The Surat Dist. Co-Op Bank

A

SUMMER INTERNSHIP PROJECT

ON

“Services Quality

At

The Surat District Co-Operative Bank Ltd.”

Submitted to

S.R. LUTHRA INSTITUTE OF MANAGEMENT

IN PARTIAL FULFILLMENT OF THE

REQUIREMENT OF THE AWARD FOR THE DEGREE OF

MASTER OF BUSINESS ADMINISTRATION

In

Gujarat Technological University

UNDER THE GUIDANCE OF

Faculty Guide: Company Guide:

MS. Parinaz Todiwala Mr. Jayantibhai Patel

Asst. Professor Branch Manager

(The Surat Dist. Co-op Bank Ltd.)

Submitted by

Mr. Mayur N. Deladvala [Batch No. 2012-14, Enrollment No.128050592021]

MBA SEMESTER III

S.R. LUTHRA INSTITUTE OF MANAGEMENT – 805

MBA PROGRAMME

Affiliated to Gujarat Technological University

Ahmedabad

August, 2013

Students’ Declaration

I, Mr. Mayur N. Deladvala, hereby declare that the report for Summer

Internship Project entitled ―Services Quality Of Product‖ a result of my own

work and my indebtedness to other work publications, references, if any, have

been duly acknowledged.

Place: Surat

Date: 31st July 2013

__________________

(Mayur N. Deladvala)

Institute’s Certificate

Certified that this Summer Internship Project Report Titled ―Services Quality

Of Product‖ is the bonafide work of Mr. Mayur N. Deladvala (Enrollment No.

128050592021), who has carried out the research under my supervision. I

also certify further, that to the best of my knowledge the work reported herein

does not form part of any other project report or dissertation on the basis of

which a degree or award was conferred on an earlier occasion on this or any

other candidate.

Place: Surat

Date: ________________

___________________

(Parinaz Todiwala)

Asst. Professor

___________________

(J.M. Kapadia)

I/C Director

Preface

I have really enjoyed working on this project. In the starting phase, I found this

work difficult, but with true guidance of all staff members of the Surat District Co-op

Bank Ltd, I am able to complete my work successfully.

The main reason behind choosing this topic is I want to research about

Services Quality Of Product. During previous years people are choose the bank loan

etc. So I had research on this during two months of summer training period which is

June - august 2013.

In this project I have covered the aspect relating to training followed by the

management of an organization. Under this study I have put in my best efforts to

make this project successful.

While working on this project I got exposure to the training practice use by

the organization.

ACKNOWLEDGEMENT

―Man‘s quest for knowledge never ends‖. Theory and practice are essential

and complementary to each other I am thankful for the assistance received

from various individuals in making this project successfully. I find no words to

express my gratitude towards those who are constantly involved with me

throughout my project in SRLIM, Surat.

I would like to give my special thanks and regards to ―Mr. Jayntibhai Patel‖

(Branch Manager, Kamrej). Who has helped me to carry out this project as my

project in charge under his guidance and blessing I am able to fulfill the

requirements of my university.

I am very much thankful to other staff members of ―The Surat Dist. Co-op

Bank Ltd‖. Without their help I am not able to finish this project.

I am sincerely thankful to I/C Director Dr. J.M. Kapadia for giving me this

opportunity.

I am highly obliged to the management of SRLIM, SURAT for allocating me a

very interesting and challenging project. I am sincerely thankful to Ms. Parinaz

Todiwala for providing the resources for the project. Their guidance and

support was a constant source of inspiration for me.

EXECUTIVE SUMMARY

Purpose

To Services Quality Of Product .

Objectives

The primary objective for my research study is to find out which is Services

Quality Of Product find what are the possible features looked forward while

selecting particular method for banking and to find out the lacking areas of

Services Quality Of Product and also to find ways to improve the banking so

as to achieve consistency with the current going trend.

Research Methodology

I have used the descriptive research design and Non-probability sampling

(convenient sampling) for the purpose of survey.

Data Collection

In my research study I have collected primary data through questionnaire and

my sample size was 200.

Conclusion and Findings

The Banking sector in India is undergoing major changes due to competition

and the advent of technology. The customer is looking for better quality and

services which can provide him / her with satisfaction. This would help in

enhancing the relationship between the two, and thus aid decision makers in

bank to identify the major factors that determine satisfaction. But it should be

noted that satisfaction is one of key point for the identifying the difference

between perceptions of Surat Dist. co-op. Bank services which they deliver to

their account holders and expectation of the services from bank and their

representatives.

Recommendation

As there is more competition in the market so bank should give more

facility to its customer like ATM and credit card facilities by which it can

attract more and more customers. Many people wants to on-line demate

facility from the bank. Bank can enter in the new sectors such as

insurance, foreign exchange merchant banking etc…,

TABLE OF CONTENTS

Sr. No.

Particulars Page No.

1. Introduction Of Indian Banking Industry 1

A. Globle Environment Of Bank Sector

B. Indian Bank Sector

2

5

2. Company Profile 19

A. Company Profile

B. Organization Structure Of The Bank

C. Bank Services

D. Swote Analysis

19

21

22

35

3. Review of Literature 36

4. Research Methodology 44

A. Problem Statement

B. Research Objective

C. Research Design

D. Collection Of Data

E. Scope Of Study

F. Significance Of The Study

G. Sample Design And Sample Size

H. Data Col lect ion Instrument

I. Processing & Analysing The Collection

Of Data

44

46

47

48

48

48

50

50

50

6 Data Analysis & Interpretation 51

A. Result And Findings

B. Limitation

C. Conclusion

D. Suggestion

72

74

75

76

7. Bibliography 77

8. Questionnaire 79

1.1) Introduction:

Modern management sciences philosophy considers customer satisfactionas

a baseline standard of performance and a possible standard of excellence for

any business organization. Moreover, customer satisfaction measurement

provides a sense of achievement and accomplishment for all employees

involved in any stage of the customer service process. In this way, satisfaction

measurement motivates people to perform and achieve higher levels of

productivity. To reinforce customer service orientation on day to day

basis, a growing number of companies choose customer satisfaction

as their main performance indicator.

It is almost impossible, however, to keep an entire bank permanently

motivated by a notion as abstract and intangible as customer satisfaction.

Therefore, customer satisfaction must be translated into a number of

measurable parameters directly linked to people‘s job.

In other words factors that people can understand. The aim of this project is to

present an original customer satisfaction survey conducted in the Surat

District Co-Operative Bank Ltd.

The objectives of the customer satisfaction survey are focused on the

assessment of the critical satisfaction dimensions and the determination of

customer groups with distinctive preferences and expectations. In particular,

the purpose of this application consists of a set of the most important queries

expressed by the managers of the Surat District Co-Operative Bank Ltd.

A. GLOBLE ENVIRONMENT OF BANK SECTOR

1.2) Restructuring the financial institution in global

economy:

During the 1980s, governments began to retreat from regulation of the

financial services industry. The retreat promises to be just as dramatic

enduring as developments during the world wide depression of the 1930s.

Although pressures for re-regulation have emerged, especially in the United

States, international competitive forces are accelerating the movement toward

less governmental intrusion; The Great Depression gave rise to the corporate

state and an almost universal increase in the size and scope of governmental

involvement in economic affairs and in other aspects of our lives. For much

of the past 50 years, governments have either owned or regulated all financial

institutions that provided intermediary services. Elaborate regulatory systems,

based on permission and denial approaches to administrative law, were

expected to rule on which products or services could be offered, where they

could be offered, and what prices or interest rates could be paid or charged to

customers.

At least in the United States, there was little in the way of due process in the

financial regulatory system. Regulatory agencies have operated as executive

authorities that were largely immune from the discipline of the checks and

balances inherent in a political system built on a framework of separation

of powers. The costs associated with burden of proof were borne by the

regulated, not the regulators. When a financial institution wanted to offer a

new product or service, expand its market area, or combine with

another institution, the regulators required it to bear the costs of

demonstrating that the benefits outweighed the costs. In other words, ―If you

have to ask, the answer is no.‖

1.3) Need of financial institution in the global economy:

The process by which countries‘ economies become increasingly interwoven

and affected by each other. This happens with the increased flow of goods

(trade), foreign direct investment, money (finance), and/or people

(migration).Globalization is not new, but the speed, depth, and scope of the

changes, aided by technology, is new, as is the enormous power of

International Financial Institution (IFIs) and global trade groups such as the

world tread organization (WTO) to set the rules of the global economy.

Collective name for World Bank Group and the International Monetary fund

(IMF), institutions established in 1944 at Breton woods, new Hampshire, USA,

to assist with reconstruction and revitalization after World War ll.

1.4) Role of Banks and financial institution in the economy:

Money lending in one form or the other has evolved along with the history

of the mankind. Even in the ancient times there are references to the money

lenders. Shakespeare also referred to ‗Shylocks‘ who made unreasonable

demands in case the loans were not repaid in time along with interest. Indian

history is also replete with the instances referring to indigenous money

lenders, Sahukars and Zamindars involved in the business of money

lending by mortgaging the landed property of the borrowers.

Towards the beginning of the twenty-first century, with the onset of modern

industry in the country, the need for government regulated banking system

was felt. The British government began to pay attention towards the need

for an organized banking sector in the country and Reserve Bank of India was

setup to regulate the formal banking sector in the country. But the growth

of modern banking remained slow mainly due to lack of surplus capital in the

Indian economic system at that point of time. Modern banking institutions

came up only in big cities and industrial centers. The rural areas, representing

vast majority of Indian society, remained dependent on the indigenous

moneylenders for their credit needs.

Independence of the country heralded a new era in the growth of modern

banking. Many new commercial banks came up in various parts of the

country. As the modern banking network grew, the government began to

realize that the banking sector was catering only to the needs of the well-to-do

and the capitalists. The interests of the poorer sections as well as those of the

common man were being ignored.

In 1969, Indian government took historical decision tonationalize14 biggest

private commercial banks. A few more were nationalized after a

couple of years. This resulted in transferring the ownership of these banks to

the State and the Reserve Bank of India could then issue directions to these

banks to fund the national programmers, the rural sector, the plan

priorities and the priority sector at differential rate of interest. This resulted in

providing fillip the banking facilities to the rural areas, to the under-privileged

and the downtrodden. It also resulted in financial inclusion of all categories

of people in almost all the regions of the country.

Finance is the life blood of trade, commerce and industry. Now-a-days,

banking sector acts as the backbone of modern business. Development of

any country mainly depends upon the banking system.

The term Bank is derived from the French word Bench or Money exchange

table. In olden days, European money lenders or money changers used to

display (show) coins of different countries in big heaps.

However, after almost two decades of bank nationalization some new issues

became contextual. The service standards of the public sector banks began to

decline. Their profitability came down and the efficiency of the staff became

suspect. Non-performing assets of these banks began to rise. The wheel of

time had turned a full circle by early nineties and the government after the

introduction of structural and economic reforms in the financial sector, allowed

the setting up of new banks in the private sector. The new generation private

banks have now established themselves in the system and have set new

standards of service and efficiency. These banks have also given tough but

healthy competition to the public sector banks.

B. INDIAN BANK SECTOR: HISTORY, GROWTH AND REFORM

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 1790; both are now defunct. The oldest bank in

existence in India is the State Bank of India, which originated in the Bank of

Calcutta in June 1806, which almost immediately became the Bank of Bengal.

This was one of the three presidency banks, the other two being the Bank of

Bombay and the Bank of Madras, all three of which were

established under charters from the British East India Company. For many

years the Presidency banks acted as quasi-central banks, as did their

successors. The three banks merged in 1921 to form the Imperial Bank of

India, which, upon India's independence, became the State Bank of India

in 1955.Merchants in [Calcutta] established the Union Bank in 1839, but it

failed in1848 as a consequence of the economic crisis of 1848-49. The

Allahabad Bank, established in 1865 and still functioning today, is the oldest

Joint Stock bank in India. (Joint Stock Bank: A company that issues stock and

requires shareholders to be held liable for the company's debt) It was not the

first though. That honor belongs to the Bank of Upper India, which was

established in 1863, and which survived until 1913, when it failed, with some

of its assets and liabilities being transferred to the Alliance Bank of Simla.

Foreign bank too started to app, particularly in Calcutta, in the 1860s. The

comptoire d‘Escompte de parish opened a branch in Calcutta in 1860, and

another in Bombay in 1862; branches in madras and Pondicherry, then a

French colony, followed, established itself in Bengal in 1869. Calcutta was the

most active trading port in the India, mainly due to the Brattice Empire, and so

became a banking center.

The first entirely Indian joint stock bank was the Oudh Commercial Bank,

established in 1881 in Faridabad. It failed in 1958. The next was the Punjab

National Bank, established in Lahore in 1895, which has survived to the

present and is now one of the largest banks in India.

Around the turn of the 20th Century, the Indian economy was passing through

a relative period of stability. Around five decades had elapsed since the Indian

Mutiny, and the social, industrial and other infrastructure had improved.

Indians had established small banks, most of which served particular ethnic

and religious communities.

The presidency banks dominated banking in India but there were also some

exchange banks and a number of Indian joint stock banks. All these

banks operated in different segments of the economy. The exchange banks,

mostly owned by Europeans, concentrated on financing foreign trade. Indian

joint stock banks were generally undercapitalized and lacked the

experience and maturity to compete with the presidency and exchange

banks. This segmentation let Lord Curzon to observe, "In respect of banking it

seems we are behind the times.

We are like some old fashioned sailing ship, divided by solid wooden

bulkheads into separate and cumbersome compartments‖.

The period between 1906 and 1911, saw the establishment of banks inspired

by the Swadeshi movement. The Swadeshi movement inspired local

businessmen and political figures to found banks and for the Indian

community. A number of banks established then have survived to the present

such as Bank of India, corporation Bank, Indian Bank, Bank of Baroda,

Canara Bank and Central Bank of India.

The fervor of Swadeshi movement lead to establishing of many private banks

in Dakshina Kannada and Udupi district which were unified earlier and known

by the name South canara (South Kanara) district. Four nationalized banks

started in this district is known as ―Cradle of Indian Banking‖.

During the first World War (1914-1918) through the end of second World War

(1939-1945), and two years thereafter until the independence of India were

challenging for Indian banking. The years of the First World War were

turbulent, and it took its toll with banks simply collapsing despite the Indian

economy gaining indirect boost due to war-related economic activities.

1.5) Position of Indian Banking Sector at Post Independence:

The partition of the India in 1947 adversely impacted the economies of

Punjab and West Bengal, paralyzing banking activities for months.

India‘s independence marked the end of a regime of the Lassies-faire

for the Indian banking. The Government of India initiated measures to

play an active role in the economic life of the nation, and the Industrial Policy

Resolution adopted by the government in 1948 envisaged a mixed economy.

This resulted into greater involvement of the state in different segments of the

economy including banking and finance. The major steps to regulate banking

included:

The Reserve bank of India, India‘s central baking authority, was established in

April 1934,but was nationalized on January 1, 1949 under the terms of the

Reserve Bank of India Act,1948 (RBI).

In 1949, the Banking Regulation Act was enacted which empowered the

Reserve Bank of India (RBI) ―to regulate, control, and ins ect the bank in

India‖.

The Banking Regulation Act also provided that no new bank or branch of an

existing bank could be opened without a license from the RBI, and no two

banks could have common directors.

1.6) at the time of Nationalization:

Deposit the provisions, control and regulations of Reserve Bank of India, bank

in India except the State Bank of India or SBI, continued to be owned and

operated by private persons. By the 1960s, the Indian banking industry had

become an important tool to facilitate the development of the Indian economy.

At the same time, it had emerged as a large employer, and a debate had

ensued about the nationalization of the banking industry. Indira Gandhi, then

Prime Minister of India, expressed the intention of the Government of India in

the annual conference of the All India congress Meeting in a paper entitled

―Stray thoughts on Bank Nationalization‖. The Meeting received the paper

with enthusiasm.

Thereafter, her move was swift and sudden. The Government of India issued

an ordinance (‗Banking companies (Acquisition and Transfer of undertakings)

Ordiance, 1969‘) and nationalized the 14 largest commercial banks with effect

from the midnight of July 19,1969. These banks contained 85 percent of bank

deposits in the country. Jayaprakash Narayan, a national leader of India,

described the step as a ―masterstroke of political sagacity.‖ Within two weeks

of the issued of the ordinance, the parliament passed the Banking Companies

(Acquisition and Transfer of Undertaking) Bill, and it received the presidential

approval on 9 August 1969. A second dose of nationalization of 6 more

commercial banks followed in 1980. The stated reason of the nationalization

was to give the government more control of credit delivery. With the second

dose of nationalization, the Government of India controlled around 91% of the

banking business of India. Later on, in the year 1993, the government merged

New Bank of India with Panjab National Bank.

It was the only merged between nationalized banks and resulted in the

reduction of the number of nationalized bank from 20 to 19. After this, until the

1990s, the nationalized banks grew at a pace of around 4%, closer to the

average growth rate of the Indian economy.

1.7) at the time of liberalization:

The IT revolution had a great impact in the Indian banking system. The use

of computers had led to introduction of online banking in India. The use of the

modern innovation and computerization of the banking sector if India has

increased many folds after the economic liberalization of 1991 as the

country‘s banking sector has been exposed to the world‘s market. The Indian

banks were finding it difficult to compete with the international banks in terms

of the customer service without the use of the information technology and

computers. The RBI in 1984 formed Committee on Mechanization in

the Banking Industry (1984) whose chairman was Dr C Rangarajan, Deputy

Governor, Reserve Bank of India. The major recommendations of this

committee were introducing MICR Technology in all the banks in the

metropolis in India. This provided use of standardized cheque forms and

encoders.

Committee for proposing Legislation on Electronic Funds Transfer and

other Electronic Payments (1995) emphasized on EFT system.

Electronic banking refers to doing banking by using technologies like

computers, internet and networking, MICR, EFT so as to increase efficiency,

quick service, productivity and transparency in the transaction.

Apart from the above mentioned innovations the banks have been selling the

third party products like Mutual Funds, insurances to its clients. Total numbers

of ATMs installed in India by various banks as on end March 2005 is

17,642.The New Private Sector Banks in India is having the largest numbers

of ATMs which is full off site ATM is highest for the SBI and its subsidiaries

and then it is followed by New Private Banks, Nationalized banks and foreign

banks. While on site is highest for the nationalized banks of India.

BANKING STRUCTHURE IN INDIA

Types of co-operative banks

There are main three type of co-operative banks:

1) State co-operative bank

2) District co-operative bank

3) Primary co-operative bank

The following chart showing the organizational structure of co operative

banks.

1) State Co-operative Bank:

These banks are also known as apex bank & are registered under co-

operative societies act – 1912. In fact these banks are established to function

as a leading co-operative financial institution of the state offer co-operative

societies should grow. The ―Apex banks ―as they are called are they to render

financial help as & when the co-operative societies are in need of their help.

2) Central Co-operative Bank:

A district level of central co-operative banks is functioning as a commercial

bank & that too as an independent unit. They are there in order to strengthen

the co-operative movement in the country. In fact these banks are the key link

between people & apex bank & render valuable services to downtrodden &

rural folk in taking them out of the financial wood central co-operative banks

get funds from (A) Share capital (B) Deposits (C) Financial help from state co-

operative banks (D) State bank of India & (E) Commercial banks. Their

working capital is usually provided by state government.

3) Urban Co-operative Bank:

Urban co-operative banks are organized & established in towns on the pattern

of joint – stock banks but are established under co-operative societies act –

1912. For funds these banks depend on their own sources. However central

co-operative banks are helping them in financially viable. Central co-operative

banks are directly links with the state co-operative banks. Urban primary co-

operative banks provide funds to rural folk in easy terms to help them in

agriculture work aid its development today they have started playing a

significant role in rural upliftment. They are in tune with the government

policies & program.

Role of Co-operative banks

Now-a-days co-operative banks are progressing very fast then any

commercial or nationalized banks. The customer service lending services &

other banking facilities given to the society is being better than other banks.

So people are also being attracted & interested in co-operative banks.

The main aim of the bank is to extend credit facilities to the small traders,

workers & other middle class people. This bank derive their funds for working

partly through share capital contributed by the members & partly through

deposits collected from members, general public & render usual banking

services. The liability of members is normally unlimited. This enables the

society to raise funds from outside agencies & also encourages member to

take keen interest in working of the society.

PESTLE

Political and Legal Environment:

The advent of liberalization and globalization had seen a lot of changes in the

focus of Reserve Bank of India as a regulator of the banking industry.

De-regulation of interest rates and moving away from issuing operational

prescriptions have been important changes. The focus has clearly shifted

from micro monitoring to macro management.

In a totally de-regulated and globalised banking scenario, a strong regulatory

framework would be needed. The role of regulator would be critical for:

a) Ensuring soundness of the system by fixing benchmark standards for capital

adequacy and prudential norms for key performance parameters.

b) Adoption of best practices especially in areas like risk-management,

provisioning, disclosures, credit delivery, etc.

c) Adoption of good corporate governance practices.

d) Creation of an institutional framework to protect the interest of depositors.

e) Regulating the entry and exit of banks including cross-border institutions.

Further, the expected integration of various intermediaries in the financial

system would add a new dimension to the role of regulators.

Some of these issues are addressed in the recent amendment Bill to the

Banking Regulation Act introduced in the Parliament. The integration of

various financial services would need a number of legislative changes to be

brought about for the system to remain contemporary and competitive.

Emerging Economic Scene:

The financial system is the lifeline of the economy. The changes in the

economy get mirrored in the performance of the financial system, more so of

the banking industry.

Small and Medium Enterprises (SME) sector would emerge as a major

contributor to employment generation in the country. Small Scale sector had

received policy support from the Government in the past considering the

employment generation and favorable capital output ratio.

Globalization and opening up of the economy to international competition has

added to the woes of this sector making bankers wary of supporting the

sector. It is expected that the SME sector will emerge as a vibrant sector,

contributing significantly to the GDP growth and exports.

India‘s share in International trade has remained well below 1%. Being not an

export led economy (exports remaining below 15% of the GDP), we have

remained rather insulated from global economic shocks. This profile will

undergo a change, as we plan for 8-9% growth in GDP. Planning Commission

report visualizes a more globalised economy. Our international trade is

expected to constitute 35% of the GDP.

The ability of the financial system in its present structure to make available

investible resources to the potential investors in the forms and tenors that will

be required by them in the coming years, that is, as equity, long term debt and

medium and short-term debt would be critical to the achievement of plan

objectives.

The gap in demand and supply of resources in different segments of the

financial markets has to be met and for this, smooth flow of funds between

various types of financial institutions and instruments would need to be

facilitated.

Social Issues on Banking:

Since the second half of 1960s, commercial banks have been playing an

important role in the socio-economic transformation of rural India. Besides

actively implementing Government sponsored lending schemes, Banks have

been providing direct and indirect finance to support economic activities.

Mandatory lending to the priority sectors has been an important feature of

Indian banking.

Commercial Banks, Co-operatives and Regional Rural Banks are the three

major segments of rural financial sector in India. Rural financial system, in

future has a challenging task of facing the drastic changes taking place in the

banking sector, especially in the wake of economic liberalization.

There is an urgent need for rural financial system to enlarge their role

functions and range of services offered so as to emerge as "one stop

destination for all types of credit requirements of people in rural/semi-urban

centers.

Barring commercial banks, the other rural financial institutions have a weak

structural base and the issue of their strengthening requires to be taken up on

priority. Co-operatives will have to be made viable by infusion of capital.

Small Scale Industries have, over the last five decades, emerged as a major

contributor to the economy, both in terms of employment generation and

share in manufactured output and exports.

Removal of quantitative restrictions on a large number of items under the

WTO and opening up of Indian market to greater international competition

have thrown both challenges and opportunities for the SSI sector.

Low capital base and weak management structure make these units

vulnerable to external shocks, more easily. However the units which can

adapt to the changing environment and show imagination in their business

strategy will thrive in the new environment.

Technology in Banking:

Technology will bring fundamental shift in the functioning of banks. It would

not only help them bring improvements in their internal functioning but also

enable them to provide better customer service. Technology will break all

boundaries and encourage cross border banking business.

Banks would have to undertake extensive Business Process Re-Engineering

and tackle issues like

How best to deliver products and services to customers

Designing an appropriate organizational model to fully capture the benefits of

technology and business process changes brought about.

How to exploit technology for deriving economies of scale and how to create

cost efficiencies, and How to create a customer - centric operation model.

Technology solutions would make flow of information much faster, more

accurate and enable quicker analysis of data received. This would make the

decision making process faster and more efficient.

While application of technology would help banks reduce their operating costs

in the long run, the initial investments would be sizeable.

MAJOR PLAYERS

Rander People's Co-Operative Bank Ltd.

Sarvodaya Sahakari Bank Ltd. Surat

Surat Mercantile Co-Operative Bank Ltd.

Surat Nagrik Sahakari Bank Ltd.

Surat National Co-Operative Bank Ltd.

Surat Peoples Co-Operative Bank Ltd.

Textile Co-Op.Bank Of Surat Ltd.

The Associate Cooperative Bank Ltd.

Varachha Co-Operative Bank Ltd.

Prime Co-Oprative Bank Ltd

1) Surat People’s Co-op Bank:

The Surat People‘s Co-Operative Bank Ltd. is serving since last 90 years to

the people of Surat having network of 23 computerized branches out of them

21 in Surat and 1 in Vapi and 1 in Navsari.

The Bank is the "First Registered Urban Co-operative Bank" of India and

among the first 13 Co-operative Banks to get the "Scheduled Bank" Status.

It is the first Bank to provide the "Depository Participant Services" in South

Gujarat.

2) Sutex Bank:

Sutex Bank‘s proud journey started with its establishment on 15th May, 1972.

At the Surat time of opening Sutex Bank its name was The Surat Textile

Traders Co-Op. Bank Ltd.

Banks registered office address is Surajram Bachkaniwala Bhavan,

Nr.Navjivan Circle, Udhana Magdalla Road., Surat.

In the year 1972 Bank‘s Establisher Chairman Late Shri Surajram

Bachkaniwala and Vice Chairman Late Shri Ashabhai Shankarbhai

Patel having a prosperous vision to provide a golden & profitable market to

Surat‘s Textile Industry, registered the Bank at a cooperative level.

3) Kalupur co-op Bank:

The Bank is founded by Late Shri Baldevbhai Dosabhai Patel, Late Shri

Gopaldas Shivlal Patel and Shri Arvindbhai Jivanlal Saheba.

The Bank has nurtured its traditional values in business practices and in

serving the small businessmen.

These were the people with deep and abiding ideas, faith, vision, optimism

and entrepreneurial skills with commendable sense of service and duty.

The Bank has 38 branches of which 33 are situated in Bank‘s own premises.

These branches are spread over Ahmadabad, Sanand, Anand, Khambhat,

Vadodara, Surat, Gandhinagar and Mumbai.

ABOUT THE SURAT DISTRICT CO-OPERATIVE BANK LTD

A. Company Profile

First decade of 20th century was a very important era in the history of cooperation for entire country and Surat District as well. Many cooperative institutions were initiated during this period. First Coop. Society in Surat District was registered at Degam, Taluka Chikhli on 23-5-1906 (Now in Bulsar District). In the year 1909, with the efforts of Late Shri B.A.Modi and Late Shri K.G.Desai. The Surat Dist Co.op.(Urban) union Ltd., was registered on 17-6-1909. It was the institution which is later on known as THE SURAT DISTRICT CO.OP. BANK LTD. In the year 1921, this society had undertaken banking activities in absolute terms. In 1923 The Surat District Co.op. (Urban) union was converted into The Surat District Co.op. Bank Ltd., The work extended to the entire Surat District, which had 21 talukas and a vast working area with geographical variation. The coastal area which included city of Surat and towns like Navasari - Bulsar – Bilimora, the fertile flat land and sizeable tribal area with hills and dense forests. The Vast Surat District was bifurcated in1965 and district of Bulsar was separated. At present there are 15 talukas in the Surat district, of which 9 are in the tribal area. Bank is having separate department for agriculture advances since 1944, and become an effective central agency for coordination and smooth flow of finance to cooperative sector in the district. Co-Operative Organizations like :-

The Surat District Milk Producers Co-op. Union Ltd.(SUMUL), The Purushottam Farmers Co-op. Ginning & Pressing Society Ltd., The Surat Distrcit Co-op. Spinning Mills Ltd., The Surat Jilla Sahakari Sale & Purchase Union., The Surat Central Co-op. Stores Ltd., Cotton Co-op Socities of Olpad Taluka,

have since been developed and Bank has provided timely assistance to them. During this period, Forest Labourers Co-op. Societies were also very active in tribal area and were engaged in coop cutting activity for which substantial finance was provided to them. After 1956 when Shree Khedut Sahakari Khand Udyog Mandali Ltd., Bardoli came into existence, the entire Surat District gradually became a sugar belt. All existing eight sugar factories had toothing financial troubles in the beginning, However, Bank had provided them enough finance as also assisted even for meeting share capital also. By lapse of time Sugar cane has now become principal crop in the district and out of total cultivable area of 490000 hectares 83191 hectares is under sugar cane cultivation. This

revolution in agriculture was amply supported by The Surat District Co.op. Bank Ltd., These factories have become main strength of the economic structure of the district, particularly for farmers. All together these factories have a crushing capacity of 35500 tons per day. Annual sugar production exceeds Rs.880/- crores. Bank has sanctioned enough financial limits to this sector. Now a days, bank has started financing projects for Drip irrigation, Medicinal crops, Fishery, Green house etc. and would like to escalate the same on substantial extent. As per the instructions/ guidelines of NABARD, of-late, Bank has also started financing to the Non-farm sector including textile industry. Bank has been enjoying privilege of having prominent citizens in fields like Social, Co-operation and Agriculture, on its Board. The present and former members of the Board included outstanding Lawyers, Members of Parliament, District Panchayat Presidents, Mayor of Surat City and Leaders from various walks of life including Ministers. In the year 1965 The Surat Dist. Co-op. Bank was separated after formation of Bulsar District from old Surat District. After separation bank‘s Financial Position is as under.

No. Of Branches 15

Share Capital Rs. 0.22 Crores

Reserves Rs. 0.09 Crores

Deposits Rs. 3.06 Crores

Advances Rs. 1.71Crores

B. ORGANIZATIONAL STRUCTURE

The top brass of Surat bank has this structure, with chairman being at the top

and then followed by vice chairman followed by managing director followed by

general manager followed by area manager.

Top Brass Management Structure

The structure from area manager can be understood from the following

structure, area manager followed by branch head followed by assistant

manager and then at the bottom clerk.

Management Structure On Branch Basis

Chairman

Vice Chairman

Managing director

General Manager

Area Manager

Area Manager

Branch Manager

Assistant Manager

Clerk

C. SURAT DISTRICT CO-OPERATIVE BANK LTD’S

SRVICES

Loan

Surat co op Bank basically provides different types of loans for facilitating

their Account holder. The different types of loans are as under.

o Personal Loan

o Home Loan

o Property Mortgage Loan

o Machinery Loan

o C.C Facility

o New Vehicle Loan

o O.D Facility

o Customer Durables Loan

Loan against Securities Now they will see the bank Criteria regarding loan

and their Process a Surat bank‘s declaration. The eligibility criteria, bank‘s

rate, other charges, Methodologies for application are given as under.

2.4) Personal loan

1 . E l i g i b i l i t y o f c r i t e r i a :

Any salaried person or Professionals or self Employed is eligible for bank

loan. The purpose considered are, social cause or small repairs of property or

Child education etc. Loan granted up-to 5 times of the net monthly income of

the applicant/s or Rs. 1 lacs whichever is less. Bank requires minimum of two

personal guarantees having income/asset expectable to the Bank.

2. Effective Rate of Interest: 14%

3. Professional charges: NIL

4. Pre-payment Charges: NIL

5. Share Money Contribution: 5 % of the Loan Sanctioned.

6. Tenure For Repayment: Maximum up-to 40 months

7. How to apply:

Application in Bank‘s Prescribed Form duly filled up having been affixed with

the Photographs of the applicant/s and guarantors along with their

signatures to be supported by the papers /documents detailed as

under.

For the Applicant/s:

o Photo I.D.

o Income Proof.

o Residential Address Proof

o Proof of Immovable Property if owned by the applicant.

o Bank A/c Statement for the last six months.

o Statement of A/c for Loan/Advance facility availed from other Bank/ F.I

o A letter of undertaking from the employer to deduct of EMI from salary in case

of salaried person if agreed by their Employers.

For the Guarantors:

o Photo I.D.

o Income Proof.


o Proof of Immovable Property if owned in their name.

2 . 5 ) V e h i c l e l oan

1 . E l i g i b i l i t y Cr i te r i a :

Any salaried persons / Professionals-Self Employed / Businessman can apply

for Vehicle loan at Surat Bank at any branch or Main office. The condition is

only for the purpose of purchase of New Vehicle for personal usage not other

than that. Loan amount will depend upon their paying capacity of the applicant

and the worth of the personal guarantees offered.

2. For application under “Quick Disposal Scheme:

4. How to apply:

An application in Bank‘s Prescribed Form duly filled up having been affixed

with the Photographs of the applicant/s and guarantors along with

their signatures to be supported by the papers / documents detailed as

under.


o Income Proof.

o Copy of I.T Pan Card.

o Copy of Driving License.


o Proof of Resident ia l Property owned by the applicant /member

of the family.


o Statement of A/c for Loan / Advance facility availed from other Bank /F.I

For the Guarantors:

o Photo I.D.

o Income Proof.



2 . 6 ) H o m e l o a n

1 . E l i g i b i l i t y Cr i te r i a :

Any person having sufficient repaying capacity, for the purpose of purchase or

construct a House Property and residence within the District – Surat is eligible

for the Home loan at Surat Bank. For loan maximum up to 85% of the

purchase cost as per construction agreement in case new construction or

valuation by the approved velour of the Bank whichever is less. Loan

amount will depend upon the repaying capacity of the applicant and the worth

of the personal guarantees offered.

2 . P e r s ona l G uar a n te e : of at least two persons having income/

asset expectable to the Bank.

3 . P r i m a r y S e c ur i t y : Mortgage of the House Property.

4. Rate of Interest Floating Scheme: 10 %. (Shall be changed if

require after a Period of 2 years)

5. Rate of Interest Fixed Scheme: 11 %.

6. Interest Scheme once selected at the time of disbursement

can’t be changed afterwards.

7 . P r oc e s s i ng Cha r ge s : Minimum Rs. 250/-Or 0.50 % of the

Sanctioned Amount out of which Rs.250/-to be deposited at the time

of submission of the loan application.

8 . P r e -P a ym e n t Cha r ge s : Nil

9. Share Money Contribution: 2.5 % of the Loan Sanctioned.

1 0 . Te nur e For R e pa ym e nt : Maximum 180 Months, depending upon

the age of the applicant/ co-applicants.

11. How to Apply: An application in Bank‘s Prescribed Form duly filled up

having been affixed with the Photographs of the applicant/s and guarantors

along with their signatures to be supported by the papers /documents detailed

as under.


o Income Proof.

o Copy of I.T Pan Card.

o Present Residential Address Proof.

o Copy of Sale Agreement in case of purchase of house property.

In case of construction:

o A copy of Construction agreement.

o A copy of sale-deed of the land.

o A copy of approved plan along with the permission granted by S.M.C.


o Statement of A/c for Loan / Advance facility availed from other Bank /F.I.

For the Guarantors:

o P h o t o I . D .

o Income Proof.



2.7) Property mortgage loan

1 . E l i g i b i l i t y Cr i te r i a : For the purpose of Business bank can

approve loan maximum up to50% Valuation of the property by the

Bank‘s approved velour. Property offered for mortgage requires Titles

Clearance certificate from Bank‘s approved advocate (This requires before

disbursement of loan).Loan amount will depend upon the repaying

capacity and nature of business of the applicant and the worth of the personal

guarantees offered.

2 . P e r s ona l G uar a n te e : of at least two persons having income-asset

expectable to the Bank.

3 . P r i m a r y s e c ur i t y : Mortgage of the Property offered.

4 . R a t e o f I n t e r e s t : 13 %

5 . P r oc e s s i ngCha r ge s : At the prevailing rates of the Bank from time to

time.



8 . T e n u r e f o r R e p a y m e n t : Maximum 60 Months.

9 . H o w t o A p p l y :

An application in Bank‘s Prescribed Form duly filled up having been affixed

with the Photographs of the applicant/s and guarantors along with their

signatures to be supported by the papers /documents detailed as under.


o Income Proof.

o Proof regarding Registrations of the business.

o Proof regarding place of business.

o Co p y o f I . T . P an Ca rd o f t h e applicant/s.

o Residential Address Proof of the applicant/s.

o Original Title deeds of the Property to be mortgaged at the time of mortgage.


o Statement of A/c for Loan / Advance facility availed from other Bank / F.I.

Fo r the G ua r a n t o r s :

o Photo I.D.

o Income Proof.



2.8) Over draft facili ty

1. E l i g i b i l i t y Cr i te r i a : For the purpose of Business bank can approve

loan maximum up to 50% Valuation of the property by the Bank‘s approved

velour. Property offered for mortgage requires Titles Clearance certificate

from Bank‘s approved advocate (This requires before disbursement of

loan).Amount of Credit Facility will depend upon the nature of business of the

applicant and the worth of the personal guarantees offered.

2. Personal Guarantee: at least two persons having income / asset expectable

to the Bank

3. Primary Security: Mortgage of the Property offered.

4. Rate of Interest: 14 %.

5. Processing Charges: At the prevailing rates of the Bank from time to time.

6. Pre-Payment Charges: Nil


8. Renewal: Limit required to be renewed every year.

9. Tenure for Repayment: This limit will be reduced @ 20 % every year at the

time of renewal and required to be satisfied in full on or before 5 years.

H o w t o A p p l y :


o Income Proof.



o Copy of I.T. Pan Card of the applicant/s.




o Statement of A/c for Loan / Advance facility availed from other Bank / F.I.

For the Guarantors:

o Photo I.D.

o Income Proof.



2.9) Cash credit facil ity

1 . E l i g i b i l i t y C r i t e r i a : For the purpose of Business bank can

approve maximum credit up to20 % the annual sales Turnover by the

Bank‘s approved velour.(Own contribution @ 5 % of the C.C. Limit

sanctioned is required).Amount of Credit Facility will depend upon the nature

of business of the applicant, offering of collateral security and the worth of the

personal guarantees.

2 . P e r s ona l G uar a n te e : of at least two persons having income / asset


3 . P r i m a r y S e c ur i t y : Hypothecation of Stock & Book debts (i.e.

not more than 60 days.)

4 . Co l l a te r a l S e c ur i t y: Not required for Limit below Rs. 2.00 lacs.

5 . D r a w i n g P o w e r : 65 % of the Paid stock Plus Book debts for not

more than 60 days on submission of the stock–book debt

statements every month (i.e .D.P. will not exceed the sanction limit).

6 . R a t e o f I n t e r e s t : 11.50 %

7 . P r oc e s s i ngCha r ge s : At the prevailing rates of the Bank from time to

time.


9. Share Money Contribution: 2.5 % of the Limit Sanctioned.


11. Tenure for Repayment: This limit will be reduced @ 20 % every

year at the time of renewal and required to be satisfied in full on or before 5

years.

How to Apply:


o Income proof.



o Copy of I.T. Pan Card of the applicant/s.




o Statement of A/c for Loan / Advance facility availed from other Bank /F.I.

For the Guarantors:

o Photo I.D.

o Income Proof.



2 . 1 0 ) Ma c h i ne r y l oa n

1. E l i g i b i l i t y Cr i te r i a : For purchase of new machinery for the purpose of

Business, Bank can allowed Maximum Loan facility @ 75 % of the Cost

of machinery. Amount of Loan will depend upon the repaying capacity,

Nature of business, offering of collateral security and the worth of the personal

guarantees.

2. Personal Guarantee: of at least two persons having income / asset


3. Primary Security: Hypothecation of Machinery.

4. Collateral Security: Not required for Limit below Rs. 2.00 lacs.

5. Rate of Interest: 12.00 %

6. Processing Charges: At the prevailing rates of the Bank from time to time.

7. Pre-Payment Charges: Nil

8. Share Money Contribution: 2.5 % of the Limit Sanctioned.


10. Tenure For Repayment: Loan to be repaid in maximum 60 EMI.

11. How To Apply: Same as Methodology of C.C facility.

2.11) Loan against security

2.12) Various Deposit Schemes

INVESTMENT PERIOD RATE

From 7 Days to 14 Days (Above Rs. 15 Lacs)

4.50%

From 15 Days to 30 Days 5.50% From 31 Days to 45 Days 5.50% From 46 Days To 60 Days 6.25% From 61 Days to 90 Days 6.50% From 91 Days to 120 Days 6.50% From 121 Days to 179 Days 7.00% From 180 Days to 270 Days 7.50% From 271 Days to 364 Days 7.50% 1 Year & above but less then 2 Years 8.75% 2 Years & above but upto 3 Years 8.50% 2 Years & above but upto 5 Years 8.50% 5 Years & Above 8.50%

GOLDEN MONTHLY INCOME PLAN (GMIP)

Get monthly interest by investing in this scheme. Facility to get monthly

interest credit to savings account with our bank or get cheque for monthly

interest in advance for the entire tenure of deposit.

REINVESTMENT DEPOSIT SCHEME

In this scheme customer will get interest RE-INVESTED on deposit amount.

Minimum period of deposit would 15 month & above.

Mobile Banking:

Mobile Banking (also known as M-Banking) is term used for performing,

account transactions, credit applications, balance checks payments, and other

banking transactions through a mobile device such as a mobile phone or

Personal Digital Assistant (PDA). The earliest mobile banking services were

offered over SMS, a service known as SMS banking.

Mobile Banking Service over Application/Wireless Application Protocol

(WAP)

The service is available on java enabled / Android mobile phones (with or

without GPRS) where the user is required to download the application on to

the mobile handset. The service can also be availed via WAP on all phones

(java/non java) with GPRS connection.

The following functionalities are available:

o Funds transfer. (within and outside the bank)

o Interbank Mobile Payment Services. (IMPS)

o Enquiry services. (Balance enquiry / Mini statement)

o Cheque book request.

o Demat Enquiry Service.

o Bill Payment (Utility bills, credit cards, Insurance premium), Donations,

subscriptions.

o Mobile Top up.

Business Rules:

All current / savings Bank Account holders in P segment are eligible.

Transaction limit per customer per day is Rs. 50,000/- with a calendar month

limit of Rs. 2, 50, 0000/- All customers can avail the service irrespective of

their telecom service provider. The service is free of charge. SMS/GPRS cost

will be borne by the customer.

Mobile Banking Service over SMS:

The service is available on all phones (java/non java) with/without GPRS

connection. No need to download the application. Ordinary SMS charges are

applicable.

The following functionalities are available:

o Enquiry Services (Balance Enquiry / Mini statement)

o IMPS- Mobile to Mobile Transfer

o Mobile Top up

o Change MPIN

Stamp Franking:

Franking (or “ franks”) are any all devices or makings such as postage

stamps (including those pre-printed on postal stationery), printed or stamped

impressions, coding, labels, manuscript writings (including ―privileged‖

signatures), and / or any other authorized from of markings affixed or applied

to mails to qualify them to be post all serviced.

Surat locker:

There is one & only Co-operative bank of the South Gujarat – Surat Bank has

been offered Rent Free Locker Facility to the customers since the inception

of the Surat Bank.

Surat CBS :

Surat is a first & only Fully Equipped, High Tech, Professional Banking Super

Market of South Gujarat offered CBS (Core Banking Solution). You can make

Cash, Clearing & Transfer Transaction from any of Surat Bank‘s Branch. You

can also get Statement of your account or pass book of your savings bank

account. So you are not a Customer of specific Branch of Surat Bank but you

are Customer of Surat Bank.

Mutual Funds:

Surat is first & only Co-operative bank of South Gujarat Area who has been

staring business of Mutual Funds as a referral basis.

D. SWOTE ANALYSIS

1) Strength:-

All the branches staff has qualification and better experience.

Good relationship with their customers.

More number of branches at different location.

2) Weakness: -

More co-operative and other private banks are emerging. And so there is a

huge completion from others.

Other bank‘s better services and facilities may be a weakness for the bank.

3) Opportunities: -

The bank has good market potential so that it can enhance or expand its

business in future.

It can also establish other branches in the other industrial area.

Opportunity for getting managerial knowledge from acquired.

4) Threats:-

Recession in business, may affect repayment capacity of customer.

If there will opening of new bank with the facilities more than the bank, it will

binders the progress of the bank.

Threat about the low speed of the recovery loans.

A decline in business firm, can affect bank.

Literature Review

I have collected the three different repots which somewhere related with the

Banking and Service sector which really gives good conclusions. This was

very helpful to me for the decision making and analysis of my research. The

findings and their conclusion has been included here for more reference and

their source also been included in the Bibliography in the part of literature

review.

Customer Satisfaction, Perceived Service Quality and Mediating Role

of Perceived Value: (2012)(page No: 17, 18, 19, 20) (worded by Saif

Ullah Malik)

‖Regression and correlations analysis the results of testing mediating

model using a stepwise regression analysis are shown in Table 4. In this

model testing, independent variable in Step 1 was then followed by entering,

mediating variable in Step 2. An examination of multi co-linearity in the

coefficients table shows that the tolerance values for the relationship between

the independent variable (i.e. perceived service quality) and the dependent

variable (i.e. customer satisfaction) were 0.986., indicating the variables

were not affected by multi co-linearity problem. The outcomes of testing

hypotheses in two Steps: Step 1 showed that relationship between perceived

value and perceived service quality are significantly correlated with customer

satisfaction (β=.306, p<0.001), therefore H1 supported.‖

Measuring Service Quality in Retail Banking Sector in Context

of Gujarat: (2012) (Page No: 43)(worded by Parmita Mehta):

―When compared with customers‘ expectations, reliability dimension of service

quality shows the highest shortfall considering all banks together and the

dimension of assurance shows the smallest gap. The type of account is the

demographic variable in the given context that could be used to profile the two

segments. Responsiveness is the most important dimension in influencing

overall quality perception, overall customer satisfaction, likelihood

for recommendation and loyalty intention. The tangible is the second most

important dimension in influencing the above constructs.‖

Determining the gap between customer Expectation and perception

In retail Banking: (2012) (Page No: 26) (worded by Ganesh P and Dr.

R Nandagopal)

―The study confirms that there is significant gap between the customers

expected service and perceived service level in retail banking across all

service quality dimensions, which leads to dissatisfaction and non-committal

approach towards the service provider. A customer is not just money in the

cash register. He is a human being with feelings and deserves to be treated

with respect. Any business without a focus on customer satisfaction is at the

mercy of the market. Without loyal customers eventually a competitor will

satisfy those desires and your customer retention rate will decrease.‖

Customer perception on service quality in banking sector: with

special reference to Indian private banks in Moradabad region:

(2012) (Page No: 60 0 , 6 0 1 , 6 0 2 ) (w or de d by V i bhor J a i n , Dr .

S on i a G upta , S m r i ta J a i n )

―There is an urgent need for the banking services to reaffirm themselves in

view of the cutthroat competition, which is close on the anvil. The

banks shall have to reorient themselves in terms of the

customer service parameters to instill the concept of quality service in the

mind of the customer and therefore the growth. Strategically speaking, the

banks in the private sector should focus more on improving the

infrastructure. The infrastructure not only involves the information

technology input in the branches but also the physical evidence, internal

environment and layout. This is due to the fact that recently like in other

services, in banking also the internal ambience of the organization has a

positive impact on the customers. The customers trust the public sector

banks. These banks have existed in the market for a longer period than the

private sector banks. The reliability factor is a positive factor for these banks.

They should position themselves in the market on the basis of this

dimension and promote themselves aggressively. This will not only

help them survive the present onslaught from private sector banks, but also

be competitive in the market. The Private sector Banks should be

improved in such point of view the growing needs of the customers are

evident from the wide array of services being offered by the banks like

insurance, mutual funds, depository services, etc. According to

Reserve Bank of India, the voluminous increase of 14,85,643 crores in the

retail financing schemes of the various banks indicates the varied needs

of the customers, in which the private sector banks have emerged as

the significant players. This in turn points towards the degree of

readiness, which these banks are demonstrating towards the

customers and their needs.Besides this, these banks should follow

the strategy of differentiation of service offers from one another. Last but not

the least, the customer base of the public sector banks is very big as

compared to the private sector banks, therefore it is important to retain them

with the banks. It becomes imperative for the private sector banks to

train their employees to treat the customers with empathy. This can

give the required leading edge and finally the competitive advantage

over the public sector banks. The study indicates that the responsiveness is

a most critical factor. The private sector banks like HDFC & ICICI Bank have

emerged as the leading bankers. It is more so due to the fact that they

have proven to be more responsive to the customers‘ needs. However, in

order to be more successful in the market, the private sector banks shall

have to be more innovative in terms of the product offers to the

customers and compete aggressively in the market. The

other aspect however, which needs to be strategized is the reliability.

As indicated by the study, the private sector HDFC bank leads in

reliability when compared to the other private sector banks. Therefore,

these banks should make relevant strategies for gaining reliability….‖

Customer’s perception of service quality of State Bank of India-A Factor

Analysis: (2011) (Page No: 24) (Dr. Mrs. G. Santhiya valli)

― Service quality should be used as a strategic tool to get a competitive

advantage over the competitors. With the increasing levels of globalization of

the Indian banking industry, and adoption of universal banks,

the competition in the banking industry has intensified. Any where‘ and ‗any

time banking now become a reality .Recognition of service quality now acts as

a competitive weapon. Analysis of gap score reveals that in State Bank of

India ‗Empathy‘ has maximum average score of 3.240 among other four

dimensions. The factor analysis clearly indicates that among five dimensions

‗Reliability‘, ‗Responsiveness‘, ‗Empathy‘ and ‗Tangibility‘ are the major

factors responsible for customer satisfaction which stood at 90 percent

regarding the services provided by State Bank of India. Thus based on the

percent level of customer satisfaction, the State Bank of India has scope to

improve the quality of the service rendered to its customers to ensure their

loyalty.‖

Service Quality Perception and Customers’ Satisfaction in

Internet Banking Service: Case Study of Public and Private Sector

Banks: (2011) (page No: 63) (Dr. Vijay M. Kumbhar)

―In the modern banking service internet banking is one of the

convenient banking services. It provides wider benefits to the customers. All

banks were not providing quality internet banking services. Our

study indicates that, overall service quality and customer satisfaction in

internet banking services is approximate same. However, dimension wise

service quality was differed by type of banks. The second hypothesis of this

study has been tested using correlation test. Here spearman‘s rho non-

parametric correlation test was performed to understand correlation between

each of service quality dimensions and overall customer satisfaction in

Internet banking. The present research evidence that most internet banking

users were male (81.2%), with an age group between 25 to 35 (34.7%), 36 to

50 years (34.8%), graduates (49.5%), post graduates (41.1%), businessman

(36.4%), employees (31.6%). Income wise data shows that there most of

users were belongs to middle income group. About 56.45% users were from

annual income group of Rs 3 to 8 lacks; 18.30% were from annual income

group of more than 8 lacks and remaining was from annual income of below

than Rs.3 lacks. This data indicates that reject null and accept alternative

hypothesis -1 i.e. Alt: All type o f customers are not using internet banking

services i.e. male and female; semiliterate and highly literate; belongs to all

professions; belongs to low and high income group.

Service Quality Attributes Affecting Customer Satisfaction in

Banking Sector of India: (2010) (page No: 97) (worded by Uma Sankar

Mishra, Jyoti Ranjan Das, Sanjib Pattnaik, Ayasa Kanta Mohanty)

―Delivering superior service quality appears to be a prerequisite for success of

any service firms. As electronic banking becomes more prevalent, now-a-days

customers are evaluating banks based more on their ―high-touch‖ factors than

on their ―high-tech‖ factors in most of the developing economy like India. The

operationalization of customer satisfaction in banking sector is somewhat

hazy, and it should be operationalized along the same dimensions that

constitute service quality. In this context, two proposed structural equation

models (SEMs) show the relationship between customer satisfaction on bank

services and the attributes of the perceived service quality. The proposed

models identify service quality attributes to improve, with the aim of offering

bank services characterized by higher levels of quality…..‖

Analysis of service quality gap and customers ‘satisfaction in

private banks: (2010) (page no: 1 to 17) (worded by Dr. S.P. Singh, Ms.

Sunayna Khurana)

―The results of Gap 5 analyses showed that customers‘ perception for private

banks in Hissar District was lower than their expectat ions. In attributes

like ―Bank staff giving customers best interest at heart‖, ―Personal attention

given‖ , ―Friendliness and courtesy of Bank staff‖, ―When My Bank promises to

do something by a certain time, it will do so‖, ―Individual attention given

by Bank staff‖ ,the service quality gap were high (more than-1.00). The bigger

is the gap the greater the need to improve the level of service quality. The

study also found that male customers are dissatisfied with attributes like

―Bank staff giving customers‘ best interest at heart‖, on the other side female

share dissatisfied with other attributes as ―Personal attention given by bank

employees‖. This means that banks have to give more importance to such

attributes and must take steps to reduce the service quality gap. The study

noted that perception &expectation of males & females related to 15 attributes

of service quality are same. This explains that these fifteen attributes are

of importance for both group of customers (male & female).Related to overall

satisfaction with the banks services; it was also found that male customers

are little more satisfied than female customers as the mean value

of satisfaction level of male (3.43) is more than the mean value of satisfaction

level of female customers (3.33). The study also revealed that there is no

significant difference between the Satisfaction level of male & female

customer related to Overall satisfaction, Personal Contacts of bank

employees and Quality of Banking Services. This means that bank customers

whether they are male or females are just satisfied with services of private

banks. They have more expectations with banks. Therefore the Private

Banks Table4: Hypothesis testing-h2, h3, h4, analysis of service quality gap

and customers‘ satisfaction in private banks18shouldadopt measures to

reduce the service quality gaps specially related

to attributes likes ―Bank staff giving customers best interest at heart‖,

―Personal attention given‖, ―Friendliness and courtesy of Bank staff‖,

―When My Bank promises to do something by ascertain time, it will do

so‖ and ―Individual attention given by Bank staff‖.

Service Quality Delivery and Its Impact on Customer Satisfaction in

the Banking Sector in Malaysia (2010) (page no: 402, 403) (worded

by Jayaraman Munusamy, Shankar Chelliah and Hor Wai Mun)

―Undoubtedly, no business can exist without customers. In the

philosophical words of Peppers and Rogers ―The only value your

company will ever create is the value that comes from customers—

the ones you have now and the

ones youwillhave in the future. This is absolutely true. Customer value

is an asset to the organization. Hence, in order to maintain the customer, the

organization needs to ensure that the right products and services,

supported by the right promotion and making it available at the right time for

the customers. While quality service and merchandise are essential in

today‘s competitive market, it is equally important that a customer

experiences the "Wow Effect" that only superior customer service can

deliver. A business that caters to their customers need will inevitably

gain the loyalty of their customers, thus resulting in repeat business as

well as potential referrals. Consequently, it is imperative that businesses

get to know their customers. Establishing a professional relationship with

customers empowers us with the knowledge of what our customers

need. When a business focuses on delivering what is of value to their

customers, this will generate the potential for repeat business as well.

The feedbacks from the survey is a testament to the customer

satisfaction hypothesis most definitely, there exists a positive

relationship between reliability with customer satisfaction. Similarly,

the other attributes, such as; assurances, tangibles, empathy and

responsiveness all have positive relationship with customer

satisfaction. It is far more difficult to measure the level of performance

and satisfaction when it comes to the intangible expectations. One of

the ways to help obtain loyal customers is by having products and

services that are so good that there is very little chance that

the customer requirements will not be met. Of course, one of the

d i f f i cu l t i e s i n u n d e rs t a n d in g t h e t r u e cu s t o m e r

re q u i re m e n t s i s t h a t t h e customer can and will change them

without notice or excuse. Having a good recovery process for a

dissatisfy customer is a very important and necessary process for any

service organization.

Banking Services and its barriee: (2007) (page no: 57) worded by

(Thorsten Beck, Asli Demirguc-kunt and Maria Soleded Martinez

Peria)

―This paper is the first effort to systematically document the existence

of barriers to banking services. Using surveys of 193 banks in 58

countries, our data show significant variation in barriers to banking

across countries. Though not without limitations, we think this effort is

important in identifying and understanding the channels through which

financial exclusion works. Barriers like high minimum deposite

valances, minimum loan amounts and fees can lead to exclusion by

making these products unaffordable for large shares of the population.

As a first attempt at capturing quantitative measures of cross-country

differences in barriers to banking along the dimensions of physical

access, affordability and eligibility, this paper is complementary to

other efforts to collect data on access to financial services at the

aggregate, firm- and household levels. We are still very much in the

beginning of this work and richer data sources and in-depth analysis

are needed to improve our understanding of access and its impact on

economic outcomes.‖

Report for E-banking service and customer review: (2007) (page

no:74) worded By (Dr.Himani Sharma)

―Regarding bankers‘ perspectives on e-banking activities of customers,

the study reveal that there is not much awareness in Indian customers

regarding use of e-banking services. But, the guidance and persuasion

by bankers does promote the use of such services amongst the

customers. There is greater incidence of e-banking usage amongst the

middle age men (30 to 50 years of age); and women customers use

such service a much less frequently. Occupation-wise, the

professionals, followed by business class, make more use of e -

banking services. Bankers are satisfied regarding the retention rate

and e-banking customers and they are also satisfied with switch over rate of

customer from traditional banking to e-banking. Regarding impact of e-

banking, the study indicates that e-banking helps in improving the relationship

between bankers and customer. The bankers expressed confidence that such

bonds would bring improvement in the overall performance of banks. The

willingness to use the e-banking is directly related to the frequency of usage.

There should be seminars/workshops/talks on the healthy usage of e-banking,

especially for those who are ATM or computer illiterates.‖

Brief report on SMME’s measure of satisfaction with banking services:

(2008) (page no: 1 to 4) worded by (professor N Biekpe)

―The findings strongly indicate that SMME‘s are generally not happy with the

core services they receive from their banks. However, when asked whether

they will consider changing their banks they were very reluctant to do so

because they felt that the situation will be similar in other competing banks.

The main worry to SMME‘s is bank changes and advice services provide by

their banks…..‖

Report for which field bank’s service should be focused: operation or

marketing: (2009) (page no: 45) worded By (Ankita Singh)

―The project opportunities provided was market segmentation and identifying

prospective customers in potential geographical location and convincing them

to attract more customer so that new business opportunities of the bank can

be explored. Through this project, it could be concluded that people are not

much aware about the various products and services of the bank and many of

them not interested to open an account, to invest money at all. The conclusion

is that there is tough competition ahead for the company from its major

competitors in the banking sector.‖

Customer satisfaction measurement in private bank sector: (2005) (page

no: 143) worded By (Robert Rele)

―The presented customer satisfaction survey took place in two different

branches of the Commercial Bank of India in the area of the city of Pune. I

have found that in bank sector has a lot opportunity because of a lot of

dissatisfaction and grievance has been evaluated by satisfaction tool. The

progress of Banking environment will be high rezone behind this is not only it

is related the financial management but also a lot of improvement is expected

by their customer for the bank services. A more detailed presentation is

presented below…….‖

Measuring Service Quality: Study on private commercial Bank in India

and Bangladesh: (2002) (page no: 46) worded By (Mohammad Mizenure

Rahaman)

―The research on measuring service quality has focused primarily on how to

meet or exceed the external customer‘s expectations, and has viewed service

quality as a measure of how the delivered service levels equalize consumer‘s

expectations. This study measuring service quality of SDCBs in Surat and

even India mainly studied on client expectation and perception about the

services on different five dimensions. There are several interesting conclusion

and research implications drawn from these results. One of the primary

causes of service quality design failure is the lack of understanding of the

evolving need and preferences of targeted customers……‖

A. PROBLEM STATEMENT AND FORMULATION

It is very first and most important step in the applied research process

because poorly defined problem will not generate useful results. Poorly

defined problem cause confusion and do not allow to develop a good

Research Design. The selected basic problem is to study- Determine the

difference of SDCB’s perceived services and Account Holders’ expected

services for SDCB.

Many banks are far from the advantageous position because of scrawny

ability to identify the gaps between the customer expectation and

perception service of bank. If they are not able not identify those gaps

effectively banks will not sustain in the stiff competition.

It is very fact and practical that if Account Holders are not satisfied with what

they received from their bank representatives, grievance will increases and

even negative outcome will arise. So, this problem should

deeply checked by doing research work on it. If it has done so, than it will

very beneficial to the account holders and even management of the SDCB.

Hence, it should be very clear that the problem is to analyze the gap between

the service perception and account holders‘ expectations. A result of this

analysis gives very clear idea to management of SDCB regarding the correct

way and significance of the Bank services.

B . S E AR CH RE O BJ E CTI V E

Objective is divided in two parts, primary and secondary. It suggests

the clear objective of this project report.

P r i m a r y O b je c t i v e :

To study the SDCB‘s functions as whole.

To analyze the various aspect of account holders expectation & perception.

To implement and to get experience about the Research Methodology as the

beginner in this field.

Secondary objective:

To analyze the impact of service quality and customer satisfaction of SDCB.

To find the most important dimensions of service quality that affect customer

satisfaction of SDCB.

To identify the solution regarding grievance of Account Holder of SDCB.

C. RESEARCH DESIGN

I am putting my research plan on the paper to make clear and transparent

investigation for above stated problem. This plan is as under: I am planning

to conduct the formal research within the time frame on summer training and

within SDCB‘s office hours. To justify my research question I am planning to

collect the relevant data from different sources like, SDCB‗s office record,

magazines, Business statistics books, relevant software and even from

different professionals.

I am planning to use primary data by questionnaire with the help of

communication study. To fill up the questionnaire I have decided to go with

simple random sampling. I am going to take 200 all types of account holders

of SDCB. Hence it should be clear that entire variable is in my control which

suggests experimental design.

My objective is to identify the problem which really makes impact to

other variables like services method, quality etc. I want to study the gap

between the perceived service of SDCB and expected service of account

holder of SDCB. Meaning is to analysis what is the factor which influence to

SDCB service? This objective is based on causal study.

The results and findings which I will derive from the end of this research it will

influence to all the population of SDCB. Hence my aim is to go with

statistical study. By reading up to here I should to clear that this research will

based on field condition.

D . C O L L E C T I O N O F D A T A

1 . P r i m a r y D a t a :

All the people from different profession were personally visited and

interviewed. They were being the main source of the primary data for

this research. The method of collection of primary data was direct

personal interview through structured questionnaire.

2. Secondary data:

It was collected from internal sources. The secondary data was collected on

the basis of SDCB‘s office file, office records, internet web sites and

newspapers. Also from reference book of research and business statistic,

magazine and last management preserved information.

E. SCOPE OF STUDY

The scope of the study is limited to Surat city and the study is undertaken

through Cluster Sampling Method.

F. SIGNIFICANCE OF THE STUDY

1. to the Reader:

Better understand the quality of any bank’s services:

This report is very help full to the entire individual including the SDCB‘s

accountholders is judge the any bank‘s services though important criteria pot

rat in this report. Any individual can easily clears their opinions and dilemma

of any bank‘s services.

2. to the management of SDCB:

Study will enable SDCB to better understand their Account Holders:

A thorough survey and interpretation will provide deep insights in to every

account holders‘ expectations and the SDCB will understand them in a better

way. SDCB can identify the grievance of their account holders and can

improve SDCB‘s drawbacks very easily to remove the prevailing grievance

easily.

Study will allow SDCB to design service method according to Account

Holders’ requirements:

To study this report, SDCB can do better management which favors to their

account holders. The Study will helps to the management of SDCB to improve

the Service standard as per all kind of account holders‘ expectation.

The Gap of Management perception and account holders‘ expectation

will become low by implementing this study.

3. to the researcher:

This project will clear the knowledge of various Bank services:

At the end of this project, my knowledge regarding bank services will

increases and even clear the banking service and methods.

It gives sufficient experience for conducting research methodology:

By completing the research on the mention dilemma, I as a fresh

researcher can get idea regarding how to do research. The methodology

and important criterion been known to me. This gives me better experience

regarding the research and implementation. In this way it helps me to

upgrading the skills of research in myself.

G. SAMPLE DESIGN AND SAMPLE SIZE

It was convenient for me to go with the sampling. This technique not only

busts the speed of data collection but also create accuracy of the result. I

have taken 200 as sample sizes of account Holders. To fill up the

questionnaire I have made a plan, in which I will divide 200 questionnaires

in the part of approx 20 for each branch of SDCB, to get the view of all branch

which situated at different location.

H. DATA COLLECTION INSTRUMENT

As I decided to collect data through Primary data collection, I have selectedth

e Simple Survey method for collection of Primary Data. In the Survey method,

I have selected Personal Survey for his data collection. For the collection of

required Primary data, I have prepared the Questionnaire, which is

enclosed at the end of the report. The Questionnaire includes quest ion

such as multiple choice questions. As per research design I have

decided to collect 200 all type of account holders of SDCB.

I . PROCESSING AND ANALYSING THE COLLECTION OF

DATA

When I complete my field survey, I processed the collected data and analyze

it in a systematic manner so that I can easily derive results from it. In order to

derive meaningful outcomes from data, I have formed the data in tables and

then use various Statistical tools and interpret the data as it is shown in the

chapter of findings and analysis of data.

Q.1 Account holders’ experience regarding SDCB’s internal ambiance:

Feel when you visited SDCB

Frequenc

y

Percent Valid

Percent

Cumulative

Percent

Good environment 85 42.5 42.5 42.5

Having personal

attention

60 30.0 30.0 72.5

Not attentive one 39 19.5 19.5 92.0

Unexpected negative

filling

16 8.0 8.0 100.0

Total 200 100.0 100.0

(Table: 1)

(Chart: 1)

Interpretation:

As seen in the above table, 47% account holders have grievance that the

Bank representatives are not giving individual attention to them which they

expected from the bank representatives. On other hand, only 10% Customer

are in fewer of the bank services. It‘s not given much attention to result which

derived from the Account Holder‘s survey. It shows the dark line to

management for their performance. There are only 25% account holders

42%

30%

20%

8%

Feel when visited SDCB

Good environment

Having personal attention

Not attentive one

Unexpected negative filling

which are satisfied with the services. Hence, management has to take very

rapid action to control this situation.

Q.2) Experience of Account Holders, when they approach for the any

kind of loan towards SDCB.

Procedure of getting Loan

Frequency Percent Valid Percent Cumulative

Percent

Flexible 41 20.5 20.5 20.5

Tedious 49 24.5 24.5 45.0

Depend on amount of

loan

80 40.0 40.0 85.0

Time consuming 30 15.0 15.0 100.0

Total 200 100.0 100.0

(Table: 2)

(Chart: 2)

Interpretation:

As seen in the above table, out of 200 accounts holder 30 has given negative

opinion which very problematic for bank because this may affect to the Bank

credit policy. 80 Account Holders has gives the diplomatic answers, which

shows the red signal to the management because they may shift to the

negative perception. 49 Account Holders has negative opinion for the credit

20.5 24.5

40

15

Flexible Tedious Depend on amountof loan

Time consuming

Procedure of getting Loan

Percent

policy. This shows that 15% Account Holders are not willing to approach to

bank for credit.

Q.3 How fast the Account holders’ problem has been solved:

Problem solved by Bank

Frequency Percent Valid

Percent

Cumulative

Percent

Immediately 10 5.0 5.0 5.0

Within 24 hours 59 29.5 29.5 34.5

Within 3-5 business days 115 57.5 57.5 92.0

More than 1 month 16 8.0 8.0 100.0

Total 200 100.0 100.0

(Table: 3)

(Chart: 3)

Interpretation:

Here, it is clearly seen that the solution for the account holder‘s problem is

very slow. This can become the reason for account holders‘ grievances for

5%

29%

58%

8%

Account Holder's solutions

Immediately

Within 24 hours

Within 3-5 business days

More than 1 month

dissatisfaction. If this process been revised, it will very beneficial for bank to

solve or to decrease the grievance‘s level which we have found in other

cases.

Q.4 Bank’s brand Image as internal design:

Internal layout of Bank


Percent

Well designed 81 40.5 40.5 40.5

convenient 66 33.0 33.0 73.5

Very crowed 29 14.5 14.5 88.0

Distinctive

image

24 12.0 12.0 100.0

Total 200 100.0 100.0

(Table: 4)

(Chart: 4)

Interpretation:

40%

33%

15%

12%

Internal layout of Bank

Well designed

Convenient

Very crowed

Distinctive image

In today‘s competitive market, bank sector has been created their own

distinguish brand image. As comparing the globalized market, SDCB‘s layout

and image has good in their account holders and other potential customer. As

the qualitative services, SDCB has to maintain on their layout to compare by

nationalized bank and other financial institutions.

Q.5 Satisfaction level of Account Holders toward the lending officers:

Particular Very

satisfied

Satisfied Neutral Dis-

Satisfied

Very

Dissatified

Friendly and

courteous manner

23 58 58 41 20

Knowledge of

bank's products &

service

29 65 71 16 19

Willingness to

listen and respond

to your need

14 51 66 21 48

Fast and efficient

service

21 44 61 24 50

Recognition of

you as valued

customer

46 64 52 16 18

Available to

customers when

needed

56 69 39 13 23

(Table: 5)

(Chart: 5.1)

(Chart: 5.2

)

12%

15%

8%

11% 24%

30%

Overall satisfaction

Friendly and courteousmanner

Knowledge of bank's products& service

Willingness to listen andrespond to your need

Fast and efficient service

Recognition of you as valuedcustomer

Available to customers whenneeded

0

10

20

30

40

50

60

70

80

Friendly and courteous mannerKnowledge of bank's products & serviceWillingness to listen and respond to your needFast and efficient serviceRecognition of you as valued customerAvailable to customers when needed

Very satisfied

Satisfied

Neutral

Dissatisfied

VeryDissatified

Interpretation:

As seen in1st pie chart, we can say that as compare to satisfactory level

dissatisfaction level is high in all the criteria of the analysis. Bank

representatives are not at all attentive towards their customers. They are not

proving as fast services as customer wants, that‘s why the customers have

highest dissatisfaction in this area. One positive outcome is that bank

representatives are regular in service, because we can see that highest

satisfaction level is here always available to customers when needed. All

over performance is very negative for SDCB bank, which shows red alert for

the management.

Q.6 How does bank’s representative gives response to you when you

required?

Bank gives response when customers required


Percent

Familiar

Supportive

44 22.0 22.0 22.0

56 28.0 28.0 50.0

Normal 78 39.0 39.0 89.0

Negative 22 11.0 11.0 100.0

Total 200 100.0 100.0

(Table: 6)

(Chart: 6)

Interpretation:

22%

28%

39%

11%

Bank given response to required customer

Familiar

Supportive

Normal

Negative

Q.7 Do you know gives Home services for any withdrawal or Deposit?

Give Withdrawal or Deposit for Home services


Percent

Yes 109 54.5 54.5 54.5

No 91 45.5 45.5 100.0

Total 200 100.0 100.0

(Table: 7)

(Chart: 7)

Interpretation:

80

85

90

95

100

105

110

115

Yes No

Bank gives withdrawal or deposit for home services

Frequency

Q.8 Do you required for SDCB’s Mutual Funds?

Required Mutual Funds


Percent

Yes 143 71.5 71.5 71.5

No 57 28.5 28.5 100.0

Total 200 100.0 100.0

(Table: 9)

(Chart: 9)

Interpretation:

71.5

28.5

0

10

20

30

40

50

60

70

80

Yes No

Required Mutual Funds

Q. 9 Do you require that SDCB’s provides the Locker Facility at all the

branches?

Locker Facility


Percent

Yes 172 86.0 86.0 86.0

No 28 14.0 14.0 100.0

Total 200 100.0 100.0

(Table:

10)

(Chart: 10)

Interpretation:

As seen in this graph it is identify that as per Account holder‘s requirement

bank has not provided locker facility. Bank has not fulfilled the demand of their

account holders. To facilitate their account holder bank should give locker

facility at every branch.

0

10

20

30

40

50

60

70

80

90

100

Yes No

Locker facility

Percent

Q.10 Satisfaction level towards branch facility:

Particular Very

satisfied

Satisfied Neutral Dissatisfied Very

Dissatified

Clean & well cared

facilities

47 64 45 20 24

Efficient, no wait

service

33 45 35 56 31

No long line ups

at counter

34

45 47 41 33

Availability of

information

brochures

18 89 48 18 27

Pleasant &

attractive décor

38 56 51 30 25

Automatic bank

machines in

convenient

locations

33 35 64 33 35

(Table: 11)

23%

32%

23%

10%

12%

Clean & well cared facilities

Very satisfied

Satisfied

Neutral

Dissatisfied

Very Dissatified

(Chart: 11.1)

Interpretation:

Bank has to improve their clean and well cared facility in such a way,

which shows only 10% Dissatisfaction. There should not any kind of

scope for any grievance because this factor affects a lot in the Account

holders mind negatively in indirect manner. Here 12% account Holders

are very dissatisfied. It is good those 32% account holders are satisfied

and 23% very satisfied with this careful ambiance.

(Chart:

11.2 & 11.3)

Interpretation:

Banking sector and time Management has a lot of direct connection. Hence, it

should be noted that there should not be any kind of waste of time at the

service delivery to own account holders. It is very unfair outcome which shows

that 25% account holders has rated as very dissatisfaction in terms of

effective service delivery without any wastage of time. Usually Account

Holders are running with short of time and analyses shows that only 6%

people are with full of satisfaction. Bank has to increase the ratio as soon as

possible by improve the staff efficiency and their availability.

17%

22%

23%

21%

17%

No long line ups at counter

Verysatisfied

Satisfied

Neutral

Dissatisfied

VeryDissatified

16%

22%

18%

28%

16%

Efficient, no wait service

VerysatisfiedSatisfied

Neutral

DissatisfiedVeryDissatified

(Chart: 11.4)

Interpretation:

This finding is comparatively better than others. Availability of information as

brochures is very important for well communication to own account holders.

Here, 11% account holders are very satisfied with the level of this facility and

62% people are satisfied. Bank has to try a little best to remove the

dissatisfaction level of account holders by improving a standard and medium

of Communication. It should not be ignored that there is 8% account holders

who has rated as highly dissatisfied.

0

10

20

30

40

50

60

70

80

90

100

Verysatisfied

Satisfied Neutral Dissatisfied VeryDissatified

Availability of information brochures

(Chart: 11.5)

Interpretation:

In today‘s environment it is too important to serve your account holders the

services physically as well as emotionally. Here, analysis shows that only

19% account Holders are fully satisfied with the pleasant & attractive décor.

15% customers are dissatisfied with the internal layout and facilitative design.

As seen above 13% account holders are full of dissatisfaction with this factor.

Management of SDCB has to put the focus on the interior design of the bank

and their different branches. To overcome this barrier, SDCB should definitely

improve their layout and convert the neutral customer in satisfied one.

19%

28%

25%

15%

13%

Pleasant & attractive décor

Very satisfied

Satisfied

Neutral

Dissatisfied

Very Dissatified

(Chart: 11.6)

Interpretation:

Hence, the result is in front of us that 27% Account holders are very

dissatisfaction with the location of the ATM. The 12 ATM machine are located

on site but there are not any off site machine available to facilitate the account

holders. Hence, 35% account holders are satisfied. So, this outcome is very

disappointing for bank management.

33

35

64

33

35

0 10 20 30 40 50 60 70

Very satisfied

Satisfied

Neutral

Dissatisfied

Very Dissatified

Automatic bank machines in convenient locations

Q.11 Account holders’ expectations from their Bank for giving on

line service:

Age of Respondent (%)

Respondent Up to 30 30 to 40 40 to 50 50 to 60 60 above

Completely

trust

46 41 37 21 2

Somewhat 28 32 24 35 29

Dubious 12 10 8 16 20

Not at all 14 17 31 28 51

(Table: 12)

(Chart: 12)

Interpretation:

As per analysis, I can say that the respondent whose age is up to 30, that

have high trust on the online banking but as age increases the level of trust

has been decreased. The level of in acceptance the online service has been

increased as age increases. Dubious for online services has been increase

tremendously after the age of 40. Here, we can see that at the earlier age,

dubious is again high for online service. Filling of uncertainty is going up and

0

10

20

30

40

50

60

Up to 30 30 to 40 40 to 50 50 to 60 60 above

Bank given online service

Completelytrust

Somewhat

Dubious

Not at all

down at all the age but lowest uncertainty has been found at again the age

of 40 and highest level is at the age of 50.

Dubious for online services has been increase tremendously after the age of

40. Here, we can see that at the earlier age, dubious is again high for online

service.

Filling of uncertainty is going up and down at all the age but lowest uncertainty

has been found as again the age of 40 and highest level is at the age of 50.

Parametric Test:

Ho = There is no significance relationship between age group and

respondent preference.

Answer: (ANNOVA TEST)

Respondent Age of Respondent (%)

Up to

30

30 to

40

40 to

50

50 to

60

60

above

Total

Completely

trust

46 41 37 21 2 147

Somewhat 28 32 24 35 29 148

Dubious 12 10 8 16 20 66

Not at all 14 17 31 28 51 141

C.F = (502)2

20

=252004

20

= 12600

SSBR = (47)2 + (145)2 + (66)2 + (141)2

5 5 5 5

= 4321.8+4205+871.2+3976.2

=13374.2-12600

=774.2

SST=[2116+1681+1369+441+4+784+1024+576+1225+841+144+100+64+25

6+400+196+289+961+784+2601]-[12600]

=15836-12600

=3236

Annova Table

Source Sum sequence DOF Mean sequence F

Between row 774.2 3 259.06

2.09 Residual 2461.8 20 123.09

Total 3236 23 3 F cal

Significance level: 5

DOF [High 20] = 123.09

[Low 3] = 258.06

F tab =F cal

There is no significant relationship between age group and respondent

preference, so

Ho = Hypothesis should be rejected.

Q.12 Mention your feelings regarding over all services quality of you

SDCB’s Bank.

Overall Service Quality


Percent

Excellent 30 15.0 15.0 15.0

Very good 88 44.0 44.0 59.0

Average 82 41.0 41.0 100.0

Total 200 100.0 100.0

(Table: 13)

(Chart: 13)

Interpretation:

30

88 82

Excellent Very good Average

Overall service quality

Frequency

Q.13 Account holders’ knowledge regarding various services of bank.

Particula

r

E-

Bankin

g

ATM

service

s

M-

Bankin

g

Insuranc

e

Locker

s

Stamp

Frankin

g

Male 46 46 62 14 13 12

Female 28 50 21 10 30 0

Total 74 96 83 24 43 12

(Table: 14)

(Chart: 14)

Interpretation:

Surat co-op. bank has been failed to spread the knowledge regarding the

Stamp Franking, insurance facility and locker facility. The Account Holders are

not much aware regarding those facilities which have been provided by the

bank. The lowest and shocking result is that only 4% Account Holders knows

about Stamp Franking. And in the case of female candidate 0% awareness

are counted. Knowledge of ATM services sis highest in Account holders.

0

20

40

60

80

100

120

E-Banking ATMservices

M-Banking

Insurance Lockers StampFranking

Account holders knowledge regarding various bank services

Male

Female

Total

A. RESULT AND FINDINGS

From research study on “Analyze the Surat co-operative Bank ltd’s

service perception and expectation of Account holders” following findings

has been acquired:

1. As per analysis on the Bank décor and pleasant environment, Bank has

convenient and good design. Hence 84% of Account Holders are satisfied

with this regarded.

2. The methodology of loan process is based on the amount of loan. Hence,

the output suggests that the account holders, who wants negligible amount of

loan, are ignored.

3. From the female candidate, I have found that they have not much

knowledge of different bank services as compare to male account holder.

4. When account holder does procedure for sanctioning the loan, I have found

the following:

A. 65% Account holder are satisfied with friendly courteous services.

B.45% Account holders are satisfied with knowledge of bank‘s products &

services.

C. 40% Account holders are satisfied with willingness to listen and respond to

account holders need.

5. When accountholders goes to the bank for solution of the query, 45%

account holder‘s problems are solved immediately, problem solving procedure

is fast.

6. Bank‘s internal layout is a very convenient.

7. There have also locker and its free of cost.

8. Overall satisfaction level is good as per the account holders. Services like

clean and well cared environment, effective services, line ups at counter,

attractive décor are considered for the satisfaction level.

B. Limitation of the study

Time Restriction

The foremost limitation is Time Restriction. Time provided to carry out entire

Project Report is less. So as a result I as a researcher am not able to take

more sample size.

Improper response from Respondents

Some time respondents are in hurry. As a result they give response without

applying proper though. As far as multiple choice questions are concerned,

respondents sometimes tick mark any option without proper attention.

Unwillingness of Respondents

Unwillingness of respondents in filling up the questionnaire is another big

limitation. This unwillingness comes out due to lack of time with respondents.

Possibility of wrong interpretation and unreliable results

As mentioned earlier, respondents sometimes give improper response. My

study is purely based on the views expressed by respondents. So it is likely

that my study will not give so accurate and reliable results.

C. Conclusion

The Banking sector in India is undergoing major changes due to competition

and the advent of technology. The customer is looking for better quality and

services which can provide him / her with satisfaction. This would help in

enhancing the relationship between the two, and thus aid decision makers in

bank to identify the major factors that determine satisfaction. But it should be

noted that satisfaction is one of key point for the identifying the difference

between perceptions of Surat Dist. co-op. Bank services which they deliver to

their account holders and expectation of the services from bank and their

representatives.

In the analysis, I can conclude that SDCB has to give equal importance to

their services and their lockout. Today‘s competitive world it is too impotent

that how someone is server them self. This criterion also plays a vital positive

role in the mind of their account holders. It was identified that SDCB‘s account

holders are not fully satisfied with the lockout of the bank ambiance.

Overall, SDCB is doing progress and at growth stage, so this analysis

defiantly helps to the management for better direction.

D. Suggestions

Creative suggestions always give benefit to the organization in one or another

way. From the study of – “Analysis the Surat Dist co-operative Bank ltd’s

services perception and expectation of Account holders” and from

findings and data interpretation, researcher wants to suggest following

matters:

Surat District Co-Operative Bank Ltd (SDCB) has less brand awareness in the

service sector in Surat city so if SDCB can create good brand awareness in

the sector, then it can have significant number of satisfied account holders.

SDCB should give more priority to those respondents who even apply for

negligible credit. Importance of those respondents should be same as those

who have applied for significant amount of credit.

SDCB has open locker at each branch because there is huge demand for

locker facility in market and bank is failed to fulfill that demand..

SDCB has to solve the account holder‘s problems within 2 to 4 working days

because most of the respondent has shared a negative opinion.

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Black, Ken. Business Statistics. Wiley-India, 2010.

http://fic.wharton.upenn.edu/fic/papers/97/zenios.pdf. n.d.

http://siteresources.worldbank.org/southasiaext/resources/223546126962045

5636/6907251284569649355/completereportsarhousingfinanceoctober2010.pdf .

n.d.

http://www.africagrowth.com/july08bankservices.pdf. n.d.

Http://www.competitionmaster.com/articledetail.aspx?ID=41e9ef66-3271- 418d-b344-

09f76d6f59a1. n.d.

http://www.dss.dpem.tuc.gr/pdf/Customer%20satisfaction%20measurement%20in%20the

%20private%20bank%20sector.pdf. n.d.

Http://www.justassociates.org/Global%20Economy%20Definitions.pdf . n.d.

http://www.publishingindia.com/Uploads/SampleArticles/NJRIM-Sample- Article.pdf. n.d.

Rubin, Richard L Levin / David. Business For Management. Pearson Education, 2010.

Schindler, Donald r cooper & Pamela S. Business research 7 Pamela S Achinler. McGraw-hill,

2010.

ANNEXURE QUESTIONNAIRE

The Surat District co-operative Bank ltd Declaration: This questionnaire has been prepared for the purpose of the research work. Hence, all the information which been ask to you are treated as confidential and it will not been use other than this. This form will be help full to me for project work and hence it is very important for me. So, it is request that you please fill this form sincerely and with full of attention. So, that it‘s gives real scenario of their study.

Account: Holders‘ Name:

Ph.no: Occupation:

Gender: M F Age: Q.1 when you visit a Surat co-op Bank, how you feel?

Good Environment

Having personal attention

Not attentive one

Unexpected negative filling Q.2 what you feel about the procedure of getting loan which the Bank follows?

Flexible

Tedious

Depend on amount on loan

Time consuming

Q.3 How quickly were your banking problems and issues addressed by the staff?

Immediately

Within 24 hours

Within 3-5 business days

More than 1 month Q.4 How you feel about your Bank‘s internal layout?

Well designed

Convenient

Very crowed

Distinctive image

Q.5 In terms of the service you received from the lending officer(s), how

satisfied were you with the following?

Particular very satisfied

Satisfied Neutral Dissatisfied Very Dissatified

Friendly and courteous manner

Knowledge of bank's products & service

Willingness to listen and respond to your need

Fast and efficient service

Recognition of you as valued customer

Available to customers when needed

Q.6 How does bank‘s representative gives response to you when you required?

Familiar

Supportive

Normal

Negative Q.7 Do you know gives Home services for any withdrawal or Deposit?

Yes

No

Q.8 SDCB‘s ATM locations are convenient for you to get easy operation?

Yes

No

Q.9 Do you required for SDCB‘s Mutual Funds?

Yes

No

Q.10 Do you require that SDCB‘s provides the Locker Facility at all the branches?

Yes

No

Q.11 How satisfied were you with the following aspects of the branch facility?

Particular very satisfied

Satisfied Neutral Dissatisfied Very Dissatified

Clean & well cared facilities

Efficient, no wait service

No long line ups at counter

Availability of information brochures

Pleasant & attractive décor

Automatic bank machines in convenient locations

Q.12 Do you trust, if SDCB‘s operates only online?

Completely

Somewhat

Dubious

Not at all Q.13 Mention your feelings regarding over all services quality of you SDCB‘s Bank.

Excellent

Very good

Average

Poor

Q.14 How many services you know bank has provide to their customer?

E- Banking

ATM service

M-Banking

Insurance

Lockers

Stamp

I am very thankful to you for your corporation.

Thank you

The Surat Dist. Co-Op Bank

Documents

Transcript of The Surat Dist. Co-Op Bank