Surat Peoples Cooperative Bank LTD

A Study of Customer Satisfaction and Business Development for
the Surat Peoples Co-Operative Bank Ltd.

A
PROJECT REPORT
ON
Study of Customer Satisfaction and Business Development for the Surat
Peoples Co-Operative Bank Ltd.
Prepared By:
Bhumit Mehta
MB022
Submitted to:
THE SURAT PEOPLES CO-OPERATIVE BANK LTD.
SURAT
MAY-JUNE, 2016
CENTRE FOR MANAGEMENT STUDIES

DHARMSINH DESAI UNIVERSITY
NADIAD
Centre For Management Studies, DDU, Nadiad

CERTIFICATE
This is to certify that Mr. Bhumit Rajeshbhai Mehta

completed his summer internship from May to June and
prepared a project report titled on Study of Customer
Satisfaction and Business Development for the Surat
Peoples Co-Operative Bank Ltd. Under my supervision and
guidance.
Signature of
Signature of
Head of Department
internal guide
Dr. Naresh Patel
Mr. Hardik Shah
Date:
Place: Nadiad

Preface
In todays competitive global era only theoretical knowledge cant work anymore. So I have
to acquire practical knowledge along with the theoretical aspects so that I can utilize it in
practical manner. I understand that project report for two months is for the development and
enhancement of the knowledge in particular field. Practical knowledge of administration and
management of business is very important. Hence, practical study is of great importance in
my career.
With a view to expand the knowledge in banking sector I have done 2nd semester project
report at The Surat Peoples Co-operative Bank Ltd-Surat. I have made deliberate efforts to
collect the required information and fulfill project objectives. This Project work helps me in
understanding various function performed of banks all department.

ACKNOWLEDGEMENT
A project report is incomplete without the guidance from appropriate person. I take this
opportunity to express my sincere gratitude towards all those, who have helped to bringing
out this project successfully.
It is my great honor and pride to be a part of The Surat People's Co-operative Bank Limited,
Surat at least for 2 months. I heartily thank to Mr. JATIN NAIK (Assistant General
Manager) with whose reference, I got the honor to take great experience with the bank.
I express my profound sense of gratitude and sincere thanks to Mr. PRAVINCHANDRA P.
JARIWALA (president) and Mr. ASHIT V. GANDHI (vice president), of The Surat
People's Co-operative Bank Ltd. Surat, who allowed me to have the opportunity to
accomplish a project report at bank. I would like to express my special thanks to
MR.HARDIK SHAH for this prompt support and guidance in accomplishing this project.
I would also like to express honor to Respected Mr. Anand Shah, Mr. Nikesh fulwala, Mr.
Hitesh Patsagia Miss. Hemisha Patel and other staff members at The Surat Peoples Cooperative Bank Ltd., Adajan Branch.
Lastly I extend my deep sense to God, my Parents, my family members and my friends for
motivating and encouraging me continuously throughout the period of my study. Finally, I
would like to thank to all those people who are directly or indirectly contributed to my project
work.

DECLARATION
I hereby declare that the summer project report titled Study of Customer Satisfaction and
Business Development for the Surat Peoples Co-Operative Bank Ltd under the
guidance of Mr. Hardik Shah, submitted in partial fulfillment of Master of Business
Administration (MBA) to Centre for management studies, DDU (Nadiad). Research
study carried out during 1st, May, 2016 to 30th, July, 2016 and it is not submitted to any other
institute/university for any purpose by any other person. The information collected from
Bank has not been shared with anyone and has been used for the academic purpose only. The
research work is done solely by me and the report is prepared to the best of my knowledge,
research work and observation during the training.
Place: The Surat People's Co-operative Bank Limited.,

Surat
Date: 9thJuly, 2016
Signature
Bhumit R. Mehta

Executive Summary
Process of banking sector is one of the crucial topics. India is a developing country; there are
many nationalized, privatized and co-operative banks which play an important role in the
overall management.
Today the significance of project work has greater importance in business world. Practical
knowledge is as important as theory so that one thing is said, Practice makes a man perfect.
I have undergone my training in Surat Peoples Co-Operative Bank Ltd. I have made the
report depicting the organizations working mechanism and the overview of its
departments.In my training I have worked for eight weeks in bank to understand the various
functions and how the bank works.
Surat People's Co-operative Bank Ltd. plays vital role for the society by rendering effective
services to Middle and lower class people of urban area. The main objective of this training
report is getting knowledge of banking industry and also to measuring the customer
satisfaction and Development strategy of the bank.
I have also included the section introduction of SPCBL bank, various services given by bank.
This project cover details regarding to customer satisfaction towards the e-banking channel
like ATM, RTGS, NEFT, Net banking and mobile banking. By this research I know about the
customer satisfaction about the e-banking channels. And they use this channel or not
As a part and partial fulfilment of the MBA course, I undertook my summer training at Surat
Peoples Co-Operative Bank Ltd., Adajan, Surat. In the first part of the project report, the
general information of the banking industry and information of the company has been
collected. Information regarding the department is gathered through the primary and
secondary source too.
The second part of report contains the research work on the study of customer Satisfaction
and development for The Surat Peoples Co-operative Bank Ltd.. For research the
information is collected through a structured questionnaire. From the data analysis and
findings it can be concluded that most of the customers are satisfied with the bank in terms of
service, schemes, employee customer relationship, technology and other facilities. I have
taken all kind of information of Bank which is regarded to my training. I have tried to do my
best in this Training report.
CONTENT
6

CH. 1 INTRODUCTION OF BANKING SYSTEM................................................ 9
1.1 Banking System in India....10
1.2Definition of Banking..........................................................................................................12
1.3 Definition of Banking ........................................................................................................12
1.4 Structure of Banking in India.............................................................................................13
1.5 How does banking industry work? .................................................................................. 14
1.6 PESTEL Analysis.............................................................................................................. 15
CH. 2 INTRODUCTION OF CO-OPERATIVE BANKS.................................................19
2.1 The Structure of Indian Banking ......................................................................................21
2.2 Types of Co-operative Bank...23
2.3 Five forces of bank.25
CH.3 COMPANY PROFILE............................................................................................... 24
3.1 Introduction of the Surat Peoples Co-Operative Bank Ltd ...............................................25
3.2 Branches of Surat Peoples Co-Op Bank Located At .........................................................26
3.3 Organization Structure of the Surat Peoples Co-Operative Bank Ltd................................28
CH.4 OPERATION DEPARTMENT..................................................................................29
4.1 Deposit department............................................................................................................30
4.2 Service provided by SPCBL..............................................................................................33
4.3 Service Charges..................................................................................................................44
4.4 Award and Recognition......................................................................................................47
CH.5 MARKETING DEPARTMENT ................................................................................50
5.1 Advertisements...................................................................................................................51
5.2 Bills and Posters ............................................................................................................... 51
5.3 Internet Marketing..............................................................................................................51
CH. 6 HUMAN RESOURCE DEPARTMENT...................................................................52
6.1 Pay scale.53
CH.7 CUSTOMER SATISFACTION AND DEVELOPMENT ...................................55
7.1 Why customer satisfaction is so important.........................................................................56
7.2 SWOT analysis...................................................................................................................60
7.3 Development Strategy for the attract customer .................................................................61
CH.8 LITERATURE REVIEW............................................................................................63
7

8.1 Literature Review...............................................................................................................64
8.2 Need to measure customer satisfaction .............................................................................65
CH.9 RESEARCH METHODOLOGY ...............................................................................67
9.1 Need of Study ....................................................................................................................68
9.2 Problem Statement.68
9.3 Objective of Study..68
9.4 Research Design.68
9.5 selection of data..69
9.6 Data Collection Techniques...69
9.7 Sampling Design....69
9.8 Sampling Size.....69
9.9 Sampling Frame ....69
9.10 Data Analysis tools...69
9.11 Scope of Study.69
9.12 Limitation of Study..70
CH. 10 DATA ANALYSIS & INTERPRETATION.......................................................... 71
10.1 Demographic information....72
10.2 Question Analysis....74
CH. 11 CONCLSION & RECOMMEDATION..................................................................97
11.1 Conclusion........................................................................................................................98
11.2 Recommendation..98
BIBLIOGRAPHY ...............................................................................................................100
ANNEXURE.........................................................................................................................101

Chapter-1
INTRODUCTION
OF BANKING
SYSTEM

1.1 BANKING SYSTEM IN INDIA
Banking in India originated in the first decade of 18th century with The General Bank of
India coming into existence in 1786. This was followed by Bank of Hindustan. Both these
banks are now defunct. The oldest bank in existence in India is the State Bank of India being
established as "The Bank of Bengal" in Calcutta in June 1806. A couple of decades later,
foreign banks like Credit Lyonnais started their Calcutta operations in the 1850s. At that point
of time, Calcutta was the most active trading port, mainly due to the trade of the British
Empire, and due to which banking activity took roots there and prospered. The first fully
Indian owned bank was the Allahabad Bank, which was established in 1865.
By the 1900s, the market expanded with the establishment of banks such as Punjab National
Bank, in 1895 in Lahore and Bank of India, in 1906, in Mumbai - both of which were
founded under private ownership. The Reserve Bank of India formally took on the
responsibility of regulating the Indian banking sector from 1935. After India's independence
in 1947, the Reserve Bank was nationalized and given broader powers.
Nationalization:By the 1960s, the Indian banking industry has become an important tool to facilitate the
development of the Indian economy. At the same time, it has emerged as a large employer,
and a debate has ensued about the possibility to nationalize the banking industry. Indira
Gandhi, the then Prime Minister of India expressed the intention of the 001 in the annual
conference of the All India Congress Meeting in a paper entitled "Stray thoughts on Bank
Nationalization." The paper was received with positive enthusiasm. Thereafter, her move was
swift and sudden, and the COI issued an ordinance and nationalized the 14 largest
commercial banks with effect from the midnight of July 19, 1969. Jayprakash Narayan, a
national leader of India, described the step as a "masterstroke of political sagacity." Within
two weeks of the issue of the ordinance, the Parliament passed the Banking Companies
(Acquit ion and Transfer of Undertaking) Bill, and it received the presidential approval on 9th
August, 1969.
A second dose of nationalization of 6 more commercial banks followed in 1980. The stated
reason for the nationalization was to give the government more control of credit delivery.
With the second dose of nationalization, the GOI controlled around 91% of the banking
10

business of India. After this, until the 1990s, the nationalized banks grew at a pace of around
4%, closer to the average growth rate of the Indian economy.
Liberalization:In the early 1990s the then Narasimha Rao government embarked on a policy of liberalization
and gave licenses to a small number of private banks, which came to be known as New
Generation tech-savvy banks, which included banks such as UTI Bank (now re-named as
Axis Bank) (the first of such new generation banks to be set up), ICICI Bank and HDFC
Bank. This move, along with the rapid growth in the economy of India, kick started the
banking sector in India, which has seen rapid growth with strong contribution from all the
three sectors of banks, namely, government banks, private banks and foreign banks.
The next stage for the Indian banking has been setup with the proposed relaxation in the
norms for Foreign Direct Investment, where all Foreign Investors in banks may be given
voting rights which could exceed the present cap of 10%, at present it has gone up to 49%
with some restrictions. The new policy shook the Banking sector in India completely.
Bankers, till this time, were used to the 4-6-4 method (Borrow at 4%; Lend at 6%; Go home
at 4) of functioning. The new wave ushered in a modern outlook and tech-savvy methods of
working for traditional banks.
11

1.2 Definition of Banking:
In general terms, The business activity of accepting and safeguarding money owned by other
individuals and entities, and then lending out this money in order to earn a profit
The term banking is defined as Accepting for the purpose of leading or investment, deposits
of money from the public, repayable on demand or otherwise and withdrawal by cheque,
draft, order or otherwise.
What is Bank?
The word bank derived from the Latin word bancus or banca meaning a bench. A bank
refers to the function of accepting deposits, lending, repaying the deposited money on
demand and functioning as an agent of any national economic structure, the development of
banking is an inventible pre-condition.
1.3 Definition of Bank:

An organization, usually a corporation, chartered by a state or federal government, which
does most or all of the following: receives demand deposits and time deposits, honors
instruments drawn on them, and pays interest on them discounts notes, makes loans, and
invests in securities collects checks, drafts, and notes; certifies depositor's checks and issues
drafts and cashier's checks.
12

1.4 Structure of Banking in India:-
13

14

1.5 How Does Banking Industry Work?
1.6 PESTEL Analysis of Banking Industry

15

What is PESTEL Analysis?

PESTLE analysis, which is sometimes referred as PEST analysis is a concept in marketing
principles. Moreover, this concept is used as a tool by companies the world over to track the
environment theyre operating in or are planning to launch a new project/product/service etc.
PESTLE is a mnemonic which in its expanded form denotes P for Political, E for Economic,
S for Social, T for Technological, L for Legal and E for Environmental. It gives a birds eye
view of the whole environment from many different angles that one wants to check and keep
a track of while contemplating on a certain idea/plan.
Political factor affecting banking industry
Indian banking sector is least affected as compared to other developed countries- thanks to
robust policy framework of RBI.
Government affects the performance of banking sector most by legislature and framing
policy government through its budget affects the banking activities securitization act has
given more power to banking sector against defaulting borrowers.
A stricter prudential regulation with respect to capital and liquidity gives India an
advantage in terms of credibility over other countries.
To support capitalization, the government has infused Rs 23,200 crore (US$ 5.2 billion)
into state-owned banks during the last three fiscals.
The Indian banking Industry is mostly dependent on the monetary policy decided by the
RBI
Stricter regulations with respect to capital and liquidity directly affects the business of
banks
Banks need to adjust their interest rates accordingly, which may or may not favor them
Banks are forced to lend as per the guidelines of RBI, that includes credit growth in all
sectors
Budgetary Measures announced by the government at the beginning of every financial
year also lay down guidelines to banks to lend or accept deposits
The government can also increase credit in particular sectors such as increase in farm
credit, increase in infrastructure credit etc.(priority lending)
16

Sometimes the government gives debt waivers to certain sections of the society that need
to be adhered to by banks as well
Economic factors affecting banking industry
Economic factors in the country also effect the Banking Industry both favourably or
unfavourably
When the economy is in good shape in terms of high per capita income, good agriculture
harvest and normal inflation, banks have an edge as people are left with more money to
deposit them with banks
This helps in more capital formation as more deposits can be realized
Also In the times of economic boom, more and more FDI is brought into India through
banking channels, that actually improves business for banks and the economy in general
Economic prosperity encourages lending business for the banks but in times of recession
banks face tough times to recover their money, issue fresh credit and NIMs is lower too.
Social factors affecting banking industry
The Indian banking system has been progressing rapidly. There are still several untapped
rural markets, despite the large number of banks in India
Many farmers still take loans from moneylenders at a very high interest rate and smallscale industries continue to remain important for banks
However changes could be expected in the near future for the unorganized sector
The growing population of India is a great opportunity for Indian banks as a lot of people
in the country want to open a bank account and develop good savings habits
Changing lifestyle of the Indian urban population who wants easy ways of financing to
their desires
Technological factors affecting banking industry
Indian banking has been consistently working towards the development of technological
changes and its usage in its operations.
17

With the application of new and improved technologies banks are expected to reduce
costs, time and provide higher customer satisfaction.
Internet banking or banking via the phone can be considered a remarkable development
in the banking industry.
Mobile banking enables customers to check their account balance, transfer funds 24x7,
bill payments, booking of bus/flight tickets, recharge prepaid mobile and do a lot more
effortlessly and securely.
Banking through cell phone benefits the banks too. It cuts down on the cost of in-person
banking and helps reduce headcount at branches.
Technological developments facilitate the flow of information and data faster leading to
faster appraisal and decision-making as well.
Environmental factors affecting banking industry
Indian economy has registered a high growth for last three years and is expected to
maintain robust growth rate as compare to other developed and developing countries
Banking Industry is directly related to the growth of the economy
The growth rate of different industries were: Agriculture : 18.5%Industry :
26.3%Services : 55.2%
It is great news that today the service sector is contributing more than half of the Indian
GDP. It takes India one step closer to the developed economies of the world. Earlier it
was agriculture which mainly contributed to the Indian GDP.
This increases the avenues of investment by the industrial sector. This would further
increase the borrowings by the industrys leading to the banking Industry
In regards with the service sector, as the income of the people will increase, lending and
savings will increase leading to increased business for the banks
Legal factors affecting banking industry
There are two major factors determining the legal aspects of the Banking Industry
1. Banking regulation act
18

In 1949, the Banking Regulation Act was enacted which empowered the Reserve Bank of
India (RBI) "to regulate, control, and inspect the banks in India. The Banking Regulation Act
also provided that no new bank or branch of an existing bank could be opened without a
license from the RBI, and no two banks could have common directors
2. Intervention by RBI
The Reserve Bank of India (RBI) will intervene to smooth sharp movements in the rupee and
prevent a downward spiral in its value, but will balance this with the need to retain reserves in
the event of prolonged turbulence.
19

CHAPTER-2
INTRODUCTION OF
CO-OPERATIVE
BANKS
20

Introduction of Co-Operative Bank
A co-operative bank is a financial entity which belongs to its members. Who are at the same
times the owner and the customer of the bank of their bank. Co-operative banks are often
created by person belonging to the same local or professional community or sharing a
common interest. Co-operative bank generally provide their members with a wide range of
bank and financial service (loan, deposits, bank accounts etc.). Co-operative banks differ
from stockholder bank by organization, their goal their values and their governance. In most
countries, they are supervised and controlled by banking authority and have to respect
prudential banking regulation, which put them at a level of control and supervision can be
implemented directly by state entities or delegation to co-operative federation or central body.
Co-operative bank is retail and commercial banking organized on a co-operative basis. Cooperative banking institution takes deposit and lend associations, building societies and cooperative, as well as commercial banking services provided by annual organization (such as
co-operative federations) to co-operative businesses.
The structure of commercial banking is of branch banking type while the co-operative
banking structure is a three tier federal one.
A state co-operative bank works at the apex level (i.e. Work at state level)
The District co-operative bank work at the intermediate level. (i.e. District cooperative bank work at district level)
Primary co-operative credit societies at base level (at village level)
Even if co-operative banks organizational rules can vary according to their respective
national legislations, co-operative bank share common features as follows.
Democratic member control
Co-operative banks are owned and controlled by their members, who democratically elect the
board of directors. Members usually have equal voting rights, according to the co-operative
principle of one person, one vote.
21

2.1Structure of Co-Operative Banks
Reserve Bank of India
State Co-Operative Bank
District Co-operative Banks
Urban Co-operative Banks
Primary Co-operative Society
Scheduled
Co-operative Banks
22
Non- Scheduled
Co-operative Banks

2.2 Types of Co-operative Bank:

The co-operative banks are small-sized units which operate both in urban and non-urban
centers. They finance small borrowers in industrial and trade sectors besides professional and
salary classes. Regulated by the Reserve Bank of India, they are governed by the Banking
Regulations Act 1949 and banking laws (co-operative societies) act, 1965. The co-operative
banking structure in India is divided into following 5 categories:
1.
Primary Co-operative Credit Society:

The primary co-operative credit society is an association of borrowers and non-borrowers
residing in a particular locality. The funds of the society are derived from the share capital
and deposits of members and loans from central co-operative banks. The borrowing powers
of the members as well as of the society are fixed. The loans are given to members for the
purchase of cattle, fodder, fertilizers, pesticides, etc.
2.
District Co-operative Banks:

These are the federations of primary credit societies in a district and are of two types-those
having a membership of primary societies only and those having a membership of societies as
well as individuals. The funds of the bank consist of share capital, deposits, loans and
overdrafts from state co-operative banks and joint stocks. These banks provide finance to
member societies within the limits of the borrowing capacity of societies. They also conduct
all the business of a joint stock bank.
3.
State Co-operative Banks:

The state co-operative bank is a federation of central co-operative bank and acts as a
watchdog of the co-operative banking structure in the state. Its funds are obtained from share
capital, deposits, loans and overdrafts from the Reserve Bank of India. The state co-operative
banks lend money to central co-operative banks and primary societies and not directly to the
farmers.
4.
Land Development Banks:

The Land development banks are organized in 3 tiers namely; state, central, and primary level
and they meet the long term credit requirements of the farmers for developmental purposes.
The state land development banks oversee, the primary land development banks situated in
the districts and tensile areas in the state. They are governed both by the state government and
23

Reserve Bank of India. Recently, the supervision of land development banks has been
assumed by National Bank for Agriculture and Rural development (NABARD). The sources
of funds for these banks are the debentures subscribed by both central and state government.
These banks do not accept deposits from the general public.
5.
Urban Co-operative Banks:

The term Urban Co-operative Banks (UCBs), though not formally defined, refers to primary
co-operative banks located in urban and semi-urban areas. These banks, till 1996, were
allowed to lend money only for non-agricultural purposes. This distinction does not hold
today. These banks were traditionally centered on communities, localities, work place groups.
They essentially lend to small borrowers and businesses. Today, their scope of operations has
widened considerably.
2.3 Five forces of bank:

FORCES
Supply
Demand
Barriers to entry
Bargaining power
of suppliers
Bargaining power
of customers
Competition
24
DESCRIPTION
Liquidity is controlled by Reserve Bank of India (RBI).
India is a growing economy and demand for credit is high though it
could be cyclical.
Licensing requirement, investment in technology and branch
network, capital and regulatory requirements.
High during periods of tight liquidity. Trade unions in public sector
banks can be anti-reforms and orchestrate strikes. Depositors may
invest elsewhere if interest rates fall.
For good creditworthy borrowers bargaining power is high due to
the availability of large number of banks.
High- There is public sector banks, private sector and foreign
banks along with non-banking finance companies competing in
similar business segments. Plus the RBI is all set to issue new
banking licenses soon.

CHAPTER 3
COMPANY
PROFILE
25

3.1 Bank Profile: With advent of 20th century co-operative movement started gathering momentum in our
country in these days. There were few banks having solely profit conscious foreign
management absolutely unmindful of their social obligations. Further there was also wide
spread economic exploitation of the common nun in general and society as a economically
weaker sections of the society in particular by money lenders in form of lending money to
then in the name of catering to the social and economic need at construct code of interest as
also with strict conditions which all together ultimately subjected then to crushing
indebtedness. In the prevailing such socio-economic scenario, co-operative bank were
worked upon to play a vast role in strengthening the co-operative investment.
The Surat people's co-operative bank was popularly known to many as Jadav Shaeb's bank
reason for which is either one or the other four member of Jadav family had association of
one nature or other with it spans spreading over the decades. Late RavShaheb Vrundavandas
Jadav, apart from being founder of the bank, was also the Managing Director since its
inception till the year 1955. Late Thakurbhai Jadav, brother of Late RavShaheb Vrundavandas
Jadav, was an honorary secretary and manager of the bank since its inception till the year
1950. Whereas Late Sudhirbhai Jadav son of the Late RavShahab Vrundavandas Jadav was
the managing director of the bank from the year 1961 to 1985. Shree Jayantbhai Jadav son of
Late Thakurbhai jadav was the general manager from the year 1951 to 1985.
Ever flourishing Surat people's bank acquired the status Or "Scheduled Bank" on 1 st October
1988. It has gained commendable progress till now.
The Surat People's Co-operative Bank Ltd was established in 1922 at Surat. Bank was
registered on 10th March, 1922 and started functioning from 21st April 1922. The Bank was
first registered Urban Co-Operative Bank in India and became Scheduled Bank on 1st
September 1988.
The Bank is serving since last 94 years to the people of Surat . The bank is having network of
25 Branches.
3.2Branches:
26

There are 25 branches of Surat Peoples Co-operative Bank Ltd (SPCBL).
Navapura- Main Branch
Sagrampura
Salabatpura
Bhagatalav
Mahidharpura
Khatodara
Nanpura
Udhana
Chikhli
Katargam
Pandesara
Rander
Bhatar
Umara
Sumul
Ring Road
APMC
Sachin
Timaliyawad
Vapi
Varachha
Adajan
City light
Navsari
Valsad
Vision:-
Our Vision is to be India's most respected and admired urban Co-Operative bank by
influencing people's lives through personalized banking services and partnering them in
realizing their dreams.
Mission:-
Our mission is to be a preferred financial service provider with a special focus on innovative
quality products, technical expertise & efficient services for customer achieve their objectives
and goals.
Values:-
We have accepted cardinal principle of corporate social responsibility and accordingly we

have tried to fulfill our social obligations to be recognized as Surat people's bank in real
sense.
Strengths:-
The Bank is the "First Registered Urban Co-operative Bank" of India.

All Branches Connected in CBS.
Among the first 13 Co-operative Banks in September 1988 to get the Scheduled Bank"
Status.
The bank commenced "Total Branch Automation" in 1902-93.
27

The Rank introduced "SMS Banking Facility" and "View Account Terminal" (VAT)
facility at all branches for better customer service.
Bank started its own 'Training Centre' for providing training to its employees.
The first Bank to provide the "Depository Participant Services" in South Gujarat.
Only co-op bank of South Gujarat to have direct connectivity to RBI serve for RTGS
/NEFT facility.
Only bank to have direct connectivity with RBI server to have NECS facility.
Only Bank to give RTGS / NEFT facility on STP basis - straight through processing.
Achievements:-
The 1st Registered Urban Co-operative Rank' of India.

The bank was among the first 13 co-operative banks to get "Scheduled Status" in September
1988.
Presently all branches are computerized. The bank has implemented "Tele banking facility"
and "View Account Terminal (VAT)" facility at all branches for providing better customer
services.
Bank has its own "Training center" since 1995-96.
The "First bank" to provide the "Depository Participant service in South Gujarat".
Surat Jilia Sharakari Sangh declared the bank as the "Best Urban Co-operative Hank" for
the year 1999-2000 in Surat district.
3.3 Organization Chart:
28

Board of Director
General
Manager
Administrator
Deputy
General
Manager
Assistant
General
Manager
Chief
Manager
29
Senior
Manager
Manager
Branch
Manager
Officer
Officer
Clerk
clerk
peon
peon

CHAPTER-4
OPERATION
DEPARTMENT
30

4.1.
DEPOSITE DEPARTMENT:1. Current account: Current account is opened for business purpose only.
There is no limit on the number of transaction.
There is also no limit on the amount, which can to be withdrawn by the
account holder.
Business proof is necessary at the time of opening account.
Government Approval for business is necessary for opening account.
Normally bank doesnt pay any interest on the deposit of current account.
Account holder must have business stamp with designation.
At least two references are necessary for opening account.
If references are not available, reputation of person is checked.
Specimen signature is important.
In Surat peoples co- operative bank another point is important which are: it
requires maintaining minimum balance of Rs. 3000. Charges per cheque for
current account is Rs. 3.
2. Saving account:As the name indicates account is opened for purpose of saving, people who want to cultivate
the habit of thrift open the saving account.
In this account, limitation of the withdraws.

At least two references are necessary for opening account.
If references are not available, reputation of person is checked.
Specimen signature is important.
In SPB, rate of saving account is 3.5%
If amount of withdrawals/ deposits is above Rs. 50000, PAN card is demanded
by bank.
Every year only two cheque books issued free of cost to the account holders.
After that, if more cheque books are required than charges are taken from
them. The charges are: For trust, there is no limit on the number of cheque
book. For others Rs.45 per cheque is charged.

The bank has two types of saving account:
A. Saving account with cheque book:-
31

In this type account holder is given Cheque book to withdraw their money
from their account which know as cheque saving. Minimum balance of Rs.
1000 is required in account.
B. Saving account without cheque book:In this type of account holder provided with withdrawal slip in order to
withdraw money from account which know as simple saving. Minimum
balance of Rs. 500 is required in account.
For opening new account requirements are:

1. Introduction
2. Reference
3. Photos
4. Residential proof
5. PAN number
3. Recurring Deposit: In recurring deposit scheme, bank provides facility to the small depositor save
money at their convenience.

The depositor has to pay sum of money every month for the pre determine
period.
The duration should be more than 12 months.
Minimum Rs. 25 has to be deposited every month.
The benefits from recurring deposit are:

a. Saving by monthly installment.
b. Earn term deposit interest.
c. Build large capital at the end of the duration.
4. Fixed deposit:The deposit received by bank for a fixed period of time is treated as fixed deposit. The time
duration may be vary from 15 days to 10 years.
32
Account can be opened by minimum Rs. 500.

If annual interest is more than Rs. 10000 than account holder has to pay tax, which
bank itself debits the amount from the account.

If TDS i.e. Tax deduct at source paid by bank, holder get TDS certificate.
In fixed deposit simple interest is used.
In fixed deposit option is available getting quarterly interest instead of annual interest.
If holder wants money before due date 1% penalty is charged.
Staff of banks gets 1% more interest on fixed deposit than prevailing interest rate.
If the holder wants to renew fixed deposit with same amount and same time than
rubber stamp is used.

If the holder of fixed deposit is the share holder of bank than they dont have to pay
tax.
If the holder doesnt have PAN card, then he/she has to pay 20% tax instead of 10%.
If the amount of deposited is above 15lacs, they will get 0.255 extra interest rate than
prevailing interest rate.
There are two types of deposit based on duration:

A. Short term deposit:
The period for short term deposit is up to 12 months and interest is payable after and of
pre determining period. It is non-cumulative schemes i.e. the interest charged is based on
non-cumulative method which can be called as simple interest method.
B. Long term deposit:
The deposits which are held for the period of more than 12 months are treated as Long
term deposit. Here also simple interest is given to the holder. In long term deposit option
of getting quarterly interest available to holder.
4.2.
33
SERVICES:-

1. EFT (Electronic Fund Transfer):EFT has two types of services:
(1) NEFT (National Electronic Fund Transfer)
(2) RTGS (Real Time Gross Settlement)
a. NEFT (National Electronic Fund Transfer):Here transactions take place of less than 2,00,000 Rs. In this system the fund transfers in
nearly half an hour.
For this system bank has to get membership from reserve bank of India. These banks which
have this membership can provide fund transfer nationally in any bank and any branch
online. So this service saves lots of time and paper work.
Customer can have their money in very less time this service provides customer good facility
to do business in this technologically advanced competitive market.
By this system bank which provide this services gets competitive advantages over its
competitors and can attract large numbers of customers. This is very advanced and internet
banking services component
b. RTGS (Real Time Gross Settlement):The acronym RTGS stands for Real Time Gross Settlement, which can be defined as the
continuous settlement of funds transfers individually on an order by order basis (without
netting). Real Time means the processing of instructions at the time they are received rather
than at some later time. Gross Settlement means the settlement of funds transfer instructions
occurs individually (on an instruction by instruction basis). Considering that the funds
settlement takes place in the books of the Reserve Bank of India, the payments are final and
irrevocable.
c. How RTGS is different from National Electronics Funds Transfer System
(NEFT)?
Ans. NEFT is an electronic fund transfer system that operates on a Deferred Net Settlement
(DNS) basis which settles transactions in batches. In DNS, the settlement takes place with all
34

transactions received till the particular cut-off time. For example, currently, NEFT operates in
hourly batches - there are eleven settlements from 9 am to 6 pm on week days and five
settlements from 9 am to 1 pm on Saturdays. Any transaction initiated after a designated
settlement time would have to wait till the next designated settlement time. Contrary to this,
in the RTGS transactions are processed continuously throughout the RTGS business hours.
d. What are the minimum and maximum amount of remittance under RTGS and
NEFT?
Minimum Amount
Maximum Amount
RTGS
RS 2 lakhs
No upper ceiling
NEFT
No minimum limit
No upper ceiling
2. ECS (Electronic Clearing Services):ECS has three components:

1.) User bank
2.) Sponsor bank
3.) Destination bank
In olden days cheques were physically transfer for clearing and take probably 10 to 15 days it
is time consuming & costly. So ECS is come into existence. Firstly, customer has to fill
mandate from with necessary information which include unique transfer reference number
(UTR), MICR number, and user name and user number. MICR number of Surat Peoples Co
operative Bank main branch is 395251002.
Overview of ECS:
1. User bank:
35

Here user has a/c and he/she fills mandate form in user bank and order to transect amount
on particular time like monthly, quarterly, half yearly & yearly.
2. Sponsor bank:
Sponsor bank is a bank in which company hire to collect amount from their customers.
Sponsor bank collects the entire amount on behalf of the company from each & every
branch in India. E.g, if Vodafone provide ECS service to its customers it has to contact
other banks like ICICI or BOB then it is known as sponsor bank.
3. Destination bank:
Destination bank is a bank in which actual transaction takes place. This bank has
responsibility to verify the details of customer and credit or debit the amount from
customer account to sponsor bank.
3. Overdraft:
Credibility of customer is determined as loan.
All functions related to credibility of customer and margin is determined by central
administration office.
Margin of overdraft determine by type of business.
Higher the risk higher the margin.
In medical business margin is lesser. It we take 100 rs. 20% margin is given then 80
Rs are available as overdraft.

In import export business risk is higher so margin is higher like 100 rs 40% margin
4.
are given 60 Rs in available as overdraft.

Demand draft:
The demand draft is one of the instruments used for the rapid transfer of money.
The demand draft is the developed from of bank draft.
Bank draft means when particular branch of bank issues instruction to another of its
own branch to give particular amount to a particular person then, that instrument of
transaction is called a bank draft.

This form of bank draft which can be immediately cashed on demand is known as
Demand draft.
Charges of demand draft:
36

Up to 10000
10001 to 60000
60001 & above
Cancellation of DD
20
30
For every 10000 0.5 rs. Extra
60
5. Pay order service:

Pay order is secure way to make payment. Pay order can be made of your partys name. And
it is best proof of payment of this amount and on date. So, instead of giving cheque you can
make pay order from bank and bank will make a payment from your account.
6. DEMAT Account through Surat Peoples bank:

DEMAT stands for Dematerialization Account. Physical Security holding are converted into
Electronic holdings so no fear about loss of paper form securities, theft, fire or mutilation. For
Dematerialization of shares, an account with Depository Participant (DP) is required to be
opened in the style in which the shares are held. Bank is DP with NSDL.
Comfort / Convenience
No botheration for storing and preservation and no loss of securities.
Sale-purchase, credit-debit by written mandate only.
Security transfer without share transfer forms.
Freedom from botheration to inform change of address to all the companies.
Easy to pledge security and to get loan.
Direct credit of corporate benefits like Bonus, Market Shares and Right Share in your
account.
37

Direct credit of Shares, Securities purchased from Market.
Online facilities to view demat account statements through IDEA facility and online
submission of market instructions through SPEED-E facility.
Nominal Service Charges:
No stamp duty expense on transfer of securities.
Saving of postal expenses and time etc.
Very small amount of brokerage for sale / purchase of shares and securities.
Competitive interest will be charged on loans/advances against DEMAT shares & securities.
7. LOCKER:
The Surat People's Co-Op. Bank Ltd. offer safe deposit lockers for safety of your valuables.
We offer safe deposit vault or locker at a no. of branches at reasonable rent depending upon
the size of locker. The adajan branch offers this service.
8. SMS ALERT:
Bank is sending SMS on the different types of transactions.
SMS on withdrawal of Rs. 1000/- or more.
SMS on credit of Rs. 5000 or more. (Except Outward Clearing).
SMS regarding Inward cheque return.
SMS before issuing cheque book.
SMS on maturity of FD.
Welcome message on opening of account.
38

SMS on withdrawal of ATM Rs. 100/- or more.

9. SPB Vasudhara Card:
SPCBL is the first Co-op bank of south Gujarat to issuance of RuPay ATM cum debit card.
SPB Vasudhara RuPay ATM cum Debit Card which provides you anywhere, any me banking
facilities. Having this card in your wallet is like carrying your bank account with you
wherever you go. This card comes with enhanced security feature as it is a PIN based card i.e.
PIN is mandatory in order to perform transactions at Merchant Establishments (POS) and
ATMs.
Your SPB VasudharaRuPay ATM / Debit card entitles you:
Daily ATM cash withdrawal limit is 30000/- .

SPB VasudharaRuPay ATM cum Debit card enables you to access over 15 ATMS of
The Surat People's Co-op Bank spread across the South Gujarat. You can also use
your SPB VasudharaRuPay ATM cum Debit card at 1, 90, 000+ ATMs under
(National Financial Switch) NFS network in India.

24-Hour Customer Service: You can contact our Toll Free No. 1800 233 7722 round
the clock for any assistance regarding your SPB VasudharaRuPay ATM cum Debit
card.
10. View Account Terminal (VAT Machine):

You can easily have information on the screen about your account details like balance and
latest transaction. VAT is placed at all branches of SPCBL.
Customers shall Check Various Account Transaction & Details like...
All branch Account information
Balance View
View statement of Account
Clearing Status
View today clearing Debit / Credit
View group balance
Benefits of VAT Services
Customer can check them Account Information without any dependency.
Guideline for Customer
If you Forget your PIN then we will regenerate it as per your request
39

Password security is a must. After getting your PIN, do change it and memorize it
otherwise your account may be misused by someone who gets to know your password
inadvertently.
11. Teller system:

Customer can directly withdraw amount up to Rs 50,000/- from the person called teller.
Branches in which this system has been implemented are Main Branch, Rander road branch,
Khatodara branch.
Advantages
No need to wait for processing of Cheque/transfers through various phases.
Lesser processing time.
4.3.
CLEARING DEPARTMENT: In clearing department the very first process is that the customer of the bank present
cheque in the bank in which the customer has opened the account.
The customer can have five type of account in the bank like,
1. Current account
2. Saving account
3. Fixed deposit account
4. Loan account
5. Overdraft account
Types of Cheques:
The cheques are divided into mainly three parts:
1. Cheques of SPCBL. The cheque of same branch is called local cheque.
2. Cheque of other bank in same city.
3. Cheque of other bank whose branch is not in the city.
Charges of collection outside Cheque:

Up to 10000
10001 to 50000
50001 to 100000
100000 & above
50
75
100
150
Process of clearing:40

1. Clearing the cheques:
First step is to check the cheque is MICR or NON-MICR.
Then after check the details of cheque:
To examine slip book and cheques corresponds for name, amount and account
number.
To check antedate and post-date cheques.
To check the bank.
To check the customer has written their contact number or not.
Stamp on slip book and on back of cheque according to the type of cheque:
On cheque of SPCBL stamp of TRANSFER is used.
On cheque of other bank in the same city stamp of CLEARING is used.
On cheque of other bank which is not in same city stamp of OBC is used.
On outer cheques stamp of CROSSING is used along with the CLEARING or
OBC stamp.
2. Sorting Out:
The cheques are separated according to their types i.e.
1. Cheques of SPCBL.
2. Cheques of other bank.
3. Cheques of other bank outside the city.
3. Give the credit entry:
According to transaction sub code is given.

Enter the account number that is mention on the cheque.
Tally the name of the account holder mention on the cheque.
Then check the balance of that account then enter the amount mention on the cheque.
Now, enter the account number that is mention on the slip.
Tally the name of account holder mention on the slip. It is accurate then enters the
amount mentioned on the slip.

After that enter individual instrument, like cheque number, bank code and transaction
code.
After finishing the entire step, queue number is written on cheque and sends for the
authorization.
41

4. Calling the cheque:
When calling is carried out following four parameters are checked:
1. Account number
2. Name of account holder
3. Name of the bank
4. Cheque amount
5. Send all cheques of other bank of the city to MICR center:
The representation of bank takes all the cheques to MICR center before 5:00 p.m.
MICR Cheques:
With the multi mode increase in the volume of cheque collection business and the
number of branches of bank, the time taken for collection of cheques and their
ultimate credit to customers account has been increasing day-by-day.
The delays have reach to an alarming proportion.
To remedy the entire situation a system of Magnetic Ink Character Recognition
(MICR) for cheque writing, so as to allow for computerized cheque processing has
been introduced.
MICR is a technique of using ink containing magnetic particles to print characters on
the cheques, drafts, travellers cheques and paper documents.
When instrument comes under an electrical field, the lines gets magnetised and
generates a wave pattern, which is reached by computer.
Encoders and readers sorters are used for this purpose.
The MICR cheques are printed on special paper and on bottom of the cheques there is
a White Band where Cheque number and Branch code number are printed.
On the read code following code line is printed by MICR:
1. Cheque serial number (6 digits) e.g. 456829
2. City code, bank code and branch code (9 digits)
City code (3 digits) e.g. Surat- 395 (first 3 digits is PIN number)
Bank code (3 digits) e.g. SPCB 251 (given by RBI)
Branch code (3 digits)
3. Transaction code (2 digits)
To know the type of different account code is given according to different
types of account.
The following are the guidelines in regard to the use of MICR cheques:
1. Dont write/sign on the code line/ bottom end.
2. Dont pin/staple on the code line.
3. Dont paste on the code line.
42

4. Dont fold the cheque while mailing cheques/ drafts, please use envelopes of
adequate size to avoid folding.
5. Dont affix rubber stamp on the code line.
4.3 Service Charges

Revised Service Charges (From 02/04/2013)
Sr.
No.
Type of service
Charges
1.
Stop payment instruction
Issued Cheque : Rs. 60/- per cheque

Lost Cheque : Rs. 35/- per cheque, However
maximum Rs.170/-
2.
Ledger Folio Charges

(Current & OD Accounts)
No Charges
3.
Maintenance of Minimum
Balance
No Charges
4.
Cheque Book issue
S.B.C. Account - 40 cheques leaves free per
43

annum.
Thereafter Rs.2.25/- per cheque leaf.
CA/OD Account - Rs.3.00 per cheque leaf.
5.
Cheque return charges

(1) Local cheques
(a) Outward
(b) Inward
(2) Outstation cheques.
(3) Outstation Bills
Outward clearing Rs. 60/Inward clearing Rs.115/Rs.100/- including Postage charges.

Rs.100/- including Postage charges.
6.
Duplicate Pass Book/

Statement issue.
* Pass Book - one year entry (Maximum 2 page)

Rs.60/Additional Page Rs.15/-.
* Statement: Rs.15/- per sheet.
7.
Solvency Certificate
(Issued only by Central
Office)
No Charges
8.
ECS (Electronic clearing

system)
Debit Authority form
certificate.
Return ECS
Inward ECS
Rs.115/- per Bank Certification

Rs.115/- per return.
Free
9.
DD
cancellation/Revalidation/
Duplication
Rs.60/- per instrument.
10.
Account closed within one

year.
Savings : If closed within one year Rs. 30/SBC.: If closed within one year Rs. 60/C/A-O/D : If closed within one year Rs.115/-
11.
(A) Issue of Balance

Certificate of customer's
Account (Except Bank)
(B) Issue of certificate for
transaction purpose
(A) Rs.60/- per original certificate.
RTGS / NEFT Payment
RTGS
12.
44
(B) (1) For average balance of Upto Rs.10,000/Rs. 30/(2) For average balance above Rs.10,000/Rs. 60/-

transaction
(Outward)
* Rs.2,00,000/- TO 5,00,000/- Rs.28/* Above Rs.5,00,000/- Rs.56/NEFT

* Upto Rs.10,000/- Rs.3/* Rs.10,000/- TO 1,00,000/- Rs. 6/* Rs.1,00,000/- TO 2,00,000/- - Rs. 17/* Above Rs.2,00,000/- - Rs. 28/-
13.
Issue of Pay Order
(A) Upto Rs.10,000/- Rs.30/Rs.10,001/- to Rs.1,00,000/- Rs.55/Rs.1,00,001/- and above Rs.115/(B) If the transactions are by depositing cash, then
additional 100% extra charges will be taken (even
if cash is deposited in SB/CA/ OD account for the
particular transaction only).
14.
Issue of Demand Draft
(A)
Upto Rs.10,000/- Rs. 20/Rs.10,001/- to Rs.60,000/- -Rs. 30/Rs.60,001/- and above Rs. 0/50 per Rs.1,000/-and
maximum Rs.560/(B) If the transactions are by depositing cash, then
additional 100% extra charges will be taken (even
if cash is deposited in SB/CA/ OD account for the
particular transaction only).
15.
Foreign Currency
Actual charges collected by other Bank and also 1/2

of the Bank charges collected as our commission. +
Service Tax extra.
16.
Inland Guarantee/Letter of
Credit
1% commission per annum in case of 100%

secured guarantee/ L.C. by way of our F.D.
receipts. In all other cases 1.50% commissions per
annum.
Service Tax to be charged.
45

4.4 Award and Recognition: Champion of Champions- 2012-2013 Award organized by The South Gujarat Co-op
Banks Association Ltd 20th Sep2013.
Top performer in New A/c opened (Bank Category) in NSDL star performer Award-2013
organized by NSDL.
46

Participation Award in Vyapar 2013 organized by South Gujarat Chamber of

commerce & Industry.
Award for Customer choice Award for Banking Services 2009 organized by Gujarat
Mitra & Grahak Parishad, Surat.
Jury special recognition award from banking frontiers-A Leading Banking Magazine.
47

First Award in the category of decoration of Traffic I land for Swami Vivekanand
traffic I Land in competition 2010 organized by Surat Municipal Corporation.
Other Awards:
Participation Award in Udyog 2013 organized by The SGCCI
Runner up trophy in Tennis Cricket Tournament VASUDHARA-2012 organized by
The Surat Peoples Co Op Bank Ltd
First prize in SCOBA Toppers Award 2008-09 for Category III Scheduled UCBs
organized by The South Gujarat Co Op Banks Association Ltd at Khanvel
Champion of Champions-2007-08 Award for Best Performance organized by The
South Gujarat Co Op Banks Association Ltd at Lonawala on 15th Nov 2008
Best NPA Reduction Project Award Large UCBs from Banking Frontiers-A Leading
Banking Magazine
48

CHAPTER-5
49

MARKETING
DEPARTMENT
5.1.
Advertisements:
The Surat Peoples Co- operative bank usually gives advertisement in local
newspapers about its interest rate, new services and change in policies.
By giving advertisement in local newspaper they can appeal large number of its
customer who refers newspaper every day.
5.2.
50
Bills and posters:

Bills and posters also play very major role in SPBs marketing activities as certain
number of customer visit every in bank so it is very easy and convenient way to
communicate with them.

SPB usually stick bills on a pillar in most prominent place usually front of entrance
door where everybody can see it at one glance.
5.3.
Internet marketing:
SPB communicate its customers through their official website which will provide all the new
updates to the customer.
51

CHAPTER-6
HUMAN
RESOURCE
DEPARTMENT
52

6.1 Pay scale:
Basic
salary
Dearness
Allowances
(DA)
Human
Resource
Allowances
(HRA)
City
Compensatory
Allowances
(CCA)
Travelling
Allowances
(TA)
Post
Allowances
(P
A)
(PA)
Other
Allowances
53

HRA is 6.25% of basic salary.

CCA is 3.25% of basic salary.
Provident fund and Gratuity is also provided in which SPB provide 12% pension and
maximum 1000000 Gratuity respectively.

Education Allowances per month per child Rs. 500 is provided.
Medical allowances disburse once in year.
Maximum 30 days privileged Leave provided every year.
Sick leave is 20 days every year and maximum 365 entire service life.
Maximum 15 days Causal Leave provided every year.
Recruitment:
Eligible candidates can apply for this position through online before the ending date
provided by SPB.
Selection of the candidate is based on the merit in written test and in interview.
First of all candidates are called for written test, after completion of the written test
SPB will short list the candidates and called short listed candidates for interview.
Marks obtained in written test is very important for ranking systems, so candidates
need to prepare well for this written test.

Depending upon the number of vacancies only those candidates who rank sufficiently
high in the written test will be called for the interview.

Final selection will be on the basis of the ranking accorded, after adding the marks
obtained in the written test and interview.
Selected candidates need to sign in a service bond.
54

CHAPTER-7
CUSTOMER
SATISFACTION
AND
DEVELOPMMENT
55

Customer satisfaction: Customer satisfaction is a marketing term that measures how products or
services supplied by a company meet or surpass a customer's expectation.
Customer satisfaction is important because it provides marketers and business
owners with a metric that they can use to manage and improve their businesses.
7.1 Why is customer satisfaction so important?

A satisfied customer is likely to send more business back to the company, while an
unsatisfied customer may be more apt to prevent the business from soaring. Negative reviews
from customers can have more of an impact on a business than owners may think. While the
customer may not always be right, they need to be satisfied to the best of every bank's ability.
When it comes to advertisement, word of mouth can be the best kind. bank spend a lot of
money on advertisement and good customer satisfaction guarantees free advertisement. When
a customer is satisfied with a product or service, she is likely to spread the word and help
increase the bank's profits.
There are several methods of to help customer satisfaction. Owners should offer all customers
the opportunity to fill out a survey and closely evaluate what is being said. In addition,
owners should respond to all customer complaints and handle them in a timely fashion.
Here are the top six reasons why customer satisfaction is

so important:
Its a leading indicator of consumer repurchase intentions and loyalty
Its a point of differentiation
It reduces customer churn
It increases customer lifetime value
It reduces negative word of mouth
Its cheaper to retain customers than acquire new ones
56

1. its a leading indicator of consumer repurchase intentions and loyalty
Customer satisfaction is the best indicator of how likely a customer will make a purchase in
the future. Asking customers to rate their satisfaction on a scale of 1-10 is a good way to see
if they will become repeat customers or even advocates.
Any customers that give you a rating of 7 and above, can be considered satisfied, and you can
safely expect them to come back and make repeat purchases. Customers who give you a
rating of 9 or 10 are your potential customer advocates. who you can leverage to become
evangelists for your company.
Scores of 6 and below are warning signs that a customer is unhappy and at risk of leaving.
These customers need to be put on a customer watch list and followed up so you can
determine why their satisfaction is low.
See how satisfaction provides so much insight into your customers?
Thats why its one of the leading metrics businesses use to measure consumer repurchase
and customer loyalty.
2. its a point of differentiation
In a competitive marketplace where businesses compete for customers; customer satisfaction
is seen as a key differentiator. Businesses who succeed in these cut-throat environments are
the ones that make customer satisfaction a key element of their business strategy.
Picture two businesses that offer the exact same product. What will make you choose one
over the other?
If you had a recommendation for one business would that sway your opinion? Probably. So
how does that recommendation originally start? More than likely its on the back of a good
customer experience. Companies who offer amazing customer experiences create
environments where satisfaction is high and customer advocates are plenty.
This is an example of where customer satisfaction goes full circle. Not only can customer
satisfaction help you keep a finger on the pulse of your existing customers, it can also act as a
point of differentiation for new customers.
3. It reduces customer churn
An Accenture global customer satisfaction report (2008) found that price is not the main
reason for customer churn; it is actually due to the overall poor quality of customer service.
57

Customer satisfaction is the metric you can use to reduce customer churn. By measuring and
tracking customer satisfaction you can put new processes in place to increase the overall
quality of your customer service.
I recommend you put an emphasis on exceeding customer expectations and wowing
customers at every opportunity. Do that for six months, than measure customer satisfaction
again. See whether your new initiatives have had a positive or negative impact on
satisfaction.
4. It increases customer lifetime value
A study by Info Quest found that a totally satisfied customer contributes 2.6 times more
revenue than a somewhat satisfied customer. Furthermore, a totally satisfied customer
contributes 14 times more revenue than a somewhat dissatisfied customer.
Satisfaction plays a significant role in how much revenue a customer generates for your
business.
Successful businesses understand the importance of customer lifetime value (CLV). If you
increase CLV, you increase the returns on your marketing dollar.
For example, you might have a cost per acquisition of $500 dollars and a CLV of $750.
Thats a 50% ROI from the marketing efforts. Now imagine if CLV was $1,000. Thats a
100% ROI!
Customer lifetime value is a beneficiary of high customer satisfaction and good customer
retention.
5. It reduces negative word of mouth
McKinsey found that an unhappy customer tells between 9-15 people about their experience.
In fact, 13% of unhappy customers tell over 20 people about their experience.
Thats a lot of negative word of mouth.
How much will that affect your business and its reputation in your industry?
Customer satisfaction is tightly linked to revenue and repeat purchases. What often gets
forgotten is how customer satisfaction negatively impacts your business. Its one thing to lose
a customer because they were unhappy. Its another thing completely to lose 20 customers
because of some bad word of mouth.
To eliminate bad word of mouth you need to measure customer satisfaction on an on-going
basis. Tracking changes in satisfaction will help you identify if customers are actually happy
with your product or service.
58

6. its cheaper to retain customers than acquire new ones
This is probably the most publicized customer satisfaction statistic out there. It costs six to
seven times more to acquire new customers than it does to retain existing customers.
If that stat does not strike accord with you then theres not much else I can do to demonstrate
why customer satisfaction is important.
Customers cost a lot of money to acquire. You and your marketing team spend thousands of
dollars getting the attention of prospects, nurturing them into leads and closing them into
sales.
Why is it that you then spend little or no money on customer retention?
Imagine if you allocated one sixth of your marketing budget towards customer retention.
How do you think that will help you with improving customer satisfaction and retaining
customers?
Here are some customer retention strategies to get you thinking:
Use blogs to educate customers
Use email to send special promotions
Use customer satisfaction surveys to listen
Delight customers by offering personalized experiences
59

7.2 SWOT analysis

SWOT means Strengths, Weakness, Opportunity and Threats so sorting out of the qualities
according to the given category is SWOT analysis.
Strength
The Bank is the "First Registered Urban Co-operative Bank" of India.

All Branches Connected in CBS.
Among the first 13 Co-operative Banks in September 1988 to get the "Scheduled Bank"
Status.
The bank commenced "Total Branch Automation" in 1992-93.
The Bank introduced "SMS Banking Facility" and "View Account Terminal" {VAT}
facility at all branches for better customer service.
Bank started its own "Training Centre" for providing training to its employees.
The first Bank to provide the "Depository Participant Services" in South Gujarat.
Only coop bank of South Gujarat to have direct connectivity to RBI server for RTGS
/NEFT facility.
Only bank to have direct connectivity with RBI server to have NECS facility.
Only Bank to give RTGS /NEFT facility on STP basis - straight through processing
There is constant increase in the annual profit of Surat Peoples Co-operative bank.
Weakness
The services such as ATM Card and Internet banking is inappropriate
It fails to Provide Credit card facility
The ATM card of SPCB cannot be accessed in any other banks ATM centres.
Foreign exchange service is not properly developed and there is no facility of
NRI account.
It fails to attract new customer for opening their account in SPCB.
The ATM centres are very less of Surat Peoples Co-operative bank.
Making
Opportunities
By developing ATM card and Internet banking it can achieve more customer satisfaction
and also can get new customers.
The credit card facility is not yet available hence many customers use other bank
accounts like HDFC,ICICI,SBI etc. to get the credit card facility hence if bank provide
credit card facility than the customer may not access other banks accounts.
It can develop its more branches in other Metro cities and states and expand its business
at a National and Global level.
60

The profit of Surat peoples co-operative bank is very high and hence it can do more and
more promotional activities and can attract new customers.
It can be Indias most respected and admired urban Co-Operative bank by influencing
peoples lives through personalized banking services and partnering them in realizing
their dreams.
The SPCB can be a preferred financial service provider by focusing on innovative
quality products, technical expertise &efficient services for customer to achieve their
objectives and goals.
Threats
Many multinational banks are going to establish in Surat city and hence this may reduce
the customers of SPCB as many people prefer multinational companies because of its
quality service.
Recently RBI has given the license to 26 non-banking multinational companies such as
Reliance Capital, IDFC, Edelweiss Financial , Muthoot Finance , Reliance Capital, J M
Financials, Religare Enterprises, Aditya Birla Nuvo, L & T Finance Holdings, TATA
Sons, Bajaj Finserv etc. hence there will be more competition.
As the SPCB fails to provide better ATM card, internet banking services there may be
chances that the customer may jump to other bank which provide better services of ATM
card, Internet banking etc.
SPCB also not providing Credit card facility and hence this will also demotivate its
customers.
7.3 Development Strategy for the Attract a Customer: The bank provides its customers with latest facilities like internet banking facility and mobile
banking facility.
The bank introduced new products and schemes to bring in new customers. They would also
build relationships with existing customers to retain them.
The SPCBL were providing attractive FD rates loan rates compare to other competitive banks for
e.g. state bank FD rate is 7.00% ICICI BANK FD rate is 7.40% but SPCBL provide 8% in
period of more than 1 year.
They were also providing 1% extra for senior citizen but other banks provide 0.5% for senior
citizen.
Recently they launched a one scheme is double in only for 2626 Days 9.76% and that is short
period compare to other banks.
They are placed a VAT machines at all branches so customer can easily have information on the
screen about account details like balance and latest transaction.
Bank has become member of UTI and Bank accepts applications for new pan card and
modification in pan card.
61

The bank also provide E-payment of taxes so Customer has to submit form and Bank will collect
data and submit it to other banks for paying tax electronically.
The SPCBL providing demat and ASBA facilities: -
Benefits to Investors for ASBA:
Easy procedure
No need to fill any type of form
No need to wait for refund
Earn interest on invested amount till allotment.
The spcbl did not take charges on unlimited ATM transactions.
62

CHAPTER-8
LITERATURE
REVIEW
63

LITERATURE REVIEW
Not so long ago, accessing our own money was about setting aside a couple of hours, getting
to the bank before closing time, standing in one queue to get a token and then in another to
collect the cash. Those were the pre-economic reforms days, when the banking sector
primarily consisted to the co-operative Banks.
Cut to the present day and the nature of banking has changed beyond recognition. With ATM
cards, simple banking transactions like withdrawing and depositing money are easier than
ever before. For the tech-savvy, there is the option of banking online. The next medium may
just be your mobile.
Ravi C.S & kundan basavaraj (2013) investigated the preference and satisfaction level of
customers towards loans deposits schemes rendered by co-operative bank in Surat city.
Business and vehicle loan are fast moving than other services and overall satisfaction at 50%.
Further overall satisfaction on bank deposit schemes resulted positively while other schemes
of banking still need to be given attention by focusing on customer issues. New innovative
schemes, strategies to cater to non-users other services have to be adopted.
Dr. Snehal kumar h mistry (2013) Focused on the factors that affecting customer satisfaction
in SPCBL and analyze their effect. It is revealed that customer satisfaction is the key for
many banks to survive competition. Customer gives third preference to assurance factor, it
includes criteria like safety of transaction, consistency in service etc, so, banks whether they
are private sector bank or public sector bank they should give more focus on increasing
reliability, responsiveness and assurance. For that they can give training to their employee
which will help them to give personalized service.
Dr. A.H Sequeira (2012) made an attempt to address the issues related to customer
satisfaction and quickness transactions in SPCBL. It is clear from the results that the
customer services are reasonably satisfactory
S.Sivesan found the impact of service quality on customers satisfaction in banking sector.
Service quality are inter related with customer satisfaction. Manager of the bank or
administrative body needs to identify the primary quality determinants, clearly managing the
customer expectation, educating the knowledge t customer regarding the service for
improving the service quality in the banking sectors.
64

"If you cannot measure it, you cannot improve it."
- Lord William Thomson Kelvin (1824-1907).
8.2 The Need to Measure Customer Satisfaction:

Satisfied customers are central to optimal performance and financial returns. In many places
in the world, business organizations have been elevating the role of the customer to that of a
key stakeholder over the past twenty years. Customers are viewed as a group whose
satisfaction with the enterprise must be incorporated in strategic planning efforts. Forwardlooking companies are finding value in directly measuring and tracking customer satisfaction
(CS) as an important strategic success indicator. Evidence is mounting that placing a high
priority on CS is critical to improved organizational performance in a global marketplace.
With better understanding of customers' perceptions, companies can determine the actions
required to meet the customers' needs. They can identify their own strengths and weaknesses,
where they stand in comparison to their competitors, chart out path future progress and
improvement. Customer satisfaction measurement helps to promote an increased focus on
customer outcomes and stimulate improvements in the work practices and processes used
within the company.
When buyers are powerful, the health and strength of the company's relationship with its
customers its most critical economic asset is its best predictor of the future. Assets on the
balance sheet basically assets of production are good predictors only when buyers are
weak. So it is no wonder that the relationship between those assets and future income is
becoming more and more tenuous. As buyers become empowered, sellers have no choice but
to adapt. Focusing on competition has its place, but with buyer power on the rise, it is more
important to pay attention to the customer.
Customer satisfaction is quite a complex issue and there is a lot of debate and confusion
about what exactly is required and how to go about it. This article is an attempt to review the
necessary requirements, and discuss the steps that need to be taken in order to measure and
track customer satisfaction.
Service Quality and Customer Satisfaction:
There is a great deal of discussion and disagreement in the literature about the distinction
between service quality and satisfaction. The service quality school view satisfaction as an
antecedent of service quality - satisfaction with a number of individual transactions "decay"
into an overall attitude towards service quality. The satisfaction school holds the opposite
view that assessments of service quality lead to an overall attitude towards the service that
they call satisfaction. There is obviously a strong link between customer satisfaction and
65

customer retention. Customer's perception of Service and Quality of product will determine
the success of the product or service in the market.
If experience of the service greatly exceeds the expectations clients had of the service then
satisfaction will be high, and vice versa.. In the service quality literature, perceptions of
service delivery are measured separately from customer expectations, and the gap between
the two provides a measure of service quality.
Expectations and Customer Satisfaction:
Expectations have a central role in influencing satisfaction with services, and these in turn are
determined by a very wide range of factors lower expectations will result in higher
satisfaction ratings for any given level of service quality. This would seem sensible; for
example, poor previous experience with the service or other similar services is likely to result
in it being easier to pleasantly surprise customers. However, there are clearly circumstances
where negative preconceptions of a service provider will lead to lower expectations, but will
also make it harder to achieve high satisfaction ratings - and where positive preconceptions
and high expectations make positive ratings more likely. The expectations theory in much of
the literature therefore seems to be an over-simplification.
66

CHAPTER-9
RESEARCH
METHODOLOGY
67

9.1 Need of study:
The study will point the area which requires improvement and development for the
customer satisfaction.
It will reflect the reasons for the satisfaction or dissatisfaction of the consumers.
To study about the bank about their customized products and services, according to the
consumers needed.
To study the experience and expectations of the existing customers.
To study to improve the current standards of services.
To study about the business tactics followed to stand against the competitors.
9.2 Problem statement:

Customer satisfaction and development towards the surat peoples bank
This study will help us to understand the consumers satisfaction towards banking services.
This study will help banks to Understand, how a consumer selects, organizes and interprets
the service of banking. This study tries to analyze the customer perception towards banking
services in SPB and they will know actual image in customer mind.
9.3 Objective of the study
To measure the satisfaction level of the consumers

to get an overview about the services and performance of surat peoples bank
9.4 Research design:

The research design adopted in this study was DESCRIPTIVE RESEARCH DESIGN.
DESCRIPTIVE
A descriptive study is one in which information is collected without changing the
environment.
Descriptive study in which the researchers interact with the participation may involve surveys
or interviews to collect necessary information.
9.5 Selection of source data:

68

1. Primary data:
The method of collection of primary data was direct personal interview through a
structured questionnaire.
In this project we collected the data of customer satisfaction by primary data
collection method with the help of questionnaire.
2. Secondary Data:
The secondary data was collected with the help of past research report of The Surat
Peoples Co-Op. Bank.
3. Tertiary Data:
In this project we collected information about banking industry and The Surat
Peoples Co-Op. Bank with the help of internet.
9.6 Data collection techniques:
Data are collected through questionnaire and Bank website and Banks Annual report.
Questionnaire includes open ended and close ended question which contain dichotomous,
multiple choice questions and single choice questions.
9.7 Sampling design:
Convenient sampling method is selected for analyzing purpose.
9.8 Sample size:
For the present study, 250 respondents were selected at random. All the 250 respondents were
the customer of SPB.
9.9 Sampling frame:
Sampling frame is customer of Adajan branch of SPB Surat.
9.10 Data analysis:
Analysis of data is done with help of Microsoft excel.
9.11 Scope of study:
This study is limited to the customers of SPB in surat city. The study will be able to reveal the
satisfaction, development and experience level of the customers regarding the banking
services, it also helps to know whether the existing services they are offering are really
satisfying the consumers needs.
69

9.12 Limitation of study:
Accuracy:
It is difficult to know if all the respondents gave accurate information; some respondents tend
to give misleading information.
Availability of customer:
It was difficult to find respondents as they were busy in their schedule and collection of data
was very difficult. Therefore, the study had to be carried out based on the availability of
respondent.
70

CHAPTER-10
DATA ANALYSIS
71

&
INTERPRETATION
10.1 Demographic information:-
72

Qualification: Qualification
10th
12th
Graduate
Post Graduate
Respondents
40
49
72
89
percentage
16%
19.6%
28.8%
35.6%
Respondents
16%
10th
12th36%
Graduate
Post Graduate
20%
29%
As above graph reflect a respondents qualification here 16% respondent was 10 th passed
19.6% respondents have 12th passed 28.8% was a graduate and 35.6% respondents have a
post graduate in overall 250 respondents survey.
Occupation: Occupation
73
Respondents
percentag

e
Salaried
Professional
s
Business
Students
Others
59
39
23.6
15.6
75
44
33
30
17.6
13.2
occupation
13%
24%
salaried 18%Professionals
Business
Students
Others
16%
30%
on this graph reflected that respondent occupation here 59 respondents are salaried person, 39
respondents are professionals, 75 respondents are business people,44 are student and 33
respondents are others and it include that all house wife, retired person, senior citizen, social
worker etc. so this survey overall in a 250 respondents.
Gender: 74

Gender
Male
Female
Respondents
136
114
Percentage
54.4
45.6
Respondents
Male
46%
Female
54%
In above graph on a gender, in this graph 136 are respondents are Male and 114 respondents
are female in overall 250 respondents.
75

10.2 Question Analysis: I.
Do you think that your bank caters all your banking needs?
Bank caters
Yes
No
Respondents
162
88
Percentage
64.8
35.2
Bank Caters
35.2
Yes
No
64.8
From above table show us that 162 respondents agreed that the spcbl provide all cater as
customer banking need and 88 respondents not agreed with not provided customer banking
need.
76

II.
In your past how many years you have account with this bank?
Account peri0d
<6 months
6 Months to 2 years
2 years to 5 years
>5 years
Respondents
Percentage
57
22.8
74
29.6
81
32.4
38
15.2
Period of Account
15%
<6 month
6 m to 2 yr
23%
2 yr to 5 yr
>5 yr
32%
30%
Here this graph show us how much time customer account with the SPCBL so, here 57
respondents are less than six month with bank, 74 respondents are between 6 months to 2
years with bank, 81 respondents are between 2 to 5 years at last 38 respondents are more than
5 years with a bank.
77

III.
Which type of account do you maintain with your bank?

Types of Account
Current Account
Saving Account
Loan Account
Demat Account
Others
Respondents
80
211
85
87
25
Percentage
32
84.4
34
34.8
10
Others
Types of Account
25
Demat Account
87
Loan Account
85
Saving Account
211
Current Account
0
80
50
100
150
200
250
respondents
On these bar chart describe us 32 percent respondents have current account, the huge
percentage 84.4% respondents have saving account,34% respondents have loan account and
34.8% respondents have a demat account and at last 10 percent respondents include in others
in others include FD account, RD account Salary Account and locker account etc. so here this
percentage is out of 250 respondents in particularly.
78

IV.
Why do you select THE SURAT PEOPLEs CO-OP BANK LTD.?

Reasons
Scheduled bank
Near to place
High interest rate
Better service
Lower charges
Variety of product
Others
Respondents percentage
77
30.8
139
55.6
120
48
120
48
70
28
35
14
25
10
Reasons with a Bank

Others
25
Variety of product
35
Lower charges
70
Better service
120
High inteRespondentst rate
120
Near to place
139
Scheduled bank
77
0
20
40
60
80
100 120 140 160
From this graph show us in which factor affecting so customer attracting to this bank
schedule bank as a factor on 30.8% respondents affecting second factor and in a large area
55.6% respondents want a near to place, second large factors are high interest rate and better
service both are affected on respondents 48% respectively, and another factor is lower charge
affecting 28% on them and variety of products 14% affected and other factors also affected
10 % on respondents and here other factor include student account open from school for
student or salary account open from the firm for employee and fast procedure minimum
documentation.
79

V.
Do you prefer to use technology for your banking needs?

Technology Prefer
Yes
No
Respondent
s
209
41
percentag
e
83.6
16.4
Technology Prefer
16%
Yes
No
84%
Here pie chart show us 209 respondents are use technology for the banking need and 41
people are not used a technology for a banking need from a total 250 respondents. We also try
to know which type of technology used in the next question.
80

VI.
If yes, which service of technology based you make use of?

Types of Technology
Respondent
s
187
115
71
81
131
98
ATM
RTGS/NEFT
ECS
Net banking
Mobile baking
E-payment
percentag
e
74.8
46
28.4
32.4
52.4
39.2
Types of Technology
Respondents
200
150
100
50
0
187
115
131
71
81
98
Respondents
Types of Technology
These analyses depend on a above analytical question. In this graph first a only 209
respondents are used technology and in 209 respondents 74.8% people used ATM, 46%
people used RTGS/NEFT, 28.4% people are used ECS, 32.4% and 52.4% are used net
banking and mobile banking respectively at last 39.2% people used e-payment. Here
percentage from 250 respondents particularly.
81

VII.
Do you think your bank offers competitive interest rate?
Competitive interest
rate
Yes
No
Respondents
173
77
percentag
e
69.2
30.8
Competitive Interest Rate

Yes
31%
No
69%
From these graph show us that did we think the SPCBL offer competitive interest rate so here
173 respondents are agree and 77 respondents are not agree with SPCBL competitive interest
rate.
82

VIII.
Do you use the service of alternative bank?
Alternative Bank
Respondents
Yes
No
173
77
percentag
e
69.2
30.8
Service of Altenative Bank
Yes
31%
No
69%
From the graph describe us here 173 respondents used other bank services like ICICI Bank
SBI, Bank of India, Bank of Baroda, HDFC bank or also used Co-operative bank services and
77 respondents are not used other bank services.
83

IX.
What do you feel about overall service quality of your bank?

Service quality
Respondent
s
75
58
62
39
16
Excellent
very good
Good
Average
Poor
percentage
30
23.2
24.8
15.6
6.4
Service Quality
6%
16%
30%
Excellent
very good
Good
Average
Poor
25%
23%
In these graph measure customer satisfaction so 75 respondents are satisfying excellent, 58

respondents are satisfying very good, 62 respondents are satisfying good,39 respondents are
satisfy at average level and 16 respondents are satisfy at poor level.
84

Managing Account: X.
How satisfied are you with the way we:

Satisfy factors
Handle your account efficiently,

without mistakes?
Apologise for any mistakes?
6
2
1
8
1
8
4
4
5
2
2
9
5
9
7
2
5
6
4
3
6
4
7
1
4
2
4
4
7
6
Explain charges clearly?
(Strongly Dissatisfied=1; Dissatisfied=2; Neutral=3; Satisfied=4; Strongly Satisfied=5)
Chart Title
Handle your account efficiently, without mistakes?
72
62
59
52
64
76
71
56
44
42 44
43
29
18 18
In this column chart show us three factor affected to managing account so first factor is
account handle efficiently, it include 62 respondents are strongly dissatisfied and 42
respondents are highly satisfied and remaining respondents are between these two scale as it
is second and third factor apologise for mistakes and explain charge clearly in a strongly
85

dissatisfied and strongly satisfied include 18 and 44 respondents and 18 and 76 respondents
respectively
HANDLING QUERIES
XI.
How satisfied are you with:

Satisfy factors
The time taken by staff to answer
the telephone?
The way in which staff answer
your call?
The clearness of the staff
members voice?
The ease of reaching the person
you need to speak with?
How quickly your queries were
understood and respond to?
1
57
2
28
3
53
4
70
5
42
28
50
52
85
35
20
57
68
64
41
18
38
55
89
50
19
28
55
68
80
Factors
Respondents
100
90
80
80
68
70
57
57
55
55
60
53
52
50
50
50
42
41 38
35
40
28
28
28
30
20
19
18
20
10
0
The time taken by staff to answer the telephone?
Factors
In these chart various factors affecting but major five factor affecting to handling queries and
also describe which customer satisfied on which scale in which factor and five scales identify
as above red line given e.g. first factor is time taken by staff to answer the telephone this
factor in a 57 respondents are strongly dissatisfied, 28 respondents are dissatisfied, 20
86

respondents are neutral and 18, 19 respondents are include in satisfied and strongly satisfied
respectively
CUSTOMER SERVICE STAFF/TELLERS: XII.
In terms of the service you received from the customer service

representatives/tellers, how satisfied are you with the following?
Satisfy factors
Friendly and courteous manner
Knowledge of banks product &
services
Fast and efficiently service
Professional and attractive appearance
and willingness to listen and respond to
your need
Recognition of you as valued customer
1
50
25
2
48
35
3
47
68
4
62
77
5
43
45
20
15
47
38
67
60
68
95
48
42
22
25
57
88
58

95
88
100
90
77
80
Knowledge of banks product & services
70
60
50 efficiently service
Fast and
48
50
47
6867
60
57
68
62
58
48
45
42
47
38
35
40
Professional and attractive appearance and willingness to listen and respond to your need
25
25
30
20 22
15you as valued customer
Recognition of
20
10
0
1
43
This graph for customer service staff/teller as it is here also five scales are there here also five
major factor affected to provide customer service staff that factor given in table here in first
factor in highest respondent 62 in satisfied in second factor in highest respondents is 77 in
87

satisfied level in third factor in highest respondent is 68 in also satisfied level in fourth and
fifth factor include also highest respondent is 95 and 88 respondent respectively.
BRANCH FACILITIES: Satisfy factors

Clean & well cared facilities
Efficient, no wait service
No long line ups at counter
Availability of information
Brochures
Pleasant & attractive dcor
Automatic bank machines in convenient locations
1
38
27
13
12
18
25
17
2
28
45
48
57
42
42
38
3
82
82
57
65
83
55
67
4
50
60
98
90
65
83
63
5
52
37
33
27
42
45
65

98
100
90
80
70
60
50
40
30
20
10
0
82
52
50
38
28
90
82
60
45
27
65
57
57
48
37
83
65
27
12
18
67
65
63
55
42 45
42 42
33
13
83
25
38
17
From these graph is about branch facilities and here seven factors given in table as given in
chart first group of column is first factor so another all group of column is all other factor
particularly so in first factor lowest respondents is 28 in dissatisfied, in second factor lowest
respondents 27 in strongly dissatisfied, so another all factors include almost all lowest
88

respondents in dissatisfied scale. So here we can say probably 132 respondents are satisfied
or delighted.
STATEMENTS AND DOCUMENTATIONS

XIII.
In terms of your expectations regarding mailed statements, please indicate your

satisfaction with the following:
Satisfy factors
Sent out reliably and on time
Complete record of transactions
Accurate
Easy to read and understand
1
45
27
12
25
2
40
30
52
33
3
70
72
70
75
4
52
85
72
65
5
43
37
45
52

90
85
80
75
72
70 70
72
70
65
60 Sent out reliably and on time

52
50

51.67
45
43.33
40
40
30
45
37
33
30
27
Accurate
52
25
20
12
10
0
1
In this chart its about statement and documentation so, here four major factors are affecting
that and scales given same as on this chart respondent most sensible responds on neutral scale
89

but in second factor is complete record of transactions include highest respondents which is
85 respondent from the 250 respondents.
Have you experienced any of the following issues in the last six months?
Types of issues
A mistake on your account

Instructions not carried out
Your name or address misspelt on letters
A mistake with a standing order or direct debit
A disagreement about charges
Unhelpful staff
Happened
Complained
about
36
46
47
36
32
28
32
37
38
19
22
21
28
Unhelpful staff
21
32
22
36
A mistake with a standing order or direct debit
19
47
Your name or address misspelt on letters
38
46
37
36
32
0
10 15 20 25 30 35 40 45 50
From this graph describe us if customer faced any problem so they attend this question so,
here 225 respondents faced issues from the given these issues and in happened include
highest respondent is 47 in third issue of name and address misspelt on letters here given a
second column about complaint respondents do complaint against that issue and highest 37
respondent complaint against second factor instruction not carried out and We also try to
know the reason for this satisfied about complaint is in next question.
90

If you have complained, please tell us how satisfied you were with:
Satisfy factors
The way your complaint was handled
The person who sorted out your Complaint
The time taken to sort out your Complaint
The follow-up contact you received
1
32
9
13
12
2
29
40
20
28
3
35
45
44
48
4
40
45
65
40
5
33
29
27
41

65
70
60
50
40

48
4544
45
41
40
40
40
35
32
The time taken to sort29
out your
28Complaint
30
33
29
27
20
20
9
1312
10
0
1
This analytical graph depend up on above analytical data and graph it means who did a
complaint against a whatever issues that total respondent is 169 out of 225 respondents so
here they given five major factor satisfied a result against complaint
so 65 highest
respondent respond on satisfied scale in third factor of the time taken to sort out your
complaint and very lowest 9 respondents on strongly dissatisfied level in first factor is the
way your complained was handled so that is good result for the bank.
TELEPHONE ENQUIRIES: XIV.
Have you contacted your branch by phone in the last year?

91

Branch contact
Yes
No
Respondent
s
161
89
percentage
64.4
35.6
Contact to Branch in last Year
32%
Yes
No
68%
This graph simply show us respondent contacted branch by phone in last year so, 161
respondent agreed that yes they contacted branch by phone in last year but 89 respondents not
contacted branch by phone in last year so, We also try to know the reason for which
regarding they contacted in next question.
XV.
What was the reason for your most recent telephone contact with your branch?
Reason for contact

Account information
Fund transfer
Rate enquiry
Bank information
Complaint
92
Respondents
71
66
58
52
58
Percentage
44.10
40.99
36.02
32.30
36.02

Loan enquiry
Credit card enquiry
Statement enquiry
others
36.02
18.01
36.65
54.04
58
29
59
87
Reasons For Contact

100
87
90
80
71
70
66
58
60
52
58
59
58
50
40
29
30
20
10
0
Account information
Rate enquiry
Complaint
Credit card enquiry
others
In graph describe 9 reason given they contacted branch by phone in last year so, as per 14
answer of question total 161 respondent contacted a branch so here in other reason include
highest 87 respondent in percentage 54.04% out of 161 respondent particularly so in others
reason include info about FD, RD, demat related new IPO related contact with special officer
or branch manager etcand lowest reason is about credit card enquiry only 29 respondents
because they dont know any co-operative bank cannot offer credit card.so in the next
question we try to know that which types of response given a branch on phone to the
customer expected.
In terms of the service you expected from the telephone contact, please rate the following
criteria:
Types of response
Call handled promptly, not kept on Hold
Courteous and professional manner
Quickly connected to the right Person
Question or problem handled to your
satisfaction
93
1
45
23
11
11
2
21
33
24
18
3
29
35
51
30
4
41
39
44
56
5
26
32
32
47

60
56
51
47
50
45
40
44
Courteous and professional
manner
41
39
35
33
30
24
23
21
18
20
3232
30
29
26your satisfaction
Question or problem handled to
1111
10
0
1
In this graph show us total 161 respondents contacted to branch so they give rating to 4 major
different types of response so, in first response type in highest 45 respondents are strongly
dissatisfied in second response types highest 39 respondents on dissatisfied level in third
types of response highest 51 respondents on neutral level and at last in fourth types of
response highest 56 respondents are on satisfied level.
FINAL REMARKS: XVI.
Would you like to be contacted by a bank representative?

Bank Representative
contact
Yes
No
94
Respondents
percentage
171
79
68.4
31.6

Bank Representative contact
Yes
No
32%
68%
Above chart describe us bank representative contact you regarding any information, problem,
instruction and others so here in 250 respondents 79 respondents are said no and171
respondents are told positively yes they were contacted by bank representative.
XVII.
Would you recommend this bank to your friends, relatives, associates and others?
Recommended to others
Yes
No
95
Respondents
207
43
percentage
82.8
17.2

Recommendation
17%
Yes
No
83%
From this graph show us customer will recommended to others or not but in this 250 survey
we know that 207 respondents will be recommended others but 43 respondents will not happy
to recommend others because probably they are not satisfied of the SPCBL.
XVIII.
Do you have any remarks you want to add concerning the service you have been
receiving at your bank?
Here respondents given various suggestion or some respondents neglect this
question so, here they given some suggestion about service so I describe that major
suggestion about service.
96

97
Customer wants a digital locker service.

They want a less paper work.
They want bank provide credit card.
Customer want that type of service so less time consuming in bank work.
They want to bank use a green channel use its like if they want deposit amoney in
that account they give debit card to the bank counter with money so, they not need to
fill pay-in-slip.
They want passbook printer machine so they print passbook itself.
They want a CDM machine so they deposit machine itself.
They want staff need to work accurately as soon as possible.
They want bank develop a net banking and upgrade mobile banking services.
They want bank need to start missed call service for the account balance.

CHAPTER-11
RECOMMENDATION
& CONCLUSION
98

11.1
Conclusion
It can be concluded that The Surat Peoples Co-operative Bank Ltd has a good
financial position and customer services. SPCBL has sound banking services and strategies.
All the work is done in a proper documentation. The performance of bank is continuously
increasing improving compare to previous years and can be improved further in future. One
of the best things which this bank concern is Banks Net NPA ratio. During this time this ratio
is always 0.00%.One of the reason behind this position is secure level of provision. In this
bank, actual level of provision is more than require level of provision, which is positive for
bank. SPCBLs NPA level is decreasing year by year and because of that this Bank is being
considered very good bank by citizens of Surat. The bank has good infrastructure facility.
There is also flexibility in work; employees are very satisfied working at bank. Every
proposal is being scrutinized minutely and all procedure is done in a very systematic way.
staff and customer between a good relation and co-ordination as a familiar. Compared with
other co-operative banks, SPB is very ahead being its finances giving to public at large,
competitive rate of interest and nominal charges with no hidden charges. The continuous
follow up is done, as a result of which NPA tends to reduce.
11.2
Recommendation: -
Bank should bring more IT enabled solution.

All banking service like loan process FD issuing process OD making process and other all
process have to be fastening compare to recent process.

Bank should try to open their own ATMs in Surat city.
Bank should try to open another branches outside Surat.
Bank should start net banking (transactions) soon.
The bank should update its website for better marketing so customer see the banks
progress.
78% respondents are satisfied to the Surat peoples co-op bank ltd on a 250 respondents
survey.
99

BIBLIOGRAPHY
Bibliography
100

For completing this project, various sources of information have been collected from
different sources. Mainly there are two kinds of sources from which the information has been
collected. They are as follow:
Books
Internet
Books:
Annual Report of the Surat Peoples Co-operative Bank Ltd for year 2014-15 and
2015-16.
Co-Operative Dairy 2014 (The Surat Peoples Co-Operative Bank).
.
Websites:
http://www.ibef.org/industry/banking-india.aspx
http://www.rbi.org.in/Home.aspx
http:// www.indiabankassociation.com
www.spcbl.in
https://en.wikipedia.org/wiki/Bank
https://www.reference.com/business-finance/customer-satisfaction-important
bc537d1bc4dc5227#
http://blog.clientheartbeat.com/why-customer-satisfaction-is-important/
101

ANNEXURE
Questionnaire
Respected Sir/Mam,
I am Mehta Bhumit from centre for management studies, Dharamsinh
desai university, Nadiad. I would request you to fill up this questionnaire with
respect to a survey on Why Capital Study of customer satisfaction and
development towards surat peoples bank in Surat city. This survey is done for a
102

research project in our college and privacy of your personal information will be
maintained. It will not take more than 15 minutes. Thanking you in anticipation.
________________________________________________
Name: _________________________________________________
Qualification:
1) 10th
[ ]
3) Graduate [ ]
Occupation:
1) Salaried
2) 12th
[ ]
4) Post graduate
[ ]
[ ]
4) Business
[ ]
2) Professional
[ ]
5) Student
[ ]
3) Other
[ ]
Gender:
Male
[ ]
female
[ ]
I.
Do you think that your bank caters all your banking needs?
Yes [ ]
No
[ ]
II.
In your past how many years you have account with this bank?
Less than six month
[ ]
Six month to two year
[ ]
Two year to five year
[ ]
More than five year
[ ]
III.
Which type of account do you maintain with your bank?

(Multiple choice question)
Current account
[ ]
saving account
Loan account
[ ]
demat account
Others: - ___________________
IV.
[ ]
[ ]
Why do you select THE SURAT PEOPLEs CO-OP BANK LTD.?

Scheduled bank
Near to place
High interest rate on deposit
Better service
Lower charges
103
[
[
[
[
[
]
]
]
]
]

Variety of products
Others: ________________________
V.
[ ]
Do you prefer to use technology for your banking needs?

Yes
[ ]
No
[ ]
VI.
If yes, which service of technology based you make use of?

ATM cum debit card
[ ]
RTGS/NEFT
[ ]
ECS
[ ]
NET/Online banking
[ ]
Mobile banking
[ ]
E-payment
[ ]
VII.
Do you think your bank offers competitive interest rate?

Yes
[ ]
No
[ ]
VIII.
Do you use the service of alternative bank?

Yes
[ ]
No
[ ]
If yes which bank: ___________________
IX.
What do you feel about overall service quality of your bank?

Excellent
[ ]
very good
[ ]
Good
[ ]
average
[ ]
Poor
[ ]
The following section is related to some of the specific questions on the banks
services
X.
Managing Account
How satisfied are you with the way we:
XI.

Satisfy factors
1 2 3 4 5
Handle your account efficiently, without mistakes?
HANDLING QUERIES
How satisfied are you with:
Satisfy factors
1 2 3 4 5
The time taken by staff to answer the telephone?
The way in which staff answer your call?
The clearness of the staff members voice?
The ease of reaching the person you need to speak with?
104

How quickly your queries were understood and respond to?
CUSTOMER SERVICE STAFF/TELLERS
XII.
In terms of the service you received from the customer service

representatives/tellers, how satisfied are you with the following?
Satisfy factors
1 2 3 4 5
Knowledge of banks product & services
Fast and efficiently service
Professional and attractive appearance and willingness to
listen and respond to your need
Recognition of you as valued customer
BRANCH FACILITIES
Satisfy factors
Clean & well cared facilities
Efficient, no wait service
No long line ups at counter
Availability of information
Brochures
Pleasant & attractive dcor
Automatic bank machines in convenient locations
STATEMENTS AND DOCUMENTATIONS

XIII.
In terms of your expectations regarding mailed statements, please indicate your

satisfaction with the following:
Satisfy factors
Sent out reliably and on time
Accurate
105

Have you experienced any of the following issues in the last six months?
Types of issues
Your name or address misspelt on
letters
A mistake with a standing order or
direct debit
Unhelpful staff
Happened
Complained about
If you have complained, please tell us how satisfied you were with:
Satisfy factors
1 2 3 4 5
The time taken to sort out your Complaint
TELEPHONE ENQUIRIES
XIV.
Have you contacted your branch by phone in the last year?

Yes
[ ]
No
[ ]
XV.
What was the reason for your most recent telephone contact with your branch?
a. Account information/balance
106
[ ]

b. Confirmation of fund transfer
c. Rate inquiry
d. Bank hours/phone number/address
e. Complaint
f. Loan enquiry
g. Credit Card enquiry
h. Statement enquiry
i. Other
[
[
[
[
[
[
[
[
]
]
]
]
]
]
]
]
In terms of the service you expected from the telephone contact, please rate the
following criteria:
Types of response
Courteous and professional manner
Question or problem handled to
your satisfaction
XVI.
FINAL REMARKS
Would you like to be contacted by a bank representative?
Yes
[ ]
No
[ ]
XVII.
Would you recommend this bank to your friends, relatives, associates and
others?
Yes
[ ]
No
[ ]
XVIII.
Do you have any remarks you want to add concerning the service you have
been receiving at your bank?
_______________________________________
Thank you for taking the valuable time to fill this survey
107

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A Study of Customer Satisfaction and Business Development for

the Surat Peoples Co-Operative Bank Ltd.

CENTRE FOR MANAGEMENT STUDIES

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

This is to certify that Mr. Bhumit Rajeshbhai Mehta

Dr. Naresh Patel

Mr. Hardik Shah

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Place: The Surat People's Co-operative Bank Limited.,

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

1.3 Definition of Bank:

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

1.5 How Does Banking Industry Work?

1.6 PESTEL Analysis of Banking Industry

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

What is PESTEL Analysis?

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

2.1Structure of Co-Operative Banks

Reserve Bank of India

State Co-Operative Bank

District Co-operative Banks

Urban Co-operative Banks

Primary Co-operative Society

Centre For Management Studies, DDU, Nadiad

A Study of Customer Satisfaction and Business Development for

2.2 Types of Co-operative Bank:

Primary Co-operative Credit Society: