ost of the res'ondents are ha''y with the sche&e and
the res'ondents who said that the sche&e could be i&'ro:ed is because of the
co&'etitors, who offer the sche&e at low rate of interest than ours and the re'ay&ent
'eriod is also long.
89 Deasons for not a:ailing the car loan
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should take such ste's i.e. at least bring down the rate of interest to the co&'etitors or
less so that &ore and &ore custo&ers &ay a:ail the loan.
9;'inion of custo&ers who a:ailed the car loan
9 *or&alities In:ol:ed-
nalysis- *or&alities in:ol:ed in a:ailing the loan are
$o&'licated Q//F
)asy Q78F
Inference- It is e:ident fro& the chart the 78F of the 'eo'le who ha:e a:ailed the
loan fee the for&alities in:ol:ed are easy. *or a:ailing the loan, the other banks
reuire IT return certificate but % bank doesnt reuire the sa&e, as we know that
&ost of the business 'eo'le doesnt 'ay the ta"es 'ro'erly so surely that will 'refer
% bank.
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B9 Date of Interest
nalysis- The o'inion of consu&ers about the rate of interest who a:ailed consu&ers
loans.
=eeds to be reduced Q87F
deuate Q14FInference- s &ost of the 'eo'le feel that the rate of the interest is high, as the
co&'etitors are offering the sche&e at reduced rates. Therefore, efforts should be
&ade by the bank to re:ise the interest rates so that &ore 'eo'le &ay a:ail the loan
and re&ain satisfied.
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$9 (argin (oney
nalysis- The o'inion of consu&ers about the &argin &oney who a:ailed loan is
=eeds to be reduced Q18F
deuate Q8/F
Inference- It is e:ident that &a2ority of the 'eo'le feel that &argin &oney reuired
for loan is adeuate. In order to attract &ore custo&ers the &argin &oney should be
reduced.
4
8
7
6
5
4
/
1
8/
deuate =eed to Deduce
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:.1 Finding!
):en though % bank en2oys a large &arket share and custo&er loyalty but a
lot need to be done to ta' the 'otential custo&ers and to o:erco&e certain
loo'holes in the sche&e. @ith the result custo&ers are shifting to other Bank
of India 'articularly for car loans as their sche&e are &ore attracti:e and their
se:ere ad:ertising has caused the results. The rate of interest, &argin &oney of
% bank is uite high in co&'arison with co&'etitors. The re'ay&ent 'eriod
and &ini&u& finance offered is also less with the result 'eo'le wanting fewer
a&ounts in install&ents and those who want to buy lu"ury sedans goes out of
reach of bank. s e:ident the for&alities reuired are less and the net annual
inco&e for a:ailing loan is only Ds7, which is healthy for the bank. The
% bank has also introduced financing second hand cars in order to laurel
&ore custo&ers. In addition it should find tool to counter 'sychology &ark of
install&ent of Ds/ of #tate Bank of India which is taking the toll in the
:alley.
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:., Rco""ndation! and !ugg!tion!
*ro& the fore going 'rocess, it is i&'ortant for the bank to establish a syste& for the
continuous creation of high custo&er satisfaction. The following &easures are
reco&&ended to create growing custo&er base-
1. *irst of all the bank should o:er haul the sche&e to &ake it &ore co&'etiti:e
than the other banks. s we already know the Ds / has already &ade the
i&'act in the &inds of he 'otential custo&ersU.
/. The bank has to definitely reduce the rate of interest, decrease the &argin
&oney and increase the ti&e for the re'ay&ent 'eriod.
4. They should not 'ut any ceiling on the &a"i&u& finance as is done by the
$anara Bank so that 'eo'le can easily a:ail the loan for lu"ury sedans.
5. +rint &edia ad:erting should be done effecti:ely so as to &o:e the custo&ers
to higher le:els in the decision 'rocess for using the finance sche&e.
. The bank needs to go for aggressi:e &arketing of its 'roducts and reuires
increasing the awareness le:el a&ong the custo&ers.
6. Aefinitely 'ersonal selling hel's in increasing the sales and clears the
confusion about the sche&e a&ong the custo&ers. #o bank should kee' a
se'arate force for telling the sche&es and 'olicies of the sa&e. It will
definitely hel' the bank.
7. )&'loyees of the bank &ust be trained to treat the custo&ers &ore
courteously and to be &ore res'onsi:e towards their needs and e"'ectations.
s the satisfied custo&ers will bring in &ore custo&ers.
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:.Li"itation! o$ th !tud8
Ti&e factor was the &a2or li&itation.
The findings of the re'ort ha:e been &ade in the ash&ir :alley. $are should
be taken in generali<ing the re'ort for other 'laces.
The bias of the res'ondents &ay ha:e introduced errors in the sur:ey findings*
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:.4 Conc%u!ion
The ability of the nations and organi<ations within nations de'ends on continuous
increase in custo&er satisfaction. In the increasing global co&'etition, satisfaction
growth is essential for &aintaining and ad:ancing o''ortunities for indi:idual
societies. Its growth is one of the &ost i&'ortant factors that ha:e contributed to the
ad:ance&ent of the ser:ice industry. #er:ice to the society, at the &icro le:el, &eans
ser:ice to custo&ers, 'resent 'otential. *ro& this 'oint of :iew, 0the 'ri&e function
of banks can be defined as the creation of deli:ery of custo&er needed ser:ices in a
custo&er-satisfying &anner. To begin with, therefore, a banker0s task is to identify his
custo&er and his needs. To fulfill and &eet the as'iration of 'resent custo&ers in this
co&'etiti:e fast changing situation, banks dont ha:e a choice to be away fro& new
technology if they ha:e to re&ain in the &arket. In the light of this, the study was
undertaken as to how the banks in north :iew custo&er satisfaction. The &ain
conclusions of the study are described below
The study re:eals that consciousness towards custo&er satisfaction is increasing at all
le:els of the bank and the society, which can be obser:ed fro& good efforts &ade by
the bank officers officials. s the e&'irical study re:eals the :iews of custo&ers
regarding their satisfactiondissatisfaction ha:e been uantified on the basis of a scale
ha:ing different basis on the continuu&. The sur:ey found satisfaction a&ong so&ecusto&ers of the banks under studies :i<., % Bank %B9, #tate Bank of India
#BI9 +un2ab =ational Bank +=B9 in :arying 'ro'ortions.
1.In case of satisfaction of custo&ers on the basis of attitude of the staff the highest
satisfaction of custo&ers is 'ro:ided by #BI as co&'ared to %B and +=B, and!
/.In case of satisfaction of custo&ers on the basis of efficiency of the staff the highest
satisfaction of custo&ers is 'ro:ided by +=B as co&'ared to #BI and %B.
4.The highest satisfaction of custo&ers is 'ro:ided by again +=B, in relation to the
satisfaction on the basis of 'roducts ser:ices of the bank offered to custo&ers as
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7.@ill you go through finance
a9OesVVVVVVVVVVVVVVVVV
b9=oVVVVVVVVVVVVVVVVVV
8. Through which bank you will o't for loan gi:e 'reference
a9VVVVVVVVVVVVVVVVVV
b9VVVVVVVVVVVVVVVVVV
c9VVVVVVVVVVVVVVVVVV
d9VVVVVVVVVVVVVVVVVV
. Gi:e reasons for reference VVVVVVVVVVVVVVVVVVVVVVVVVVVVVVV
1. Aid you know about the % Bank car loan sche&e
a9 OesVVVVVVVVVVVVVVVVV
b9 =oVVVVVVVVVVVVVVVVVV
11. Through which &edia you ca&e to know about the sche&e
a9+rint (ediaVVVVVVVVVVV
b9)lectronic (ediaVVVVVVVVVVVVV
c9Bank BranchesVVVVVVVVVVVVVVV
1/. re you aware about the sche&e of other banks
a9 OesVVVVVVVVVVVVVV
b9 =oVVVVVVVVVVVVVVV
14. Dating of % Bank car loan sche&e with other banks
a9 GoodVVVVVVVVVVVVVVVVVVVVVV
b9 #atisfactoryVVVVVVVVVVVVVVVV
c9 $an I&'ro:eVVVVVVVVVVVVVVV
d9 )"tre&ely BadVVVVVVVVVVVVV
15. Deasons for not a:ailing the car loan
a9 High rate of interestVVVVVVVVVVVVVVVVVVVVV
b9 (argin &oneyVVVVVVVVVVVVVVVVVVVVVVVVVVV
c9 #hort re'ay&ent 'eriodVVVVVVVVVVVVVVVVVV
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d9 $o&'licated for&alitiesVVVVVVVVVVVVVVVVVV
e9 lready owns a carVVVVVVVVVVVVVVVVVVVVVVV
f9 @ill buy in futureVVVVVVVVVVVVVVVVVVVVVVVVV