Project Customer Satisfaction

A SUMMER TRAINING PROJECT REPORT
ON
Customer satisfaction survey of J&K Bank
At
MARKETING DIVISION SANGARMAAL
In the partial fulfillment of the requirement for the award of
Masters of Business Administration
Kashmir University.
Submitted To:-
Kashmir University
Submitted By:-
IfrahHanan
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Customer Satisfaction by Ifrah Hanan.

ACKNOWLEDGEMENT
(In the name of Allah, the most Beneficent and

the most Merciful)
A successful project is the result of team work and co-ordination that

includes not only the group of developers who put forth the ideas, logic and
efforts but also guide them. So at the completion of the project, I feel obliged to
extent my gratitude towards all those made valuable contribution throughout my
training period.
I express my thanks to all those associated with this project including

customers at J&K Bank who shared their opinion and experience through
which I receive the crucial information required for my project.
I deem it to be profound privilege to express my deep sense of gratitude

and profound personal regards to esteem in charge of Marketing Department
Mr.TajamulQadri whose impeccable guidance, critical analysis, constructive
criticism, constant encouragement and unparallel execution of the essential
requisites during the entire course of the study are beyond reach of my formal
words.
In addition, I wish to convey my deep sense of gratitude towards

Mr.UbairJeelanifor his constant support and guidance at any time I needed.
I would like to record my deepest sense of gratitude to my parents, and

friends for their continuous support who helped me for making this project a
success.
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TABLE OF CONTENT
chapter Title
1 Definition of a bank
2 History of banking
3 Banking in India
4 Company profile
5 History of J&K bank
6 Customer satisfaction
7 Literature review
8 Questionnaire
9 Research methodology
10 Data analysis and interpretation
11 Bibliography
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CHAPTER 1
Definition of a bank
Oxford Dictionary defines a bank as "an establishment for custody of money,

which it pays out on customer's order."
Characteristics / Features of a Bank
Bank is a financial institution which deals with other people's money i.e.
money given by depositors.
A bank may be a person, firm or a company. A banking company means a

company which is in the business of banking.
A bank accepts money from the people in the form of deposits which are
usually repayable on demand or after the expiry of a fixed period. It gives safety
to the deposits of its customers. It also acts as a custodian of funds of its
customers.
A bank lends out money in the form of loans to those who require it for
different purposes.
A bank provides easy payment and withdrawal facility to its customers in

the form of cheques and drafts, It also brings bank money in circulation. This
money is in the form of cheques, drafts, etc.
A bank provides various banking facilities to its customers. They include

general utility services and agency services.
A bank is a profit seeking institution having service oriented approach.
Banking is an evolutionary concept. There is continuous expansion and

diversification as regards the functions, services and activities of a bank.
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A bank acts as a connecting link between borrowers and lenders of
money. Banks collect money from those who have surplus money and give the
same to those who are in need of money.
A bank's main activity should be to do business of banking which should

not be subsidiary to any other business.
A bank should always add the word "bank" to its name to enable people
to know that it is a bank and that it is dealing in money.
CHAPTER 2
History of banking
Evolution of Banking
It is interesting to trace the origin of the word 'bank ' in the modern sense, to the
German word " Bank" which means, heap or mound or joint stock fund. From
this, the Italian word "Banco" meaning heap of money was coined.
Some people have the opinion that the word "bank" is derived from the French
words "bancus" or "banque" which means a 'bench'. Initially, the bankers, the
Jews in Lombardy, transacted their business on benches in the market place and
the bench resembled the banking counter.
If a banker failed, his' banque' (bench) was broken up by the people; hence the
word "bankrupt" has come. In simple term, bankrupt means a person who has
lost all his money, wealth or financial resources.
In India, the Banking Regulation Act, 1949, under which banks are regulated by
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the Reserve Bank of India, defines a banking company and banking as under:

Banking Company
The Banking Regulation Act, 1949 defines a banking company as a company

which transacts the business of banking in India [Section 5(c)].
Banking
Section 5(b) defines banking as accepting for the purpose of lending or

investment of deposits of money from the public, repayable on demand or
otherwise and withdraw able by cheque, draft, order or otherwise.
Section 49A of the Act prohibits any institution other than banking companies
to accept deposit money from public withdraw able by cheque.
The origin of modern banks is traced to three important sources. They are,
(i) The goldsmiths
(ii) The moneylenders and
(iii) the merchant bankers.
The goldsmith by virtue of dealing in Gold, which is a very valuable item,

had facilities for the safe keeping of valuables. He accepted for safe custody the
money, another important valuable item, belonging to his customers. The
goldsmiths began to lend the money knowing that all the depositors do not
withdraw their savings at a time.
In the old days gold was minted into coins and those coins, along with silver
coins, formed the nations currency. Goldsmiths had strongboxes and vaults in
which to securely store the precious metal with which they worked. It was
natural enough then that other people took to asking the goldsmith to store their
gold and gold coins in his vault and to pay the goldsmith for the service. A
merchant (for example) would entrust to the goldsmith 20 worth of his own
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gold for safekeeping. When he handed over his gold, the goldsmith would
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provide him with a receipt or note promising to hand back the gold (pay the
bearer on demand) whenever the depositor returned and presented the note. The
receipt held by the depositor was in fact as good as gold because he could
exchange it for his 20 worth of gold any time he chose. But the note was easier
to carry around than heavy and bulky amounts of gold and easier to conceal, so
the depositor was often content to leave his gold in the goldsmiths safekeeping
for long periods. In fact when the time came to pay for some commodity with
his 20 of gold, instead of returning to the goldsmith, exchanging the receipt for
the gold and then using the gold to pay for his purchase, it was more convenient
for him simply to hand over his receipt to the seller. The seller was happy to
accept the receipt in lieu of actual gold because it was more convenient to carry
around and he knew that should he present it to the goldsmith, 20 of gold
would be handed over to him.
Thus those gold receipts began to circulate and became the first paper money.
People were happy to exchange them back and forth rather than the
cumbersome gold they represented. The receipts had value because people were
confident that in the goldsmiths vault lay the gold, which they could redeem at
any time.
The professional moneylenders in the early age may also be considered as

the original bankers. Many rich and wealthy persons used to lend money
for the sake of interest. They also used to take deposits at lower rate of
interest. The excess of interest charged on loans over the interest paid on
deposits was their profit. The similar practice of taking deposits at a
lower rate of interest and advancing loans at a higher rate is the usual
function of modern banking.
A merchant bank is a financial institution which provides capital to
companies in the form of share ownership instead of loans. A merchant
bank also provides advisory on corporate matters to the firms they lend
to. In the United Kingdom, the term "merchant bank" refers to an
investment bank
Merchant banks are in fact the original banks. These were invented in the
Middle Ages by Italian grain merchants. As the Lombardy merchants and
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bankers grew in stature based on the strength of the Lombard plains cereal
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crops, many displaced Jews fleeing Spanish persecution were attracted to the
trade. They brought with them ancient practices from the Middle and Far East
silk routes. Originally intended for the finance of long trading journeys, these
methods were applied to finance the production and trading of grain.
In France during the 17th and 18th century, a merchant banker or marchand-
banquier was not just considered a trader but also received the status of being
an entrepreneur par excellence. Merchant banks in the United Kingdom came
into existence in the early 19th century, the oldest being Barings Bank.
Banking made its first appearance as a public enterprise in the year 1157 in Italy
with the establishment of 'Bank of Venice'. The 'Bank of Barcelona' was started
in 1401. The 'Bank of Genoa' in 1407 and the ' Bank of Amsterdam' in
1609.The Lombards who migrated to Europe and England from Italy were
responsible for the development of modern banking.
CHAPTER 3
BANKS IN INDIA
In India the banks are being segregated in different groups. Each group has its
own benefits and limitations in operating in India. Each has its own dedicated
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target market. Few of them only work in rural sector while others in both rural
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as well as urban. Many, even, are only catering in cities. Some are of Indian
origin and some are foreign players.
Major Banks in India
ABN-AMRO Bank Indian Overseas Bank
Abu Dhabi Commercial Bank Indus Ind Bank
American Express Bank ING Vysya Bank
Andhra Bank Jammu & Kashmir Bank
Allahabad Bank JPMorgan Chase Bank
Bank of Baroda Karnataka Bank
Bank of India KarurVysya Bank
Bank of Maharashtra Laxmi Vilas Bank
Bank of Punjab Oriental Bank of Commerce
Bank of Rajasthan Punjab National Bank
Bank of Ceylon Punjab & Sind Bank
BNP Paribas Bank Scotia Bank
Canara Bank South Indian Bank
Catholic Syrian Bank Standard Chartered Bank

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Central Bank of India State Bank of India (SBI)
Centurion Bank State Bank of Bikaner & Jaipur
China Trust Commercial Bank State Bank of Hyderabad
Citi Bank State Bank of Indore
City Union Bank State Bank of Mysore
Corporation Bank State Bank of Saurashtra
Dena Bank State Bank of Travancore
Deutsche Bank Syndicate Bank
Development Credit Bank Taib Bank
Dhanalakshmi Bank UCO Bank
Federal Bank Union Bank of India
HDFC Bank United Bank of India
HSBC ICICI Bank United Bank Of India
IDBI Bank United Western Bank
Indian Bank UTI Bank
Vijaya Bank
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CHAPTER 4
COMPANY PROFILE
J&K Bank functions as a universal bank in Jammu & Kashmir and as a

specialised bank in the rest of the country. It is also the only private sector bank
designated as RBIs agent for banking business, and carries out the banking
business of the Central Government, besides collecting central taxes for CBDT.
J&K Bank follows a two-legged business model whereby it seeks to increase

lending in its home state which results in higher margins despite modest
volumes, and at the same time, seeks to capture niche lending opportunities on a
pan-India basis to build volumes and improve margins. J&K Bank operates on
the principle of 'socially empowering banking' and seeks to deliver innovative
financial solutions for household, small and medium enterprises.
The Bank , incorporated in 1938, and is listed on the NSE and the BSE. It has a
track record of uninterrupted profits and dividends for four decades. The J&K
Bank is rated P1+, indicating the highest degree of safety by Standard & Poor
and CRISIL.
Jammu and Kashmir (J&K) Bank, incorporated on October 1,1938, was the first
bank in the country to emerge as a stateowned bank. On July 4, 1939 the bank
commenced its business.
Later, in 1971 the bank received the status of a scheduled bank. The
government of Jammu & Kashmir owns a 53% stake in the bank. The bank is
listed on the National Stock Exchange (NSE) and Bombay Stock Exchange
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The bank's corporate headquarters is in Srinagar near TRC (Tourist Reception
Centre). The bank has a network of 837 computerized bank branches and 1003
ATMs across the country as on 04 March 2016.
J&K Bank acts as a sole banker and lender to government of Jammu &
Kashmir. It handles all salaries of state government officials. The bank also
carries out banking business of the central government.
Jammu & Kashmir Bank's Certificate of Deposit Programme has received 'P1+'
rating from Credit Rating Information Services of India (CRISIL), reflecting the
highest degree of safety for timely payment of principal and interest.
The bank also acts as a corporate agent of MetLife India Insurance Company.
J&K Bank has entered into an alliance with Bajaj Allianz to distribute the
latter's nonlife products. The bank has entered into an arrangement with AMCs
such as UTI, Kotak and Reliance Mutual Fund to distribute their current
schemes and NFOs (New fund offer)
VISION
"To catalyse economic transformation and capitalise on growth."
Our vision is to engender and catalyse economic transformation of Jammu and

Kashmir and capitalise from the growth induced financial prosperity thus
engineered. The Bank aspires to make Jammu and Kashmir the most prosperous
state in the country, by helping create a new financial architecture for the J&K
economy, at the centre of which will be the J&K Bank.
MISSION
Our mission is two-fold: To provide the people of J&K international quality

financial service and solutions and to be a super-specialist bank in the rest of the
country. The two together will make us the most profitable Bank in the country.
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SWOT ANALYSIS OF J&K BANK
The term SWOT is the acronym made up of four words viz, Strengths,
Weaknesses, Opportunities and Threats. The first two variables are internal to
an organization whereas the last two are external. The value of SWOT analysis
cannot be over emphasized. It is rightly said winners recognize their
limitations but focus on their strengths; losers recognize their strength but focus
on their limitations.SWOT ANALYSIS OF J&K BANK
The term SWOT is the acronym made up of four words viz, Strengths,
Weaknesses, Opportunities and Threats. The first two variables are internal to
an organization whereas the last two are external. The value of SWOT analysis
cannot be over emphasized. It is rightly said winners recognize their
limitations but focus on their strengths; losers recognize their strength but focus
on their limitations.
Swot Analysis
Internal environment External environment
Strength Weaknessess Opportunities Threat

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SRENGTHS:
Good reputation, excellent growth and customer loyalty and trust.
A listed company on BSE and NSE with four decades of uninterrupted

profitability and dividend payments.
Wide network of branches across the state and country
World class banking services like Tele-banking and excellent ATM

network
Innovative in products and services supported in latest technology
Best practices in corporate governance.
The bank has also branches in far areas of the J&K state
The bank plays a proactive role in the development of J&K economy
WEAKNESS:
Lesser promotions and advertisement of bank and its products within and
outside state
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Bank doesnt have any branch outside India to enter global market
The credit card facilities are not available on some online shopping
stores.
OPPORTUNITIES:
The bank can have tie ups with national and international financial
institutions to offer new and upgraded services and products.
The bank enjoys very well customer loyalty. It can diversify its business
so as not to lose the customers to the competing rivals.
The historical activities of the state such as carpet industry, dastakar

finance, Khatamband schemes and many other activities of historical
importance are not still fully covered by J&K Bank.
The bank can introduce sale of gold coins to make more profits.
THREATS:
High level of competition from the other national banks particularly

within and outside J&K state
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Policies regarding interest rate have to be flexible to compete with other

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banks in this stiff competition

Technological changes in the banking sector on changing rapidly. The
need of the hour is that the bank should have innovation in the products and
services and keep itself updated with latest technologies.
Customer friendly services and products should be given priority as other

banks are posing stiff competition by offering new customers tuned products
and services to attract customers of other banks.
Labour problems because of the disturbances in the state which results in

strikes and tense conditions.
CSR (corporate social responsibility)
As a responsible institution, J&K Bank is committed to Corporate Social

Responsibility (CSR). The bank aims to instill a sense of relief and protection
among the most vulnerable sections of society through its Corporate Social
Responsibility (CSR) policy. The bank identifies key responsibility areas
towards the society and seeks to assimilate the CSR ideals into its mission for
optimizing its social performance.
FY 2014-15 witnessed unprecedented floods in J&K State that left devastation

of colossal magnitude in its wake. J&K Bank, being the premiere flagship
company of the state, rose to the occasion with matching ardor and aid to meet
its obligations as a socially relevant institution, its vision of Peoples
Empowerment through Servant Leadership and the expectations of the public
at large.
Throughout the crisis situation J&K Bank, through its CSR plan, contributed
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immensely towards the comprehensive relief and rehabilitation of the flood

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affected people across the state. Meanwhile, J&K Bank retained its collective

focus on activities for the larger community welfare through CSR initiatives
concentrating on people and their health, environment, education and society at
large.
Major CSR activities in the year 2014-15
Relief and Rehabilitation of the flood affected people across the J&K State.
Rising to the occasion, J&K Bank was the first organization to provide relief to
the people affected by devastating September floods that hit the state in FY
2014-15. Notably, the Bank contributed Rs. 5.00 Crores towards J&K Flood
Relief Fund for being partners in providing succor to the people of the state in
rebuilding their shattered dwellings.
Shortly, after the floods the Bank donated 500 tents to the flood hit families.
Under its major rehabilitation package, around 23000 kits comprising of
blankets, water purifiers, hot water bottles & solar lamps were also distributed
among the people as a relief measure.
The bank also facilitated distribution of medicines and food packets among the
flood hit people at various locations of the state. This major CSR activity was
undertaken under a reactive project called, HUM HAIN SAATH SAATH
After the floods, the bank also organized mega health camps at various
locations to provide health advisory and free medicines to the affected people
Education For All Programme
Education, as means to socio-economic empowerment, receives a substantial

part of the Banks CSR funds. Disability, as we know, is probably one of the
least understood and accepted conditions in the society which believes that
everything not normal is abnormal. Thus, to ensure equal opportunities and
dignity to persons with special abilities require efforts, awareness and
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mobilization besides addressing their basic medical needs. In this regard, the
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Bank has adopted more than hundred Children having multiple disabilities
under the project MUSKAAN, so as to take care of their all-round
development. Under the Project, the bank has engaged the professional services
of leading NGOs like Voluntary Medicare Society, ChhoteyTaarey Foundation
and Humanity welfare Organization Bijbehara. Apart from basic education,
need-based knowledge, consultation and supplementary training, these children
are provided with life skills, computer training and / or arts and crafts which
would further become a source of employment for them. These learning
techniques or classes not only give them a platform to boost their confidence
but also act as avenues for development of cognitive, physical and socio-
emotional skills along with improved chances for livelihood. Moreover, under
promotion of education, the Bank has adopted 30 under privileged children in
association with a leading NGO CHINAR through RCSP programme.
Special Project
During the year 2014-15, the Bank identified a project, with a leading Delhi
based NGO Child Rights and You (CRY) through a local project partner
KOSHISH, to meet the nutritional, health and educational needs of the children
of forty (40) far flung areas/villages of three Districts of Srinagar,
Budgam&Ganderbal.
On the basis of baseline research, the overall number of children to be covered

under the project is 9224 in 5100 Households. Project is likely to have a long-
term impact in the society with particular reference to under-privileged children
in their survival, participation, development and protection. In view of contents
of the project, it has been named as KOSHISH.
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CHAPTER 5
HISTORY OF J&K BANK
The Jammu and Kashmir Bank was founded on 1 October 1938 under letters
patent issued by the Maharaja of Jammu and Kashmir, Hari Singh. The
Maharaja invited eminent Kashmiri investors to become founding directors and
shareholders of the bank, the most notable of which were Abdul Aziz Mantoo,
Pesten Gee and the Bhaghat Family, all of whom acquired major shareholdings.
The bank commenced business on 4 July 1939, and was considered the first of
its nature and composition as a State owned bank in the country. The bank was
established as a semi-State Bank with participation in capital by State and the
public under the control of State Government. In 1971, the bank acquired the
status of a scheduled bank and was declared as an "A" Class bank by the
Reserve Bank of India in 1976.
The bank had to face serious problems at the time of independence when out of
its total of ten branches two branches of Muzaffarabad, Rawalakot and Mirpur
fell to the other side of the line of control (now Pakistan-administered Kashmir)
along with cash and other assets. Following the extension of Central laws to the
state of Jammu & Kashmir, the bank was defined as a government company as
per the provisions of Indian companies act 1956. Mushtaq Ahmed is the
Chairman & CEO of Jammu & Kashmir Bank.
Dr HaseebDrabu was chairman and chief executive of the bank for the period
2005 to 2010.
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The bank celebrated its platinum jubilee in the year 2013. To make the year
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remarkable, the bank achieved a total business of Rs 1000 billion and earned a

net profit of Rs 10 billion. On 1 April 2013 the bank surpassed the target of
promised Rs 1000 billion business and is confident of meeting its other annual
targets as well in its Platinum Jubilee year.
On 15 May 2013, bank announced that it has achieved the target of promised
Rs 10 billion profit for the FY 201213. The bank posted net profit of Rs 10551
million and business turnover of Rs 1034 billion for the FY 201213. In its
Platinum jubilee year, the banks board of directors recommended special
dividend of 500% or Rs 50 per share for
BOARD OF DIRECTORS
J&K Bank's diverse and rich culture is abundantly evident in its Board
Members, who provide direction to the Bank in order to achieve its vision. A
brief profile of our eminent Board Members is as under:
MUSHTAQ AHMED (Chairman & Executive Officer)
Having joined the Bank in 1972 as Probationary Officer (PO), Mr.Mushtaq

Ahmad has a distinguishing career of 36 years as a prudent banker. His personal
progression has been a vital and contributing element of the unfolding success
story of J&K Bank since more than three decades.
Before his retirement as Executive Director of the Bank in February 2008, he

held some of the most significant positions in the bank and discharged all his
duties with honesty and distinctive vision.
His person makes an ideal blend of specialized knowledge and practical

experience in almost all the critical fields of contemporary banking, which
include Credit/Risk Management, Strategy and Business Development, Assets
& Liability Management, Human Resource Development, Investments,
Treasury, Forex operations, International Banking, Insurance etc.
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As a leading banker, he commands huge respect for his prudence, esteem for his
discipline and affection for his leadership skills in the Bank as well as the
industry.
As a top executive, Mushtaq Ahmad lays great emphasis on talent search,

human resources development, skill enhancement, besides team building.
Mr.Navin Kumar Choudhary,IAS, Commissioner/Secretary to Govt.

Finance Deptt .Govt of J&K
Mr.Navin K. Choudhary is serving the Govt. of J&K as Finance Secretary, since

May, 2015. Prior to this, he was serving as Joint Secretary (Planning and
International Cooperationn). Ministry of Defence.
Mr.Navin K. Choudhary belongs to the Indian Administrative Service. As a

civil servant he has, in the last 21 years or so, undertaken a variety of
assignments in the Government of India and in the Jammu & Kashmir (State
Government). His postings include in the Ministry of Finance (as Director in the
Department of Economic Affair) and in the International Monetary Fund (IMF)
as Advisor to the Executive Director, where he has served for more than 3
years. Mr.Navin K Choudhary holds a Post Graduate degree in Economics.
J.P SHARMA
Mr. J. P. Sharma, General Manager, Human Resources Management

Department, Reserve Bank of India, Jaipur holds a Masters Degree in
Chemistry and CAIIB. Mr. J. P. Sharma is a career Banker with 23 years of
Central Banking experience, in the fields of Supervision of Commercial Banks,
Co-operative Banks, NBFCs, and Currency Management etc.
VIBRANT KUTHIAL
Mr. Vikrant Kuthiala is B.com (Hons) from Hindu College, Delhi University.
He is a prominent Businessman from Jammu with interests in steel
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manufacturing and hydel projects.

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He is also representing on the committees of various academic and professional
organizations, prominent being the Regional Advisory Committee of Central
Excise & Customs, J&K, Chamber of Commerce & Industry, Jammu and J&K
State Committee of Federation of Industries of India, New Delhi. He is also a
Member of India Islamic Cultural Centre, New Delhi and INTACH, J&K
Chapter, Jammu.
RAKESH KUMAR GUPTA
R.K. Gupta, aged 47 years, is a professional Chartered Accountant with 25

years standing possessing skill in Finance, Taxation, Auditing and Corporate
Legal Affairs. He started his professional career with M/s Gupta Gupta&
Associates in January 1986 and heads this renowned rm of Chartered
Accountants since then.
Mr. Gupta remained in Executive Committee of the Jammu & Kashmir Branch
of the Institute of Chartered Accountants of India for three terms from 1991-
1994; 1994-1998 and 2006-2009. During these three terms he represented the
Branch as its Treasurer, Secretary, Vice-Chairman and Chairman. Mr. Gupta
has been member of Tax Payers Committee of this Region. He has also been
member of Research Committee & Direct Tax Committee of The Institute of
Chartered Accountants of India. He is also empanelled as Peer Reviewer with
Peer Review Board of the ICAI.
Having authored various articles, Mr. Gupta has to his credit published Articles
in The Chartered Accountant Journal and also in Current Tax.com on the issues
of Taxation and Accounting Standards. Mr. Gupta has been Guest Speaker on
many occasions for various Seminars and Study Circle meets of Chartered
Accountants & others.
Mr. Gupta is Member of Taxation Advisory Committee and other Committees

of Chamber of Commerce & Industry, Jammu. He is also a Trustee in
Charitable Institutions providing education to the under privileged children and
relief to the needy. In view of his interest in social activities and sports, Mr.
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Gupta is also a member of Sports and Health Committee of Prestigious Social

Club.
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DALIP K KAUL
Mr.Dalip Kumar Kaul is a Managing Partner of Baweja & Kaul, a firm of

Chartered Accountants. He has an experience of over 32 years across audit, tax,
risk, assurance and advisory. He is a Fellow Member of the Institute of
Chartered Accountants of India (ICAI) and has a Bachelors Degree in
Commerce (Honours) and LLB from University of Delhi. He also has a
Masters Degree in Business Administration (Finance) and has specialized in
Merchant Banking, Risk Management, Treasury and International Finance. He
has also undertaken a Certificate Course on Valuation.
Mr.Dalip Kumar Kaulhas become Non- Executive Chairman on the Board of

Supervisors of Bakhtar Bank, Kabul, Afghanistan. Earlier he was appointed as
Director/Member on the Board of Supervisors of the bank for a period of four
years.
Mr.Dalip Kumar Kaul is also a member of Executive Committee of J&K

Branch of NIRC of ICAI. He was Chairman of J&K Branch of NIRC of ICAI
for the year 2013-14. He is a Peer Reviewer on the panel of reviewers
maintained by the Peer Review Board of ICAI. He is also a Member of Kashmir
Education Cultural and Science Society, New Delhi. He was Member- (Finance
Committee) Sports and Cultural Club, Noida and Chairman- Commerce
Advisory Board, SGTB Khalsa College, University Of Delhi. Mr.Dalip K Kaul
was also Special Invitee Member on the Committee on Banking, Insurance &
Pension of ICAI.He has also been conferred with the prestigious
GauravSamman by the Kashmiri Samiti, New Delhi.
KHAVER ALAM JEELANl
Mr.KhaverAlamJeelani, aged 35, is CEO of Hotel Highlands Park, Gulmarg.

Prior to this he was associated with Morgan Stanley Investment Management
(London) from the year 2002 to 2007. He has represented Morgan Stanley at the
European Fund Categorisation Forum (EFCF), a working group of the European
Fund and Asset Management Association (EFAMA). Mr.Jeelani is holding
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degrees of B.A. Hons in Industrial Economics from the University of

Nottingham (Business School) and M.Sc in Economics and Finance from the
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University of Warwick (Warwick Business School). He is also an Associate of
Securities Institute (UK). His interests vary from Sports to travel. He has
achieved a Grade 3 in fencing (foil) awarded by the British Fencing Association
and has travelled extensively to UK, Switzerland, Singapore, Parts of Indonesia,
Thailand, France, Spain, Germany, Norway, Canada and the US.
AZHAR-UL-AMIN
Mr.Azhar-Ul-Amin, aged 55 years, B.Sc. LLB (Hons) is an Advocate by

profession with 30 years of practice at the High Court of Delhi, High Court of
J&K and Supreme Court of India, having expertise in Civil, Criminal,
Constitutional, Labour, Company and Service Laws.
Mr.Azhar-Ul-Amin was appointed as Additional Advocate General for state of

J&K in 2008/2009 and has represented prestigious constitutional and statutory
institutions like National Human Rights Commission, J&K Public Service
Commission, J&K Subordinate Service Selection Board, J&K Pollution Control
Board, as Advocate. He has remained Counsel for Department of Home, J&K,
Department of Forest, J&K, Craft Development Institute, Srinagar and Union of
India. He has conducted high stake civil and constitutional matters. He has
remained main Counsel in high stake arbitration matters for and on behalf of the
State of J&K and other clients.
ABDUL MAJID MIR
Mr. Abdul MajidMir, has 38 years of experience in Banking. Mr. Abdul Majid
Mir has held various important and senior positions in the J&K Bank Ltd, as
part of its Corporate Management Team including being Executive Director of
the Bank from 01-05-2008 to 30-06-2011. He has special knowledge and
practical experience in the fields of Finance, Credit, Trade Finance, Foreign
exchange, Treasury, Corporate and Retail Banking, Deposits & Liability
Management & Risk Management.
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MRS. MASOODA JABEEN
Mrs.Masooda Jabeen, aged 62, is Post Graduate in clinical physiology from

Aligarh Muslim University, retired from Government service and presently
working with various NGOs. She has held several distinguished Positions such
as Registrar/Controller Examination, Post Graduate & Research Institute, Sheri
Kashmir Institute Medical Sciences (SKIMS), Soura, Srinagar, (Deemed
University). She has conducted courses and held examination of various
Professional Courses in Medicine, Nursing, Technology, Nutirtion and other
Short term Professional courses. She was Member of different committees
related to policy making, legal affairs, financial affairs (SKIMS) and co-
ordinated with Central Government Institutions Medical Counsel of India,
National Board of Examinations and All India Institute of Medical Sciences.
Having worked with different administrative heads, Director SKIMS, Dean
SKIMS, FA/CAO, Director AIIMS, President Medical Counsel of India and
Vice President National Board of Examination, she has vast experience of
handling complicated issues related to administration which include policy
related matters, legal matters and financial matters.
HIERARCHY
CHAIRMAN
EXECUTIVE PRESIDENT
SENIOR PRESIDENT
PRESIDENT
VICE PRESIDENT
ASST. VICE PRESIDENT
EXECUTIVE MANAGER
SENIOR EXECUTIVE
EXECUTIVE
ASSOCIATE EXECUTIVE
BANKING ASSOCIATES
ASST, BANKING ASSOCIATES
25
BANKING ATTENDENTS
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LOGO
The logo, designed by the famed Ray and Keshavan Brand Design, comprises
three squares coloured green blue and red, representing Jammu, Kashmir and
Ladakh. The counter-form created by the interaction of the squares is a falcon
with outstretched wings a symbol of power and empowerment.
Green signifies growth and renewal
blue conveys stability and unity
red represents energy and power.
These attributes are assimilated in the white counter-form of the falcon.
In its entirety, the logo shows the three regions comprising J&K state together
in synergy, according power to and propelling the falcon J&K Bank towards
new heights and horizons. These horizons extend well beyond J&Ks
boundaries. The falcon, even as it soars, is firmly grounded in reality
NETWORK
The Jammu & Kashmir Bank is today one of the fastest growing banks in India
with a network of 860 branches/offices spread across the country offering
world class banking products/services to its customers. Today, the Bank has a
status of value driven organization and is always working towards building trust
with Shareholders, Employees, Customers, Borrowers, Regulators and other
diverse Stakeholders, for which it has adopted a strategy directed to developing
a sound foundation of relationship and trust aimed at achieving excellence,
26
which of course, comes from the womb of good Corporate Governance. Good
Governance is a source of competitive advantage and a critical input for
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achieving excellence in all pursuits. J&K Bank considers good Corporate
Governance as the sine qua non of a good banking system and has adopted a
policy based on all the four pillars of good governance Transparency,
Disclosure, Accountability and Value, enabling it to practice Trusteeship,
Transparency, Fairness and Control, leading to stakeholders delight, enhanced
shareholder value and ethical corporate citizenship. It also ensures that bank is
managed by an independent and highly qualified Board following best globally
accepted practices, transparent disclosures and empowerment of shareholders,
besides ensuring to meet shareholders aspirations and societal expectations
following the principles of management's executive freedom to drive the bank
forward without undue restraints but within the framework of effective
accountability
During FY 2012-13, 70 new branches were established and 12 Extension

Counters were upgraded into full-fledged Branches, thereby taking the number
of branches to 691, as on 31st March, 2013, spread over 20 states and one union
territory.
AWARDS AND RECOGNIZATION
Europe Business Assembly Awards, London
The Bank bagged the prestigious Best Enterprise award from Europe Business
Assembly (EBA) in London. The Socrates Committee of EBA also awarded the
Chairman and CEO - Mr. Mushtaq Ahmad with Manager of the Year medal
and a special statue.
FE Indias Best Banks Award-2012-13
The Bank was ranked as No. 1 in Best Old Private Sector Bank category in
27
the survey conducted across the banking industry. In terms of Profitability, the
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Bank stands 3rd in the overall banking industry while as 1ST in the category of
Old private sector banks, The Award is the recognition of the Bank's strong
fundamentals and dynamic growth model.
India Human Capital Awards 2012
For its leadership role in the human resource management practices, J&K Bank
was conferred with HR Leadership Award in the second India Human Capital
Awards 2012. The award is the recognition of Banks strategic and iconic
position as a role model for professionalism and management excellence in the
banking industry.
IPE HRM Congress Awards
The Bank has been conferred with the prestigious HR Leadership Award at IPE
HRM Congress Awards organized under the aegies of APHC Asia Pacific HRM
Congress 2012.
Dun & Bradstreet Banking Awards
J&K Bank was awarded the Best Bank in the prestigious 'Dun & Bradstreet
(D&B) - Polaris software Banking Awards 2011 in the category for "Rural
Reach - Private Sector"
FE India's best banks Award
The Bank won the prestigious Financial Express Best Banks Award in the Old
Private Sector Banks Category for Scaling up its business and strengthening the
balance sheet for the year ended March 2011. The Award is the recognition of
the Bank's innovative approach towards the business, both within and outside
J&K.
J&K Banks Annual Report 2008-09
J&K Banks Annual Report 2008-09 has won three awards at the prestigious
LACP 2009 Vision Awards the worlds largest award programme for Annual
Reports, organized by California-based League of American Communications
Professionals (LACP), USA. The LACP is a forum within the public relations
28
industry that facilitates discussion of best-in-class practices in public relations

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and recognizes exemplary communication capabilities at a global level. The

awards received include Rank 73 on the top hundred lists of annual reports
from around the world, Platinum Award in the Commercial Banks Up to
$10billon annual revenue from the Asia Pacific Region and Silver Award for
Most Creative Report across all sectors from the Asia Pacific Region.
PRODUCTS
J and K bank has always inclination to launch new products deposit scheme and
loans depending upon the market conditions and requirements of customers.
The products are tailored to suit everybodys requirements.
Saving Bank Deposits
i. Deluxe Savings Account
ii. General Savings Account
iii. Deluxe Salary Account
iv. General Salary Account
Bank also offers a basic no frills savings account SB UJALA for inclusion of
economically disadvantaged sections of society.
Term deposits
i. Millennium Deposits Scheme
ii. Flexi Deposits Scheme
iii. Fixed Deposits Scheme

29
iv. Child Care Scheme

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v. Cash Certificates

vi. Super Earner Deposits Scheme
vii. Recurring Deposits Scheme
viii. Recurring Plus Account
ix. Smart Saver Scheme
x. Depositors Pension Scheme
Value added schemes
i. Tax Saver Term Deposit Scheme
ii. Mehendi Deposit Certificate
iii. Daily Deposit Saving Scheme
Gift cheque scheme

Current accounts
i. Platinum Current Account
ii. Gold Current Account
iii. Premium Plus
iv. Current Account
v. Premium Current Account
vi. Basic Current Account
Loans
i. Housing Loan Scheme
ii. Education Loan Scheme

30
iii. Car Loan Scheme

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iv. Car Loan for Used Car
v. Commercial Vehicle Finance
vi. Commercial Vehicle Finance (Used Vehicles)
vii. Two Wheeler Finance
Other Finances
i. Consumer Loan.
ii. Consumption Loan.
iii. Personal Loan to Pensioners Mortgage
iv. Loan for Trade & Service Sector
v. Loans against Mortgage of Immovable Property
vi. Fair Price Shop Scheme
ix. Khatamband Craftsmen Finance
x. Commercial Premises Finance
xi. Laptop/PC Finance
CREDIT CARDS
i. Global Access Card
ii. Empowerment Credit Card
Types of Cards
Blue Empowerment Card

Silver Empowerment Card
Gold Empowerment Card
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INSURANCE
The Bank diversified its operations when it ventured into the insurance
business, both life and non-life segments.
Life Insurance Segment

PNB MetLife India Insurance
Non Life Insurance Segment
Bajaj Allianz General Insurance Co. Ltd.
CHAPTER 6
CUSTOMER SATISFACTION
Customer satisfaction measures how well the expectations of a customer

concerning a product or service provided by your company have been met.
Customer satisfaction is an abstract concept and involves such factors as the
quality of the product, the quality of the service provided, the atmosphere of the
location where the product or service is purchased, and the price of the product
or service. Businesses often use customer satisfaction surveys to gauge
customer satisfaction. These surveys are used to gather information about
customer satisfaction. Typical areas addressed in the surveys include:
Quality of product
Value of product relative to price - a function of quality and price
Time issues, such as product availability, availability of sales assistance, time
waiting at checkout, and delivery time
Atmosphere of store, such as cleanliness, organization, and enjoyable shopping
environment
Service personnel issues, such as politeness, attentiveness, and helpfulness
32
Convenience, such as location, parking, and hours of operation

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It is seen as a key performance indicator within business and is often part of a
Balanced Scorecard. In a competitive marketplace where businesses compete
for customers, customer satisfaction is seen as a key differentiator and
increasingly has become a key element of business strategy.
"Within organizations, customer satisfaction ratings can have powerful effects.
They focus employees on the importance of fulfilling customers' expectations.
Furthermore, when these ratings dip, they warn of problems that can affect sales
and profitability.... These metrics quantify an important dynamic. When a brand
has loyal customers, it gains positive word-of-mouth marketing, which is both
free and highly effective."
Therefore, it is essential for businesses to effectively manage customer
satisfaction. To be able do this, firms need reliable and representative measures
of satisfaction.
"In researching satisfaction, firms generally ask customers whether their
product or service has met or exceeded expectations. Thus, expectations are a
key factor behind satisfaction. When customers have high expectations and the
reality falls short, they will be disappointed and will likely rate their experience
as less than satisfying. For this reason, a luxury resort, for example, might
receive a lower satisfaction rating than a budget moteleven though its
facilities and service would be deemed superior in 'absolute' terms."
The importance of customer satisfaction diminishes when a firm has increased
bargaining power. For example, cell phone plan providers, such as AT&T and
Verizon, participate in an industry that is an oligopoly, where only a few
suppliers of a certain product or service exist. As such, many cell phone plan
contracts have a lot of fine print with provisions that they would never get away
if there were, say, 100 cell phone plan providers, because customer satisfaction
would be far too low, and customers would easily have the option of leaving for
a better contract offer.
suppliers of a certain product or service exist.As such, many cell phone plan
contracts have a lot of fine print with provisions that they would never get away
if there were, say, a hundred cell phone plan providers, because customer
satisfaction would be way too low, and customers would easily have the option
of leaving for a better contract offer. There is a substantial body of empirical
33
literature that establishes the benefits of customer satisfaction for firms Purpose.
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Customer Satisfaction Process - Five Steps:-
i. Understanding Customer Expectations.
ii. Promises to Customers.
iii. Execution.
iv. Ongoing Dialog with a Customer.
v. Customer Satisfaction Surveys.
Understanding Customer Expectations
How customers wants and needs, customers standards and

expectations, are incorporated into our promises to customers to not only
make a sale, but achieve high Customer Satisfaction (repetitive business)?
We must know what our customers expect from us. We must work with
our
customers to precisely learn their expectations.
Customer Expectations differ by region by country.
Promises to Customers
Set promises that can be kept.

Aim to exceed expectations rather than to meet them.
Delight customers by surprising them (Surprise is something not
promised, yet delivered).
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Execution
Products and Services are provided to customers.

Customers had certain expectations before products/services were
delivered.
Depending if these expectations were met, not met, or exceeded customer
experiences certain level of Customer Satisfaction.
Occasionally there are problems with products/services provided.
A problem can be fixed during the initial call or a visit (first contact
resolution), or a ticket is opened.
Tickets are worked on. Customer problems are eventually solved.
Depending on how the Problem Resolution is handled customer
experiences certain level of Customer Satisfaction.
How ongoing work towards better Customer Satisfaction is
communicated to organization (development, sales, etc)?
Ongoing Dialog with a Customer

Executive meetings.
User Group meetings.
Other meetings.
How feedback received from a customer (current Customer
Satisfaction) is communicated to market stapilisation scheme (MSS).
Customer Satisfaction Surveys and Metrics
Customer Satisfaction Surveys.

Event Driven Surveys.
Internal Indicators of Customer Satisfaction.
Tickets Resolved Within Objectives.
Tickets Overdue.
Resolve Time.
Response Time
How Survey results are communicated to organization?
35
Corrective actions?
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Customer satisfaction is a term frequently used in marketing. It is a measure of
how products and services supplied by a company meet or surpass customer
expectation. Customer satisfaction is defined as "the number of customers, or
percentage of total customers, whose reported experience with a firm, its
products, or its services (ratings) exceeds specified satisfaction goals." In a
survey of nearly 200 senior marketing managers, 71 percent responded that they
found a customer satisfaction metric very useful in managing and monitoring
their businesses.
It is seen as a key performance indicator within business and is often part of a
Balanced Scorecard. In a competitive marketplace where businesses compete
for customers, customer satisfaction is seen as a key differentiator and
increasingly has become a key element of business strategy.
"Within organizations, customer satisfaction ratings can have powerful effects.
They focus employees on the importance of fulfilling customers expectations.
Furthermore, when these ratings dip, they warn of problems that can affect sales
and profitability. . . . These metrics quantify an important dynamic. When a
brand has loyal customers, it gains positive word-of-mouth marketing, which is
both free and highly effective."
Therefore, it is essential for businesses to effectively manage customer
satisfaction. To be able do this, firms need reliable and representative measures
of satisfaction.
"In researching satisfaction, firms generally ask customers whether their product
or service has met or exceeded expectations. Thus, expectations are a key factor
behind satisfaction. When customers have high expectations and the reality falls
short, they will be disappointed and will likely rate their experience as less than
satisfying. For this reason, a luxury resort, for example, might receive a lower
satisfaction rating than a budget moteleven though its facilities and service
would be deemed superior in 'absolute' terms.
suppliers of a certain product or service exist. As such, many cell phone plan
contracts have a lot of fine with provisions that they would never get away if
there were, say, a hundred cell phone plan providers, because customer
satisfaction would be far too low, and customers would easily have the option of
36
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leaving for a better contract offer. A business ideally is continually seeking
feedback to improve customer satisfaction.
"Customer satisfaction provides a leading indicator of consumer purchase
intentions and loyalty." "Customer satisfaction data are among the most
frequently collected indicators of market perceptions.
Their principal use is twofold:"
1. "Within organizations, the collection, analysis and dissemination of
these data send a message about the importance of tending to customers
and ensuring that they have a positive experience with the companys
goods and services.
2. "Although sales or market share can indicate how well a firm is
performing currently, satisfaction is perhaps the best indicator of how
likely it is that the firms customers will make further purchases in the
future. Much research has focused on the relationship between customer
satisfaction and retention. Studies indicate that the ramifications of
satisfaction are most strongly realized at the extremes." On a five-point
scale, "individuals who rate their satisfaction level as '5' are likely to
become return customers and might even evangelize for the firm. (A
second important metric related to satisfaction is willingness to
recommend. This metric is defined as "The percentage of surveyed
customers who indicate that they would recommend a brand to friends."
When a customer is satisfied with a product, he or she might recommend
it to friends, relatives and colleagues. This can be a powerful marketing
advantage.) "Individuals who rate their satisfaction level as '1,' by
contrast, are unlikely to return. Further, they can hurt the firm by making
negative comments about it to prospective customers. recommends a key
metric relating to customer satisfaction."
Customer satisfaction has been a popular topic in marketing practice and
academic research since Cardozo's (1965) initial study of customer effort,
expectations and satisfaction. Despite many attempts to measure and
explain customer satisfaction, there still does not appear to be a consensus
regarding its definition (Giese and Cote, 2000). Customer satisfaction is
typically defined as a post consumption evaluative judgement concerning
a specific product or service (Gundersen, Heide and Olsson, 1996). It is
the result of an evaluative process that contrasts prepurchase
expectations with perceptions of performance during and after the
consumption experience (Oliver, 1980). The most widely accepted
37
conceptualization of the customer satisfaction concept is the expectancy

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disconfirmation theory (McQuitty, Finn and Wiley, 2000). The theory
was developed by Oliver, who proposed that satisfaction level is a result
of the difference between expected and perceived performance.
Satisfaction (positive disconfirmation) occures when product or service is
better than expected. On the other hand, a performance worse than
expected results is dissatisfaction (negative disconfirmation). Studies
show that customer satisfaction may have direct and indirect impact on
business results. Luo and Homburg (2007) concluded that customer
satisfaction positively affects business profitability. The majority of
studies have investigated the relationship with customer behaviour
patterns (Dimitriades, 2006; Olorunniwo et al., 2006; Chi and Qu, 2008;
Faullant et al., 2008). According to these findings, customer satisfaction
increases customer loyalty, influences repurchase intentions and leads to
positive word-of-mouth.
Given the vital role of customer satisfaction, it is not surprising that a
variety of research has been devoted to investigating the determinants of
satisfaction. Satisfaction can be determined by subjective (e. g. customer
needs, emotions) and objective factors (e. g. product and service
features). Applying to the hospitality industry, theimportant regarding
customer satisfaction. Atkinson (1988) found out that cleanliness,
security, value for money and courtesy of staff determine customer
satisfaction. Knutson (1988) revealed that room cleanliness and comfort,
convenience of location, prompt service, safety and security, and
friendliness of employees are important. Barsky and Labagh (1992) stated
that employee attitude, location and rooms are likely to influence
travellers' satisfaction. A study conducted by Akan (1995) showed that
the main determinants of hotel guest satisfaction are the behaviour of
employees, cleanliness and timeliness. Choi and Chu (2001) concluded
that staff quality, room qualities and value are the top three hotel factors
that determine travellers' satisfaction .
OBJECTIVE OF CUSTOMER SATISFACTION
Customer satisfaction is the degree to which a buyer is satisfied with a

product,
service or company. Customer satisfaction objectives can be broken down
38
into three main groups.

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The first is satisfaction with the purchase, which includes
how well the product performed, and whether it met
customer expectations and similar perceptions.
The second is satisfaction with the process, which includes
ease of making the purchase as well as customer service or
warranty interactions after the purchase.
The third of the main customer satisfaction objectives is the
degree to which satisfaction levels affect future actions, such
as recommending a product to others or buying again.
CHAPTER 7
ALiteratureReviewonCustomerSatisfaction
MARKETING
Marketing is an integrated communication based process through which
individuals and communities discover that existing and newly-identified needs
and wants may be satisfied by products and services.
Marketing is defined by the American Association as the activity, set of
institutions, and processes for creating, communicating, delivering and
exchanging offerings that have value for customers, clients, partners and society
at large. The term developed from the original meaning which literally referred
to going to the market.
The Chartered Institute of Marketing defines marketing as "The management
process responsible for identifying, anticipating and satisfying customer
requirements profitably.
The organization, in order to stay ahead of its competitors needs to address the
needs of its customers, i.e. target market in a fashion superior to that adopted by
its competitors. Therefore the organisation needs to think strategically.
Marketing mix is defined as the set of controllable, tactical marketing tools that
39
the firm blends to produce the response its wishes to generate in the target
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market. The variables can broadly be grouped in four major categories, viz
Product
Price
Place
Promotion
The product refers to the product-service package the company offers to the
target market. Price refers to the monetary consideration exchanged by the
customer for attainment of the product. Place refers to the destinations at which
the customer can avail the offering. Each category further has its sub areas of
concern. Promotion, basically a misnomer for marketing communication refers
to the process of informing and persuading the target group with respect to the
merits of the product(s). An effective marketing programme blends all the
ingredients in fashion which would deliver superior value to the customers as
compared to that delivered by the competitors
Service marketing
Services marketing are a sub field of marketing which covers the marketing of
both goods and services. Goods marketing include the marketing of fast moving
consumer goods (FMCG) and durables. Services marketing typically refer to the
marketing of both business to consumer (B2C) and business to business (B2B)
services. Common examples of service marketing are found in
telecommunications, air travel, health care, financial services, all types of
hospitality services, car rental services, and professional services.
A service, according to Vargo and Lusch (2004), is the application of
specialized competences (knowledge and skills) through deeds, processes, and
performances for the benefit of another entity or the entity itself. Services are
economic activities, rather than tangible products, offered by one party to
another. Rendering a service to recipients, objects, or other assets depends on a
time-sensitive performance to bring about the desired result. In exchange for
money, time, and effort, service customers expect value from access to goods,
labor, professional skills, facilities, networks, and systems; but they do not
normally take ownership of any of the physical elements involved.
The 7 Ps of Services Marketing
The first four elements in the services marketing mix are the same as those in
the traditional marketing mix. However, given the unique nature of services, the
implications of these are slightly different in case of services.
Product:-In case of services, the product is intangible, heterogeneous and
40
perishable. Moreover, its production and consumption are inseparable. Hence,

there is scope for customizing the offering as per customer requirements and the
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actual customer encounter therefore assumes particular significance. However,
too much customization would compromise the standard delivery of the service
and adversely affect its quality. Hence particular care has to be taken in
designing the service offering.
Pricing:-Pricing of services is tougher than pricing of goods. While the latter
can be priced easily by taking into account the raw material costs, in the case of
services, attendant costs - such as labor and overhead costs - also need to be
factored in. Thus, a restaurant not only has to charge for the cost of the food
served but also has to calculate a price for the ambience provided. The final
price for the service is then arrived at by including a mark up for an adequate
profit margin.
Promotion:-Since a service offering can be easily replicated, promotion
becomes crucial in differentiating a service offering in the mind of the
consumer. Thus, service providers offering identical services such as airlines or
banks and insurance companies invest heavily in advertising their services. This
is crucial in attracting customers in a segment where the services providers have
nearly identical offerings.
The final three elements of the services marketing mix - people, process and
physical evidence - are unique to the marketing of services.
People:-People are a defining factor in a service delivery process, since a

service is inseparable from the person providing it. Thus, a restaurant is known
as much for its food as for the service provided by its staff. The same is true of
banks and department stores. Consequently, customer service training for staff
has become a top priority for many organizations today.
Process:-The process of service delivery is crucial since it ensures that the same
standard of service is repeatedly delivered to the customers. Therefore, most
companies have a service blueprint which provides the details of the service
delivery process, often going down to even defining the service script and the
greeting phrases to be used by the service staff.
Physical Evidence:-Since services are intangible in nature most service
providers strive to incorporate certain tangible elements into their offering to
enhance customer experience. Thus, there are hair salons that have well
designed waiting areas often with magazines and plush sofas for patrons to read
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and relax while they await their turn. Similarly, restaurants invest heavily in
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their interior design and decorations to offer a tangible and unique experience to
their guests.
Service sector
The services sector is remarkably diverse. It comprises a wide array of
industries that sell to individual consumers and business customers, as well as to
government agencies and non-profit organizations.
Services make up the bulk of the economy in post-industrial societies and
account for most of the growth in new jobs. Unless a person is already
predestined for a career in family manufacturing or agricultural business, the
probability is high that they will spend their working life in service
organizations.
The size of service sector is increasing in almost all economies around the
world. As national economy develops, the relative share of employment among
the agricultural industry, and the service industry change dramatically. Even in
emerging economies, service output is growing rapidly and often repress
1. Ordering Ease: Ordering ease refers to how easy it is for the customer to
place an order with the company.
2. Delivery Ease: Delivery refers to how well the product or service is
brought to the customer. It includes speed, accuracy, and care throughout the
process.
3. Installation: It refers to the work done to make a product or service
operational in its planned location. Ease of installation becomes a true selling
point, especially when the target market is technology novice.
4. Customer Training: It refers to training the customer's employees to use
the vendor's equipment properly and efficiently.
5. Cribes:-the service program for helping customers keep purchased
products in good working order
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CHAPTER 8
Questionnaire
A questionnaire is a research instrument consisting of a series of questions and other prompts for the
purpose of gathering information from respondents. Although they are often designed for statistical
analysis of the responses, this is not always the case. The questionnaire was invented by Sir Francis
Galton.
Questionnaires have advantages over some other types of surveys in that they
are cheap, do not require as much effort from the questioner as verbal or
telephone surveys, and often have standardized answers that make it simple to
compile data. Questionnaires are also sharply limited by the fact that
respondents must be able to read the questions and respond to them. Thus, for
some demographic groups conducting a survey by questionnaire may not be
practical. Questionnaires are frequently used in quantitative marketing research
and social research. They are a valuable method of collecting a wide range of
information from a large number of individuals, often referred to as
respondents. Adequate questionnaire construction is critical to the success of a
survey. Inappropriate questions, incorrect ordering of questions, incorrect
scaling, or bad questionnaire format can make the survey valueless, as it may
not accurately reflect the views and opinions of the participants. A useful
method for checking a questionnaire and making sure it is accurately capturing
the intended information is to pretest among a smaller subset of target
respondents.
Types of questions:-
1. Contingency questions
2. Matrix questions
3. Closed ended questions

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4. Open ended questions

QUESTIONNAIRE FOR CUSTOMERS
The Jammu & Kashmir Bank Ltd
A study on Customer Satisfaction Survey of Jammu and Kashmir Bank. I am

collecting this data for my dissertation Purpose only. The information that I will
get from this data will not be provided to any other organization and will be
kept confidential. This is for my research work only.
Personal detail
Name :
Gender : M F
Age: 18-30 31-40 40-60 Above 60
Occupation :
Address:
Q1. How long have you been dealing with bank.
Less than 1 year1-5 years 5-10 years More than 10 years
Q2. Which services do you avail from J&K bank.
Saving bank account Current account Loans
Fixed deposits
Q3.The services provided by the bank is:-
Exellent Very GoodSatisfactory Average

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Poor
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Q4. Which add on services do you avail from the bank.
Debit cardSMS alertsE-bankingPOS machine
Cash deposit machine Credit card Mobile banking
Q5. You are availing the services of J&K bank because of its.
Better service qualityLess service chargesStrong branch network
Q6.(a) Being a customer of J&K bank do you avail the services from other
banks as well,if yes then
SBI HDFC PNB OTHERS
(b) In Comparison with the services of other banks, the services of J&K
bank is:-
ExcellentVery good Satisfactory Average Poor
Q7. The products of J&K bank cater to all your banking needs
Strongly Agree Agree Neutral Disagree Strongly

disagree
Q8. Employees of J&K bank are cooperative & helpful in giving

information about services of J&K bank.
Strongly Agree AgreeNeutralDisagreeStrongly disagree

45
Q10. The complaint redresssal mechanism of J&K bank is:-

Page
Exellent Very Good Satisfactory AveragePoor

Q11. How do you rate the security of your transactions through J&K bank.
Excellent Very Good Satisfactory Average Poor
Q12.Time taken by J&K bank in each successful transactionis:-
Excellent Very Good Satisfactory Average Poor
Q13. Taking into consideration your recent experience with J&K bank the
quality of services you received was.
Exellent Very goodSatisfactory AveragePoor
Q14. Would you like to continue your relation with J&K bank.
YesNo
Q15. Will you recommend your bank to your friends &relatives.
DefinitelyProbably Never
Q16. Any suggestions or recommendations :

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CHAPTER 9
RESEARCH METHODOLOGY
Success or failure of any project entirely depends upon methodology adopted by
the researcher. Methodologies basically use different methods of research
systematically and scientifically. Objective of the study, its research design, its
sampling design, coding and editing methods, presentations and analyses of the
data together with interpretation of the data are essential part of research
methodology.
Choice of methodology
For the field research I decided that the most appropriate approach would be a
questionnaire that would be filled out by people of Srinagar, Jammu and
Kashmir. To encourage the peoples not to reject the questionnaire outright, and
to increase the response rate, the questionnaire should be limited to maximum
of four sheet of A4 paper.
SAMPLING METHODOLOGY
Sampling Technique:-
Initially, a rough draft was prepared and a pilot study was done to check the
accuracy of the Questionnaire and certain changes were done to prepare the
final questionnaire to make it more judgmental. The respondents are selected
randomly, so we can say that random sampling has been done. It is an
exploratory research study.
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Sampling Unit:-
The respondents who were asked to fill out the questionnaire in the Srinagar
Region are the sampling units.
Sample Size:-
The sample size was restricted to only 100 respondents.
Sample:
Government Employees
Businessman
Corporate Employees
Students
Data Collection
Primary Data:-
Primary data for the research was collected through questionnaires. When
collecting primary data one can choose to do interviews, observations,
experiments, and questionnaires. Due to the purpose of our research, only the
questionnaire method would be able to approach the topic and be able to collect
the answers in a satisfactory manner.
In the research the primary data is mainly concerned with analyzing the
respondent in order to later on classify the respondent. Further on, the primary
data will be used to analyze the factors and how these are related to the
respondent. The primary data is conducted in a manner to be able to approach
our research and solve our research questions.
48
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Secondary Data:-
I have mainly used documentary secondary data combined with multiple source
data. Documentary secondary data has been the data collected through different
types of research conducted within the topic, articles, and books. This type of
data has been the fundamental source for gaining knowledge within the topic in
order for me to be able approach the research problem. The secondary data that
was used for the research is data that has also lead to the conclusion of which
factors that will be examined. The multiple source data that I have used has
been in order to choose which product I would use for my research in order to
be able to find the product that is most widely bought
49
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CHAPTER 10
Data Analysis and Interpretation
Data Analysis and Interpretation:-
Q1. How long have you been dealing with bank?
Dealing with Less than 1- 1-5 years 5-10 years More than 10
bank year years
Frequency 0 10 50 40
60
50
50
40
40
less than 1 year
30 1-5 year
5-10 year
20 more than 10 year
10
10
0
How long have you been dealing with bank?
50
Page
Fig 1 Respondent dealing with bank

Analysis:-
The above chart (Figure 1) shows majority of the respondents are dealing with
bank from 5-10 years. As it is indicated in the chart that out of 100 respondents
about 40% respondents are dealing with bank from more than 10 years while as
50% respondents are dealing with bank from 5-10 years and 10% respondents
Services Saving bank Current bank Loans Fixed deposits
availing from account account
bank
are dealing with bank from 1-5 years and 0% respondents are dealing with bank
less than 1 year. This shows that majority of respondents are dealing with bank
from 5-10 years
Q2. Which services do you avail from J&k bank?
100
88
90
80
70
60 Saving bank account
48 Current account
50
40 Loans
26 Fixed Deposit
30
20 14
10
0
Which service do you avail from bank?
51
Fig 2.Services availing from bank.

Page

Analysis:-
The above chart (Figure 2) shows that majority of respondents having savings
bank account. As it is indicated in the chart out of 100 respondents 88% having
saving bank account while 14% having current account, 26% having loans and
48% having fixed deposits. This shows that majority of respondents having
saving bank account.
Q3. The service provided by bank is:-
Services Exellent Very good Satisfactory Average Poor

provided
by bank
Frequency 6 32 54 2 0
60
54
50
40 Exellent
32 Very good
30 satisfactory
average
20 poor
10
6
2
0
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Fig 3.customers satisfied with the services

Analysis:-
The above chart (Figure 3) shows that majority of respondents are satisfied with
services provided by the bank. As it is indicated in the chart out of 100
respondents 54% are satisfied, while 3% believes that service is excellent and
32% believes that service is very good, 4% says its averages. This shows that
majority of respondents are satisfied with the services of the bank.
Q3. Which add on services do you avail from the bank?
Add on Debit E- POS Cash Credit SMS Mobile

service we card banking machine deposit card alerts banking
avail from machine
bank
Frequency 98 26 0 0 38 68 0
120
98
100
Debit card
80
68 SMS alerts
E-banking
60
POS machine
38 cash deposit machine

40
Credit card
26
Mobile banking
20
0
Add on service we avail from bank?
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Fig 4. Add on services availing from bank
Analysis:-
The above chart (Figure 4) shows that majority of respondents availing debit
Availing the Better service Less service wide branch
services of J&K quality charges network
bank because
Frequency 54 34 26
card services. As it is indicated in the chart out of 100 respondents 98% are
availing debit card services, 26% are availing e-banking services while 68% are
availing sms alert services,38% are availing credit card services and 0%
respondent are availing services like POS machine,cash deposit machine and
mobile banking. This shows that majority of respondents availing debit card
services from the bank.
Q5. You are availing the services of J&K bank because of its?
60
54
50
40
34
better service quality
30 26 less service charges
strong branch network
20
10
0
Availing service because of its:
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Fig 5.customers availing services of J&K bank because..
Analysis:-
The above chart (Figure 5) shows that majority of respondents availing services
of J&K bank due to better service quality. As it is indicated in the chart out of
100 respondents 54% are availing the services due to better service quality, 34%
availing services due to wide branch network, while as 26% are availing
services because of less service charges. This shows that majority of
respondents are availing the services of the bank due to its better service quality.
Q6. Being a customer of J&K bank do you avail the services from other
banks as well if yes, then
Customers SBI HDFC PNB OTHERS

availing service
from other banks
45
40
40
35
30
SBI
25 22 22
HDFC
20 PNB
15 OTHERS
10
4
5
0
customers availing services from ther banks
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Page
Fig 6.Customer availing services from other banks.

Analysis:-The above chart (Figure 6) shows that majority of respondents are not
availing the services from SBI. As it is indicated in the chart out of 100
respondents 40% are availing the services from SBI, 22% are availing the
services from HDFC,4% are availing the service from PNB while as 22%
respondents are availing services from other banks. This shows that majority of
respondents are availing the services of SBI.
(b).In comparison with the service of other banks the service of JK BANK
is:-
Comparing the Excellent Very good Satisfactory Average Poor

service with
other bank
60
50 48
40
excellent
32
very good
30
satisfactory
average
20
poor
10 6
2
0
comparing the service with other banks
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Page

Fig 7.Comparing the services of J&K bank with others.
Analysis:-
The above chart (Figure 7) shows that majority of respondents thinks that the
services of J&K bank are very good as compared to other banks. As it is
indicated in the chart out of 100 respondents 48% thinks that services of J&K
bank is very good from other banks, 6% thinks that services of J&K bank is
excellent,32% thinks that service of J&K bank is satisfactory compared to other
banks while as 1% thinks that J&K bank provide average services from other
banks. This shows that majority of respondents thinks that J&K bank provides
very good services to its customers as compared to other banks.
Q7.The product of the bank caters to all your banking needs.
The product Strongly Agree neutral Disagree Strongly

of Jk bank agree disagree
caters to all
your needs
90
84
80
70
60 Strongly agree
50 Agree
neutral
40
Disagree
30 Strongly disagree
20
12
57
10
2 2
Page

Fig 7. J&K bank products cater all banking needs to its customers.
Analysis:-
The above chart (Figure 7) shows that majority of respondents agrees that J&K
bank products cater their banking needs. As it is indicated in the chart out of
100 respondents 84% agree with this statement, 12% are on neutral side,2%
strongly agrees with the statement and 2% disagrees with the statement. This
shows that majority of respondents agrees that J&K bank products cater all their
banking needs.
Q8.Employees of Jk bank are cooperative & helpful in giving information

about service of JK bank.
Employees of Strongly Agree Neutral Disagree Strongly

JK bank are agree disagree
cooperative
frequency 2 24 34 30 10
40
35 34
30
30
24 strongly agree
25
agree
20 neutral
disagree
15
strongly disagree
10
10
5
2
0
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Fig 8. J&K bank employees are cooperative towards its customers.
Analysis:
The above chart (Figure 8) shows that majority of respondents are neither agree
nor disagree with the statement,hence they are on neutral side. As it is indicated
in the chart out of 100 respondents 2% strongly agree with the employees of
J&K bank in giving information about the services and products of the bank,
24% agree,30% disagree, 10% strongly agree, and 34% is on the neutral side.
Q9.The complaint redressed mechanism of JK bank is:
Complaints Excellent Very good satisfactory average Poor

redressed
mechanism of
JK bank
60
50 48
40 excellent
very good
30 satisfactory
26
average
20 18 poor
10
6
2
0
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Page

Fig 9. Satisfied with the complaint redressed mechanism of J&K bank
Analysis:-
The above chart (Figure 9) shows that majority of respondents are satisfied with
the complaint redressed mechanism of J&K bank. As it is indicated in the chart
out of 100 respondents 48% are satisfied with the complaint redressed
mechanism, 2% believes that its excellent,6% believes that its very
good,26%believes that its average and 18% believes that its poor.This shows
that majority of respondents are satisfied with the complaint redressed
mechanism of J&K bank.
Q10.How do you rate the security of your transaction through JK bank.
Security of Excellent Very good Satisfactory Average Poor

transaction
60
50 48
40 38
excellent
very good
30 satisfactory
average
20 poor
10 8
6
0
60
Page

Fig 10. Security of transactions through J&K bank
Analysis:-
The above chart (Figure 10) shows that majority of respondentsrate security of
their transaction as very good. As it is indicated in the chart out of 100
respondents 48% thinks that security of transactions through J&K bank is good,
6% respondents thinks that it is excellent while as 38% respondents thinks that
security of transactions through J&K bank is satisfactory,8% respondents thinks
that security of transaction through J&K bank is average. This shows that
majority of the customers thinks that J&K bank is having good security system
of transactions for its customers.
Q11.Time taken by J&K bank in each successful transaction.
Time taken in Excellent Very good Satisfactory Average Poor

each
transaction
50
44
45 42
40
35
excellent
30
very good
25 satisfactory
20 average
poor
15
10 8
6
5
0
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Fig 11.Time taken in each successful transaction.
Analysis:-
The above chart (Figure 11) shows that majority of respondents thinks that the
time taken in each successful transaction is very good. As it is indicated in the
chart out of 100 respondents 8% thinks that the time taken in each successful
transaction is excellent,44% thinks its very good,42% thinks its satisfactory
while 6% thinks its average.
Q12.Taking in consideration your recent experience with the bank the

quality of service you received is:
Your recent Excellent Very good Satisfactory Average Poor

experience with
the service of
J&K bank
45
42
40
40
35
30 excellent
25 very good
satisfactory
20
average
15 poor
12
10
6
5
0
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Fig 12.Customers recent experience with J&K bank.
Analysis:-
The above chart (Figure 12) shows that majority of respondents thinks that their
recent experience with the bank is satisfactory. As it is indicated in the chart out
of 100 respondents 42% having satisfactory recent experience with the bank,
40% having very good, 12% having excellent and 6% respondents having an
average recent experience with the bank. This shows that majority of the
customers are satisfied with the recent experience with the J&K bank.
Q13.Would you like to continue your relation with the J&K bank.
Continue your relation YES NO

with J&K bank
Frequency 98 2
would you like to continue your relation with

J&K bank?
yes
no
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Page

Fig 13. Continue relation with the J&K bank.
Analysis:-
The above chart (Figure 13) shows that majority of respondents are continuing
their relation with J&K bank. As it is indicated in the chart out of 100
respondents 98% customers are continuing their relation with J&K bank while
as 2% are not.
Q14.Will you recommend your bank to your friends or relatives?
Will you recommend Definitely Probably Never

your bank to friends
or relatives
Frequency 44 52 4
60
52
50
44
40
defintely
30 probably
never
20
10
4
0
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Page

Fig 14.Customers recommending J&K to their friends and relatives.
Analysis:-
The above chart (Figure 14) shows that majority of respondents will probably
recommend J&K bank to their friends and relatives. As it is indicated in the
chart out of 100 respondents 44% will definitely recommend J&K bank to their
friends and relatives, 52% will probably recommend and 4% respondents will
never recommend J&K bank to their friends and relatives. This shows that
majority of the customers will probably recommend J&K bank to their friends
and relatives.
FINDINGS
Suggestions and Recommendations
In the light of the findings of the study the following are made for
improvement of the customer service in J&K Bank:
J&K bank should improve their services which would lead better results
and clients satisfaction.
The bank should open more branches and ATMs so that the customers do
not face any problem.
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The bank should also open more branches as well as ATMs outside the
state so that the customers doesnt feel any inconvenience.
The bank should decrease the quarterly charges on savings account.
Bank should properly distribute their yearly calenders diaries to handsome

account holders.
Internet banking should try to reduce the complexity of online banking

features.
Keeping in view the progress and growth of J&K bank its management
should reduce interest rates on house & education loans to make a bank
customer attractive.
The bank should give more attention towards the society under CSR.
The bank employees should guide their customers properly and should be
more cooperative and helpful.
There should be proper information about the product/ services through

advertisement i.e. (Print and electronic media). The bank officials should
adopt various forms of advertisement in order to give timely information
about the updated product/ services to the customers.
J&K bank should concentrate more towards rural areas in using new
66
technology.
Page

More efforts should be made by the employees to give maximum
attention to their customers. The approach of the employees should be
such that sense of belongingness should be created among the customers.
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CHAPTER 11
BIBLIOGRAPHY
(1) Books:-
(a) Kotler, Phillip (2003), Marketing Management, 9th Ed. New Jersey: Pearson
Education.
(b) Etzel, M. J., Walker, B.J & Stanton, W.J (2001), Marketing: 12thEd. New
York: The McGraw-Hill Companies, Inc., 2001.
(2) Websites:-
www.jkbank.net
www.yahoosearch.com
www.google.com
www.wikipedia.com
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A SUMMER TRAINING PROJECT REPORT

Customer satisfaction survey of J&K Bank

MARKETING DIVISION SANGARMAAL

In the partial fulfillment of the requirement for the award of

Masters of Business Administration

Customer Satisfaction by Ifrah Hanan.

(In the name of Allah, the most Beneficent and

A successful project is the result of team work and co-ordination that

I express my thanks to all those associated with this project including

I deem it to be profound privilege to express my deep sense of gratitude

In addition, I wish to convey my deep sense of gratitude towards

I would like to record my deepest sense of gratitude to my parents, and

Customer Satisfaction by Ifrah Hanan.

5 History of J&K bank

10 Data analysis and interpretation

Customer Satisfaction by Ifrah Hanan.

Oxford Dictionary defines a bank as "an establishment for custody of money,

Characteristics / Features of a Bank

A bank may be a person, firm or a company. A banking company means a

A bank provides easy payment and withdrawal facility to its customers in

A bank provides various banking facilities to its customers. They include

A bank is a profit seeking institution having service oriented approach.

Banking is an evolutionary concept. There is continuous expansion and

Customer Satisfaction by Ifrah Hanan.

A bank's main activity should be to do business of banking which should

Customer Satisfaction by Ifrah Hanan.

The Banking Regulation Act, 1949 defines a banking company as a company

Section 5(b) defines banking as accepting for the purpose of lending or

(i) The goldsmiths

(ii) The moneylenders and

(iii) the merchant bankers.

The goldsmith by virtue of dealing in Gold, which is a very valuable item,

The professional moneylenders in the early age may also be considered as

Customer Satisfaction by Ifrah Hanan.

Customer Satisfaction by Ifrah Hanan.

Major Banks in India

ABN-AMRO Bank Indian Overseas Bank

Abu Dhabi Commercial Bank Indus Ind Bank

American Express Bank ING Vysya Bank

Andhra Bank Jammu & Kashmir Bank

Allahabad Bank JPMorgan Chase Bank

Bank of Baroda Karnataka Bank

Bank of India KarurVysya Bank

Bank of Maharashtra Laxmi Vilas Bank

Bank of Punjab Oriental Bank of Commerce

Bank of Rajasthan Punjab National Bank

Bank of Ceylon Punjab & Sind Bank

BNP Paribas Bank Scotia Bank

Canara Bank South Indian Bank

Catholic Syrian Bank Standard Chartered Bank

Customer Satisfaction by Ifrah Hanan.

Centurion Bank State Bank of Bikaner & Jaipur

China Trust Commercial Bank State Bank of Hyderabad

Citi Bank State Bank of Indore

City Union Bank State Bank of Mysore

Corporation Bank State Bank of Saurashtra

Dena Bank State Bank of Travancore

Deutsche Bank Syndicate Bank

Development Credit Bank Taib Bank

Dhanalakshmi Bank UCO Bank

Federal Bank Union Bank of India

HDFC Bank United Bank of India

HSBC ICICI Bank United Bank Of India

IDBI Bank United Western Bank