Customers Satisfaction Between Exim Bank and Standard Chartered Bank Limited (Part 2)
Subject: Marketing | Topics:

CLEARING Section:

Cheques, Pay Order (P.O), Demand Draft (D.D.) Collection of amount of other banks on behalf of its customer are a basic function of a Clearing Department.

  • Clearing: 

Clearing is a system by which a bank can collect customers fund from one bank to another through clearing house.

  • Clearing House:

Clearing House is a place where the representatives of different banks get together to receive and deliver cheque with another banks.

Normally, Bangladesh Bank performs the Clearing House in Dhaka, Chittagong, , and Khulna & Bogra. Where there is no branch of Bangladesh Bank, Sonali bank arranges this function.

  • Member Of Clearing House:

EXIM Bank LTD. is a scheduled Bank. According to the Article 37(2) of Bangladesh Bank Order, 1972, the banks, which are the member of the clearinghouse, are called as Scheduled Banks. The scheduled banks clear the cheque drawn upon one another through the clearinghouse.

  • Types of Clearing:

A)    Outward Clearing: When the Branches of a Bank receive cheque from its customers drawn on the other Banks within the local clearing zone for collection through Clearing House, it is Outward Clearing.

B)    Inward Clearing: When the Banks receive cheque drawn on them from other Banks in the Clearing House, it is Inward Clearing.

  • Types of clearing house:  There are two type of clearing house: Those are

1) Normal clearing house

2) Same day clearing house

  • Normal clearing house:

1)       1st house: 1st house normally stands at 10 a.m. to 11a.m

2)      2nd house: 2nd house normally stands after 3 p.m. and it is known as return house.

  • Same day clearing house:

1)      1st house: 1st house normally stands at 11 a.m. to 12 p.m

2) 2nd house: 2nd house normally stands after 2 p.m. and it is known as return house.

  • Who will deposit cheque for Clearing:  Only the regular customers i.e. who have Savings, Current, STD & Loan Account in the bank can deposit cheque for collection of fund through Clearing house.

Precaution at the time of cheque receiving for Clearing, Collection of LBC, OBC & Transfer:

1) Name of the account holder same in the cheque & deposit slip.

2) Amount in The cheque & deposit slip must be same in words & in figure

3) Date in the cheque may be on or before (but not more than six months back) clearing       house date.

4) Bank & Branch name of the cheque, it’s number & date in the Deposit slip.

5) Cheque must be signed.

6) Signature for confirmation of date, amount in words / in figure Cutting &

Mutilation of cheque.

7) Cheque should be crossed (not for bearer cheque).

8) Account number in the deposit slip must be clear.

9) Depositor’s signature in the deposit slip.

Return house:

Return House means 2nd house where the representatives of the Bank meet after 3 p.m. to receive and deliver dishonored cheque, which placed in the 1st Clearing House.

Cheque may be dishonored for any one of the following reasons:

1)      Insufficient fund.

2)      Amount in figure and word differs.

3)      Cheque out of date/ post- dated.

4)      Payment stopped by the drawer.

5)      Payee’s endorsement irregular / illegible / required.

6)      Drawer’s signature differs / required.

7)      Crossed cheque to be presented through a bank.

8)      Other specific reasons not mentioned above.

The dishonor cheque entry in the Return Register & the party is informed about it. Party‘s signature required in the return register to deliver the dishonor cheque. After duration, the return cheque is sent to the party’s mailing address with Return Memo.

If the cheque is dishonored due to insufficiency of funds then EXIM Bank charges. 58/=as penalty.

Responsibility of the concerned officer for the Clearing Cheque:

1)      Crossing of the cheque.

2)      (Computer) posting of the cheque.

3)      Clearing seal & proper endorsement of the cheque.

4)      Separation of cheque from deposit slip.

5)      Sorting of cheque 1st bank wise and then on branch wise.

6)      Computer print 1st branch wise & then bank wise.

7)      Preparation of 1st Clearing House computer validation sheet.

8)      Examine computer validation sheet with the deposit slip to justify the computer posting

9) Copy of computer posting in the floppy disk.

Bills   Collection: 

In modern banking the mechanism has become complex as far as smooth transaction and safety is concerned. Customer does pay and receive bill from their counterpart as a result of transaction. Commercial bank’s duty is to collect bills on behalf of their customer.

Types of Bills for Collection

  1. Outward Bills for Collection (OBC).
  2. Inward Bills for Collection (IBC).

Outward Bills for Collection (OBC)

OBC means Outward Bills for Collection .OBC exists with different branches of different banks outside the local clearing house. Normally two types of OBC:

1)      OBC with different branches of other banks.

2)      OBC with different branches of the same bank.

Procedure of OBC:

1)      Entry in the OBC register.

2)      Put OBC number in the cheque.

3)      “Crossing seal” on the left corner of the cheque & “ payees account will be credited on realization “ seal on the back of the cheque with signature of the concerned officer.

4)      Dispatch the OBC cheque with forwarding.

5)      Reserve the photocopy of the cheque, carbon copy of the forwarding and deposit slip of the cheque in the OBC file.

Commission for collection:

Up to 1 lac ———————————————- 0.15%
Above 1 lac———————————————- 0.10%
Above 5lac ———————————————- 0.05%

 Inward bills for collection (IBC)

When the banks collect bills as an agent of the collecting branch, the system is known as IBC. In this case the bank will work as an agent of the collection bank. The branch receives a forwarding letter and the bill.

Procedure of IBC:

  1. IBC against OBC: To receive the OBC cheque first we have to give entry in the IBC Register .The IBC number should put on the forwarding of the OBC with date.
  2. Deposit of OBC amount: OBC cheque amount is put into the “sundry deposit-sundry Creditors account”, prepare debit & credit voucher of it . If the OBC cheque is honored, send credit advice (IBCA) with signature & advice number of the concern branch for the OBC amount.
  3. If the OBC cheque is dishonored, the concerned branch is informed about it .
  4. Again place in the clearing house or send the OBC cheque with Return Memo to the issuing branch according to their information.

ACCOUNTS SECTION:

Accounts Department is called as the nerve Centre of the bank. In banking business, transactions are done every day and these transactions are to be recorded properly and systematically as the banks deal with the depositors’ money. . Improper recording of transactions will lead to the mismatch in the debit side and in the credit side. To avoid these mishaps, the bank provides a separate department; whose function is to check the mistakes in passing vouchers or wrong entries or fraud or forgery. This department is called as Accounts Department. If any discrepancy arises regarding any transaction this department report to the concerned department.

Besides these, the branch has to prepare some internal statements as well as some statutory statements, which are to be submitted to the Central Bank and the Head Office.

This department prepares all these statements, Workings of this department:

      1.   Recording the transactions in the cashbook.

2. Recording the transactions in general and subsidiary ledger.

3.   Preparing the daily position of the branch comprising of deposit and cash.

4.  Preparing the daily Statement of Affairs showing all the assets and liability of

the branch as per General Ledger and Subsidiary Ledger separately.

  1. Making payment of all the expenses of the branch.

6.   Recording inters branch fund transfer and providing accounting treatment in

this regard.

7.   Preparing the monthly salary statements for the employees.

  1. Preparing the weekly position for the branch which is sent to the Head Office to maintain Cash Reserve Requirement (C.R.R)
  1. Preparing the monthly position for the branch which is sent to the Head Office to maintain Statutory Liquidity Requirement (S.L.R)
  1.  Make charges for different types of duties

11.  Preparing the budget for the branch by fixing the target regarding profit.

  1. Checking of Transaction List, Packing of the correct vouchers according to the debit voucher and the credit voucher

13. Deposit so as to take necessary steps to generate and mobilize deposit

  PROJECT INFORMATION

 Introduction to the project

Banking operations are becoming more dynamic and challenging job to do the business in the financial market. The demand for superior banking facilities offers one-stop integrated financial services for the customers. The ability of banks to offer clients access to several markets for different classes of financial instruments has become a valuable competitive edge. The working of the customer’s mind is a mystery which is difficult to solve and understanding the nuances of what customer satisfaction is a challenging task. This exercise in the context of the banking industry will give us an insight into the parameters of customer satisfaction and their measurement. This vital information will help us to build satisfaction amongst the customers and customer loyalty in the long run which is an integral part of any business.

The customer’s requirements must be translated and quantified into measurable targets. This provides an easy way to monitor improvements, and deciding upon the attributes that need to be concentrated on in order to improve customer satisfaction. We can recognize where we need to make changes to create improvements and determine if these changes, after implemented, have led to increased customer satisfaction. If we can’t measure the level of customer satisfaction in banking sectors then we can’t able to improve the banking service in order to keep customer satisfy.

The reason behind choosing this topic is to know the level of customer satisfaction and performance between the Exim Bank Ltd and Standard Chartered Bank Ltd. In this report I have tried to make differences in order to banking performance, employee performances and the level of customer satisfaction in these two banks. At the same time to come across major findings and to provide some relevant recommendations in favor of the Bank

Objectives of the study:

The broad objective of the internship program is to identify the overall satisfaction level of customer’s between Exim bank and Standard Chartered Bank.

The major objectives of this study are as under: 

  • To identify the level of customer satisfaction of Exim Bank Limited and Standard Chartered Bank Limited.
  • To evaluate the employees behavior and performance of these two banks.
  • Determine the wide range of quality service.
  • Bank selection criteria.
  • Determine the overall banking performance of these two banks.
  • Some recommendation and suggestions to improve banking performance and employees performances for keeping the customers satisfy.

Scope of the study

This report provides the comprehensive idea about the employee’s behavior, their performance, banking facilities, wide range of banking services and the level of customers satisfaction which make difference between Exim Bank Limited and Standard Chartered Bank limited. The report is mainly focus on why people choose their bank in such a competitive banking environment. The report highlighted the measurement of quality services, level of the employee performances, customers rating different banking activities and most important issue customer’s satisfaction with overall banking activities and facilities of these two banks.

Methodology

Methodology includes direct observation, face-to-face discussion with employees and customer of General Banking department and practical work. In preparing this report both primary and secondary sources of information have been used. The study requires a systematic procedure from selection of the topic to final report preparation. To perform the study the data sources are to be identified and collected, they are to be classified, analyzed, interpreted and presented in a systematic manner and key points are to be found out. The over all process of methodology is given in the following page that has been followed in the study.

 Selection of the topic

The topic of the study was assigned by our supervisor. Before assigning the topic it was discussed with me so that a well organized internship report can be prepared.

 Identifying the data sources

Essential data sources both primary and secondary are identified which are needed to complete and work out the study. To meet up the need of primary data are used and study also requires interviewing the customers by using the questionnaire method to know the level of customer’s satisfaction of two banks. The report also required secondary data.

 The primary sources are

Face to face conversation with the customers.

Face to face conversation with the respective officers.

Interviews with the 80 customers of two banks.

Practical deskwork.

The Secondary Sources are

Annual Report of EXIM Bank Ltd and Standard Chartered Bank Ltd.

Gather knowledge about the bank from their banking website.

Publications obtained from different libraries and from internet.

 Research design

Questionnaire based research have been conducted by me. The questionnaire of my survey have made by considering the types of open ended, fixed alternatives and likert scale.

Sample Design

I have considered the different section of people who have an account of these two banks. In total I have completed my survey with 40 respondents each banks, which means total 80 respondents of two banks.

Data Gathering

Primary data are collected by using interviewing technique based on a questionnaire. The report is an exploratory research and qualitative survey.

Classification

Analysis, interpretations and presentation of data; some graphical tools are used in this report for analyzing the collected data and to classifying those to interpret them clearly.

Findings of the study

The collected data were scrutinized very well and were pointed out and shown as findings. Few recommendations are also made for improvement of the level of customer satisfaction.

Final report preparation

On the basis of the suggestions of our honorable faculty advisor some corrections were made to present the paper in this form.

Limitation of the study

This is an individual research work where only one individual researcher need to undertake the whole process done alone but the time frame work did not permit me. In all respect some limitations and weakness remain within which I failed to escape by any means. These are follows:

  • Relevant data and document collection is difficult due to the organization confidentiality.
  • Due to shortage of time, it is not possible to gather in-depth knowledge of the Exim Bank Ltd.
  • Large-scale research is not possible due to access constraints.
  • Insufficiency of necessary information and data.
  • Sometimes officials deny disclosing some information as to maintain secrecy.
  • Up-to-date information is not available.
  • It’s very difficult to measure the level of employee performance in sort period of time.
  • Some times customers didn’t have that much of time for answering the questionnaire properly.
  • Insufficient books, publications and journals about the banks information.

 ANALYTICAL PART

Gender of Respondent:

EXIM

STANDARD CHARTARD

GenderNo of respondentpercentageGenderNo of respondentpercentage
Male3280%Male3485%
Female820%Female615%

 

 

Table 1

Interpretation

From the aforementioned graph, we can say that the male portion of Exim bank is lesser than that of Standard Chartered Bank. It shows that Exim bank deals with 80% male customers where SCB has 85%. Ad in case of female consumers Exim bank has 20% and SCB has 15% of customers.

Age of respondent:

EXIM

STANDARD CHARTARD

Age GroupNo of respondentpercentageAge GroupNo of respondentpercentage
18-27615%18-27410%
28-371230%28-371435%
38-47820%38-471640%
48-57615%48-57410%
 58 & above820% 58 & above25%

Table 2

Interpretation:

This graph discloses different age groups of people of these two banks. The graph expresses that in the 18-27 age group Exim bank has 15% customers and SCB has 10% customers, 28-37 age group Exim bank has 30% customers and SCB has 35% customers, 38-47 age group Exim bank has 20% customers and SCB has 40% customers, 48-57 age group Exim bank has 15% customers and SCB has 10% customers, 58 & above age group Exim bank has 20% customers and SCB has 5% customers.

Profession of respondent:

EXIM

SCB

Profession of respondentNo of respondentpercentageProfession of respondentNo of respondentpercentage
Business1435%Business1845%
Service Holder1025%Service Holder820%
student25%student410%
House wife615%House wife410%
Others820%Others615%

Table 3

Profession of respondent

Interpretation:

The graph shows that Exim bank’s 35% customers are businessman and in SCB 45% customers are dealing with businesses. In terms of service holder consumers EB has 25% and SCB has 20%. In terms of student consumers EB has 5% and SCB has 10%. In terms of housewife consumers EB has 15% and SCB has 10%. In the others EB has 20% and SCB has 15%.

Types of Account:

EXIM

Types of accountNo of respondentpercentage
Al-Waadia Current1435%
Mudaraba Savings1230%
MudarabaTerm Deposit820%
MudarabaSavings Scheme410%
MudarabaHajj Scheme25%

   Table 4

 Types of Account

Interpretation:

The Exim Bank graph shows that 35% of customers has Al- waadia current Account, 30% of customers has Mudaraba Savings, 20% of customers has Mudaraba term deposit, 10% of customers has Mudaraba Savings scheme, 5% of customers has Mudaraba hajj scheme.

Types of Account:

SCB

Types of accountNo of respondentpercentage
Current Account1640%
Savings Account1025%
Fixed Deposit615%
Super Savings Scheme610%
Millionaire Scheme25%

Table 5

Types of Account

Interpretation:

SCB Bank graph shows that 40% of customers has current Account, 25% of customers has Savings account, 15% of customers has fixed deposit, 10% of customers has super Savings scheme, 5% of customers has Millionaire scheme.

2. Bank Selection criteria

Branch location is convenient:

EXIM

SCB

StatementNo of respondentpercentageStatementNo of respondentpercentage
Strongly Agree1230%Strongly Agree1025%
Agree1435%Agree1640%
Neutral410%Neutral615%
Disagree615%Disagree615%
Strongly Disagree410%Strongly Disagree25%

Table 6

 Branch location is convenient

Interpretation:

Branch location is one of the most important factors to choose a bank. From the graph I can state that 30% customers of EB and 25% customers are strongly agreed to this point, 35% customers of EB and 40% customers of SCB are agreed, 10% customers of EB and 15% customers of SCB are neutral, 15% customers of EB and 15% customers of SCB are disagreed, 10% customers of EB and 5% customers of SCB are strongly disagreed.

Image of the bank:

EXIM

SCB

StatementNo of respondentpercentageStatementNo of respondentpercentage
Strongly Agree1025%Strongly Agree1230%
Agree1845%Agree1640%
Neutral25%Neutral615%
Disagree615%Disagree410%
Strongly Disagree410%Strongly Disagree25%

Table 7

 Image of the bank

Interpretation:

Image of the bank is also play a vital role of choose a bank. From the afore said graphs I can state that according to the image of the bank 25% customers in Exim bank and 30% customers in Standard chartered bank are strongly agreed, 45% customers in Exim bank and 40% customers in SCB are agreed, 5% customers in EB and 15% customers in SCB are neutral, 15% customers in Exim bank and 10% customers in Standard chartered bank re disagreed, 10% customers in EB and 5% customers in Standard chartered bank are strongly disagreed,

ATM facilities are sufficient (such as debit card, credit card):

EXIM

SCB

StatementNo of respondentpercentageStatementNo of respondentpercentage
Strongly Agree00%Strongly Agree1435%
Agree410%Agree2050%
Neutral615%Neutral410%
Disagree1230%Disagree25%
Strongly Disagree1845%Strongly Disagree00%

Table 8

 ATM facilities are sufficient

Interpretation:

I have asked question to he customer about the ATM card facilities. From their answer I have found that in the strongly agreed option SCB 35% where there is no answer from the EB, in the agree option 10% of EB customers and 50% of SCB customers are rated. And 15% customers in Exim bank and 10% customers in SCB are neutral, 30% customers in Exim bank and 5% customers in Standard chartered bank are disagreed, 45% customers in Exim bank and 0% customers in SCB are strongly disagreed.

 Better service quality:

EXIM

SCB

StatementNo of respondentPercentageStatementNo of respondentpercentage
Strongly Agree1025%Strongly Agree820%
Agree1435%Agree1640%
Neutral410%Neutral820%
Disagree820%Disagree615%
Strongly Disagree410%Strongly Disagree25%

Table 9

 Better service quality

Interpretation:

In terms of better service quality 25% of Exim bank customers and 20% of Standard Chartered bank customers are strongly agreed, 35% of Exim bank customers and 40% of SCB customers are agreed, 10% of Exim bank customers and 20% of Standard Chartered bank customers are neutral, 20% of EB customers and 15% of SCB customers are disagreed, 10% of Exim bank customers and 5% of Standard Chartered bank customers are strongly disagreed,

Service charge is low:

EXIM

SCB

StatementNo of respondentpercentageStatementNo of respondentpercentage
Strongly Agree1025%Strongly Agree25%
Agree1845%Agree615%
Neutral615%Neutral1025%
Disagree25%Disagree1640%
Strongly Disagree410%Strongly Disagree615%

Table 10

 Service charge is low

Interpretation:

In case of low service charge 25% of Exim bank customers and 5% of Standard Chartered bank customers are strongly agreed, 45% of Exim bank customers and 15% of Standard Chartered bank customers are agreed, 15% of Exim bank customers and 25% of Standard Chartered bank customers are neutral, 5% of Exim bank customers and 40% of SCB customers are disagreed, 10% of Exim bank customers and 15% of Standard Chartered bank customers are strongly disagreed,

Advanced technology is implemented:

EXIM

SCB

StatementNo of respondentpercentageStatementNo of respondentpercentage
Strongly Agree25%Strongly Agree820%
Agree615%Agree1435%
Neutral1025%Neutral615%
Disagree1435%Disagree820%
Strongly Disagree820%Strongly Disagree410%

Table 11

 Advanced technology is implemented

Interpretation:

From the graph I can state that 5% customers of EB and 20% customers are strongly agreed to this point, 15% customers of EB and 35% customers are agreed, 25% customers of EB and 15% customers are neutral, 35% customers of EB and 20% customers are disagreed, 20% customers of EB and 10% customers are strongly disagreed.

Islamic banking facilities are available:

EXIM

SCB

StatementNo of respondentpercentageStatementNo of respondentpercentage
Strongly Agree1235%Strongly Agree410%
Agree2050%Agree820%
Neutral410%Neutral1025%
Disagree25%Disagree615%
Strongly Disagree00%Strongly Disagree1230%

Table 12

 Islamic banking facilities are available

Interpretation:

In terms of Islamic banking facilities 35% of Exim bank customers and 10% of Standard Chartered bank customers are strongly agreed, 50% of Exim bank customers and 20% of SCB customers are agreed, 10% of Exim bank customers and 25% of Standard Chartered bank customers are neutral, 5% of EB customers and 15% of SCB customers are disagreed, 0% of Exim bank customers and 30% of Standard Chartered bank customers are strongly disagreed,

Recommendation by friends or relatives:

EXIM

SCB

StatementNo of respondentpercentageStatementNo of respondentpercentage
Strongly Agree1230%Strongly Agree1025%
Agree1640%Agree1230%
Neutral410%Neutral615%
Disagree615%Disagree820%
Strongly Disagree25%Strongly Disagree410%

Table 13

 Recommendation by friends or relatives

 Interpretation:

Sometimes reference plays a vital role to choose banks. The aforesaid graph is representing the recommendation given by the friends and relatives. It states that 30% of Exim bank customers and 25% of SCB customers are strongly agreed at this point, 40% of Exim bank customers and 30% of SCB customers are agreed, 10% of Exim bank customers and 15% of SCB customers are neutral, 15% of Exim bank customers and 20% of SCB customers are disagreed, 5% of Exim bank customers and 10% of SCB customers are strongly disagreed.

3. Measurement of employee performance

Employees treat customers with respect:

EXIM

SCB

StatementNo of respondentpercentageStatementNo of respondentpercentage
Strongly Agree1025%Strongly Agree820%
Agree1845%Agree1435%
Neutral615%Neutral820%
Disagree410%Disagree615%
Strongly Disagree25%Strongly Disagree410%

Table 14

 Employees treat customers with respect

 Interpretation:

Employees’ behavior is one of greatest factors to the customers. Regarding the employees superior behavior 25% of EB subscribers and 20% SCB subscribers are strongly agreed,  40% of EB subscribers and 35% SCB subscribers are agreed, 15% of EB subscribers and 20% SCB subscribers are neutral, 10% of EB subscribers and 15% SCB subscribers are disagreed,  5% of EB subscribers and 10% SCB subscribers are strongly disagreed.

Employees listen carefully and genuinely concern about the customers problem:

EXIM

SCB

StatementNumber of respondentpercentageStatementNumber of respondentpercentage
Strongly Agree820%Strongly Agree820%
Agree1435%Agree1640%
Neutral820%Neutral615%
Disagree615%Disagree820%
Strongly Disagree410%Strongly Disagree25%

Table 15

Employees listen carefully and genuinely concern

Interpretation:

From the graph I can state that 20% customers of EB and 20% customers of SB are strongly agreed to in terms of employee empathy to the customers, 35% customers of EB and 40% customers are agreed, 20% customers of EB and 15% customers are neutral, 15% customers of EB and 20% customers are disagreed, 10% customers of EB and 5% customers are strongly disagreed.

Employees are happy to provide prompt service:

EXIM

SCB

StatementNo of respondentpercentageStatementNo of respondentpercentage
Strongly Agree615%Strongly Agree410%
Agree1640%Agree1845%
Neutral1025%Neutral820%
Disagree615%Disagree410%
Strongly Disagree25%Strongly Disagree615%

Table 16

Employees are happy to provide prompt service

Interpretation:

Employees’ responsiveness is one of important factors for the customers to keep them satisfy. Regarding the employees better responsiveness 15% of EB clients and 10% SCB clients are strongly agreed, 40% of EB clients and 45% SCB clients are agreed, 25% of EB clients and 20% SCB clients are neutral, 15% of EB clients and 10% SCB clients are disagreed, and 5% of EB clients and 15% SCB clients are strongly disagreed.

 Employees are accurate and consistent through their service:

EXIM

SCB

StatementNo of respondentpercentageStatementNo of respondentpercentage
Strongly Agree1025%Strongly Agree820%
Agree1435%Agree1845%
Neutral615%Neutral820%
Disagree820%Disagree410%
Strongly Disagree25%Strongly Disagree25%

Table 17

Employees are accurate and consistent

Interpretation:

In case of employee reliability 25% of Exim bank customers and 20% of Standard Chartered bank customers are strongly agreed, 35% of EB customers and 45% of SCB customers are agreed, 15% of Exim bank customers and 20% of Standard Chartered bank customers are neutral, 20% of EB and 10% of SCB customers are disagreed, 5% of Exim bank customers and 5% of Standard Chartered bank customers are strongly disagreed.

Satisfaction with the overall employee’s performances:

EXIM

SCB

StatementNo of respondentpercentageStatementNo of respondentpercentage
Strongly Agree820%Strongly Agree615%
Agree1640%Agree1435%
Neutral820%Neutral1025%
Disagree615%Disagree615%
Strongly Disagree25%Strongly Disagree410%

Table 18

Overall employee’s performances

Interpretation:

The overall customers’ satisfaction level of employee performance is most significant elements to the customers. From this graph I can say that 20% of Exim bank customers and 15% of SCB customers are strongly agreed at this point, 40% of EB customers and 35% of SCB customers are agreed, 20% of Exim bank customers and 25% of SCB customers are neutral, 15% of Exim bank customers and 15% of SCB customers are disagreed, 5% of Exim bank customers and 10% of SCB customers are strongly disagreed.

4. Customers rating according to the banking performance

Acceleration of transaction

EXIM

SCB

CriteriaNo of respondentpercentageCriteriaNo of respondentpercentage
Excellent615%Excellent410%
Good1230%Good1025%
Average1640%Average1845%
Poor410%Poor410%
Very poor25%Very poor410%

Table 19

Acceleration of transaction

Interpretation:

Deposit the money and withdraw money is related with the speed of transaction provided by the banks to the customers to keep them happy. In this graph I can state that 15% of Exim Bank customers and 10% of Standard Chartered Bank customers declare excellent in terms of acceleration of transaction, 30% of EB customers and 25% of SCB customers are said good, 40% of EB customers and 45% of SCB customers are state average, 10% of EB customers and 10% of SCB customers are says poor and 5% of EB customers and 10% of SCB customers are declare very poor.

Expertise in solving problem:

EXIM

SCB

CriteriaNo of respondentpercentageCriteriaNo of respondentpercentage
Excellent615%Excellent820%
Good1640%Good1845%
Average1230%Average1025%
Poor410%Poor25%
Very poor25%Very poor25%

Table 20

Expertise in solving problem

Interpretation:

This graph discloses the how much these two banks capable expertise in solving problem. The graph expresses that 15% of Exim Bank customers and 20% of Standard Chartered Bank customers state that they are excellent at this point. 40% of EB customers and 45% of SCB customers are says good, 30% of EB customers and 25% of SCB customers are says average, 10% of EB customers and 5% of SCB customers are state poor and 5% of Exim Bank customers and 5% of Standard Chartered Bank customers state that they are very poor at this point.

Secrecy in terms of transaction:

EXIM

SCB

CriteriaNo of respondentpercentageCriteriaNo of respondentpercentage
Excellent820%Excellent1025%
Good1845%Good1640%
Average1230%Average1025%
Poor25%Poor410%
Very poor00%Very poor00%

Table 21

Secrecy in terms of transaction

Interpretation:

Confidentiality of the customer’s transaction is one of the key concerns to the customers. In this point 20% of EB customers and 25% of SCB customers said excellent, 45% of EB customers and 40% of SCB customers state good, 30% of EB customers and 25% of SCB customers said average, 5% of EB customers and 10% of SCB customers declare poor and 0% of both the banks customers are said very poor.

Customer relationship management

EXIM

SCB

CriteriaNo of respondentpercentageCriteriaNo of respondentpercentage
Excellent410%Excellent820%
Good1230%Good1640%
Average1435%Average1230%
Poor615%Poor25%
Very poor410%Very poor25%

Table 22

Customer Relationship Management

Interpretation:

CRM is one of the significant elements of marketing arena which would be used by the banking management to the customers in order to know the current status of customers. From this graph I can say that 10% of Exim Bank customers and 20% of Standard Chartered Bank customers says excellent, 30% of EB customers and 40% of SCB customers state good, 35% of EB customers and 30% of SCB customers declare average, 15% of EB customers and 5% of SCB customers state poor and 10% of EB customers and 5% of SCB customers state very poor.

Branch approachability

EXIM

SCB

CriteriaNo of respondentpercentageCriteriaNo of respondentpercentage
Excellent820%Excellent615%
Good1230%Good1025%
Average1435%Average1640%
Poor410%Poor410%
Very poor25%Very poor410%

Table 23

Branch approachability

Interpretation:

This graph discloses the how much these two banks branches are friendliness with the customers. The graph expresses that 20% of Exim Bank customers and 15% of Standard Chartered Bank customers state that they are excellent at this point. 30% of EB customers and 25% of SCB customers are says good, 35% of EB customers and 40% of SCB customers are says average, 10% of EB customers and 10% of SCB customers are state poor and 5% of Exim Bank customers and 10% of Standard Chartered Bank customers state that they are very poor at this point.

 Debit card & credit card (ATM) facility

EXIM

SCB

CriteriaNo of respondentpercentageCriteriaNo of respondentpercentage
Excellent00%Excellent820%
Good410%Good1435%
Average820%Average1230%
Poor1230%Poor410%
Very poor1640%Very poor25%

Table 24

Debit card & credit card (ATM) facility

Interpretation:

Now a days ATM facilities is one of the key banking service to the customers. In this point 0% of Exim Bank customers and 20% of Standard Chartered Bank customers said excellent, 10% of EB customers and 35% of SCB customers state good, 20% of EB customers and 30% of SCB customers said average, 30% of EB customers and 10% of SCB customers declare poor and 40% of EB customers and 5% of SCB customers are said very poor.

Low service charge facility

EXIM

SCB

CriteriaNo of respondentpercentageCriteriaNo of respondentpercentage
Excellent615%Excellent25%
Good1230%Good820%
Average1640%Average1025%
Poor410%Poor1435%
Very poor25%Very poor615%

Table 25

Low service charge facility

Interpretation:

In this graph disclose that 15% of Exim Bank customers and 5% of Standard Chartered Bank customers declare excellent in terms of low service charge facility, 30% of EB customers and 20% of SCB customers are said good, 40% of EB customers and 25% of SCB customers are state average, 10% of EB customers and 35% of SCB customers are says poor and 5% of EB customers and 15% of SCB customers are declare they are very poor at this subject.

Online banking facility

EXIM

SCB

CriteriaNo of respondentpercentageCriteriaNo of respondentpercentage
Excellent25%Excellent615%
Good615%Good1230%
Average1025%Average1640%
Poor1435%Poor410%
Very poor820%Very poor25%

Table 26

Online banking facility

Interpretation:

Recently most of the banks provide the minimum level of online banking facility to the customers. . The graph expresses that 5% of Exim Bank customers and 15% of Standard Chartered Bank customers state that they are excellent at this point. 15% of EB customers and 30% of SCB customers are says good, 25% of EB customers and 40% of SCB customers are says average, 35% of EB customers and 10% of SCB customers are state poor and 20% of Exim Bank customers and 5% of Standard Chartered Bank customers state that they are very poor at this position.

Advertisement & Promotional activities

EXIM

SCB

CriteriaNo of respondentpercentageCriteriaNo of respondentpercentage
Excellent25%Excellent410%
Good615%Good820%
Average1230%Average1640.%
Poor1435%Poor820%
Very poor615%Very poor410%

Table 27

Advertisement & Promotional activities

Interpretation:

To inform and attract the customer’s advertisement and promotional activities is very much effective. In this point 5% of Exim Bank customers and 10% of Standard Chartered Bank customers said excellent, 15% of EB customers and 20% of SCB customers state good, 30% of EB customers and 40% of SCB customers said average, 35% of EB customers and 20% of SCB customers declare poor and 15% of EB customers and 10% of SCB customers are said very poor.

Wide range of service facility

EXIM

SCB

CriteriaNo of respondentpercentageCriteriaNo of respondentpercentage
Excellent615%Excellent820%
Good1435%Good1845%
Average1640%Average1230%
Poor410%Poor25%
Very poor00%Very poor00%

Table 28

Wide range of service facility

Interpretation:

Now a day every bank tries to provide extensive service to the customers to make them happier. The graph shows that 15% of Exim Bank customers and 20% of Standard Chartered Bank customers declare excellent in terms of wide range of service, 35% of EB customers and 45% of SCB customers are said good, 40% of EB customers and 30% of SCB customers are state average, 10% of EB customers and 5% of SCB customers are says poor and none of customers said very poor.

Overall satisfaction level in order to banking performances

EXIM

SCB

CriteriaNo of respondentpercentageCriteriaNo of respondentpercentage
Excellent820%Excellent410%
Good1640%Good1230%
Average1230%Average1435%
Poor410%Poor820%
Very poor00%Very poor25%

Table 29

Overall satisfaction level in order to banking performances

Interpretation:

The overall performance of Exim Bank Ltd and Standard Chartered Bank Ltd are ranked by the customers. The graph expresses that 20% of Exim Bank customers and 20% of Standard Chartered Bank customers state that customers feel excellent at satisfactory level. 40% of EB customers and 30% of SCB customers are says good, 30% of EB customers and 35% of SCB customers are says average, 10% of EB customers and 20% of SCB customers are state poor and 0% of Exim Bank customers and 5% of Standard Chartered Bank customers state that they are very poor at this position.

MAJOR FINDINGS

Findings:

  • There are no Automated Teller Machine (ATM) facilities in Exim bank than that of the standard chartered bank. SCB has a large ATM network all over the Bangladesh as well as outside of Bangladesh. SCB also provides debit card and credit card facility to its customers. But Exim bank recently introduced Islamic credit card.
  • Exim bank provides all the Islamic facilities through their each banking sectors. So under the sariah banking system they get preferences from the Islamic minded clients. Where the SCB provides services according to the conventional banking system. But recently they introduce a new segment which provides Islamic banking facilities to the customers.
  •  In the technical site of banking activities SCB has far better position than that of the Exim bank. SCB provides services under the modern banking method. For e.g.: employees of Exim bank couldn’t posting too many data or information at a time from two computers, which is very much disturbing for the employees.
  • Exim bank has a lower service charge compare to the SCB service charge. For e.g.: when cheques are dishonored by the bank for the insufficient fund or signature differ then Exim bank charges only 58 taka where SCB charges four or five times higher than that of Exim bank. In case of hidden cost SCB has higher hidden cost where Exim doesn’t have that type of cost.
  • In foreign exchange department it is required to communicate with foreign banks frequently and quickly. To make the process easily modern communication media for an example e-mail, fax and win fax, Internet etc. need to be used. But the Exim Bank has not much practice of using these media.
  • Advertising and promotional activities is one of the most effective tools used by any organization to attract and inform the customers. Both the banks don’t that much emphasis on advertising and promotional activities. But comparatively SCB has more advertising and promotional activities than the Exim bank.
  • In case of opening an account on Exim Bank Ltd some big parties are come to open accounts with the high official’s reference of the bank. They do not submit all papers that required opening an account and in future they do not feel any urge to submit those papers, but already they become accounts holders. I think in this case the authority is violating the rule. Standard Chartered Bank Ltd doesn’t have these types of problem.
  • Customer place more emphasis on significant factors like a banks reputation, friendliness of bank personnel, and availability in several convenient locations both of the banks.
  • Including to some client’s opinion introducer is one of the problems to open an account in Exim Bank. If a person who is new of the city or area wants to open an account, it is a problem for him/her to arrange an introducer of SB or CD accounts holder.
  • According to the service quality it is found that standard chartered bank’s service quality is better than that of the Exim bank.
  • SCB has good online banking system compare to the Exim bank. The  Branch of EXIM bank Limited has to transfer data from Branch to Branch and Branch to head office by using floppy disk through the peon because there is no other system available here but I think that it is not a good system and also it is not safe. But in SCB they do these types of activities through intranet facility.
  • Cash payment procedure of Exim Bank Ltd follows traditional method, because they don’t provide ATM facility to their customer to withdraw cash money. So customers need to write check for withdrawing money. On the other hand Standard Chartered Bank has a wide range of ATM services by which the customers can easily withdraw cash according to their needs and demands. So they can make themselves satisfied by continuing their account with SCB.
  • Lack of variety of service is also drawback of the general banking area of the EXIM Bank Bangladesh Limited. The bank provides only limited number of services to the clients. As a result the bank is falling behind in competition compare with the SCB or other banks.

 RECOMMENDATION  & CONCLUSION

 Recommendation:

Advanced technology:

Exim Bank should be more emphasis on computerized system each sectors of banking activities. They still use back dated computer program and banking software for doing their daily activities. That’s why they need to use modern technological equipments, latest computer programs and software’s, tools of management information system (MIS) in order doing banking activities rapidly.

Expand the product line

Exim bank has few numbers of product categories for their customers. They don’t have diversified product line to attract the different types of customers. As a result they should be introducing different types of accounts like, children accounts, women accounts, and millionaire scheme. They can also introducing verity of loans to the customers like car loan, marriage loan, and travel loan and so on. Beside that they should be targeted different market to do business in the competitive banking world.

Improvement of online banking system

Exim Bank Ltd online banking system is not so developed so far. All the inward and outward cheques information and others data has to transfer from one branches to head office by using floppy disk, which is not acceptable. All the banking data or information should be transfers through online system. Exim bank also needs to use high speed online and networking system for transferring data from one branch to another branch for doing their banking activities.

Card facility

 Exim bank should be introducing the Automated Teller Machine (ATM) facility all                     over the Bangladesh as early as possible. Right now most of the banks provide different types of debit card, credit card and ATM facility to the customers keep them happy. At first they can established the ATM booth at Dhaka city, after that they can expand that others city of Bangladesh for capture the banking market.

Advertisement and promotional activities

Exim bank should be concern about the advertisement and promotional activities.  They don’t appearance so much electronic and news advertisement. As a result our Bangladeshi customers couldn’t recognize Exim bank that much. Right now they have to present themselves in order to television advertisement, FM radio station, and news papers advertisement and so on. Exim bank also can arrange the different types of social activities or sponsorship for any events for promote their bank.

Beside the above it may conclude the following suggestion and recommendation

  • Both of the banks should strong their customer relationship management. It helps the bank to recognize the customers’ needs and demands, their thinking and ideas, recent status and so on.
  • Exim bank should increase their wide range of services.
  • SCB need to reduce its service charges. Hidden cost should be removed.
  • Exim bank should increase the branches all over the Bangladesh.
  • Standard Chartered Bank and Exim bank needs to train their all employees about the modern banking activities becoming them more effective and efficient.
  • Exim bank should target the non Muslim customers through their other services.
  • Exim bank should use one to one marketing policy to capture the market.
  • SCB should increase their cash counter space as well as the number of cash counters.
  • The bank should attempt to enter the share market by issuing shares to capitalize more money and invest thereafter by expanding the number of branches around the city.

 Conclusion:

Lots of new commercial bank has been established in last few years and these banks have made this banking sector very competitive. So, now banks have to organize their operation and do their operations according to the need of the market. Banking sectors no more depend on a traditional method of banking. In this competitive world this sector has trenched its wings wide enough to cover any kind of financial services anywhere in this world. The major task for banks, to survive in this competitive environment is by managing its assets and liabilities in an efficient way.

As an internee student in EXIM Bank Bangladesh Limited at karwan Bazar Branch, Dhaka I have truly enjoyed my internship from the learning and experience viewpoint I am confident that three month internship program at EXIM Bank Bangladesh Limited will definitely help me to realize career in the job market. It’s a new branch one and half year only but I think it would be able to increase the wealth because of the location.

During the course of my practical orientation I have tried to learn the practical banking to realize my theoretical knowledge, what I have gathered and going to acquire from various courses. It is great pleasure for me to have practical exposure of EXIM Bank Limited, because without practical exposure it couldn’t be possible for me to compare the theory with practice.

So in conclusion it can be said that every organization has its positive as well as negatives and in case of EXIM Bank Bangladesh Limited existence of the later one is less then the earlier one and as the management is determined to reach the pick of success it seems that in near future the negatives will be eliminated. Five years is a very short span of time and the organization, which can establish itself as one of the most reputed private commercial Bank in the country within this short period deserves special credit and with their able leaders EXIM Bank will reach the highest level of success very shortly. I wish the bank all success prosperity in their field.

Customers Satisfaction

Some are parts:

Customers Satisfaction Between Exim Bank and Standard Chartered Bank Limited (Part 1)

Customers Satisfaction Between Exim Bank and Standard Chartered Bank Limited (Part 2)

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