customers. Banks are providing more and more products every day to attract the customers. Employee’s attitude is another strong tool to attract more customers. In current era banks are used latest technology to fulfill the customer’s requirements. Unfortunately Pakistani’s bankingsector faces many problems due to political instability and unstable policies. The service quality, behavior attitude response and use of new technology plays a key role in both Islamic and conventional banks to increase the customer satisfaction because the customers get ease in making deposits and taking loans by the use of technology. Customers can easily access their account in their banks and good behavioral response motivate to customers without any hesitation frequently ask any query from their bankers.
Every business organization aims to satisfy its customers to a great extent, as the customer satisfaction lays foundation for the success of the business. The measurement of customer satisfaction has become mandatory in any organization. The quality of the products or the quality of customer service determines the degree of customer satisfaction. The customer satisfaction not only means, satisfying the customers but also customer retention in case of service failure. The organization should solve the complaints through various service recovery strategies. It is mandatory to identify the impact of service failure and customer feedback for the survival, success and prosperity of an organization. The real victory of an organization is based on the degree of loyalty of the customers. The measurement of customer satisfaction is intricate because most of the customers do not believe in the act of complaining as they feel it to be a waste of time and effort. Some of the customers may indulge in negative word-of-mouth, which will have a severe impact on the turnover of the organization. To avoid the negative impact on the revenue, every organization must collect feedback from its own customers. They should study and analyze the existing system of customer service and implement continuous improvement strategies by enhancing the quality of the service.
for the convenience of our customers only, while keeping cost of operations to minimum. Madhavankutty G. (2007) concludes that the banking system in India has attained enough maturity and is ready to address prudential management practices as comprehensively as possible, which is an integral part of policy is making. Banking in India is poised to enter yet another phase of reforms once the door opens further to foreign players in 2009. This requires further improvement in technology management, human resource management and the ability to foresee rapid changes in the financial landscape and adopt them quickly. At present, there is a huge hiatus between the top management earnings of state owned banks and private, as well as foreign banks. Banks have to lay down sound risk management strategies and internal capital adequacy assessment committees to ensure that they do not diverge from the prudential requirements. Kaleem and Ahmad (2008) aim to collect bank employees’ perceptions of the potential benefits and risks associated with electronic banking in Pakistan. The study shows that public bank employees who have professional degrees consider ‘minimizing transaction costs’ and ‘reduction in HR requirements’ as the most and the least important benefits of electronic banking respectively. Private bank employees having masters or bachelor degrees, and less than 10 years experience, perceive ‘time saving and minimizing inconvenience’ as the major benefits of electronic banking. Branch managers viewed ‘facilitates quick response’ as the most important benefit of electronic banking. Bankers in all segments consider ‘government access to data’ as the biggest risk associated to electronic banking. Empirical analysis suggests that bankers in Pakistan perceive electronic banking as tool for minimizing inconvenience, reducing transaction costs and saving time.
Innovation and Technology have guided a radical change in traditional financial services. Now, Technology seems an essential keyfor the growth of digital economy. Over the year‟s Indian banks and financial service providers have cautiously adopted technology to augment reach to the customers, provide services to and operational efficiency with growing market and technological advances. But still, the momentum of technology adoption is not equivalent toits potential. Accordingly, there are gaps in the realization of financial services.Traditional Banks and Financial Institutions have noticed technology as a potential to empower the business propositions, rather than originating new business propositions themselves. Financial Technology (FinTech) Companies however are modifying that role by gratifying digital technologies to establish new business propositions and target new market segments which precedently were not possible. Even, RBI is enabling the development of fintech sector to multiply the reach of banking services for unbanked population.
Yi (1990) in his study titled ‘A Critical Review of Consumer Satisfaction’ stated that customer satisfaction is a collective outcome of perception, evaluation and psychological reactions to the consumption experience with a product or service. Kangis and Voukelatos (1997) in their paper titled ‘Private and Public Banks: a Comparison of Customer Expectations and Perceptions’ reported the findings of a survey among customers of private sector banks and public sector banks in Greece on service quality perceptions and expectations. It was found that services offered by private sector banks had a more favorable influence on actual perceptions of quality received than that of public sector banks. It was suggested that banks should look carefully at each one of the dimensions of customers’ perceptions. Frust et al., (2000) in their study titled ‘Who Offers Internet Banking’ investigated how national banks offering Internet banking performed relative to other national banks with respect to profitability, cost efficiency and other characteristics. The study revealed that the Institutions with Internet banking outperformed non-Internet banks in terms of profitability. It was concluded that revolutionary developments in information and communication technology would continue to have a profound impact on the banking and financial industry. Ramayah and Ling (2002) in their study titled ‘An Exploratory Study of Internet Banking in Malaysia’ conducted a study on Internet banks of Malaysia. It was opined that the main driving factor for the adoption of Internet banking was the extent of Internet connectivity as it was the pioneer to Internet banking. It was found that more than 90% of the respondents indicated that they had some form of Internet access. It was also observed that the banks had been successful in promoting and creating awareness of the products and services that were being offered through
To embark upon the cut throat competition and rapidly changing business environment both at macro and micro level organizations from around the globe want to utilize maximum potential of there human capital in order to stay ahead from there direct and indirect competitors. Organizations overall performance increases and so do the motivation and commitment of employees towards there organization when they get a feeling that they are giving a valuable contribution towards there organizations success (Meyer., 1989). Involvement, satisfaction related to job and commitment related to organization and its effects on turnover intentions among employees have been on a focus of study from past many years. Considerable amount of research around the globe have been done to unearth the relationships among all these variables. When concentrating on bankingsector of Pakistan these factors are still very much ignored being a key player in development of countries economic development these issues need to be addressed as banks are coming out of there conventional shell and are giving importance to there customers and shareholders (Akmal, 2008). More than 40 banks are having there operations in Pakistan out of which Habib bank limited and National bank of Pakistan have the largest market share (Shabbir, 2012). Early concept of job involvement described it as psychological identification which *Corresponding author: Muhammad Ahsan Razzaq, Foundation University Rawalpindi Campus, Foundation University Educational Complex, New Lalazar, Rawalpindi, Pakistan.
As we know that customer is the king of market. Banks have to retain their customers by providing them with outstanding services so that customers remain loyal with them. Banks are not only satisfying their customers but instead they are delighting them. Bankers have to formulate new strategies so that customers receive more than they deserve and become surprised by receiving more than their expectations and imaginations. Use of information technology has become need of hour for its survival in this global era (Uppal, 2011).
Financial institutions, particularly banks rely heavily on gathering, processing, analyzing, and providing information in order to meet the needs of customers. The last decade the banking industry has been in the process of fundamental changes. These changes brought new competitors into the marketplace. Banks have become more customer-orientated aiming at the satisfaction of their customers. Initiation of Information Technology and Communications networking system is set to change the operating environment of banks drastically. Technology has already enabled some of the banks to introduce innovative products to their customers in the form of ATM facility, Telebanking, Home Banking, 'Anytime' and 'Anywhere' banking, etc. Technological advances have allowed banks to provide innovative, new services or improvements in quality and convenience that attract new customers and increase demand. Technological innovations have enabled the industry to open up efficient delivery channels. It is said that IT has helped the banking industry to deal with the challenges the new economy poses. In this paper, an attempt has been made to discuss the various developments done in BankingSector with their applications in different areas like customer, working of banks and employees. Also various services which are being offered by the banks to the customers is the focus of this paper. But these innovations produce some challenges as well which are also the part of this research paper.
New generation banking has come a very long way from those modest beginnings in Florence. New generation banking today covers the entire range of finance from simple savings to credit cards and home loans. Banks today are connected electronically so that banking transactions can be made globally in a split second. The present study attempted to know the customers’ satisfaction and awareness towards new generation banking services. The present study is exploratory-cum-descriptive in nature. The sample size was 400 selected on the basis of simple random sampling from the Erode district of Tamilnadu. Technological innovation and application of modern technology in the new generation bankingsector make a great revolution in Indian Banking operations through tech-savvy system. Through the introduction of information technology, the banks offer various services to the customers, like internet banking, electronic payments, security investments and information exchanges.
Albert Caruana (2000) examined customer loyalty plays a mediating role in the effect of service quality on service loyalty among retail bankingcustomers in Msida, Malta. Effects of a number of demographic indicators on service loyalty were also reported. Ahmad & Sana ul Allah (2011) concluded that easy availability of spare parts, easy availability of technicians, parts replacement, warranties and customization services have positive significant impact on consumer buying behavior, also economical spare parts, compatible spare parts, and service centers have insignificant impact on consumer buying behavior of automobile consumers in Pakistan. Manufacturers and importers of automobiles need to ensure easy availability of spare parts and mechanics, parts replacements, warranties and customization to affect consumer buying intensions. Positive relationship exists among customer satisfaction, customer relationship, trustworthiness and customer loyalty. Long term success and reputation of an organization depends on customer loyalty. Customer is always right and attainment of customer loyalty is a golden principal for businesses. Gronholdt et al., (2000) have found that companies with low price strategy had a much higher loyalty than expected from their customer satisfaction. On the other hand, companies that had used a lot of energy on branding indeed had a high customer satisfaction but they did not have a correspondingly high loyalty. While Oliver (1999) examined that forced loyalty could be established trough creating exit barriers as well.
Regular customer is essential for the success of any business or banking institution, and losing customers is known as a reliable measure of failure, since without customers there can be no revenue or business. Keeping a customer satisfied is considered as a medium to get more customers to a bank by the quality service or verbal references, sometimes customer loyalty of banks or organizations need to be rewarded by offering discounts or free services.
Licensed under Creative Common Page 395 potential alternative to traditional skills and resources, as well as empirically tested as a potential driver of improving business performance and customer satisfaction (Rapert and Wren, 1998; Newman, 2001; Kang and James, 2004). Hence the introduction of the various electronic means of delivering banking services through electronic means as marked by the introduction of ATMs, internet banking, telephone banking and SMS banking. In research conducted by Santos (2003) concluded that reliability is the most important dimension in all services, indicating that it has the strongest influence on customer satisfaction and that high e-service quality provides not only customer satisfaction but also long term benefits to a company. In another study conducted by Jun and Shaohan (2001) concluded that customers appear to be much more concerned with the security of their banking transactions and the privacy of their personal information and therefore banks should do their best to ensure the security of their customers’ personal information and banking transactions as it strongly influences satisfaction. Electronic service quality has been found to positively influence customer satisfaction which implies that maintaining and striving to improve electronic service quality isan ideal way to preserve a dense pool of customers and as well as gain their loyalty.
To analyze the relationship between quality of service and customer satisfaction. The purpose of the study to calculate the customer satisfaction through A.T.M service quality which has the dimensions as price, reliability, responsiveness, convenience, security. There was too much research work has not been done in Pakistan in specially context of service quality of A.T.M and customer satisfaction. Khan (2010) has conducted a study on “An Empirical Study of Automated Teller Machine (A.T.M) service quality and customer satisfaction in Pakistani Banks”. Khan (2010) considers the five dimensions such as security and privacy, coefficient operations, convenience, responsiveness and reliability. The efficiency and effectiveness in automated teller machines service effecting customer satisfaction. It includes that availability of ATM machine to geographical location and delivery of complaint book, number of ATMs and errors in withdrawals, the problem in currency notes, and reaction of security guard, service and pay slip.in further, the number of ATM machine are less as compare to quantity of customers. Generally, the banking system establish in urban areas so the rural areas customer face problem in service. Errors occurs in cash with drawls due to some technical and other transection problems .in cause of wrong pin code ATM card did not be recover after three attempts .so the security guard attitude with customer unethical.
As for conclusion, it can be said that the bankingsector in India is undergoing major changes due to competition and the advent of technology. Internet banking is an emerging trend and this study soughs to determine the customers’ intention and satisfaction of using internet banking. It is seen that the young generation customers are more inclined towards internet banking as compared to the traditional or primitive form of banking and as such, the banks should now go for more technological upgradation. As more and more customers are adopting internet banking transactions, it is becoming more and more important for the management of banks to be innovative in their approach in meeting customer requirements.
Significant relationship between one of the PJ dimensions and CS is always evi- dent in many studies. Lai et al. (2010) had found that theme park visitors have positive responses when they feel there is justice in the SR. However, the num- ber of dissatisfied tourists increases when customer service staffs are reluctant to deal with their complaints. Lii et al. (2012) had found that when customers receive appropriate SR, they experience positive disconfirmation and thus, sat- isfied with the recovery efforts. However, different studies find different factor as either the most or the least influential item in affecting customer satisfac- tion. Smith et al. (1999) discovered that PDJ has high influence on CS than the other two types of fairness. Karatepe (2006) mentioned that PIJ is the most sig- nificant determinant of CS follows by PDJ, which is consistent with Blodgett et al. (1997)’s findings. In addition, Ok et al. (2005) found that PPJ has the highest impact on recovery satisfaction in a restaurant setting followed by PDJ and PIJ. As a conclusion, customer perceptions of PDJ, PPJ and PIJ may have positive association with customer satisfaction as the result of appropriate recovery efforts. Therefore, to test this phenomenon in Malaysian banking industry, we have developed the following hypotheses:
Women Work Life in Banks: Due to a banks wide spectrum of exposure across Industries, their performance is considered as a proxy for the economy as a whole. Unfortunately for India, the bankingsector has historically remained under the impact of non- competitiveness, poor technology integration, high NPA and grossly under productive manpower. Bankingsector in India has wide mix, comprising of joint sector, nationalized sector, specialized corporate financial Institutions, cooperative sector and foreign sector (Bagga et al., 2008). It is expected to be financial one stop shop-advice customers, manage their wealth, look after corporate and provide best possible national and international standards given in the internet economy and all these without complaining and attracting the ire of customers, possibly make available its services on 24 hour basis. It is perhaps the toughest job in the world- a true tight rope act, on one hand provide maximum, crummiest services to customers and on the other, ensure cost- effective operations and employees satisfaction while being complaint with all regulations and standards. It is the situation the banking Industry faces every single day. Therefore, the Human Resource Development in the banks is in need to act as an important Instrument to encourage employees to show creativity, to reach for excellence and finally to render better customer service.
In India e-banking is of recent origin. The traditional model for growth has been through branch banking. Only in the early 1990s has there been a start in the non-branch banking services. The new private sector banks and the foreign banks are handicapped by the lack of a strong branch network in comparison with the public sector banks. Many banks have modernized their services with the facilities of computer and electronic equipments. The electronics revolution has made it possible to provide ease and flexibility in banking operations to the benefit of the customer. The e-banking has made the customer say good-bye to huge account registers and large paper bank accounts. The e-banks, which may call as easy bank offers the following services to its customers like Credit Cards/Debit Cards, ATM, E-Cheques, EFT (Electronic Funds Transfer), DeMAT Accounts, Mobile Banking, Telephone Banking, Internet Banking, EDI (Electronic Data Interchange).
The financial sector reforms have brought about significant improvements in the financial strength and the competitiveness of the Indian banking system. The efforts on the part of the Reserve Bank of India to adopt and refine regulatory and supervisory standards on a par with international best practices, competition from new players, gradual disinvestments of government equity in state banks coupled with functional autonomy, adoption of modern technology, etc are expected to serve as the major forces for change. New businesses, new customers, and new products beckon, but bring increased risks and competition. To attract and retain customers, the banks need to optimize their networks, speed up decision-making, cut down on bureaucratic layers, and sharpen response times.
The following relevant studies from India and abroad were reviewed for collect the relevant information‘s Raed Awamleh & Cedwyn Fernandes (2005) suggested that the bankingsector in the United Arab Emirates is a regional leader; internet banking in the United Arab Emirates is yet to be properly utilized as a real added value tool to improve customer relationship and to attain cost advantages. Baskar, S. & Ramesh.M (2010), portrait that the commercial banks in India are introducing online banking to their customers in order to retain their customers from the competition given by foreign banks. The findings of the study reveals that the online customers service quality, online information system quality and banking service product quality are significantly and positively influencing the customer satisfaction. Cronin, J. and Taylor, S. (1992) investigated the conceptualization and measurement of service quality and the relationships between service quality, consumer satisfaction, and purchase intentions. The results suggest that performance-based measure of service quality may be an improved means of measuring the service quality construct and service quality is an antecedent of consumer satisfaction. Gerrard, P. & Cunningham, J.B. (2003), studied the diffusion of Internet banking among Singapore consumers, the results show that adopters of Internet banking perceive the service to be more convenient, less complex, more compatible to them and more suited to those who are PC proficient. Adopters were also found to be more financially innovative. Kamadkodi .N. & Ahmed Khan, M.B. (2008), analysed customer expectations and service level in E- Banking era. The result shows that technology alone cannot give a sustainable competitive advantage for the banks. When all banks introduce IT, it will lose its position as a differentiator. Beyond a point, IT along with ‗personal touch‘ will be necessary for the banks to retain existing clients and to attract new ones. Banks have to incorporate this in their operational strategy. Laforet, S & Lo, X. (2005) examined ______________________________
According to Edegbe , Computerization improves efficiency of staff in organizations, but the impact is more on a highly motivated and satisfied staff. But, this paper is aimed at determining the impact of automated banking practices on customers’ satisfaction in the bankingsector in Nigeria . Satisfaction is the pleasure you feel when something good happens to you or when you do something that you wanted or needed to do or when you do something well .Customerssatisfaction can then be defined as a person’s emotional response to aspects of services or products provided by any organization.