CRM in Banking Industry of Basic Bank

CRM
A CASE STUDY
ON
IN
BANKING INDUSTRY
BASIC BANK LIMITED, RAJSHAHI BRANCH
CRM in Banking Industry

of
BASIC Bank
Submitted by
WWW.ASSIGNMENTPOINT.COM
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CRM
A CASE STUDY
ON
IN
BANKING INDUSTRY
1. Introduction
Lets close our eyes and think about a government owned commercial
bank. We will surely start to think of a very clumsy place filled up with a
lot f old people working very slowly and the image will be accompanied
with the image of a very dirty place. Actually thats what we can see when
we go to any bank like Sonali Bank in Motijheel or any other government
bank in Bangladesh. BASIC is a bank with a lot of differences from this
situation. In this report we will try to find out how it differs and whats in
common.
1.1
Origin of the Report
As a mandatory part of the MBA program in Department of Marketing,

University of Dhaka every student must attend an internship program and
submit a report accordingly. This report was generated to meet up the
requirement of the program.
1.2
Origin of the Study
There are many sources of the information used all over this report. Due
to the secrecy Bond attached with the appointment letter from BASIC
Bank Limited it is impossible to define all the sources and also all the
experiences too. The following list contains only the sources that can be
used without conflicting with the company terms and conditions.
1.2.1
1.2.2
Primary Sources
Face-to-face conversation with the respective officers and staffs of
the branch and head office.
Face-to-face conversation with clients visited the branch.
Practical work experience in the different desk of the department of
the branch covered.
Secondary Sources
Annual report of BASIC Bank Limited.
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CRM
A CASE STUDY
1.3
ON
IN
BANKING INDUSTRY
Website of the BASIC Bank Limited.

Desk report of the related department.
Different circulars sent by head office or BASIC Bank Limited and
Bangladesh bank.
Objective of the Study
Every task has its respective goals or objectives without which the work is
meaningless. Keeping the following objectives in my view I have prepared
this thesis paper.
To fulfill the partial requirement of MBA program.

To gain practical exposures in different banking activities
To get familiar with the working environment in bank.
Analyzing the performance of the bank through the uniform bank
performance report.
Finding out how the bank is exposed to different kinds of risks.
To apply theoretical knowledge in the practical field.
To observe and analyze the performance of the specific branch and
the bank as a whole.
To be acquainted with day to day functioning of service oriented
banking business and its marketing
To study existing banker customer relationship.
1.4
Methodology
This report was prepared on the basis of experiences gathered during the
period of internship. In order to prepare this report, I have collected
information from various book articles, old internship reports and web
articles regarding general banking functions, foreign exchange operation
and credit policies of the BASIC Bank Limited. I have tried my best to
present a summary of my experiences throughout this report.
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CRM
A CASE STUDY
1.4.1
ON
IN
BANKING INDUSTRY
Data collection method
Pertinent data for this report has been collected primarily by direct
investigations of different records, papers, documents, operation process
and different personnel. The interviews were administered mostly in
informal sessions due to the busy schedules of the key personals. They
often feel uneasy due to the secrecy policies of the bank in case of
answering some questions.
1.4.2
Data sources
The information and data for this report have been collected from the
primary and secondary sources.
1.4.3
Data Collection
Data was collected from the primary and secondary sources. The data was
supplied by many publications forms etc.
1.4.4
Data analysis and interpretation
Qualitative
approach
has
been
adopted
for
data
analysis
and
interpretation taking the processed data as the base.

1.5
Limitations
The report has some weak points also that have evolved due to the
following causes
1.6
Secrecy policies of the bank.

First time working experience in Bank of the report writer.
Very Busy schedules of the bankers and the clients also.
Lack of Printed Documents
Job Schedule
I joined BASIC Bank Limited, Rajshahi Branch; as an Assistant Manager on

the 15th of November and have been working there for all these four
months as a credit officer. Due to being a credit officer I have always
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CRM
A CASE STUDY
ON
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BANKING INDUSTRY
enjoyed the opportunity to meet the customer base directly and because
of them being the primary customer of the bank it was easier for me to
find out the real true bond that creates the Banker Customer Relation
which works very importantly in the banking world for retaining the old
customer.
Job Place
BASIC Bank Limited, Rajshahi Branch
Job Designation
Assistant Manager, (Credit)
Experience
15th November 2009 ~ up to date
2. Company
Profile
This part of the report will try to explain the current financial condition of
the BASIC Bank Limited as well as the corporate values too. It is a very
important instrument for any bank because this is used to compare one
with others.
2.1 History of the Bank

The BASIC Bank Limited (Bangladesh Small Industries and Commerce
Bank Limited) was established as a banking company under the
companies Act 1913 on the 2 nd of August, 1988 & it launched its
operations on 21st of January, 1989. It is governed by the Banking
Companies Act 1913.The Bank was established as the policy makers of
the country felt the urgency for a bank in the private sector for financing
Small Scale Industries (SSIs). At the outset, the Bank started as a joint
venture enterprise of the BCC Foundation with 70 percent shares and the
Government of Bangladesh (GOB) with the remaining 30 percent shares.
The BCC Foundation being non functional following the closure of the
BCCI, the Government of Bangladesh took over 100 percent ownership of
BASIC on 4th June 1992. BASIC Bank Limited is unique in its objective. It
is a blend of development and commercial banks.
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The bank has 30 branches across the country and a wide network of
correspondents all over the world. The bank has plans to open more
branches in the current fiscal year to expand the network.
Serving people for progress is the motto of BASIC Bank Limited.
Whether in personal, corporate, treasury or trade transactions BASIC
Bank Limited is committed to provide the best. Meeting the demand of
their discerning customers is not their sole objectives. The bank venture
to deliver a quality that makes every transaction a pleasurable
experience. The bank has already been in the process of implementing
centralized On-line banking system. Customer is the core of everything
that the bank does. The services are regularly upgraded and realigned to
fulfill customer expectation. Delivery standards are constantly monitored
and improved to assure the highest satisfaction.
2.2 2008 at Glance

2008 was one of the worst years for the bank but good for the Rajshahi
branch of BASIC Bank Limited. The bank faced a severe drop in profit
this year. The Rajshahi branch stood first in case of earning profit between
all the branches situated in the north bengal. It earned 93 lacs of taka all
alone. The following table shows the situation of the total organization.
Amount in Lac
Authorized Capital
2000.00
Paid-Up Capital
1247.40
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Total Deposits
31947.48
Total Assets
38773.91
Loans & Advances
2263.65
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2.3 Corporate Strategy

Steady
and
sustainable
growth
through
appropriate
use
of
resources.
Investment in a cautious way.
Profit maximization.
Establishing small industries.
2.4 Organizational Goals

Develop a realistic deposit mobilization plan.
Develop appropriate lending risk assessment system.
Develop capital plan.
Develop a system to make good advances.
Develop e a recruitment, compensation, training and orientation plan.
Develop a plan for offering better customer service.
Develop appropriate management structure, systems, procedure and
approaches.
Develop scientific MIS to monitor banks activities.
2.5 Financial Resources

2.5.1 Property
and Assets
During the year 2008, total
Balance in
Other
bank, 6937
.5
Deffered
tax, 49.4
Call Money
, 1320.0
Assets
assets
Investment
, 5303.4
Others, 57
9.1
Cash, 2125
.0
Fixed
assets, 196
.1
of
the
bank
increased by 31 .81 % to
Taka
from
38773.91
taka
million
in
million
29417.09
2006.
As
expected,
loans
and
advances
comprised
the
largest share in the assets
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CRM
A CASE STUDY
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BANKING INDUSTRY
portfolio of the Bank constituting 57.41 percent. Balances with other

banks and financial institutions and Investment were the second and the
third largest constituents being 17.89 percent and 13.67 percent of the
assets portfolio respectively. Money at call and short notice came next in
size with 3.40 percent of total assets.
2.5.2 Loans
and Advances
Loans and advances consist of industrial loans, micro credit, commercial

loans and bills increased by 17.18 percent to Taka 22,263.34 million
compared to Taka 19,000.00 million in 2006.
2.5.3 Industrial
Loans
The industrial loan reflected a significant growth of 13.54 percent over the
previous year. Total outstanding industrial loans including term and
working capital stood at Taka 13,901.40 million at the end of 2008
compared to Taka 12,243.56 million of 2006. Total outstanding term loan
stood at Taka 5,055.58 million as on December 31, 2008 compared to
Taka 3,897.12 million in 2006 reflecting a growth of 29.72 percent. The
outstanding working capital finance extended to industrial units stood
at Taka 9,525.98 million at the end of the reporting period compared to
Taka 8,346.44 million in 2006. Growth
2.5.4 Micro
credit
BASIC Bank also provides micro credit to the poor for generation of
employment and income on a sustainable basis, particularly in urban and
suburban areas. At the end of 2008, total amount of Taka 680.13 million
remained outstanding as against Taka 359.24 million in 2006. Recovery rate
during this period remained at a highly satisfactory level of 100.00
percent.
2.5.5 Commercial
25000
20000
15000
10000
5000
0
Credit
The
Loans&Advance
Bank
development
also
of
supports
trade,
9 | Page
2004
Micro
2006
Commercial
2008
Indstrial
CRM
A CASE STUDY
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business and other commercial activities in the country. It covers the full
range of services to the exporters and importers extending various
facilities such as cash credit, export cash credit, packing credit, short
term loans, local and foreign bills purchase facilities. As on December 31
2008, total outstanding commercial loans stood at Taka 7,681.74 million
compared to Taka 6,391.21 million in 2006.
2.5.6 Non-performing
loan
Classified (non-performing) loans and advances was 4.25 percent at the

end of the year under review which was 3.70 percent in 2006. In absolute
term classified loans and advances stood at Taka 723.23 million in 2008
from Taka 703.27 million in 2006. Additional
2.5.7 Export/Import
The bank achieved substantial growth in both import and export in 2008.
The Bank handled total import business of Taka 21,266.53 million and
export business of Taka 16,794.96 million in 2008. The import and
export business grew by 19.45 percent and 8.61 percent respectively.
Major items of exports were ready made knit & woven garments,
sweater, jute & jute products, leather and leather goods, handicrafts
etc. Items of import included mainly industrial raw materials, garments
accessories, capital machinery, raw cotton, electronic consumer goods,
chemicals, tyre and tubes, reconditioned vehicles, bicycle spare parts,
food items such as rice, wheat, garlic, onion, sugar, chilly and other
essential commodities.
2.5.8 Investment
and Placements
Investment at the end
of 2008 was for Taka
Foreign ExchangeBusiness
5,303.39
compared
Export,
16794
3,270.87
Import,
21266
previous
Import
Export
million,
to
million
Taka
in
year.
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Investment was concentrated in approved securities such as Government

treasury bills, Treasury bond, reverse repo and a few debentures and
shares. During the year 2008 treasury bills, Treasury bond including
reverse repo had the largest share (98.98%) in the investment portfolio.
Debentures, shares in listed and unlisted companies and prize bond
altogether constituted 1.02 percent. BASIC's placement in different Banks
in Bangladesh and outside Bangladesh was Taka 6,937.53 million in 2008
compared to Tk 4,191.37 million in 2006.
2.5.9 Fixed
assets and other receivables
At the end of 2008 the fixed assets increased by 26.90 percent to Taka
196.12 million from Taka 154.52 million in 2006 and other assets
increased to Taka 579.14 million from Taka 498.75 million in the previous
year. Fixed assets included vehicles, equipment and computer, furniture
and fixtures and leased assets. On the other hand, other assets included
advance income tax, stock of stationery, security deposits, sundry debtors,
and suspense account.
2.6 Liabilities & Shareholders Equity

2.6.1 Deposit
Deposit constitutes the core of BASIC Bank's fund mobilization. Total
deposit of the Bank at the end of 2008 stood at Taka 31,947.98 million
(82.40% of Total liabilities) compared to Taka 24,084.65 million (81.87% of
Total liabilities) in 2006. The growth of deposit was 32.65 percent. During
2008, the fixed term deposit increased to Taka 27,903.72 million from Taka
20,467.17 million in 2006. Savings bank deposit decreased to Taka 886.30
million in 2008 compared to Taka 1007.79 million in 2006. Deposit in
current and other accounts including bills payable increased to Taka
2,867.19 million in 2008 from Taka 2,370.45 million in 2006.
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2.6.2 Borrowings
Borrowings were made from various
Borrowings
sources
690
1000
long
term
funding
specially for financing development-
1385
1500
for
banking activities. The Bank enjoys a
937
credit line facility from KFW, a German
500
development
bank
for
financing
micro-credit scheme and small-scale
2003 2005 2007

2003 2005 2007
industries. It has also utilized an ADB
credit line for financing small industries. Another loan of Tk 325.56 million
was also received from ADB for financing Agro business development.
Ministry of Finance (GOB) and Bangladesh Bank are the other sources of
finance. Total outstanding borrowing against utilization of funds from the
above sources in 2008 was Taka 1,385.81 million against Taka 830.06
million in 2006. An amount of Tk 600.00 million was allocated by the GOB
and disbursed to BASIC Bank to finance Agro-based industry. BASIC was
included in this scheme for its outstanding performance.
2.6.3 Equity
The bank started its journey with
paid-up
capital
of
Tk.
80.00
Sustainable GrowthRate
million in 1989 and the same had

increased to Taka 1,247.40 million
29.71%
23.34%
19.37%
in 2008. The bank has decided to

issue 1 bonus share for every 20
15.97%
15.75%
shares and the paid-up capital of

the bank would thus be raised to
Taka
1,336.77
million
if
the
2003
2004
2005
2006
2007
proposed bonus share is approved. Cash dividend of Tk 62.37 million has

also been proposed for the year 2008. With this cash dividend, total
cumulative cash dividend of Tk 538.00 million would be paid to the
government.
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2.6.4 Statutory
ON
IN
BANKING INDUSTRY
Reserve
As per section 24 of the Bank Company Act1991, 20 % of profit before tax

needs to be transferred to statutory reserve until the total Statutory
Reserve becomes equal to Paid-up Capital. Accordingly, the statutory
reserve of the bank will stand at Taka 1045.08 million after transfer of an
amount of Taka 161.62 million from the profit of 2008. Shareholders'
equity of the Bank would increase by Taka 357.59 million to Taka 2,596.58
million in 2008 from Taka 2,238.99 million in 2006 registering a
sustainable growth rate of 15.97 percent.
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2.7 Operating Results

2.7.1 Income
The Bank's total income was 23.66
IncomeInterest
Income
percent higher than that of previous

year. Interest income from loans and
advances increased by 25.81 percent
while
other
increased
2006.
by
operating
income
38.18
percent
over
Commission
income
was
2866.57
NonInterest
Income
682.95
higher by 34.85 percent.

2.7.2 Expenses
The total expenditure was 47.52
percent higher than that of 2006
due
to
increase
of
TaxPaidCumulative(million)
interest
expenses as a consequence of
increase of deposit substantially.
Salary
and
allowances
employees
1777
2790
to
increased
by13.57percent
annual
1199
1434
2245
mainly
increment,
due
to
2004
2005
2006
2007
2008
dearness
allowance, promotion of existing employees and fresh recruitment.

General and administrative expenses (excluding salary and allowances)
increased by 14.72 percent. Hiring of additional space for Head Office
mainly contributed to this increase.
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2.7.3 Contribution
ON
IN
BANKING INDUSTRY
to Government Exchequer
From the very inception, BASIC Bank has been posting profit and paying
income tax to the Government. The cumulative figure of contribution to
the Government exchequer by way of corporate tax up to December
31, 2008 amounted to Taka 2,790.98 million, which is almost 35 times
the amount of original paid-up capital of the Bank.
2.8 Other Activities

2.8.1 Human
resources
BASIC has a well-diversified pool of human resource, which is composed of

personnel with high academic background. Also, there is a positive
demographic characteristic. Most employees are comparatively young in
age yet mature in experience. As at end of 2008 the total employee
strength was 820.
The Bank follows a strict recruitment policy in order to ensure that only
the best people are recruited. The Bank, so far, has recruited five
batches of entry-level management staff, all of whom have got excellent
academic background.
Intensive training program, on a regular basis, is being imparted to
employees of both management and non-management levels to meet
the challenges in the banking industry and to help employees to adapt
the changes and new working conditions. Human resource is the main
driving force and quality human resources are the key sources for the
success of today's banking business. Keeping this view in mind and
recognizing the importance of training for professional excellence BASIC
Bank Ltd. established its own training cell in 2005 with modern facilities. In
2008 the cell arranged 22 training courses and provided training to as
many as 360 employees of the bank. The bank also sends its employees to
BIBM and other local and foreign institutions with a view to sharpening
their knowledge base. During the year 2008 a total of 379 employees of
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the Bank were provided with training in various fields. Out of them 16
employees participated in training courses held abroad.
In 2008 total 122 employees of various stages were given promotion which
is almost 17.00 percent of total employees of the bank.
2.8.2 Automation
The Bank has been providing off-line computerized banking service to all
its customers since its inception. To accelerate the speedy and accurate
account ledger maintained and to make available all potential international
banking products, the bank has already been in the process of
implementing centralized On-line Banking system. It is expected that
within the end of 2008 the bank will be able to serve its customers
through the new system including ATM and Internet banking facilities.
2.8.3 Branch
Network
A great deal of investment for developing the physical resource base of

the Bank has been made. BASIC Bank has its presence in all the major
industrial and commercial centers of Bangladesh in order to cater to the
need of industry and
trade. At the end of
2009, there were thirty
two
conveniently
located
branches
throughout
Bangladesh;
eleven
branches in the capital

city of Dhaka, seven in
Chittagong
each
in
Narsingdi,
and
one
Narayanganj,
Rahshahi,
Saidpur, Bogra, Khulna,

Jessore,
Sylhet,
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Moulvibazar, Comilla, Barisal and Sirajganj. Besides these, the bank has
three bill collection booths at Ramna, Sher-e-Bangla Nagar and Gulshan
exchange Office of BTTB, Dhaka. A Foreign Exchange booth was opened
at Osmani Int'l Airport, Sylhet in April '05 for mobilizing foreign exchange.
This is one of the areas where BASIC Bank is relatively lagging behind. The
Bank has already signed an agreement with Placid NK Corporation, USA
and MoneyGram International, Minneapolis, USA for obtaining foreign
currency remittances. The bank is expected to sign agreement with Tele
Money transfer, London, UK and some similar agreement with companies
located in Saudi Arabia and UAE are going to be finalized shortly.
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2.9 Functional division of BASIC Bank Limited:

The bank has 30 branches, 6 Zones spread throughout the country. At the
head office level there are 12 divisions most of which have more than one
functional department which are headed by DGM and Training institute by
a director with the rank of CGM. The divisions are as follows
Human Resources Division

Establishment & Common Service Division.
Secretarys Division (Aboard Division).
Commercial Credit Division
Industrial Credit Division
Trade Finance Division
Balance sheet & Back Office Division
Audits an inspection division.
R&D Division
Computer system and procedures division. And
Law division.
These are the different division of BASIC bank that are serving their
services to the bank as well as to the country with great efforts according
to their respective fields.
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Basic
Bank
Rajshahi
Branch
3.
It
was the working
place
of mine for all
these
months
where I learned a lot

functions. While preparing
from
about the banking

this report I feel its necessary to
tell a few words about it. There are almost 20 people working in this
branch heart and soul to earn for the organization and to provide best
possible services. There are two different departments in the branch. It is
their cumulative hard work that makes it one of the biggest money
spinners for BASIC Bank Limited in the North Bengal Zone. The very
interior design even shows that how much control is there in the branch.
The boss can go through surveillance from his very table on every
employee either directly or through CC TV. I think it is really rare to find
out such a clean office that is owned by government of Bangladesh.
The departments that work in the branch are General banking & Loans &
Advance Section. The general banking performs the very common task of
creating; collecting; circulating; control the liquid money of the Bank. It
also helps with Pay Orders and various sorts of Drafts too.
The Loans & Advance Department performs the function related to loan
disbursement and collection of loans. It also issues Bank Guaranties. In
the changing banking world it is becoming harder everyday to work in this
section by following all the rules stated by Bangladesh Bank.
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3.1 Organizational Chart

D.G.M
-1
-2
A.M.
-5
Officer
-2
A.O
-2
Armed Guard-2
D.G.M
Branch In-Charge
A.M
Branch Operation, 2nd Officer
& In-Charge General Banking
GCM
A.M
In-Charge
Loans & Advances and Foreign Exchange
A.M
A.M
A.M
A.M
General
General
Loans & Advances
Loans & Advances
Banking
Banking
Driver
Officer
Officer
Cash
Cash
Armed Guard
Armed Guard
Assistant
Assistant
Officer
Officer
Cash
Cash
Guard-CumMessenger
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3.2 List of Employee of Rajshahi Branch as on 31-01-
2010
Sl.
No
01
02
03
Name
Designation
Education qualification
A.K.M. Masudur
Deputy General
B.A. (Hons), Economics, M.A,
Rahman
Manager
Economics
Assistant Manager
M.A
Assistant Manager
MBA
Md.
Shamsuzzaman
A.T.G.M. Golam
Faruque
04
Dinu Pramanik
Assistant Manager
MBA (Acc), BBA (Hons)
05
Md. Manirul Islam
Assistant Manager
MA
Md. Musarrat
Assistant
Hossain
Manager
Md. Syed Ahmed
Officer (Cash)
M.A
Officer (Cash)
B.A (Hons), M.A
06
07
08
09
Md. Moshiur
Rahman
Ms. Sanjeda
Assistant Officer
Tamanna
(Cash)
BBA, DU
MSS, MBA
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3.3 Comparative Position of Deposit, Advance, Foreign
Trade & Profit from 2007-2009
(Amount in lac)
2008
2010
2009
[up to 31-01-2010]
Name
of item Target
Achievement
Amt.
Target
Achievement
Amt.
Target Achievement
Amt.
Deposi 4600.0 4675.7 101.65 5000.0 5442.4 108.85 5600.0 5506.3 98.32
t
Advanc 4200.0 3370.2

e
%
80.24%
4500.0 4008.9
0
%
89.09%
4700.0 4167.9 88.68

0
--
00%
5.51
--
Foreig
n
Trade 300.00 56.49 18.83% 200.00 69.79 34.90% 200.00
(Impor
t)
Profit 80.00 47.37 59.21%100.00 91.57 91.57%
--
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3.4 List of Top 10(ten) Industrial Projects with their
limits
Sl.
No
01
02
03
Name of the
project
M/S. Natore Jute

Mills
Proprietor/
Authorized
person
Limit details
CC(H) LimitTk.150.00 lac

TL Limit Tk.150.00 lac
Mr. Shyam Sunder TL Limit Agarwala (B.Com) Tk.130.00 lac
STL LimitTk.100.00 lac
BG LimitTk.27.50 lac
M/S. Uttoran Offset

PS Plate Industries
Ltd.
Mr. S.M. Ayub, M.D

Most. Shamsun
Nahar,Director
Sadia Afroza,
Director
S.M. Ahsan Habib,
Director.
M/S. Xylia Medicare

TL Limit Tk.80.00
Dr. Md. Rabiul
lac
Islam Khan [MBBS,
TL Limit DTM&H, M.Sc.
Tk.30.00 lac
(Paed.)]
TL (HBL)Tk.70.00 lac
04
M/S. Rajshahi Silk

Fashion
Mr. Md. Abdul

Kader Munna
05
M/S. M.N.I & Co.
Mr. Md. Nazrul

Islam

TL Limit Tk.335.00 lac
PADTk.5.00 lac

Adhoc CC(H)- Tk.5.00
lac
STL LimitTk.15.00 lac
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A CASE STUDY
06
07
08
09
10
ON
IN
BANKING INDUSTRY
SOD (M) LimitTk.24.00 lac

CC(H) LimitMr. Md. Mozemmal Tk.20.00 lac
M/S. Khan Rice Mills
STL LimitTk.5.00
Haque Khan
lac
Mr. Md. Obaidul
M/S. Mukta Farms
STL LimitMuktadir
Tk.10.00 lac
CC(H) Limit- Tk.7.00
lac
The Bengal Board
Mr. Md. Mosfiqur
STL LimitMills
Rahman
Tk.20.00 lac
TL Limit Tk.10.00
lac
TL Limit Laser Diagnostic
Mr. Md. Rashed
Tk.15.00 lac
Center
Hossain
TL LimitTk.150.00 lac
M/S. Alimuddin &
Co.
Md. Alimuddin
SOD Limit- Tk.25.00

lac
TL (HBL)Tk.20.00
lac
3.5 List of Top 10(ten) Trading concern with their limits

Sl.
Name of the
Proprietor/
No
project
Authorized person
01
02
M/s. Usha
Construction
M/s. J.K.
Mr. Munzur Faruk

Choudhury, B.SC.
(Ag) in Agri. Engg
Mr. Md. Shamsur
Limit details
i. BG (Bid Bond)ii. BG (PG)iii. STL iv. SOD
Tk.250.00 lac
Tk.300.00 lac
Tk.300.00 lac
Tk.100.00 lac
i. BGii. STL -
Tk.200.00 lac
Tk.300.00 lac
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Enterprise
03
04
Md. Anisur
Rahman
M/S. Biscuit
Biponi
ON
IN
BANKING INDUSTRY
Rahman
Md. Anisur Rahman
Mr. Md. Ali Ashraf
iii. SOD-
Tk.20.00 lac
i. SODii. TL(HBL)-
Tk.40.00 lac
Tk.100.00 lac
i. SODii. CC(H)-
Tk.15.00 lac
Tk.15.00 lac
i. CC(H)-
Tk.40.00 lac
M/s. Rajshahi
Md. Moniruzzman
Stationery
Lucky
06
M/s. Safa
General Store
Mr. Md. Saidur

Rahman
i. CC(H)-
Tk.30.00 lac
07
M/S. Kamaluddin
Khan & Sons
Mr. Md. Akram Khan
i. CC(H)-
Tk.25.00 lac
08
M/s. Belal
Hardware
Mr. Md. Belal
i. CC(H)-
Tk.75.00 lac
09
M/s. New
Modern
Furniture.
Mr. Md. Robiul Alam
i. CC(H)-
Tk.30.00 lac
i. CC(H)-
Tk.30.00 lac
05
10
4.
M/s. Mukta Hardware
Mr. Md. Obaidul

Wazid
ii. TL (HBL)-
Tk.20.00
lac
CRM in BASIC Bank Limited
Traditionally, few people changed their banks unless serious problems

occurred. In the past there was, to certain extent, a committed, often
inherited relationship between a customer and his/her bank. The
philosophy, culture and organization of financial institutions were
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grounded in this assumption and reflected in their marketing policies,

which were product and transaction-oriented, reactionary, focused on
discrete rather than continuous activities.
Today, financial institutions can no longer rely on these committed
relationships or established marketing techniques to attract and retain
customers. As markets break down into heterogeneous segments, a
more precisely targeted marketing technique is required, which creates
a dialogue with smaller groups of customers and identifies individual
needs.
Also, before the Internet revolution, consumers largely selected their
banks based on how convenient the location of bank's branches was to
their homes or offices. With the advent of new technologies in the
business of bank, such as Internet banking and ATMs, now customers
can freely chose any bank for their transactions. Thus, the customer
base of banks has increased, and so has the choices of customers for
selecting the banks. This situation coupled with the pressures of
competitive and dynamic markets has contributed to the growth of CRM
in the Financial Services Sector.
4.1 Customer Relationship Management: The

Concept
Customer Relationship Management is the establishment, development,
maintenance
and
optimization
of
long-term
mutually
valuable
relationships between consumers and the organizations. Successful

customer relationship management focuses on understanding the
needs and desires of the customers and is achieved by placing these
needs at the heart of the business by integrating them with the
organization's strategy, people, technology and business processes.
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At the heart of a perfect CRM strategy is the creation of mutual value

for all the parties involved in the business process. It is about creating a
sustainable competitive advantage by being the best at understanding,
communicating, and delivering, and developing existing customer
relationships in addition to creating and keeping new customers. So the
concept of product life cycle is giving way to the concept of customer
life cycle focusing on the development of products and services that
anticipate the future need of the existing customers and creating
additional services that extend existing customer relationships beyond
transactions.
4.1.1
Need of CRM in the Banking Industry
A Relationship-based Marketing approach has the following benefits:

-Over time, retail bank customers tend to increase their holding of the
other products from across the range of financial products / services
available. Long-term customers are more likely to become a referral
source.
The longer a relationship continues; the better a bank can understand
the customer and his/her needs & preferences, and so greater the
opportunity to tailor products and services and cross-sell the product /
service range.
Customers in long-term relationships are more comfortable with the
service, the organization, methods and procedures. This helps reduce
operating cost and costs arising out of customer error.
With increased number of banks, products and services and practically
nil switching costs, customers are easily switching banks whenever they
find better services and products. Banks are finding it tough to get new
customers, and more importantly, retain existing customers.
According to a research by Reichheld and Sasser in the Harvard
Business Review, 5% increase in customer retention can increase
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profitability by 35% in banking business, 50% in insurance and

brokerage, and 125% in the consumer credit card market. Therefore,
banks are now stressing on retaining customers and increasing market
share.
4.1.2
Private Banking and CRM
Private Banks have traditionally viewed themselves as exceedingly

'Customer Centric' offering what they believe to be highly personalized
services to the High Net Worth Customers. However, changes in the
customer behavior and accumulation of wealth are resulting in the
needs of HNW customers becoming more diverse and complex in terms
of the sorts of products they want, the channels through which they
want to access them and the associated range of advice. The wealthier
the customers, the more demanding they are - and the clients expect
more and more from their banks. Competition for "Supremely elite" is
increasing
4.1.3
Customer Experiences
The first step towards successfully winning, retaining and growing the
profitability of private banking customers is to understand what their
wants and needs are, so that the organization can be built around
serving those needs. Only when an organization has done this and
incorporated this into its strategy can it start to design its value
proposition and a customer experience that will enable it to achieve a
differentiated
Advise & Expertise
Give me independent
advice specific to my
needs
High Quality
Services
Provide
Consistent
error free high
quality
services
HNW
HNW
Customer
Customer
ss
competitive
position
in
the
Personal
Relationship
Provide me
with a single
adviser to
manage my
affairs
Performances
Provide me with best
possible return on my
assets
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private banking market, and more importantly, do so in an economically

viable way
There is a basic 'generic' customer experience that many private
banking customers are seeking. To be a credible player in the market, a
private bank must be able to deliver this 'base' experience. This
represents a common set of needs that are shared by most HNW
customers. Therefore, the private bank must have the capabilities
required to meet these needs for the majority of its customer base.
All customers, regardless of wealth levels, have similar emotional
Figure 1 The Basic HNW Customer Experience: Rohit Perera &
Tamsin Brew- CRM in F.S
needs, which drive their need for
advice and their purchase of products. Different wealth levels impose

different priorities on meeting these needs and open up new avenues
for doing so.
Take a simple example, HNW customers can afford on it to fund their
retirement, so their priorities may be associated with growing wealth,
rather than preserving it, allowing them to choose a product option with
a higher risk/reward ratio.
If this is true, it means all HNW customers start with a basic, common
set of what they want and need from a bank, which might include:
Personal, long-term relationship

Advice combining industry expertise and knowledge of personal
circumstances
High quality, consistent quality
Security, privacy, confidentiality
At this basic level, grouping together these core wants and needs
produces a set of generic characteristics that an HNW individual seeks
from an organization before he or she will even consider placing any of
his or her wealth with it.
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Underlying these generic characteristics is a set of capabilities covering

organization, process and technology, which the private bank must
process to operate in the high net worth market.
4.1.4
The Segment-Specific Experience
To build this 'base' experience, private banks also need to consider the
segment-specific
Flexibilit
y
Cope with
me
High
Quality
Services
Provide
Consistent
error free
high quality
services
Advise & Expertise

Give me independent
needs
Personal
Relationship
Provide me
with a single
adviser to
manage my
affairs
HNW
HNW
Customer
Customer
ss
Performances
assets
needs
of
their
target customers.
This
in
requires
itself
a
capability
to
identify and justify

Discretion
target
Treat my
affairs with
utmost
discretion
and
customers
understand
their
beyond
needs
banking,
to ensure that their emotional needs are met. It is here that the
customer is made to feel like an individual, but it is also at this point
that costs and infrastructure spiral, as customers' needs start to
diverge.
The segmentation process identifies groups of customers with similar
wants and needs, who are seeking a similar experience from the
provider. Importantly, from the organizations' viewpoint, this means
that they can also be served by similar sets of capabilities.
The channel preferences of each segment and associated channel
experience - for example, a self-directed group of customers will use
internet for transacting, information gathering and even some advice,
whereas advice seekers and less financially sophisticated segments
require more access to an adviser / relationship manager and a more
basic experience over the Internet.
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The product and service preferences of that segment - for example, the
more sophisticated customers are more likely to demand more complex
products such as alternative investments, whilst others may prefer
discretionary portfolio management.
The new components are added to the experience and the 'base'
experiences elements become defined in more depth, according to the
specific needs of the customer segment.
Once the segment experiences have been defined, the associated
capabilities must again be identified. The hierarchical approach to
defining customer experiences helps filter these capabilities as: -
It is possible to identify experience elements that are common to

more than one segment - this will carry a higher priority for
development as they will benefit more customers;

The segmentation exercise will provide comparative sizing for the
target segments.
Capabilities required for the larger, more profitable segments take
precedence over those needed for smaller segments.
4.1.5
The Organization-Specific Experience
Having identified the base and segment specific elements of HNW

customer experience, the final step is to identify how the experience
that each organization offers its customers is distinct from other banks.
Now this would mean that one has to distinctly identify the components
of the experience that are not only associated with a particular bank but
also be the key differentiator.
This process will define:
Elements of the organization style and culture.

Products and Services to be provided.
In the same way, every brand is different, so is the experience.

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their finances can be a complex matter. The challenges faced by banks

and their customers are many but the trick lies in de-mystifying
complex financial relationships.
Technical
Flexibility
Cope with
me
Global
Global
accessibili
ty
High Quality
Services
Provide
Consistent
error free high
quality
services
Advise & Expertise

Give me independent
needs
HNW
HNW
Customer
Customer
ss
Personal
Relationship
Provide me
with a single
adviser to
manage my
affairs
Brand
Modern
innovative
image that
suits my
image
Discretion
Performances
assets
Treat my
affairs with
utmost
discretion
solutions
deployed
by
banks today are

flexible,
user-
friendly
and
meant
to
facilitate specific
workflow
requirements
and
in
implementation
processes.
In
order to simplify
lives, banks have begun to implement end-to-end technologies through
all departments with the intention of removing human error from
processes. Previously existing manual environments could not have
been adequate for future visions, growth plans and strategies.
In this day and age, customers enjoy complete luxury in terms of
customized technical solutions and banks use the same to cement longterm, mutually-beneficial relationships.
4.2 CRM in Practice in BASIC Bank Limited

In Bangladesh banking is not yet a very developed industry and that
has happened due to various strict rules and regulation set by the
central authority of banks, the central bank. Due to the weak
infrastructural condition and economic vulnerability the central bank
often has to play a very protective role and has to play it safe.
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In my short experience in BASIC, I have found a very interesting thing

and that is huge use of CRM tools. Although this methods are not
formally used as CRM tools but the goal they pursue are similar to those
of the CRM goals, building and maintaining profitable relationships. The
CRM practice is mainly in customer experience level as the dealing
customers are not of a very qualified level. Some of the tools used in
banks CRM are as follows
4.2.1
Advice & Expertise
A bankers job is not only to develop his or her banks asset base or
profit but to ensure sustainable development of all the parties he or she
is going to serve. This is a huge dilemma for any banker that which one
he should choose between the clients benefit or the banks one.
Bankers of BASIC Bank Limited have always given importance on
ensuring their clients maximum benefit until it harms the rules and
regulation of the bank. The organization believes that if a client is
served with a good advice than sooner or later the thing is going to pay
back and will create a long term relationship with the bank.
4.2.1.1 Advices
The clients often expect good and logical advises from the bankers as
they believe that the bankers know better than them about which of the
loan scheme is going to give him maximum benefit or which one is
going to ensure them maximum return on their asset in case of
depositing.
There are several aspects where a client can be advised on
1. Selection of appropriate loan packages
a. There are various types of loans available in the bank which
serves different purpose. It is often hard for the clients to
find out which one is the best one for them. In such a case it
very important for the banker to help the client to find out
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the most profitable loan package for him. Such as a client

needs a certain amount for 4 months, in this circumstances
the clients can achieve the fund by taking a CC(H) loan for
one year on the other hand the banker can advice him to go
for a STL limit for the short period of time which will save
him money and will also save hassle.
2. Selection of appropriate investment packages
a. There are a lot of people who have enough idle money but
cant invest due to their other problems, in this situation
bank borrow that idle money from them and then lend them
to others. The principle of banking is to transfer money from
the surplus unit to deficit unit. An investor can invest in
different ways; a banker helps him to select the most
profitable investment opportunity available for him in the
bank.
3. Selection of appropriate loan repayment method
a. After disbursal of loan, it needs to be repaid. Generally the
clients select the loan repayment method. A loan can be
repaid through monthly installments or just through daily
transactions. Even in some cases the loan can be repaid just
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by completing a work order and receiving a bill against it.

The bankers will advice to select the best possible loan
repayment method that suits the customers business type
and loan size.
4. Tax redemption
a. There are several ways to get tax redemption in the
national Tax rule and the bankers help the client to take
necessary action to ensure lesser tax.
5. Cost cutting
a. There are several cost attached to the loan disbursal
process which can often be reduced just because of the
bankers good will. Ensuring the availability of all the
services at a cheaper rate will easily cut the cost of the loan
and thus the EIR and will ensure delighted customers.
4.2.1.2 Expertise
A banker can lend his expertise in the following sections
1.
2.
3.
4.
5.
6.
Preparing financial statements

Preparing stock reports
Preparing valuation reports
Planning financial plans
Preparing financial projections
Preparing L/C applications and other applications
4.2.2
Personal Relationship
Personal relationship is very important for any banker customer

relationship. There is always a sense of belonging in the clients mind
because of the long term association with the bank.
In the banks it is always tried that the customers always face the same
officer as it makes the process of relationship building easier. There are
benefits of this sort of personal relationship because this saves both
time and effort of both the parties. The person who deals with the same
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client comes to know nooks and corners of the clients taken benefits
and his business criteria also. It becomes much easier for him to get
hold of the problem that the client might face.
Client
Banker
Better Service
Faster Service
Error Free Service
Long term bonding
On the other hand, the client feels comfortable about the person who is
dealing with all the problems as he knows that the person sitting in
front of him know a detail view of all his loans, advances or deposits.
The interpersonal bond helps the parties to discuss matters more freely
and to reach a solution instead of just getting into a dead block which
can become very fatal for both of them.
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ON
IN
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Performance
There is no alternative of high quality performance in banks as the

organization is a strictly service based organization. This specific CRM
tool is useful in case of the deposit making customers. They always
demand a very high quality performance in investing their hard earned
money. The customers expect performance in the following sectors.
1. Safe fund management
2. Profitable investment
3. Investment in sustainable development sectors
The bank just cant collect deposit from the depositors but it also must
ensure that the bank is going to invest the hard earned depositors
money is sectors where it will earn most achievable value.
Customers Assets
High Performance
Banking
Higher return
Higher Satisfaction
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ON
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Quality Service
The clients dealing with the banks need high quality error free service
as their business depends a lot on the banks. There hard earned
reputation and capital are glued together with the banks performance.
If the bank fails to perform in a fast & error free manner than there is a
good possibility that the client will face severe difficulties in running his
or her business.
There many parties and points where a bank needs to take faster
decision and error free performance because of attachment of money
with time. A simple mistake in L/C can cause a customer to lose a huge
business, thus face a severe damage in his business and finally not
being able to pay back the facilities he is enjoying from the bank. That
would be fatal for both the parties and can cause serious damage to the
partnering attitude prevailing between the parties.
4.2.5
Flexibility
Flexibility is one of the advanced tools of banking CRM which is

generally used only in case of the older trusted clients. In Rajshahi
branch only two parties are enjoying this type of facilities regularly.
They are two of the oldest and biggest parties of the branch who have a
very good track record. These parties generally enjoys flexibility in case
of banking hour, bankers duty, extra services, extra facilities exceeding
the limit to meet urgent need of funds.
The bank shows this sort of flexibilities with two different goals. One of
them is just to ensure financial soundness of the party on the other
hand the second goal is to create a sense of partnering in the
customers mind.
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4.3 Skills required for the Customer Managers

There are several skills generally used by the managers of the bank to
deal with the customers. They are as follows
1.
2.
3.
4.
An
An
An
An
understanding of how business works

ability to counsel
ability to identify key result areas
ability to plan human and other economic resources to ensure
maximum output
5. An ability to orchestrate banker customer contact over various
functionalities
6. An ability to balance company and client interest
7. An understanding of cultures.
4.4 Generic strategies of CRM

There are four generic strategies of CRM used in BASIC Bank Limited in
case of maintaining relationship with the customer. They are
1.
2.
3.
4.
Target for development

Defend against competition
Maintain with minimum resources
Withdraw
The developer strategy is used for selected customers who have a high
attractiveness factor with a good prospect for greater penetration. The
defend strategy is designed to safeguard existing customers from
competitive inroads, particularly where potential growth will be limited.
Both these strategies will absorb resources but the potential customers
are likely to be crucial to the achievement of the company objective.
High
Relationship status with suppliers

weak
average
Strong
Maintain
Develop
Develop Defend
selectively
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Medium
ON
Maintain Minimally
Defend Maintain
Develop
Low
Customer attractiveness
A CASE STUDY
Withdraw
Maintain Minimally
Defend Selectively
Maintenance with minimum resource is a strategy for customers with

whom good business is enjoyed despite the fact that they may not
really fit BASIC Bank Limiteds competitive advantage.
The policy will be to ensure limited resource allocation. Use of resources
is generally trimmed by substituting personal care taking with offsite
supervision.
Withdrawing is an appropriate strategy where the customer is patently
using more valuable resources than is likely to be justified. Customers
failing in these two strategic classifications are unlikely to become
important customers. Although there are certain initiatives taken to try
to convert them to key customers, but these initiatives rarely does work
as these sort of organization slowly becomes very expensive for the
bank to service and thus very soon the bank tries to dump them.
4.5 Use of two P Dynamics in CRM

In the service marketing there are seven Ps which causes all the
dynamics in the marketing of any certain organization which are
1.
2.
3.
4.
5.
6.
Product
Price
place
promotion
people
process
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7. physical evidence
in case of CRM two of them are most important and they are people and
process. CRM is nothing but a tool that diminishes the gap between the
customers and the bank as a result it causes long term relationship with
the customer.
4.5.1 People
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People are the delivery point of the services provided by the bank. The
people servicing the customers generally become the face of the
organization and their performance is closely tied with the banks
performance. As a result maintain the peoples performance becomes
very important for the organization to maintain long ter relationship. If
Employees
Service
Delivery
Monitoring
Problem
Solving
New
relationship
developme
nt
Customers
the service providers are not properly trained then there are chances
that they are not going to meet the customers expectation and going
to deliver erroneous services which will cause damages to both the
banks goodwill and also to the clients business. As a result the bank
always tries to create a very good employee base who are well trained
and motivated. This ensures better and faster delivery of services which
in turn ensures long term customers association with the bank.
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4.5.2 Process
Process is the way the service is delivered. Process is also very
important for any bank because the process of service delivery can also
play a vital role in making customers satisfied or dissatisfied. If the
process is long and complex then there is a rare chance that the
customer is going to be happy about it as it is costing him more time
than he is used to spend on the matter as a result the process are
needed to be monitored extremely well and time gaps are needed to be
cut down. Making the process easier to understand also helps a lot. In
BASIC Bank Limited the process of service delivery has been made
easier in the customers end because of the customers demand for it
but has not been possible to do so in the whole process because of the
rules and regulation attached to the service delivery of the banks by the
central authority of the banks, the central bank.
4.6 Problems of CRM efforts of BASIC Bank Limited

There are several problems of the CRM efforts of the bank as the bank
has not yet developed a clear cut guideline for its CRM effort but it is
used only as a marketing tool in the bank.
1.
2.
3.
4.
Need
Need
Need
Need
of properly specified guidelines

of proper planning
of more customer centric decision making process
to deliver more discretionary power to the customer
services managers
5. Motivational steps to be taken to motivate all the employees to
focus on CRM
6. Need of authorizing
more
resources
to
development
and
maintaining relationship
7. Need of using a CRM computer system that will help the bankers
to communicate, monitor and keep contact with all the customers
of the bank.
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5.
What Customers like about BASIC
Bank
During the long time I worked in BASIC Bank Limited, I had met a lot
of businessmen from different level of the society and commercials of
different organizations. Whenever we discussed about service and other
aspects of the bank they gave importance on some aspects of the
branch. So, I decided to make a simple list of questions to ask them
during conversations. It was very hard to ask them directly as they were
very busy, so most of the questions were asked during the break time
or lunch time. While talking to them I had to feel up the questionnaire
by myself as they themselves were not interested to feel up them. It
wouldnt be ok to tell it a research but it surely can define the
perception of the customer of the Rajshahi branch because these are
the people who help Rajshahi branch most of its profit. They also have
got the biggest amount of loan from the branch.
I was able to interview 26 people during the internship period but I had
to exclude 4 of them and thats why all the results are shown in terms
of 22 people.
In the following sections I will try to show the answer pattern about
different aspects of the branch.
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PRODUCT RANGE
This question was made to find out whether the customers are happy
with the product range the bank is providing or not.
Q1
Very
Satisfied
Satisfied
Neutral
Dissatisfied
Very
Dissatisfied
fx
-2
41%
-18
-1
0
1
5
8
2
23%
23%
9%
-5
0
2
5%
100%
-19
22
Mean -0.86
From the graph it is evident that 41% of the respondents were very
satisfied with the product range offered. 23% respondents answer was
satisfied and another 23% were neither satisfied nor dissatisfied about
the product range. Although its very important to inform that most of
the
unsatisfied
customers
own
personal
account
and
their
dissatisfaction is caused by the lack of deposit skim, and personal

loans.
ACCESS
TO
SERVICE
The physical approachability of service location, including the ease of

finding ones way around the service environment and the clarity of
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IN
BANKING INDUSTRY
route. Regarding access to services, the answers obtained from

customers and the answers obtained are as follows
47 | P a g e
CRM
A CASE STUDY
Q2
Very Satisfied
Satisfied
Neutral
Dissatisfied
Very
Dissatisfied
ON
IN
BANKING INDUSTRY
x
-2
-1
0
1
f
13
5
2
1
1
22
-1.27
Mean
%
59%
23%
9%
5%
5%
100%
fx
-26
-5
0
1
2
-28
From the above graph it is evident that consumers are overall satisfied
with access to services. 23% respondents are satisfied while 59%
respondents are very satisfied with access to services.
ACCURACY
OF SERVICES
Regarding accuracy of services, the answers obtained from customers

are as follows
Q3
Very Satisfied
Satisfied
Neutral
x
-2
-1
0
f
6
7
6
%
27%
32%
27%
fx
-12
-7
0
48 | P a g e
CRM
A CASE STUDY
Dissatisfied
Very
Dissatisfied
ON
IN
BANKING INDUSTRY
9%
5%
100%
-15
Average
22
-0.68
From the graph it is evident that consumers are a bit satisfied with the
accuracy of services. However there is room for improvement. 27% of
the respondents rated accuracy of services as neutral.
SPEED
OF SERVICES
Regarding speed of service, the answers obtained from customers are

as follows:
Q4
Very Satisfied
Satisfied
Neutral
Dissatisfied
Very
Dissatisfied
x
-2
-1
0
1
f
2
3
10
5
%
9%
14%
45%
23%
fx
-4
-3
0
5
9%
100%
Average
22
0.09
49 | P a g e
CRM
A CASE STUDY
ON
IN
BANKING INDUSTRY
9% of the respondents are very dissatisfied with the speed of

service while 45% respondents are neither satisfied nor dissatisfied with
the service. The bank seriously needs some improvement in this sector.
CHARGES
CHARGED
Regarding financial charges of services, the answers obtained from

customers are as follows
Q5
Very Satisfied
Satisfied
Neutral
Dissatisfied
Very
Dissatisfied
x
-2
-1
0
1
f
10
6
4
2
%
45%
27%
18%
9%
fx
-20
-6
0
2
0%
100%
-24
Average
22
-1.09
50 | P a g e
CRM
A CASE STUDY
ON
IN
BANKING INDUSTRY
From the above graph it is evident that respondents are very satisfied
with the financial charges for services. The reason being low amount of
charges charged for account maintenance & other services.
51 | P a g e
CRM
A CASE STUDY
PUBLISHED MATERIAL
ABOUT
ON
IN
BANKING INDUSTRY
SERVICES
Regarding published material about services, the answers obtained

from customers are as follows
Q6
Very Satisfied
Satisfied
Neutral
Dissatisfied
Very
Dissatisfied
x
-2
-1
0
1
f
0
1
1
4
%
0%
5%
5%
18%
fx
0
-1
0
4
16
73%
32
100%
35
Average
22
1.59
73% of the respondents are very dissatisfied with the published

material about services. 5% respondents were neither satisfied nor
dissatisfied with the published material about services. Its a disaster
for this bank and that is created because there not a single publication
about services is available in the branch.
BRANCHES LOCATION
Regarding banks location, the answers obtained from customers are as
follows:
Q7
fx
52 | P a g e
CRM
A CASE STUDY
Very Satisfied
-2
Satisfied
Neutral
Dissatisfied
Very Dissatisfied
-1
0
1
2
Average
ON
IN
BANKING INDUSTRY

6
6
5
4
1
22
-0.55
27%
-12
27%
23%
18%
5%
100%
-6
0
4
2
-12
27% of the customers were very satisfied and other 27% is satisfied
about the location of the branch. This happened due to the location
being around a huge 50 feet road and in a place with no traffic
congestion.
INTERIOR
DESIGN
& AREA MANAGEMENT
About this aspect the clients showed the following feeling

Q8
Very Satisfied
Satisfied
Neutral
Dissatisfied
Very
Dissatisfied
x
-2
-1
0
1
f
6
10
3
2
%
27%
45%
14%
9%
fx
-12
-10
0
2
5%
100%
-18
Average
22
-0.82
53 | P a g e
CRM
A CASE STUDY
ON
IN
BANKING INDUSTRY
Overall statistics shows client feelings range from Neutral to Satisfied.

45%of them are satisfied about the interior designing of the bank.
NUMBER
OF SERVICE EMPLOYEES
Regarding number of service employees, the answers obtained from

Q9
Very Satisfied
Satisfied
Neutral
Dissatisfied
Very Dissatisfied
x
-2
-1
0
1
2
Average
f
5
6
8
2
1
22
-0.55
%
23%
27%
36%
9%
5%
100%
fx
-10
-6
0
2
2
-12
Customer answers range from Neutral to Satisfied and there is a need

of improvement in this sector.
EMPLOYEE ATTITUDE
54 | P a g e
CRM
A CASE STUDY
ON
IN
BANKING INDUSTRY
Regarding attitude of employees, the answers obtained from customers

are as follows
Q 10
Very Satisfied
Satisfied
Neutral
Dissatisfied
Very Dissatisfied
x
-2
-1
0
1
2
Average
f
2
11
6
2
1
22
-0.50
%
9%
50%
27%
9%
5%
100%
fx
-4
-11
0
2
2
-11
50% of the respondents are happy with the employee attitude and
27%of them are Neutral and they expect better employee attitude.
KNOWLEDGE
OF
EMPLOYEES
Regarding knowledge of employees, the answers obtained from

Q 11
Very Satisfied
Satisfied
Neutral
Dissatisfied
Very Dissatisfied
x
-2
-1
0
1
2
Average
f
5
6
8
1
2
22
-0.50
%
23%
27%
36%
5%
9%
100%
fx
-10
-6
0
1
4
-11
55 | P a g e
CRM
A CASE STUDY
36%
OF
THE
KNOWLEDGE
CUSTOMER
LEVEL
AND
ON
FEELS
THIS
IN
BANKING INDUSTRY
CONFUSED
CAN
OCCUR
ABOUT
DUE
THE
TO
EMPLOYEE
THE
VARYING
KNOWLEDGE LEVEL OF THE EMPLOYEES IN DIFFERENT MATTERS .
EASE
OF THE
PROCESS & PROCEDURES
Regarding processes and procedures, the answers obtained from

Q 12
Very Easy
Easy
Neutral
Hard
Very Hard
x
-2
-1
0
1
2
Average
f
2
2
5
6
7
22
%
9%
9%
23%
27%
32%
100%
fx
-4
-2
0
6
14
14
0.64
56 | P a g e
CRM
A CASE STUDY
ON
IN
BANKING INDUSTRY
32% of the respondents feel that the procedures are hard to follow. This
might occur due to the strict Bangladesh Bank rule that is totally
followed by BASIC Bank Limited
PROBLEM RESOLUTION
Regarding problem resolution, the answers obtained from customers
are as follows
Q 13
Very Satisfied
Satisfied
Neutral
Dissatisfied
Very Dissatisfied
x
-2
-1
0
1
2
Average
f
7
5
6
3
1
22
-0.64
%
32%
23%
27%
14%
5%
100%
fx
-14
-5
0
3
2
-14
32% respondents are satisfied with problem resolution. However

14% respondents are dissatisfied with problem resolution. Measures
must be taken to minimize problems and problem occurs it has to be
resolved in an effective manner.
SECURITY ARRANGEMENT
IN
BASIC BANK LIMITED
Regarding security arrangements at BASIC Bank Limited, the answers

obtained from customers are as follows
Q 14
Very Satisfied
Satisfied
Neutral
Dissatisfied
Very Dissatisfied
x
-2
-1
0
1
2
Average
f
6
8
5
2
1
22
-0.73
%
27%
36%
23%
9%
5%
100%
fx
-12
-8
0
2
2
-16
57 | P a g e
CRM
A CASE STUDY
36%
AND
ON
IN
OF THE RESPONDENTS HAVE MIXED REVIEW.
9%
BANKING INDUSTRY
27%
IS VERY SATISFIED
IS DISSATISFIED .
58 | P a g e
CRM
A CASE STUDY
ON
IN
BANKING INDUSTRY
59 | P a g e

CRM in Banking Industry of Basic Bank

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BASIC BANK LIMITED, RAJSHAHI BRANCH