Summer Project Report on

“Customer Satisfaction and performance of J&K Bank Ltd. In

Uri (Baramulla).”

Project submitted to Lloyd Institute of Management and Technology Greater Noida, in

partial fulfillment for the award of Masters of Business Administration of Uttar

Pradesh Technical University Lucknow Uttar Pradesh

Project Guide Submitted by

Mr.Rajul Gupta Amir Bashir Qureshi

Professor (LIMT) 1317270008

LLOYD INSTITUTE OF MANAGEMENT AND TECHNOLOGY

Knowledge Park II, Plot no - 11, Greater Noida-U.P

ACKNOWLEDGEMENT

First of all I would like to express our gratitude to Almighty Allah who bestowed his blessings on

me and gave me the courage and right type of environment for completion of my project. I owe a deep

a deep sense of indebtedness to my Parents who had always been a perennial source of inspiration for

me.

I am very thankful to my corporate project guide Mr. Manzoor Ahmad (Branch Head), for

providing proper direction in completing my project for sparing their valuable time and rendering all

possible guidance whenever approached.

I express my gratitude to my Director Dr.Kanak Lata Mam and other Faculty members at Lloyd

Institute of Management and Technology, Greater Noida who provided me with this opportunity

to have my project work with J&K Bank Ltd.

Amir Bashir Qureshi

Place : Srinagar Lloyd Institute of Management and Technology

Greater Noida

DECLARATION BY THE STUDENT

I Hereby declare the project Titled “Customer Satisfaction and performance of J&K

Bank Ltd. In Uri (Baramulla)” b ased on the o r igina l work ca rr ied out

by me under the supervision of Project Guide Mr. Manzoor

Ahmad(Branch Head) &Co-Guide Mr.Rajul Gupta Prof.(LIMT) is an

original and bonafide work carried out in partial fulfillment of the requirement of the

award of the degree of Master of Business Administration from Uttar Pradesh

Technical University. This is my original work and not submitted for any other

diploma, fellowship, award or prizes. This is my sole effort.

Amir Bashir Qureshi

Place: Srinagar Lloyd Institute of Management and Technology

Greater Noida

CONTENTS OF THE PROJECT

Topic Page No.

Objectives of study

Executive Summary

Introduction

Indian Banking System

Industry Profile

History of Indian Banking

Company Profile

Awards

Chairman’s Statement

Customer Satisfaction and its different Scenarios Preface

Financial Inclusion in J&K Bank

Literature Review

Research Methodology

Data Analysis

Findings of Research

Suggestions & Recommendations

Questionnaire

Bibliography

OBJECTIVESS OF STUDY

To collect and evaluate ideas/views and expectations of the internal customers for the

improvement in performance.

To find out the most prominent area of dissatisfaction.

To measure the overall levels of satisfaction of banking customers.

EXECUTIVE SUMMARY

This project report is based on the survey conducted, for the completion of internship

program in Jammu & Kashmir Bank Ltd. The project is titled as:

“Customer Satisfaction and performance of J&K Bank Ltd. In Uri (Baramulla).”

The survey was completed over a period of two months. A questionnaire was prepared,

and door to door survey was conducted especially in the areas like Sultandaki, Gharkot,

Nambla, Dwaran, Salamabad (Dachina), Bijhama, Bagna Noorkhah, Gingal, Nowshera and

other areas Encompassed by the Bank which subsequently, was used as an effective tool for

getting information from the respondents.

Customer satisfaction and service quality are often treated together as functions of

customer’s perceptions and expectations and research has shown that high service quality

contribute significantly to profitability.

The main jest of the Study was concentrated on the Customer Satisfaction and how much a

customer prefers J&K Bank over other Banks.The data obtained during this survey was

tabulated and thoroughly analyzed.

INTRODUCTION

According to Oxford English Dictionary, Bank is, “An establishment for custody of money

received from or on behalf of, its customers. Its essential duty is the payment of the orders

given on it by the customers, its profit mainly from the investment of money left unused by

them”. Banking Regulation Act, 1949 (Sec. 5(c)), has defined the banking company as,

“Banking Company means any company which transacts business of banking in India”.

According to Section 5B, “banking means the accepting of deposit of money from the public

for the purpose of leading or investment, which are repayable on demand or otherwise and

are withdraw able by cheque, draft, and order or otherwise.”

Banking in India has its origin as carry as the Vedic period. It is believed that the transition

from money lending to banking must have occurred even before Manu, the great Hindu jurist,

who has devoted a section of his work to deposits and advances and laid down rules relating

to the interest. During the Mughal period, the indigenous bankers played a very important

role in lending money and financing foreign trade and commerce. During the days of East

India Company, it was to turn of the agency houses top carry on the banking business. The

general bank of India was the first joint stock bank to be established in the year 1786.The

others which followed were the Bank of Hindustan and the Bengal Bank. The Bank of

Hindustan is reported to have continued till 1906, while the other two failed in the meantime.

In the first half of the 19th Century the East India Company established three banks; The

Bank of Bengal in 1809, The Bank of Bombay in 1840 and The Bank of Madras in

1843.These three banks also known as presidency banks and were independent units and

functioned well. These three banks were amalgamated in 1920 and The Imperial Bank of

India was established on the 27th Jan 1921, with the passing of the SBI Act in 1955, the

undertaking of The Imperial Bank of India was taken over by the newly constituted SBI. The

Reserve Bank which is the Central Bank was created in 1935 by passing of RBI Act 1934, in

the wake of Swadeshi movement, a number of banks with Indian Management were

established in the country namely Punjab National Bank Ltd, Bank of India Ltd, Canara Bank

Ltd, Indian Bank Ltd, The Bank of Baroda Ltd, The Central Bank of India Ltd .On July 19th

1969, 14 Major Banks of the country were nationalized and in 15th April 1980 six more

commercial private sector banks were also taken over by the government. The Indian

Banking industry, which is governed by the Banking Regulation Act of India 1949, can be

broadly classified into two major categories, non-scheduled banks and scheduled banks.

Scheduled Banks comprise commercial banks and the co-operative banks. The first phase of

financial reforms resulted in the nationalization of 14 major banks in 1969 and resulted in a

shift from class banking to mass banking. This in turn resulted in the significant growth in the

geographical coverage of banks. Every bank had to earmark a min percentage of their loan

portfolio to sectors identified as “priority sectors” the manufacturing sector also grew during

the 1970’s in protected environments and the banking sector was a critical source. The next

wave of reforms saw the nationalization of 6 more commercial banks in 1980 since then the

number of scheduled commercial banks increased four- fold and the number of bank

branches increased to eight fold. After the second phase of financial sector reforms and

liberalization of the sector in the early nineties. The PSB’s found it extremely difficult to

complete with the new private sector banks and the foreign banks. The new private sector

first made their appearance after the guidelines permitting them were issued in January 1993.

THE INDIAN BANKING SYSTEM

Banking in our country is already witnessing the sea changes as the banking sector seeks

new technology and its applications. The best port is that the benefits are beginning to reach

the masses. Earlier this domain was the preserve of very few organizations. Foreign banks

with heavy investments in technology started giving some “Out of the world” customer

services. But, such services were available only to selected few- the very large account

holders. Then came the liberalization and with it a multitude of private banks, a large

segment of the urban population now requires minimal time and space for its banking needs.

Automated teller machines or popularly known as ATM are the three alphabets that have

changed the concept of banking like nothing before. Instead of tellers handling your own

cash, today there are efficient machines that don’t talk but just dispense cash. Under the

Reserve Bank of India Act 1934, banks are classified as scheduled banks and nonscheduled

banks. The scheduled banks are those, which are entered in the Second Schedule of RBI Act,

1934. Such banks are those, which have paid- up capital and reserves of an aggregate value of

not less then Rs.5 lacs and which satisfy RBI that their affairs are carried out in the interest of

their depositors. All commercial banks Indian and Foreign, regional rural banks and state co-

operative banks are Scheduled banks. Non Scheduled banks are those, which have not been

included in the Second Schedule of the RBI Act, 1934. The organized banking system in

India can be broadly classified into three categories: (i) Commercial Banks (ii) Regional

Rural Banks and (iii) Co-operative banks. The Reserve Bank of India is the supreme

monetary and banking authority in the country and has the responsibility to control the

banking system in the country. It keeps the reserves of all commercial banks and hence is

known as the “Reserve Bank”. Current scenario:- Currently (2007), the overall banking in

India is considered as fairly mature in terms of supply, product range and reach - even though

reach in rural India still remains a challenge for the private sector and foreign banks. Even in

terms of quality of assets and Capital adequacy, Indian banks are considered to have clean,

strong and transparent balance sheets - as compared to other banks in comparable economies

in its region. The Reserve Bank of India is an autonomous body, with minimal pressure from

the government with the growth in the Indian economy expected to be strong for quite some

time especially in its services sector, the demand for banking services especially retail

banking, mortgages and investment services are expected to be strong. Mergers &

Acquisitions., takeovers, are much more in action in India. One of the classical economic

functions of the banking industry that has remained virtually unchanged over the centuries is

lending. On the one hand, competition has had considerable adverse impact on the margins,

which lenders have enjoyed, but on the other hand technology has to some extent reduced the

cost of delivery of various products and services. Bank is a financial institution that borrows

money from the public and lends money to the public for productive purposes. The Indian

Banking Regulation Act of 1949 defines the term Banking Company as "Any company which

transacts banking business in India" and the term banking as "Accepting for the purpose of

lending all investment of deposits, of money from the public, repayable on demand or

otherwise and withdrawal by cheque, draft or otherwise".

Banks play important role in economic development of a country, like:

Banks mobilize the small savings of the people and make them available for productive

purposes.

Promotes the habit of savings among the people thereby offering attractive rates of

interests on their deposits.

Provides safety and security to the surplus money of the depositors and as well provides a

convenient and economical method of payment.

Banks provide convenient means of transfer of fund from one place to another.

Helps the movement of capital from regions where it is not very useful to regions where it

can be more useful. Banks advances exposure in trade and commerce, industry and

agriculture by knowing their financial requirements and prospects.

Bank acts as an intermediary between the depositors and the investors.

Bank also acts as mediator between exporter and importer who does foreign trades. Thus

Indian banking has come from a long way from being a sleepy business institution to a highly

pro-active and dynamic entity. This transformation has been largely brought about by the

large dose of liberalization and economic reforms that allowed banks to explore new business

opportunities rather than generating revenues from conventional streams (i.e. borrowing and

lending). The banking in India is highly fragmented with 30 banking units contributing to

almost 50% of deposits and 60% of advances.

Banking is nothing but a service. The development of banking sector has been closely

associated with money changing in ancient days. The earliest banks of Italy where the name

began were private companies that made & floated loans for the government. Banking made

its first starting point in the middle of 12th century in Italy as public sectors. The Bank of

Venice was the first known public banking institution founded in 1157, and then the Bank of

Barcelona and bank of Geneva were established in 1401 & 1447 respectively. Therefore,

Bank of Amsterdam was established in 17th century where Adam smith elaborately described

the functions of the bank. It received both foreign coins & Domestic coins of the country at

intrinsic value of the gold standard money of the country. The gold smiths assumed

prominence around the middle of the 17th century after the service of King Charles gold

hold’s that were kept under the famous tower of London. The gold smith business however

suffered a great set back due to ill treatment by King Charles – II. The banker ancestors are

the money lenders and gold smith’s lending and borrowing are almost as old as money itself.

Without a sound and effective banking system in India it cannot have a healthy economy. The

banking system of India should not only be hassle free but it should be able to meet new

challenges posed by the technology and any other external and internal factors. For the past

three decades India's banking system has several outstanding achievements to its credit. The

most striking is its extensive reach. It is no longer confined to only metropolitans or

cosmopolitans in India. In fact, Indian banking system has reached even to the remote corners

of the country. This is one of the main reasons of India's growth process. The government's

regular policy for Indian bank since 1969 has paid rich dividends with the nationalization of

14 major private banks of India. Not long ago, an account holder had to wait for hours at the

bank counters for getting a draft or for withdrawing his own money. Today, he has a choice.

Gone are days when the most efficient bank transferred money from one branch to other in

two days. Now it is simple as instant messaging or dials a pizza. Money has become the order

of the day. The first bank in India, though conservative, was established in 1786. From 1786

till today, the journey of Indian Banking System can be segregated into three distinct phases

Early phase from 1786 to 1969 of Indian Banks

Nationalization of Indian Banks and up to 1991 prior to Indian banking sector Reforms.

New phase of Indian Banking System with the advent of Indian Financial & Banking

Sector Reforms after 1991.

INDUSTRY PROFILE

The banking section will navigate through all the aspects of the Banking System in India. It

will discuss upon the matters with the birth of the banking concept in the country to new

players adding their names in the industry in coming few years. The banker of all banks,

Reserve Bank of India (RBI), the Indian Banks Association (IBA) and top 20 banks like

IDBI, HSBC, ICICI, ABN AMRO, etc. has been well defined under three separate heads with

one page dedicated to each bank. However, in the introduction part of the entire banking

cosmos, the past has been well explained under three different heads namely:

· History of Banking in India

· Nationalization of Banks in India

· Scheduled Commercial Banks in India

The first deals with the history part since the dawn of banking system in India.

Government took major step in the 1969 to put the banking sector into systems and it

nationalized 14 private banks in the mentioned year. This has been elaborated in

Nationalization Banks in India. The last but not the least explains about the scheduled and

unscheduled banks in India. Section 42 (6) (a) of RBI Act 1934 lays down the condition of

scheduled commercial banks. The description along with a list of scheduled commercial

banks is given on this page.

HISTORY OF BANKING IN INDIA

Without a sound and effective banking system in India it cannot have a healthy economy.

The banking system of India should not only be hassle free but it should be able to meet new

challenges posed by the technology and any other external and internal factors. For the past

three decades India's banking system has several outstanding achievements to its credit. The

most striking is its extensive reach. It is no longer confined to only metropolitans or

cosmopolitans in India. In fact, Indian banking system has reached even to the remote corners

of the country. This is one of the main reasons of India's growth process. The government's

regular policy for Indian bank since 1969 has paid rich dividends with the nationalization of

14 major private banks of India. Not long ago, an account holder had to wait for hours at the

bank counters for getting a draft or for withdrawing his own money. Today, he has a choice.

Gone are days when the most efficient bank transferred money from one branch to other in

two days. Now it is simple as instant messaging or dials a pizza. Money has become the order

of the day. The first bank in India, though conservative, was established in 1786. From 1786

till today, the journey of Indian Banking System can be segregated into three distinct phases.

They are as mentioned below:

· Early phase from 1786 to 1969 of Indian Banks

· Nationalization of Indian Banks and up to 1991 prior to Indian banking sector Reforms.

· New phase of Indian Banking System with the advent of Indian Financial & Banking Sector

Reforms after 1991.

To make this write-up more explanatory, I prefix the scenario as Phase I, Phase II and

Phase III.

Phase I

The General Bank of India was set up in the year 1786. Next came Bank of Hindustan and

Bengal Bank. The East India Company established Bank of Bengal (1809), Bank of Bombay

(1840) and Bank of Madras (1843) as independent units and called it Presidency Banks.

These three banks were amalgamated in 1920 and Imperial Bank of India was established

which started as private shareholders banks, mostly Europeans shareholders. In 1865

Allahabad Bank was established and first time exclusively by Indians, Punjab National Bank

Ltd. was set up in 1894 with headquarters at Lahore. Between 1906 and 1913, Bank of India,

Central Bank of India, Bank of Baroda, Canara Bank, Indian Bank, and Bank of Mysore were

set up. Reserve Bank of India came in 1935. During the first phase the growth was very slow

and banks also experienced periodic failures between 1913 and 1948. There were

approximately 1100 banks, mostly small. To streamline the functioning and activities of

commercial banks, the Government of India came up with The Banking Companies Act,

1949 which was later changed to Banking Regulation Act 1949 as per amending Act of 1965

(Act No. 23 of 1965). Reserve Bank of India was vested with extensive powers for the

supervision of banking in India as the Central Banking Authority. During those day’s public

has lesser confidence in the banks. As an aftermath deposit mobilization was slow. Abreast of

it the savings bank facility provided by the Postal department was comparatively safer.

Moreover, funds were largely given to traders.

Phase II

Government took major steps in this Indian Banking Sector Reform after independence. In

1955, it nationalized Imperial Bank of India with extensive banking facilities on a large scale

especially in rural and semi-urban areas. It formed State Bank of India to act as the principal

agent of RBI and to handle banking transactions of the Union and State Governments all over

the country. Seven banks forming subsidiary of State Bank of India was nationalized in 1960

on 19th July, 1969, major process of nationalization was carried out. It was the effort of the

then Prime Minister of India, Mrs. Indira Gandhi. 14 major commercial banks in the country

were nationalized. Second phase of nationalization Indian Banking Sector Reform was

carried out in 1980 with seven more banks. This step brought 80% of the banking segment in

India under Government ownership.

The following are the steps taken by the Government of India to

Regulate Banking Institutions in the Country:

· 1949: Enactment of Banking Regulation Act.

· 1955: Nationalization of State Bank of India.

· 1959: Nationalization of SBI subsidiaries.

· 1961: Insurance cover extended to deposits.

· 1969: Nationalization of 14 major banks.

· 1971: Creation of credit guarantee corporation.

· 1975: Creation of regional rural banks.

· 1980: Nationalization of seven banks with deposits over 200 crore.

After the nationalization of banks, the branches of the public sector bank India rose to

approximately 800% in deposits and advances took a huge jump by 11,000%. Banking in the

sunshine of Government ownership gave the public implicit faith and immense confidence

about the sustainability of these institutions.

Phase III

This phase has introduced many more products and facilities in the banking sector in its

reforms measure. In 1991, under the chairmanship of M Narasimham, a committee was set up

by his name which worked for the liberalisation of banking practices. The country is flooded

with foreign banks and their ATM stations. Efforts are being put to give a satisfactory service

to customers. Phone banking and net banking is introduced. The entire system became more

convenient and swift. Time is given more importance than money. The financial system of

India has shown a great deal of resilience. It is sheltered from any crisis triggered by any

external macroeconomics shock as other East Asian Countries suffered. This is all due to a

flexible exchange rate regime, the foreign reserves are high, the capital account is not yet

fully convertible, and banks and their customers

have limited foreign exchange exposure.

SCHEDULED COMMERCIAL BANKS IN INDIA

The commercial banking structure in India consists of:

· Scheduled Commercial Banks in India

· Unscheduled Banks in India

Scheduled Banks in India constitute those banks which have been included in the Second

Schedule of Reserve Bank of India (RBI) Act, 1934. RBI in turn includes only those banks in

this schedule which satisfy the criteria laid down vide section 42 (6) (a) of the Act. As on

30th June, 1999, there were 300 scheduled banks in India having a total network of 64,918

branches. The scheduled commercial banks in India comprise of State bank of India and

its associates (8), nationalized banks (19), foreign banks (45), private sector banks (32), co-

operative banks and regional rural banks. "Scheduled banks in India" means the State Bank of

India constituted under the State Bank of India Act, 1955 (23 of 1955), a subsidiary bank as

defined in the State Bank of India (Subsidiary Banks) Act, 1959 (38 of 1959), a

corresponding new bank constituted under section 3 of the Banking Companies (Acquisition

and Transfer of Undertakings) Act, 1970 (5 of 1970), or under section 3 of the Banking

Companies (Acquisition and Transfer of Undertakings) Act, 1980 (40 of 1980), or any other

bank being a bank included in the Second Schedule to the Reserve Bank of India Act, 1934

(2 of 1934), but does not include a co-operative bank". "Non-scheduled bank in India" means

a banking company as defined in clause (c) of section 5 of the Banking Regulation Act, 1949

(10 of 1949), which is not a scheduled bank".

The following are the Scheduled Banks in India (Public Sector):

· State Bank of India

· State Bank of Bikaner and Jaipur

· State Bank of Hyderabad

· State Bank of Indore

· State Bank of Mysore

· State Bank of Saurashtra

· State Bank of Travancore

· Andhra Bank

· Allahabad Bank

· Bank of Baroda

· Bank of India

· Bank of Maharashtra

· Canara Bank

· Central Bank of India

· Corporation Bank

· Dena Bank

· Indian Overseas Bank

· Indian Bank

· Oriental Bank of Commerce

· Punjab National Bank

· Punjab and Sind Bank

· Syndicate Bank

· Union Bank of India

· United Bank of India

· UCO Bank

· Vijaya Bank

The following are the Scheduled Banks in India (Private Sector):

· ING Vysya Bank Ltd

· Axis Bank Ltd

· Indusind Bank Ltd

· ICICI Bank Ltd

· South Indian Bank

- The Jammu & Kashmir Bank Ltd.

· HDFC Bank Ltd

· Centurion Bank Ltd

· Bank of Punjab Ltd

· IDBI Bank Ltd

The following are the Scheduled Foreign Banks in India:

· American Express Bank Ltd.

· ANZ Gridlays Bank Plc.

· Bank of America NT & SA

· Bank of Tokyo Ltd.

· Barclays Bank Plc

.CITI Bank N.C.

· Deutsche Bank A.G.

· Hongkong and Shanghai Banking Corporation

· Standard Chartered Bank.

· The Chase Manhattan Bank Ltd.

· Dresdner Bank AG.

COMPANY PROFILE

Historical Back Ground of J & K Bank

J&K Bank functions as a universal bank in Jammu & Kashmir and as a specialized bank in

other parts of India. It is the sole banker carrying out banking business on behalf of the

Central Government, besides collecting central taxes for the Central Board of Direct Taxes.

J&K Bank follows a multi-pronged business approach. It augments lending in the home state

with the aim of enhancing margins, despite modest volumes. On the same note, the Bank

endeavors to capture niche lending opportunities pan-India to multiply volumes and improve

margins. J&K Bank operates on the principle of 'social empowerment of banking' as it seeks

to deliver innovative financial solutions for households and SMEs

The Jammu & Kashmir Bank was founded on October 1, 1938 under letters patent issued

by the Maharaja of Kashmir, Hari Singh. The Maharaja invited eminent Kashmiri investors to

become founding directors and shareholders of the bank, the most notable of which were

Abdul Aziz Mantoo, Pesten Gee and the Bhaghat Family, all of whom acquired major

shareholdings. The Bank commenced business on July 4, 1939 and was considered the first of

its nature and composition as a State owned bank in the country. The Bank was established as

a semi-State Bank with participation in capital by State and the public under the control of

State Government. The bank had to face serious problems at the time of independence when

out of its total of ten branches two branches of Muzaffarabad, Rawalakot and Mirpur fell to

the other side of the line of control (now POK) along with cash and other assets. Following

the extension of Central laws to the state of Jammu & Kashmir, the bank was defined as a

government company as per the provisions of Indian companies act 1956.The Jammu &

Kashmir Bank is considered as one of the fastest growing banks in India with a network of

more than 500 branches/offices spread across the country offering world class banking

products/services to its customers. Today, the Bank has a status of value driven organization

and is always working towards building trust with shareholders, customers, borrowers,

regulators, employees and other diverse stakeholders, for which it has adopted a strategy

directed to developing a sound foundation of relationship and trust aimed at achieving

excellence, which of course, comes from the womb of good corporate governance. Good

governance is a source of competitive advantage and a critical input for achieving excellence

in all pursuits. J&K Bank considers good corporate governance as the sine qua non of a good

banking system and has adopted a policy based on all the four pillars of good governance–

transparency, disclosures, accountability and value.

It was in the year 1971 that Jammu and Kashmir Bank was granted the status of a

'Scheduled Bank'. Five years later, it was declared as "A" Class Bank, by the Reserve Bank of

India (RBI). As the years passed on, the bank started achieving more and more success. It

was only recently that Jammu and Kashmir Bank became a billion dollar company. Governed

by the Companies Act and Banking Regulation Act of India, it is regulated by RBI and SEBI.

It finds a listing on the National Stock Exchange.

VISION

“To catalyze economic transformation and capitalize on growth.”

Our vision is to engender and catalyze economic transformation of Jammu and Kashmir

and capitalize from the growth induced financial prosperity thus engineered. The Bank

aspires to make Jammu and Kashmir the most prosperous state in the country, by helping

create a new financial architecture for the J&K economy, at the center of which will be the

J&K Bank.

MISSION

Our mission is two-fold: To provide the people of J&K international quality financial

service and solutions and to be a super-specialist bank in the rest of the country. The two

together will make us the most profit table Bank in the country.

Unique Characteristics & Services

J&K Bank carries out banking business of the Central Government

In spite of a government equity holding of 53 per cent, Jammu & Kashmir Bank (J&K

Bank) is regarded as a private sector bank.

J&K Bank is the one and only banker and lender of last resort to the Government

of J&K.

Plan and non-plan funds, taxes and non-tax revenues are routed through the J&K Bank

J&K Bank claims the distinction of being the only private sector bank that has been

designated as agent of RBI for banking.

The services of J&K Bank are utilized for the purposes of disbursing the salaries of

Government officials

J&K Bank collects taxes pertaining to Central Board of Direct Taxes, in Jammu &

Kashmir

Corporate Social Responsibility

The Corporate Social Responsibility (CSR) of the J&K Bank seeks to recognize

obligations towards society and aims to integrate the CSR ideals into its mission for

optimizing both business and social performance. It stresses on promoting work life

balance, give attention to social and environmental concerns and host of factors that

facilitate business pursuits and accomplishment of economic goals. The CSR is not just

recognized as promulgating the Bank's own values and principles of philanthropy but

also the values and principles of all those who have a stake in it or are affected by its

operations. By supporting social cause aligned to the mission the CSR strategy

differentiates the Bank's brand and enhances its reputation. The Bank manages social

issues in the same manner as any other strategic business issues.

The Bank besides playing its role in economic development of the State and country

contributes significantly towards the social cause. The Bank has established its

credentials for the poor and needy by donating generously for various philanthropic

activities aimed at ameliorating their sufferings. Be it victims of natural calamity, like

fire, flood, snowstorm or tsunami and disabled or patients with serious ailment who

lack reliable means of survival, the bank has been all through supporting them. The one

and a half decades long turmoil in the State of J&K has added to the agonies of people

with hundreds of children losing their parents to fend for themselves in this harsh

world. The Bank realizing its responsibility of saving the life/ future of these blooming

children, adopt several of them by providing financial support either through various

orphanages where they are sheltered or directly to the orphans by bearing their

educational or other expenditure.

The Bank would continue to provide study scholarships to the poor and needy students

including students from far-flung areas, who without such support would have been school

dropouts. Heritage preservation is an important responsibility of every conscious

individual, institution or agency. The thrust areas to assist in this respect for the Bank will

be preservation of historical/religious monuments, development of tourist sites, national

properties, museums, libraries, protection of environment/ecology etc. and sponsoring

seminars and awareness camps, art and literary works, 3rd cultural activities, social service

camps, college or university students clubs etc.

The Bank has been playing a vital role in the promotion of tourism and it is in this

backdrop that the Bank has been shouldering the responsibility of registering yatris for the

Shree Amarnathji Yatra through its extensive network of branches spread across the

country. The Yatra is an annual religious function of Hindu community, wherein devotees

travel by foot to pay obeisance to Holy Shiva Lingam at Shree Amarnathji cave. The Bank

puts in place special registration counters at all branches of the Bank outside the state and

some selected branches in Jammu and Kashmir State. In addition to this, accidental

insurance cover facility of Bajaj Allianz General Insurance Co. Ltd. to the pilgrims at a

nominal premium is made available to the yatris. During the Yatra, the bank establishes

mobile branches even at the holy cave. People in general and pilgrims in particular all over

the country have appreciated this effort and won lot of applause for the Bank.

Apart from above activities the Bank has been constructing/developing the public utility

service like public parks, bus stands, drinking water posts, lavatories, conveniences, rain

shelters. In addition to this, the bank organizes relief camps, service camps, night shelters,

health resorts, health clinics, disaster & calamity management centers, rehabilitation

centers etc.

POLICY

With the objective of promoting the philanthropic activities, other social and

environmental issues, the bank has a CSR policy in place embodying the broader principles

for providing donations. The donations are made within the prescribed limit of 1% of the

published profit for the previous year. It focuses on economic, social, cultural and

geographical backwardness of the areas.

Key Features

The bank provides financial assistance for the benefit of Handicapped persons/

orphans/ poor patients suffering from serious ailments.

Provides direct assistance or through Prime Minister's Relief Fund or Chief

Minister's Relief Fund or any other national level or state level calamity relief

fund to needy who have suffered due to natural disaster and calamities.

Helps in rehabilitation of handicapped children/ persons belonging to depressed

classes of society.

Provides for procurement of devices / apertures for kidney transplantation;

cardiac interventions; cancer patients; AIDS HIV and other dreaded diseases,

Philanthropic support for people belonging to economically deprived sections of

the society.

Provides financial support to orphanages.

Provides scholarships to meritorious students of depressed sections of the society

at various levels with focus on the needy.

Provides technical and financial support for the Heritage Preservation through

sponsorship of awareness seminars, organizing social service camps, sponsoring

Art & Literary works and preservation and development of important Historical,

religious, tourist sites, museums, libraries, archives, scientific organizations and

National properties.

Provides financial assistance for protection of Environment/ecology.

Constructs and develops the public utility services like bus stands, development

of parks, construction of drinking water posts, lavatories, conveniences etc.

The donations are directly made to depressed class of society including

physically challenged person or through a Non Governmental Organization

engaged in the ameliorating of the suffering of this class of society.

To ensure transparency in selection of deserving beneficiaries followed by

disbursement of proceeds to the donees, the following precautionary

measures are also ensured.

The applicant should not be an employee of any Institution, semi-

Government, quasi- Government or Government organization entitled

to Medical Aid benefits.

The applicant is not a professional beggar.

The applicant is not a dependent family member of Bank's own staff.

AWARDS

In recognition of its excellent customer service, fair business practices, overall operational

efficiency, overall performance, etc the bank has been felicitated by the following awards

during the last few years:

Asian Banking Awards – 2004

No.1 Bank in India ET CMIE Survey 98-99.

The Best Bank – Rediff.com& PWC Survey

India’s Fastest Growing Bank – Business Standard.

Excellent Award – Institute of Economic Studies.

Ranked as no.1 on safety parameters – Business Standard Survey.

Ranked as no.2 on Profitability front – Business standard Survey.

Jamnalal Bajaj Uchit Vyavahar Puraskar 2002 – Council for Fair Business Practices

dated 26th March 2003.

Best Private Sector Bank Award – Financial Express, Presented by Dr.Bimal Jalan,

Reserve Bank of India on 4th April 2003.

Ranked 87th India’s top 500 companies by World’s renowned rating agency – “Dun &

Bradstreet”.

Asian Banking Award 2004 firewall the Customer Convenience Program.

Asian Banking Award – 2005 for its ‘Development Project Financing Programmed’,

contributing significantly to the development of Tourism Industry of the J&K State.

FE India’s Best Banks Award in the ‘Old Private Sector Banks’ 2011.

CHAIRMAN’S STATEMENT

Notwithstanding economic uncertainties and concerns, J&K Bank delivered yet another

year of consistent growth in business volumes, revenues and profits, surpassing previous

achievements. The Bank demonstrated sheer resilience and soundness of fundamentals to

record unprecedented growth in all spheres. This sterling performance is way above industry

averages.

Chairman & CEO The Jammu & Kashmir Bank Ltd.

CUSTOMER SATISFACTION “A CHALLENGE” IN TODAYS BANKING

PRACTICE

CUSTOMER satisfaction is one of the formidable challenges in marketing of services in

banking industry in our country. The thrust on customer service has increased after

liberalization of Indian economy. Customer satisfaction is an urgent need of the hour. This

can be achieved by efficient customer service and immediate tactful handling of customer’s

grievances. Better customer-management relationship leads to customer satisfaction and a

good public image is to win over the customers. Hence, public relations should be one of the

strategies to achieve customer satisfaction. Banking system has a significant role to play in

the rapid growth of the economy. Effectiveness of banking system depends upon the

customer’s satisfaction and in fact customer is the kingpin of the banking industry. No

industry can afford to ignore its customers and banks are required to give top priority in

providing satisfactory and efficient service to their customers. The purpose of this paper was

to study the actual level of customer satisfaction in four Commercial Banks in Jammu and to

make a comparative analysis of the level of customer satisfaction through five point likert

scale. Study has revealed that customers are highly satisfied with the employees and the

management of the banks. Comparative analysis of level of customer satisfaction in four

banks shows that employees in the Central Bank of India are the most satisfied lot. The paper

provides an opportunity to the employees of the all the four banks to understand the

requirement of providing prompt and quality service to their customers. Effort should be

made to raise the level of customer’s satisfaction amongst all the Banks.

MEANING OF CUSTOMER SATISFACTION

“SATISFACTION is a person’s feelings of pleasure or disappointment resulting from

comparing product’s perceived performance(or outcome) in relation to his or her

expectations” As this definition makes clear, Satisfaction is a function of perceived

performance &expectations. If the performance falls short of expectation, the customer is

dissatisfied. If the performance matches the expectation, the customer is highly satisfied or

delighted. Many companies are aiming for high satisfaction because customers who are just

satisfied still find it easy to switch when a better offer comes along. Those who are highly

satisfied are much less ready to switch. High satisfaction or delight creates an emotional bond

with the brand, not just a rational preference. The result is high customer loyalty. Xerox’s

senior management believes that a very satisfied or delighted customer is worth 10 times as

much to the company as a satisfied customer. A very satisfied customer is likely to stay with

Xerox many more years & buy more than a satisfied customer will. How do buyers form their

expectations? From past buying experience, friends & associates’, advice, & marketers’

&competitors’ information & promises. If marketers raise expectations too high, the buyer is

likely to be disappointed. For example, Holiday Inn ran a campaign a few years ago called

“No surprises”. Yet hotel guests still encountered a host of problems & Holiday Inn had to

withdraw the campaign. However, if the company sets expectations too low, it won’t attract

enough buyers (although it will satisfy those who do buy).Some of today’s most successful

companies are raising expectation &delivering performances to match these expectation.

These companies are aiming for TCS-total customer satisfaction. Xerox, for example,

guarantees “total satisfaction” &will replace at its expense any dissatisfied customer’s

equipment within a period of 3 years after purchase. The key to generating high customer

loyalty is to deliver high customer value.

Managing Customer Loyalty and Development

Managing customer-development process is one of the critical dimensions of relationship

marketing. Basically it involves a twin focus-customer catching, and customer keeping.

‘Customer catching’ is the process of attracting new customers (inviting new blood), while

the customer keeping aims at the process of retaining the existing customers (encouraging old

blood). Customer catching process will have to effectively deal with the suspects, prospects,

and disqualified prospects. To start with, suspects include everyone who might possibly buy

the organization’s product or service. But the firm is interested in sensing, serving, and

satisfying the prospects who possess both the ability and willingness to buy the product or

service. Accordingly, the marketer must be available to precisely assess and identify the

prospects among the suspects in the market and at the same time exclude the disqualified

prospects who are unprofitable for the organization to serve. The relationship centered

organization should undertake proper and adequate efforts to convert many of its qualified

prospects into first-time customers, satisfied first-time customers into repeat customers,

repeat customers into clients. Commitment and trust lead directly to cooperative behavior.

This is conducive to relationship marketing success. This is precisely due to the following

main reasons:

1. Relationship commitment and trust encourage marketers to work at preserving

relationship investments by cooperating with exchange partners;

2. Resist attractive short-term alternatives in favor of the expected long-term benefits of

staying with existing partners, and

3. View potentially high-risk actions as being prudent because of the belief that their partners

will not act opportunistically (Yodapadithaya, 1999). Banking system has a significant role to

play in the rapid growth of economy. The banks that do well in 1990s and 2000 A.D. will be

those which rediscover the customer through cutting the edge known as relationship banking

(Vaishnar, 2000). Effectiveness of banking system depends upon the customers’ satisfaction

and in fact, customer is the kingpin of the banking industry. Customer satisfaction is

dependant on the climate in which contacts between customers and the bank take place.

Healthy climate promotes pleasant transactions for both the parties. No industry in the service

sector can afford to ignore its customers and as Banks are required to give top priority in

providing satisfactory and efficient service to their Customers.

PREFACE

Customer satisfaction depends on the performance relative to a

expectations.

A key premise in customer satisfaction is understanding the needs and meeting or

exceeding the expectations of customers. Further more, this is done while optimally using

resources. While most companies have developed strategies to improve quality and external

customer service, internal customer satisfaction is a much neglected component of quality

improvement. To this end, it is important to emphasize that total customer satisfaction can be

attained only if all employees devoted to external customer satisfaction can work together

and assist each other to achieve the common objective, when the internal customer isn't

satisfied, Relationships with the external customer suffer. So, it is suggested to adopt

customer oriented approach to keep the internal customer satisfied and motivated, who in turn

will focus their attention and energy upon meeting the requirements of their customers,

thereby maximizing the customer, thereby maximizing the customer satisfaction.

Customer satisfaction survey is the process to monitor the satisfaction quotient of their

people. In internal satisfaction surveys therefore tracks the return on your investments in

keeping your people happy, high salaries, a quality culture, a healthy work environment.

Besides customer satisfaction initiative the bank has also started some financial inclusion

functions.

FINANCIAL INCLUSION IN J&K BANK

Micro finance to poor community

The main objective of financial inclusion is poverty alleviation. It is envisaged that by

deepening the access of the financially excluded, whose membership is dominated by the

poor, to financial services, especially credit, the poor will be economically empowered to

create wealth with the attendant positive rub offs on the national economy. Microfinance

involves the provision of financial services to the poor and the low income segment of

society.

Business Correspondent

J&K bank started opening no-frill accounts in which the non-essential features has been

removed to keep the price low, in these accounts the bank provided their services free of cost

to the customers without charging any fee.

Micro-Finance Institutions

With the introduction of micro finance institutions by J&K Bank the bank started giving

micro-credit facilities to the customers which creates very low dependency of customers on

money lenders and this policy got very good response from customers.As the institutions

were growing customers were responding more and more towards this policy because the

interest rate was also very low and customers were willing to take loans from bank and were

feeling easy to pay it back.

Mobile Banking

J&K Bank provided mobile banking facility to its customers through which the customer can

manage his/her account located in any branch of the bank and other services like transfer

from one account to another and paying of Electricity, Mobile, and other related bills,

through mobile banking facility customers can get details of their account in the way of SMS

(short messaging service).

KYC norms simplified

The bank also simplified the KYC (Know Your Consumer) norms, KYC provides the details

of the customer to the bank in which earlier customer were required to provide Domicile

Certificate of State and PAN (Permanent account Number) details which customers were

feeling hectic to provide as many customers were not having information about these

documents, but now the customer can open his account in J&K Bank by providing

government issued ID card as KYC document.

KCC (Kissan Credit Card)

This scheme were started by bank for farmers in which a farmer can avail loan related to his

farm, in order to get this loan facility from bank the farmer has to bring the documents of his

farm attested by concerned district administration, the farmer can avail loan of Rs 40,000 per

Kanal and the rate of interest will be 7% per annum.With the help of this scheme the farmers

gained a lot by availing credit for the betterment of their fields.

Women empowerment

The Bank purchases handbags from HELP Foundation and Madre Meharbaan Welfare Trust

two NGOs running tailoring and stitching centres for poor and destitute women to provide

them to aspiring Hajjis as a goodwill gesture. Besides, with a view to preserve and promote

the rich handicrafts of Kashmir, traditional embroidery is also done on these bags. The bank

also innovatively engages in the financial betterment of impoverished women to help them

earn a dignified livelihood.

Khidmat Centers

In February 2009, the CSC (Customer Service Centers) project was entrusted to J&K Bank

for implementation, on the recommendation of the state government. As we started this

venture before any mandate for financial inclusion was brought out by the regulatory

authorities, we planned for financial services as the key activity at these centers for the

villages. Under the CSC scheme, our bank has to have 109 CSCs set up in the state and so we

began on our journey. Every six villages were to have a CSC, and with 6,600 villages in the

state we have 1109 CSCs, and so clustering of the villages was done in order to have evenly

scattered CSCs across the state. This was followed by the selection of Village Level

Entrepreneurs (VLEs), followed by identification and development of the sites followed by

standardized branding of the CSCs across the state. The infrastructure at

the CSCs in J&K includes laptop, printer, connectivity (VSAT), furniture, digital camera

and power back-up. 650 such centers are operational.

Introduction of Smart Cards

The J&K Bank introduces smart cards to its customers in which the customers who are

illiterate can punch their finger prints and at the time of withdrawal of money from bank they

are initially being provided with smart cards. For the technology platform bank have tied-up

with FINO (Financial Information Network and Operations Ltd), which provide smart

cards that have biometric authenticated cards provided to the customers – that are suitable

for the citizens residing in remote villages as it avoids all the paperwork that is required for

either depositing or withdrawal of cash from the Khidmat Centres. Each smart card has the

ability to have 15 accounts and track previous transactions. The accounts includes saving

bank account, no frills account.

Financial Literacy Centers (FLCs)

Financial Literacy Centers (FLCs) will impart financial literacy among the people of J & K.

J&K Bank has already operationalized FLCs in all the 12 allocated districts. A total of 27,432

persons have been provided indoor and outdoor services by 22 FLCs during the quarter ended

December 2013. J&K Bank has provided indoor services to 3,617 persons during the quarter

under review. SBI has provided indoor services to 1140 persons during the quarter under

review. J&K Bank has provided outdoor services to 17,914 persons in 207 outdoor awareness

camps conducted by it during the quarter under review. The activities undertaken by all the

22 FLCs (both indoor and outdoor) during the quarter under review have facilitated credit

linkage to 2565 entrepreneurs out of which 2269 entrepreneurs have established their

business ventures.

Setting up of Rural Self-Employment Training Institutes (RSETIs)

RSETIs are to impart training and skill up gradation of rural youth geared towards

entrepreneurship development. A total of 4,778 persons were trained in all the 22 RSETIs

during first three quarters of 2013-14. J&K Bank has provided training to 3,586 persons in its

12 RSETIs while as SBI has provided training to 1,192 persons in its 10 RSETIs.

Leveraging Technology to expand outreach

Pursuant to the guidelines issued by RBI regarding the provision of banking services in all

the unbaked villages having a population of 2000 and above, a time bound comprehensive

State Financial Inclusion Plan has been developed. Significant progress in this regard has

already been made with 84.5% of the villages having already been covered (as on 30th

September, 2011). Out of allocated 795 villages, 622 villages have already been covered.

SHG-Bank linkage programme

Self Help Groups are believed to be most effective tool for delivering credit and is often

considered as an alternative loan delivering system with minimal defaults. This delivery

channel minimizes the cost of operation and transaction for banks and is effective for

delivering credit particularly to rural poor for their economic empowerment and social

development. SHG-Bank Linkage is one of the oldest programmes currently operating in the

Country and emphasis has been laid down on banks throughout the country to scale up this

channel for achieving the objective of Financial Inclusion. The Scheme has been launched in

the J&K State way back and a significant progress has been made in this regard. From 1st

April, 2011 to 30th September, 2011, a total amount of Rs.338.28 Lakh has been disbursed to

370 Credit Linked SHG’s linked during the period; also 364 SHG’s have been linked as

Savings linked SHG’s during the period. The cumulative position of SHG’s in the State

shows that there are a total of 5782 SHG’s formed, 5609 are Savings linked and 4809 are

credit linked, and a total amount of Rs.3290.76 Lakh has been disbursed amongst the SHG’s

since inception.

Government Sponsored Schemes

The various government sponsored schemes operating in the state are Swarnjayanti Gram

Swarojgar Yojana(SGSY), Swarnna Jayanti Shahari Rojgar Yojana(SJSRY), Prime

Ministers’ Employment Generation Programme (PMEGP), Jammu and Kashmir Self

Employment Scheme (JKSES) and SC/ST/OBC schemes. Banks in the State, as on 30th

September 2011, have achieved in all the 5 schemes mentioned above, a disbursement of

Rs.75.11 Crore spread over 5,283 beneficiaries against the annual target of Rs.221.73 Crore

for 18,837 beneficiaries which works out to 34% and 28% achievement in financial and

physical terms respectively. The scheme-wise distribution is briefly discussed below.

Swarnjayanti Gram SwarojgarYojana (SGSY) has been implemented with an objective to

bring the assisted poor families (swarojgaries) above poverty line by providing them income

generating assets through a mix of bank credit and subsidy; SGSY is being restructured as

NRLM to implement it in a mission mode. Under SGSY, against a target of Rs.37.10 Crore

for 7,420 beneficiaries, banks in the State have disbursed an amount of Rs.14.14 Crore to

2,858 beneficiaries as on 30th September, 2011, which works out to achievement of 38% and

38.51% in financial and physical terms respectively. The objective of Swarnna Jayanti

Shahari Rojgar Yojana (SJSRY) to provide gainful employment to the urban unemployed or

underemployed through the setting up of self-employment ventures or provision for wage

employment. The banks have disbursed an amount of Rs.3.53 Crore to 206 beneficiaries

against the annual target of Rs.11.14 Crore for 752 beneficiaries (as on 30th September,

2011), which works out to achievement of 32% and 27% in financial and physical terms

respectively.

New Branch Authorization Policy

The new Branch Authorisation Policy of Reserve Bank of India encourages banks to open

branches in underbanked states and the underbanked areas of other states.J&K Bank in the

State of Jammu and Kashmir have been working vigorously in bringing the unbanked areas

within the formal banking reach. In this regard, a comprehensive plan has been developed in

respect of unbanked blocks and underbanked areas of J&K State declared by Reserve Bank of

India. As per the State Consolidated Branch Action Plan, 209 new bank branches are to be

opened in these identified areas. Also in terms of bringing the villages having a population

more than 1000 and less than 2000 into the fold of banking system, a comprehensive action

plan has been framed and all the 1273 such villages have been allocated to the respective

banks. J & K Bank is taking a lead in this as well, taking 1030 villages out of 1273 allocated

villages.

Business Correspondents (BC)

In habitations without a bank branch, the Business Correspondent would be the main

instrument of delivery of financial services. It is necessary to ensure that the business model

of BCs is commercially sound and that they become financially viable in a reasonable time,

say 2 years. This would require that each BC handles a reasonable number of household

accounts, keeping the geographical coverage in consideration. Based on the feedback from

the various Institutions, it is felt that the BC/Agent should be dealing with 1000-1500

households, or cater to a population of about 5000-8000. In the hilly, tribal and desert areas

or where distance is large, the banks could have lesser number of accounts keeping the

geographical and other conditions under consideration. DLCC will take a decision in such

cases and get it ratified from SLBC. However, it must be ensured that the each BC Agent is

assigned a sub-service area within the service area of the branch. Gram Panchayat shall be

retained as a unit and BCA could be assigned more than one Gram Panchayats. Requirement

of BC/BCA may be worked out in such a manner that the BCA is available within a radial

distance of 2 km.

Geographical Information System

Geographical Information System (GIS) can be effectively used to assist the decision makers

in planning for expansion of infrastructure of the J&K Bank by highlighting the pockets of

the hinterland which are yet to have access to these facilities. A web based application to

develop a GIS for the bank branch and insurance network in the country has been launched

by the Department of Financial Services. The project envisages capturing existing

information about J&K Bank branches, ATMs, Business Correspondents, Clearing houses

and Currency chests of J&K Bank at village level. This would enable the J&K Bank to easily

identify the areas where expansion of branch/ ATM/BCA network. The package should be

used for finalizing the location of new bank branches/ BCs and other banking facilities.

Electronic Benefit Transfer

Presently many schemes are in operation with J&K, funded by the Government of India,

under which benefits are to be given directly to the beneficiaries. Transfer of such subsidies

into the accounts of the beneficiary under Electronic Benefit Transfer would enhance the

efficiency of delivery of such services. Benefits in the areas covered under Financial

Inclusion must be transferred electronically into the accounts of the beneficiaries. RBI issued

the operational guidelines on implementation of Electronic Benefit Transfer and its

convergence with the Financial Inclusion Plan on 12.8.2011. Under this, one district - many

bank- one leader bank model is to be adopted. While all Departments of the Government of

India (GoI) and State Governments may, for administrative convenience, deal with only one

leader bank, such leader bank will obtain the funds from the GoI/State Government and, in

turn, arrange to transfer funds through inter-bank transfer to other banks for credit to the

accounts of ultimate beneficiaries. Under the service area approach, while the banks would

be responsible for the Electronic Benefit Transfer to the residents in their service area, the

residents would be free to choose the bank through whom they would like such transfer of

benefits. In some states, parallel structures for Electronic Benefit Transfer for some schemes

have been created which are inconsistent with the aforesaid guidelines issued by the RBI. It

has also been observed that KCC beneficiaries of J&K Bank as well as others who are

already having bank accounts are asked to open separate account for availing Electronic

Benefit Transfer. Any beneficiary having any bank account must not be required to open new

accounts and the benefits should be credited to the existing account.

Credit Counseling Centers : Need for financial counseling to avoid informal sector & debt

trap – J&K Bank have started in rural/ semi-urban centers which provides information about

banks, financial management, repayment obligations, avoiding indebtedness, rehabilitation of

distressed and these centres serves as Knowledge Centers which train farmers/ women. In

May’ 06, SLBC convener banks advised to set up at least one center in each district. These

centres help women and farmers especially to get the knowledge related the schemes and

other benefits which are made for the betterment of the society and a needy community.

LITERATURE REVIEW

Pairot defined Customer’s satisfaction as the company's ability to fulfill the business,

emotional, and psychological needs of its customers. In the words of Oliver, customer

satisfaction is “the summary psychological state resulting when the emotion surrounding

disconfirmed expectations is coupled with the consumer’s prior feelings about the

consumption experience.” Customer satisfaction has also been defined by Hunt as “an

evaluation rendered that the (consumption) experience was at least as good as it was

supposed to be.” Furthermore, Engel and Blackwell have opined it to be “an evaluation that

the chosen alternative is consistent with prior beliefs with respect to that alternative.” Thus it

can be said that customer satisfaction is a judgment by the customer after the purchase has

taken place. Satisfaction is the consumer’s contentment response. It is a considered opinion

that either a product or service feature, or the product or service itself, endows with a

pleasurable level of consumption-related fulfillment. However, customers have different

levels of satisfaction as they have different attitudes and experiences as perceived from the

company. Customer’s satisfaction is affected by the importance placed by the customers on

each of the attitudes of the product/ service in question. Customer satisfaction measurement

allows an organization to understand the key drivers that create satisfaction or dissatisfaction;

and what is really driving their satisfaction during a service experience. It is a well-

researched fact that investments in customer satisfaction, customer relationships and service

quality leads to profitability and market share Rust and Zahorik .Put differently, customer

satisfaction leads to customer loyalty and this also leads to profitability Hallowell .If

customers are satisfied with a particular high quality service offering after its use, then they

can be expected to engage in repeat purchase and even try line extensions and thus market

share can be improved. Levesque and McDougall have empirically confirmed and reinforced

the notion that consistent poor customer experience leads to a decrease in the levels of

customer satisfaction and the chances of further willingness to recommend the service (i.e.,

word-of-mouth advertising or referrals) is lessened. Besides, costs of customer acquisition are

much higher than costs of retention.

A review of the existing literature indicates that there can be, in all probability, a large

number of antecedents of customer satisfaction as the facets underlying satisfaction

judgments are global rather than specific .Nevertheless, some researchers make out a case

that customers tend to develop norms for product performance on the basis of general product

experiences and these, rather than expectations from a brand’s performance, influence the

confirmation/disconfirmation process. There are also arguments that, over and above the

cognitive factors, satisfaction judgments are also reliant upon affective components, given the

fact that both exist together and make independent contributions to the satisfaction

judgments.

RESEARCH METHODOLY

INTRODUCTION AND MEANING

Research Methodology is a way to systematically solve the research problem. The Research

Methodology includes the various methods and techniques for conducting a research. “D.

Slazenger and M. Stephenson in the encyclopedia of social sciences define Research as “the

manipulation of things, concepts or symbols for the purpose of generalizing to extend, correct

or verify knowledge, whether that knowledge aids in construction of theory or in the practice

of an art”.

Research is a careful investigation or inquiry especially through search for new facts in

branch of knowledge: market research specifies the information. Required to address these

issues: designs the method for collecting information: manages and implements the data

collection process analyses the results and communicates the finding and their implications.

Research problem is the one which requires a researcher to find out the best solution for the

given problem that is to find out the course of action, the objectives can be obtained

optimally in the context of a given environment.

METHODS AND TECHNIQUES

The problem definition can be said to be the quite essential part of the research process; as it

determines precisely, what the managerial problem is and the type of information that the

research can generate to help the problem before conducting the field work. It is better to

decide upon the method/technique of data collection. Generally, there are two techniques of

data collection:

1. Census technique

2. Sample Technique or Convenient Technique

A census is a complete enumeration of each and every unit of population where as in

a sample only a part of the universe is studied and conclusion about the entire universe is

drawn about that basis. The census method is costlier and more time consuming as compared

to sampling method but the result are near representatives than sample method.

The availability of resources, time factor degree of accuracy desire and scope of the

problem enable us to apply convenient sampling technique.

DATA COLLECTION

The objectives of the project are such that both the primary and secondary data is required to

achieve them. So both primary and secondary data was used for the project. The mode of

collecting primary data is questionnaire mode and sources of secondary data are various

magazines, books, newspapers & websites etc.

1. Primary Data

The primary data was collected to measure the customer satisfaction regarding J&K Bank.

The primary data was collected by means of direct personal interview method through

structured questionnaire and analysis was done on the basis of response received from the

customers. The questionnaire has been designed in such a manner that the customer’s

satisfaction level can be measured and consumer can enter his responses easily.

2. Secondary Data

The purpose of collecting secondary data was to achieve the objective of studying the recent

trends and developments taking place in customer relationship management.

SAMPLING DESIGN

It is very difficult to collect information from every member of a population as time and costs

are the major limitations that the researcher faces so I took the sample size of 90 persons out

of 300 persons having different accounts with the bank, which helps during my whole

research programme.

SAMPLING PLAN

The research was conducted mainly at the branch and further we met certain customers

personally at their offices, homes after getting the proper references.

COLLECTION PROCEDURE

Personal interviews were conducted using individual questionnaire for each respondent. The

responses were recorded directly onto each questionnaire.

TOOLS OF ANALYSIS

After collecting the data has been analyzed through various statistical tools and techniques.

The unwisely data should necessarily be condensed into few manageable groups and tables

for further analysis. Thus it helps to classify the raw data into some purposeful and usable

categories. The tools used are tables and graph charts.

DATA ANALYSIS/INTERPRETATION

The J&K Bank is one of the private bank of India diversified throughout the country and

had its centre in Srinagar. As my research is concerned the topic allotted to me was customer

satisfaction in J&K Bank Ltd. In Uri sector of District Baramulla. While focusing on the

subject matter I analyzed this from business Unit perspective in Uri sector J&K Bank has its

four branches their and one extension counter every branch survives throughout a special cut

throat competition.

The Business Units are as under:-

Business Unit Uri

Business Unit Uri Civil

Business Unit Chandanwari

Business unit Boniyar

Extension Counter- Lagama

1. Business Unit Uri

While analyzing the progress of Business Unit Uri I personally observed that besides being

a treasury unit, the branch specialties with a maximum accounts of government agencies are

operative their, but on the other hand they had to face big competition while being in the

market. The other players who strive in the market are Grameen Bank, Baramulla Central

Cooperative Bank and State Bank of India Uri. J&K bank plays a vital role in dealing with its

clients, while talking for the year 2011-12 specially, J&K Bank has come up there with best

ever strategies and solutions which not only helps them but also expand their market.

Besides being a populated area of more than 30,000 population there ,where most of the

population mainly resides on the hill sides J&K Bank uses door to door marketing of

products on the places who had been un-marketed previously. The facility provided to them

includes opening up of Zero Balance Accounts, and others. It provides hassle free loan to

peoples by employing Khidmat centers to prepare loan documents for them, which also

reduces the idle time from getting the loan proposal from clients to its disbursement.

The J&K Bank serves their as a boom every employee had its individual responsibility like

Advances, Government Business, Teller, ATM, and Financial Inclusion processing.

The Charts will describe the position of J&K Bank in Uri Branch:-

Government Sponsored Cases (464 Accounts)-

Interpretation:-

J&K bank have the 75% accounts of government sponsored cases,SBI have the 7.50%

accounts of government sponsored cases, Grameen Bank have the 17% accounts of

government sponsored cases,BCC Bank have 0.50% accounts of government sponsored

cases.

Transport Sector (377 Accounts):-

Interpretation:-

J&K Bank have 60% transport sector accounts, Grameen Bank have 20% transport sector

accounts, SBI have 15% accounts of transport sector and BCC Bank have 5% transport sector

accounts.

0%

10%

20%

30%

40%

50%

60%

70%

80%

J&K Bank ltd. SBI Grameen Bank BCC Bank

75%

7.50%

17%

0.50%

0.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

70.00%

SBI GrameenBank

BCC Bank J&K BankLtd

15.00%20%

5.00%

60%

Term Deposits (7412 Accounts):-

Interpretations:-

J&K Bank have 70% term deposit accounts, Grameen bank have 12% term deposit accounts,

SBI have 10% term deposit accounts,BCC bank have 8% term deposit accounts.

Kissan and Agriculture (Term) Loans (718 Accounts):-

Interpretations:-

J&K Bank have 75% Kissan & agriculture loan accounts, Grameen Bank have 15% Kissan &

agriculture loan accounts,SBI have 10%Kissan & agriculture loan accounts,BCC Bank have

3% Kissan & agriculture loan accounts.

0%

10%

20%

30%

40%

50%

60%

70%

80%

J&K Bank ltd. SBI GrameenBank

BCC Bank

70%

10.00% 12%8.00%

0%

20%

40%

60%

80%

J&K Bank ltd. SBI Grameen Bank BCC Bank

75%

10.00% 12%

3.00%

Saving Accounts (37854 Accounts):-

Interpretation:-

J&K Bank have 75% saving bank accounts, Grameen Bank has 11% saving bank accounts,

BCC Bank has 9% saving bank accounts, and SBI have 5% saving bank accounts.

Saving Bank No Frill Accounts (1745 Accounts):-

Interpretation:-

J&K Bank have 100% saving bank accounts (No frills Accounts); other bank doesn’t provide

such kind of accounts.

0%

20%

40%

60%

80%

J&K Bankltd.

SBI GrameenBank

BCC Bank

75%

5.00%11% 9.00%

0%

20%

40%

60%

80%

100%

J&K Bankltd.

SBI GrameenBank

BCC Bank

100%

0.00% 0% 0.00%

Analyzing the perspective of Business Unit Uri. The staff is very dedicated towards the job.

They not only motivates people for the sake of profit making like other banks but wishes to

deliver them right products which suits their pockets and they also works for the betterment

of society. While being on sampling survey of 90 peoples in Uri, I came to know that J&K

Bank is only the bank where people trust more. I visited various locations like Isham,

Sultandaki, Kamalkote and Uri main. While being the researcher to find the deviations and

strong points of J&K Bank there, when I introduced myself to the people as I am from J&K

Bank they offered me chair and even tea this is what I can say the brand trust is and

satisfaction of peoples there.

The dealings of the Business Unit are mainly with middle and average class of society. The

bank has more than 1000 accounts of Social welfare (Old age and Handicapped Pension).The

bank provides them the good services at cheaper rates. The bank also goes for door to door

services to the people who are unable to reach banks due to empty pockets and weak limbs to

walk. The bank provides them the facility of even entertaining their names in Social Welfare

department for pensions and for their ease provides them the facility of Smart cards so that

they can also withdraw the amount of their pension even at their homes by employing

Khidmat Centers for that jobs. This also gives rise to the concept of Corporate Social

Responsibility.

Bank also encourage the peoples mainly Students , Traders, Teachers to have their Current

and Saving accounts in their bank at very concessional rates as compared to SBI and other

banks working there.

2. Extension Counter Lagama

Besides being the extension counter the J&K Bank Ltd in that area not only meant for

deposit purposes. This extension counter works with full zeal tries to cope up with the local

pressure, hence the extension counter has no other rivals present these and can also go for

monopoly approach, but taking into view all the factors prevailing in the present era and have

look on their corporate mission of bank, they try to chart out those strategies which are

prescribed by corporate Head Quarters for the rural population of J&K. The main aim of that

extension counter is to provide core banking services to its customers like Saving, Fixed

Deposits and Current Deposits. They do not have any dealings with the loans and advances.

The Extension counter operates more than 600 accounts of Social welfare meant for old age

pension and handicapped fund. The extension counter got its good position not only by their

existence in that area but for their quickness and uniqueness in their services.

They also put forward their hands in the process of financial inclusions. They have been

provided Gharkote as their revenue village for their 100% financial inclusion by Reserve

Bank of India team.

The adult population which is to be controlled by the extension counter Lagama is over

10000 adults and maximum government employee’s accounts are being operated by

extension counter Lagama. The extension counter is in close supervision of Business Unit

Uri.

Charts will show the position of extension counter Lagama:-

Saving bank accounts (1823 Accounts):-

Interpretation:-

In Lagama there is only J&K Bank with no competitors so all accounts is of same bank.

Fixed deposits:-

Interpretation:-

In Lagama there is only J&K Bank with no competitors so all accounts is of same bank.

0%

20%

40%

60%

80%

100%

J&K Bankltd.

100%

0%

20%

40%

60%

80%

100%

J&K Bank Ltd.

100%

It should be noted that J&K Bank in that area is the majority stake holder and has no any

other rival there. But in spite of this J&K Bank uses to deliver its products in such a way as

same as in the case of perfect competition.While being on move to Gharkote and other

adjoining areas there I came to know that the entire staff is very helpful and always treat

every client with respect and has made full hold on the particular locality. They try to provide

good and quality service to its customers and always at the front to help them in any financial

difficulty.

3. Business Unit Uri Civil

The business unit is running in the premises provided by NHPC (National Hydro Electric

Power Corporation) power project residential area. The bank runs in separate building and

has got hold on maximum accounts of NHPC employees whose gross salary starts from

30,000 rupees. The business unit has got good reputation in that area itself and is known for

best its services. The business unit caters the demands of the employees by providing good

and quality service to them. The E-Banking and other means are freely available in the

business unit. Every employee is having his salary accounts against which he had got 2-3

types of loans. While talking to the employees near the premises of NHPC, I came to know

that 80% of them are having accounts at business unit Uri Civil, and the reason for that is the

goodwill gesture given to them by branch head and other staff members, When I discussed

with them that I am from J&K Bank they insisted me to recommend the branch head and

others there for performance appraisal. Business unit has competition with Kamraz Rural

Bank there. But the boom of locals, shopkeepers and others enjoying cash credit and other

financial benefits there. They give vote of success to J&K Bank itself and give less priority to

other banks there.

Charts will show the position of extension counter Lagama:-

Govt. Sponsored Schemes (410 Accounts):-

Interpretation:-

J&K Bank has got 90% accounts of government sponsored cases, and Grameen bank has

10% accounts of government sponsored cases.

Transport Sector (398 Accounts):-

Interpretation:-

J&K Bank has got 80% accounts of transport sector while Grameen Bank has got 20%

transport accounts.

0%

20%

40%

60%

80%

100%

J&K Bank ltd. Grameen Bank

90%

10%

0%

20%

40%

60%

80%

J&K Bank ltd. Grameen Bank

80%

20%

Car Loans (474 Accounts):-

Interpretation:-

J&K Bank has 95% accounts of car loan holders, and only 5% accounts of car loan have been

holded by Grameen Bank.

Term Deposits (1084 Accounts):-

Interpretation:-

J&K Bank have 90% accounts of Term deposits and 10% term deposits have gained by

Grameen bank.

0%

20%

40%

60%

80%

100%

J&K Bankltd.

GrameenBank

95%

5%

0%

20%

40%

60%

80%

100%

J&K Bank Ltd. Grameen Bank

90%

10%

Kissan & Agriculture Term Loans (312 Accounts):-

Interpretation:-

There are 80% accounts of Kissan & Agriculture Term loan accounts,Grameen Bank have

20% accounts of Kissan and Agriculture term loans.

0%

20%

40%

60%

80%

J&K Bank Ltd Grameen Bank

80%

20%

4. Business Unit Chandanwari

One of the amid business unit in mid location of Uri. The business unit is concentrated to

provide service to all the segments of society. Business Unit caters all type of needs of local

people. The business unit has its surroundings almost 20 villages on which they focus and

deliver strategies.

Business Unit is mainly known for its quality services, the staff there is well dedicated

towards the jobs and even knows what is expected from them, they help all the sections of

society besides being the Non Treasury Unit. The profit during 2011-12 was achieved at

80.50 Lacks, which is a great sign for the “C” category business unit. The maximum dealing

of business unit are with Zonal Education Officer (ZEO) office and Block Development

Officer (BDO) office that had current accounts in this bank. The business unit has around

9000 saving accounts and 3000 No- frill accounts. When taking at the lower stage for poor

population 1243 cases of Social Welfare pension cases are being operated at business unit.

Staff members besides doing routine work, they visit door to door for the purpose of

providing banking service to the unbanked people of the areas. Free of cost accounts are

being opened who wish to open accounts but does not have penny in the pocket which is

needed at the time of opening of the account.

The customer service relationship of Bank is to treat every customer equally and work for

the welfare of society. The Jammu and Kashmir Bank works as the pillar there to get aid for

their resources. The work chart of J&K Bank Chandanwari is in such a way that it provides

them the systematic work flow of activities. While I was on walk to village Bijhama and its

adjoining areas I was welcomed by all there when they come to know that I am from J&K

Bank, but due to illiteracy they were not able to recognize the name of Service providing

Bank, but the retail theming and immediate ambiance were known to them. When asked

about their accounts in the bank they nodded positively and handover me the bank copy,

when I told them where is the bank they replied at Chandanwari and the only thing they know

about that Business Unit was that they told was “the bank in which a great man “Sardar Ji” sit

with a big TV (Computer) in front of him and uses to check our bank copies and give us our

money smilingly”.

They praised about the working of the bank and give their vote in favor of J&K Bank. The

other competitors of J&K Bank in that very area is Baramulla Co-operative Bank, but due to

its inefficiency peoples are closing their accounts with them and opening accounts in J&K

Bank as the facilities provided by the J&K Bank are world class as compared to other Banks.

Charts will show the position of Business unit Chandanwari:-

Government Sponsored Cases (793 Accounts):-

Interpretation:-

J&K Bank have got 100% accounts of Government sponsored cases.

0%

20%

40%

60%

80%

100%

J&K Bank Ltd BCC Bank

100%

0%

Transport Sector (632 Accounts):-

Interpretation:-

J&K have 95% transport sector accounts,while BCC bank have 5% transport sector accounts.

Car Loan (377 Accounts):-

Interpretation:-

J&K Bank holds 100% Car loan accounts, BCC bank doesn’t have Car loan accounts because

of high rate of interest.

0%

20%

40%

60%

80%

100%

J&K Bank Ltd BCC Bank

95%

5%

0%

20%

40%

60%

80%

100%

J&K Bank Ltd BCC Bank

100%

0%

Kissan and Agriculture (Term) Loans (409 Accounts):-

Interpretation:-

J&K Bank have 100% Kissan and Agriculture loans accounts, BCC doesn’t have Kissan and

agriculture loans accounts.

Saving and Current accounts (12000 Accounts):-

Interpretation:-

J&K Bank have 80% saving and Current accounts, BCC Bank has 20% bank accounts.

0%

20%

40%

60%

80%

100%

J&KBankLtd

BCCBank

100%

0%

0%

20%

40%

60%

80%

J&K Bank LtdBCC Bank

80%

20%

Saving accounts with zero balance (1634 Accounts):-

Interpretation:-

J&K bank have 80% saving accounts with zero balance,20% accounts with zero balance are

with BCC Bank.

5. Business Unit Boniyar

The biggest advantage achieved by the business unit is that it is a treasury unit .The

treasury has its accounts at that business unit. The dealing of the branch are manly with the

peoples falling in its jurisdiction, there are around 15 villages with which J&K Bank Boniyar

is serving upon. They try to penetrate their plans so as to reap the maximum share from the

market. The business unit deals with all kinds products there. Tough competition in that

particular area makes the business unit much dedicated to take care of even a single customer.

State Bank of India and Grameen Bank on the other side works out and tries to equate and

dominate the policies of J&K Bank so as to overtake them in their ride, but the biggest factor

which disgusts me there that due to its recent origin in that particular area, how J&K Bank

0%

20%

40%

60%

80%

J&KBankLtd

BCCBank

80%

20%

has come up with such a potential or what is in J&K Bank Boniyar which has inspired in

majority of the people to link the business with J&K Bank there.

While talking with the population there, I came to know hat people cast their votes in favor

of J&K Bank, over SBI and Grameen Bank. I talked to the local army personals there and I

came to know that they are forced to open their accounts in SBI and they even told me that in

spite of getting 30,000 salary from job we are not provided any sort of loan from SBI and

wishes to join J&K Bank and among them was a Kashmiri Pandit (Army Captain) who told

that my father is a good business man at Delhi the most surprising thing he told that we have

our dealings with J&K Bank. When maximum local banks try to persuade us to open

accounts with them and also provide us good Offers. And the reason behind dealing with

J&K Bank was sense of Belongingness from that place, retail theming and the talkative

atmosphere in Jammu & Kashmir Bank that make we people to open accounts there, when

our grandmother or grandfather uses to miss the days spend in Kashmir we took them to local

J&K Bank branch for some time.

Charts will show the position of Business Unit Boniyar:-

Government Sponsored Schemes (201 Accounts):-

Interpretation:-

J&K Bank have 84% government sponsored cases,SBI has 2% government sponsored cases,a

grameen Bank has 14% government sponsored cases.

0%

20%

40%

60%

80%

100%

J&K Bank Ltd SBI Bank GrameenBank

84%

2%14%

Transport Sector (431 Accounts):-

Interpretation:-

J&K Bank have 75% Transport Sector accounts, SBI Bank has 15% transport sector

accounts, and Grameen bank has 5% transport sector accounts.

0%

10%

20%

30%

40%

50%

60%

70%

80%

J&K BankLtd

SBI Bank GrameenBank

75%

15%

5%

Car Loan (184 Accounts):-

Interpretation:-

J&K Bank has 85% car loan accounts,Grameen bank has 10% car loan accounts,SBI has 5%

car loan accounts.

Kissan and Agriculture (term) Loans (202 Accounts):-

Interpretation:-

J&K Bank has 70% Kissan & agriculture accounts,Grameen bank has 20% Kissan &

agriculture account,SBI Bank has 10% kissan and agriculture accounts.

0%10%20%30%40%50%60%70%80%90%

J&K BankLtd

SBI BankGrameenBank

85%

5%10%

0%10%20%30%40%50%60%70%80%

J&K Bank Ltd SBI Bank GrameenBank

70%

10%20%

Saving and Current Accounts (7007 Accounts):-

Interpretation:-

J&K Bank has 60% saving & current accounts,SBI has 25% saving & current accounts and

Grameen Bank has 15% saving & current accounts.

0%

10%

20%

30%

40%

50%

60%

70%

J&K BankLtd

SBI BankGrameenBank

60%

25%

15%

Zero Balance accounts (903 Accounts):-

Interpretation:-

J&K Bank is the only bank in this area which is providing zero balance account to its

customers.

0%

20%

40%

60%

80%

100%

J&K BankLtd

SBI Bank GrameenBank

100%

0% 0%

Findings

1. Most of the customers are unaware of the facilities provided by the bank.

2. The bank should follow all the media for awareness amongst the customers especially

through T.V and radio.

3. Mostly people are Illiterate hence they fear of availing any benefit from the bank.

4. Most of the people respond negatively when a representative from the Bank

personally contacts them for the Account opening with Bank.

5. People prefer to avail the Services of Jammu & Kashmir Bank over other Banks.

Conclusion

After conducting the survey and analysis the data collected, it can be

concluded that:-

1. The employees are not much aware of internal customer supplier concept.

2. Employees of different departments believe in concentrating only upon their

departmental functions.

3. Things are seen from department point of view and not from organization’s point of

view.

4. Certain problems which are faced by almost every department are:-

a) Inconsistency in quality of product/service supplied by the respective suppliers.

b) No group discussions, workshops or customer care programmes take place between

the customers - supplier departments.

c) Requirement of a lot of follow up to the work done.

5. Quality of the product service provided needs improvement.

6. Lacking of customer training & knowledge sharing.

7. Need of improvement in feedback communication.

8. There is a need for the adoption of innovative tools and techniques.

9. Communication, coordination and feedback to internal customer to be

strengthened.

10. There was no flexibility in adopting cost control techniques.

11. There was no promptness of service/response to the customer department.

12. Irregular availability of data, records and diagnostics approach to the customer

departments.

SUGGESTIONS/RECOMMENDATIONS

Some of the suggestions recommended to the bank can be put forth as under:-

The bank should make ample efforts to make people aware of facilities provided by

the bank.

The bank should try to reduce the complexities of the procedure of availing the

facilities provided, by making optimum use of its man power and other resources.

The bank should make optimum use of all kinds of media to educate the people about

the facilities provided by the bank.

Provide the customers with better solutions as compared to the competition.

Try to provide customers all the products they need so that have only one window of

contact and don‘t have to contact multiple service providers

Relax the procedures and rules for acquiring or disposing of a product.

Fulfill what is being committed.

Work more on just in time concept.

Promptness

Adherence to delivery commitments

Participative planning with customers

Communication and coordination should be more effective

Needs improvement in quality of product and services provided

Improve customer service in all respects

Resolve day to day problem quickly

Anticipate, create and deliver needs as and when needed by the customer.

QUESTIONNAIRE

(You may tick more than 1 option where necessary)

Q1. Do you Have Bank Account Yes/ No.

55

510

20

0

10

20

30

40

50

60BARAMULLACOOPERATIVEBANK

GRAMEEN BANK

SBI

J&K BANK

Q2.If yes, which is your Service Provider?

1. J&K Bank Ltd.

2. State Bank of India.

3. Grameen Bank

4. Baramulla Central Co-operative Bank.

55

5

10

20

J&K BANK

SBI

GRAMEEN BANK

BARAMULLA

COOPERATIVE

BANK

Q3. What makes you to use their services?

1. Better Customer Satisfaction.

2. Trust.

3. Connectivity at every place.

4. Any other Reason...........................................................

40

10

20

20

Better CustomeSatisfication

Trust

Connectivity

Any otherreason

Q4. Which type of Account you have with your Service Provider.

1. Savings

2. Current

3. Fixed

4. Saving Bank (No frill Account)

40

1520

10

0

5

10

15

20

25

30

35

40

45

Saving(No Frills)

Fixed

Current

Saving

Q5.Which Type of Loan, you have availed?

1. Kissan & Agri Term Loan

2. Transport Loan

3. Car Loan

4. Govt. Sponsored Loans

40

15

8

27

Kissan & Agri TermLoan

Transport Loan

Car Loan

Govt. SponsoredLoan

Q7. Reason of availing loan from J&K Bank Ltd.

1. Easy & Quick Loan Documentation.

2. Less Rate of Interest

3. Better Customer Service

4. Any Other Reason……………………………………………

30

16 14

30

0

5

10

15

20

25

30

35

Any other reason

Better Customer

Service

Less rate of Interest

Easy & Quick

Documentation

Q8. From How many Years are you using the Services Of J&K Bank Ltd.

…………Years ………… Months.

38

107

35

0-5 Years

6-10 Years

10-15 Years

15 and Above

Q9.Which Service Provider would you Rank First.

1. J&K Bank Ltd.

2. State Bank of India.

3. Grameen Bank

4. Baramulla Central Co-operative Bank.

40

8

26

16

J&K Bank

SBI

Grameen Bank

BaramullaCooperative Bank

Q10.If J&K Bank Stands at Number 1, what are its Reasons?

1. Better Customer Satisfaction

2. Big Network of Business Units across Country.

3. Cooperative Staff

4. Any other Reason…………………………………………

35

16 15

24

0

5

10

15

20

25

30

35

40

Any other reason

Cooperative Staff

Big Network

Better CustomeSatisfication

Q11.How would you rate the Services of J&K Bank Ltd. in comparison with other Banks?

1. Good

2. Satisfactory.

3. Average

4. Below Average

29 30

1417

0

5

10

15

20

25

30

35

Below average

Average

Satisfactory

Good

Q12.In terms of performance, what do you think would be the future of J&K Bank Ltd.

1. Will Prosper

2. Decline

3. Remain Stagnant

57

15 18

0

10

20

30

40

50

60

RemainStagnant

Decline

Will Prosper

Q13. How would you rate the after sale services of J&K Bank ltd?

1. Good

2. Satisfactory

3. Poor

62

10

18

Good

Satisfactory

Poor

Q14. Are you satisfied by the Rural door to door banking Initiative Of J&K Bank Ltd?

Yes/ No.

60

30

Yes

No

Q15. Any Complains with J&K Bank Ltd?

…………………………………………………………………………………………

…………………………………………………………………………………………………

…………………………………………………………………………………………………

Q16. Any Recommendations / Suggestions for J&K Bank Ltd?

…………………………………………………………………………………………………

……………………………………………………………

YOUR NAME: MR/MISS: __________________________________________

CONTACT: ______________________ AGE: ___________________________

DESIGNATION: ______________________________________________

ADDRESS: __________________________________________________

__________________________ SIGNATURE: __________________________

BIBLIOGRAPHY

www.jkbank.net

Research Methodology- Cooper

Managing Customer Service-Ravi &Ravi

Marketing Research - Naresh Malhotra

Intranet J&K Bank ltd.

www.google.com

www.wikipedia.com