(Luận văn học viện tài chính) improving customer service in military commercial join stock bank – hoang quoc viet branch

Name : Nguyễn Chúc Quỳnh CQ50/51.04 Topic: “Improving customer service in Military commercial join stock bank – Hoang Quoc Viet Branch CHAPTER 1: LITERATURE REVIEW This chapter related a review of literature related to the research work as documented by authorities on customer service It will cover the definitions of customer service, the definitions of customer service quality, definitions of customer satisfaction, definitions of customer loyalty It will also take a look into the SERVQUAL MODEL to assess service quality dimension, customer service quality and some factors affecting customer service in banking sector 1.1 Customer service 1.1.1 Definition of customer service According to Wikipedia “Customer service is the provision of service to customers before, during and after a purchase Accordingly, it may vary by product, service, industry and individual customer The perception of success of such interactions is dependent on employees "who can adjust themselves to the personality of the guest" According to Paul Mckinney (2015), Customer service is the act of taking care of the customer's needs by providing and delivering professional, helpful, high quality service and assistance before, during, and after the customer's requirements are met Christine Johnson (2006, p.102) said that good customer service means providing product and service which has high quality, answering queries, making customer easy to purchase goods and delivering on time According to consultant Sudhir Andrews (2007, p.198), customer service not only satisfies a customer but also reflects the professionalism of the LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com organization as the result of building its image He believed that good customer service can build trust and customer loyalty Employees can also get rewards and develop the friendship with customers if they provide good services In general, Customer service relates to the service provided to customers before, during and after a purchase Some characteristics of good customer service include: Promptness: Promises for delivery of products must be on time Delays and cancellations of products should be avoided Politeness: Politeness is almost a lost art For any business, using good manners is appropriate whether the customer makes a purchase or not Professionalism: All customers should be treated professionally, which means the use of competence or skill expected of the professional Professionalism shows the customer they're cared for Personalization: Using the customer's name is very effective in producing loyalty Customers like the idea that whom they business with knows them on a personal level 1.1.2 Definition of customer service quality According Parasuraman, Zeithaml and Berry (1985), the quality of service is the customer's perception of service has generated a good level of customers’ previous expectations Also according to Parasuraman, the expectation in service quality is the desire of the customer, which means they feel the right provider will perform and not perform the service requested Bitner and Hubert (1994) stated that the perception of service quality can occur at multiple levels in an organization Research by Caruna (2000) revealed that service quality is an important input to customer satisfaction, LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com therefore the main point of management attention should be on customers, of which service quality is an important antecedent Customers receive products through active communication, information and comments received To evaluate customer service quality at banks, customers must come and perform transactions, assess the facilities, the service attitude of staff, level of satisfaction of products and services, etc 1.1.3 Customer loyalty Customer loyalty (Customer loyalty, 2002) is both an attitudinal and behavioral tendency to favor one brand over all others, whether due to satisfaction with the product or service, its convenience or performance, or simply familiarity and comfort with the brand.  Customer loyalty encourages consumers to shop more consistently, spend a greater share of wallet, and feel positive about a shopping experience, helping attract consumers to familiar brands in the face of a competitive environment Journal Citation Ciation Report (Thomson Reuters, 2014) Customer loyalty is viewed as the strength of the relationship between an individual's relative attitude and repeat patronage The relationship is seen as mediated by social norms and situational factors Cognitive, affective, and conative antecedents of relative attitude are identified as contributing to loyalty, along with motivational, perceptual, and behavioral consequences Albert Canuana,2002 stated that service loyalty, with its final effect on repurchasing by customers, appears to have received relatively little attention This study starts by first delineating the concept of service loyalty and proceeds to distinguish between service quality and customer satisfaction A model that links service quality to service loyalty via customer satisfaction is proposed Appropriate measures are identified and a postal survey is undertaken among 1,000 retail banking customers A response rate of 20.5 per cent is obtained Results indicate that LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com customer satisfaction does play a mediating role in the effect of service quality on service loyalty In general, it is agreed that customer satisfaction measurement is a postconsumption assessment by the user, about the products or services gained (Churchill and Surprenant, 1982; Yuksel and Rimmington, 1988) 1.1.4 Customer satisfaction Many researchers have definitions customer satisfaction According to Cambridge Dictionary Customer satisfaction is a measure of how happy customers feel when they business with a company Journal of Marketing (January 1982) is defined customer satisfaction has a direct impact on the primary source of future revenue streams for most companies Satisfaction is as a judgment following a consumption experience - it is the consumer’s judgment that a product provided (or is providing) a pleasurable level of consumption-related fulfillment ( Oliver Richard L 1997) Most research confirms that the confirmation or disconfirmation of preconsumption expectations is the essential determinant of satisfaction This means that customers have a certain predicted product performance in mind prior to consumption During consumption, customers experience the product performance and compare it to their expected product performance level Satisfaction judgments are then formed based on this comparison The resulting judgment is labeled positive disconfirmation if the performance is better than expected, negative disconfirmation if it is worse than expected, and simple confirmation if it is as expected  In short, customers evaluate product performance by comparing what they expected with what they believe they received The performance implications of the customer satisfaction instrument are also explored What is shown is that customer segments, in fact, yield statistically LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com different satisfaction scores, which verifies the managerial value of customer segmentation practices Finally, the facets of customer satisfaction as explanatory cues for the switching behavior of individual and business customers were tested successfully 1.1.5 Factors affecting customer service in banks 1.1.5.1 External factors The bank is operating in conditions which often change due to a lot of diverse relations between it and the various economic actors All relationships constitute operating environment and business of commercial banks To be able to develop rapid and sustainable services, commercial banks need to research about the operating environment affecting our business Environmental activities include: economic environment, legal environment; social and cultural environment and technological environment 1.1.5.1.1 Economic environment Any business organizations are affected by the economic environment on their business activities In particular, commercial banks are subject having an intimate relationship with most of the other economic sectors Therefore, when the economic environment changes in any direction, the operations of commercial banks are also affected strongly For individual customers, income is the main factor, the most important factor impacting on their use of financial and banking services During the developing economies, per capital income increases, the demand for people with the products and services of banks will increase, which will boost the commercial bank of constantly open wide business operations, improve service quality and product, diversify new services to increase market share and satisfy every customer's needs In contrast, the economy falls into instability, difficulty will make the unemployment rate rose, consumption declined, people's incomes go down, LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com the things that impact directly on the banks as the amount of deposited money in banks will decline, lending individual customers become more difficult and risky, etc 1.1.5.1.2 Social and cultural environment Customary practices, conception of life, the social and cultural factors, etc have decided to influence preferences and consumption habits of bank service individual customers Although Vietnam's population is relatively large, the number of participants in banking transactions is very low, and the majority of people still have the habit of using cash for payments To be able to change consumption habits of people, banks should take measures to propagate and advertise the utilities from using banking services, help people feel secure and confident when using services Besides that, some factors of population such as population density, average age, education level, income, etc in each region also affect the development of banking services in the area The study of the socio-cultural factors not only determine their impact on the behavior using banking products and services of customers, but also help the bank managers active in participate in formulating policies, regulations and procedures in the design business and organizational models consistent with the cultural characteristics of each region and market sector both domestically and internationally Therefore, banks need to delve on the above factors, from which subgroups of customers, to be able to provide appropriate services to more customers, help develop better banking services 1.1.5.1.3 Technological environment The rapid development of science and technology also has strong impact to the commercial banks Based on the application of information technology LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com software advanced, high-speed processes has helped the administration of commercial banking effectively; offer new better services which meet customer needs Thus, the commercial banks have to capture the change of environment technology to applications of scientific and technical achievements in service to satisfy customers’ demand In fact, the changes in information technology have a strong impact to the banking business New technology allows banks to not only process innovation professionally, but also renew the distribution method, develop new products and services such as the development of computer networks that allows bank network to provide 24/24 banking services Changes in technology has a strong impact to the complex production of the industry, and also has an influence on how the use of banking products and services to the population This has created new demands on products and banking services banking activities as the birth and development of electronic commerce has put forward new requirements for the banking sector in the provision of payment services, etc 1.1.5.2 Internal factors Subjective factors are factors affecting the banking of the development of banking services These factors are crucial to the operation of commercial banks as well as the development of services for individual customers The subjective factors include: the development point services for individual customers, the bank's marketing activities, financial strength and reputation of the bank, technological capacity and qualification of personnel banker, etc 1.1.5.2.1 Attitude on service development for individual customers Any business that wants to develop fast and sustainably needs to build a development strategy from which long-term direction of action, creating fundamental basis for policy and business decisions Development strategy of LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com banking services should be developed on the basis of the survey, the business climate survey and customers, and it is important to rely on bank resources When there is a well-developed strategy, it will help banks to improve the activeness, ability to grasp the opportunity and flexibility in the responses to these challenges may occur, which may change methods and ways of management when needed Moreover, the needs of individual customers are always very complex and uneven, so each bank should have a policy or service development standpoint for specific individual customer To be able to develop services for individual customers in the best way, the strategy of each bank should specify that the bank needs to focus on groups of individual customers, the market segment is promising and consistent performance 1.1.5.2.2 Education and skills In business, the human factor is always key, critical to the success or failure of a business In the banking sector, professional competence, communication skills, professional ethics of banking staff directly impact the quality of strategies, action plans To improve service quality, besides the support of elements of technology and finance, banks must continually foster professional qualifications and soft skills for staff Service quality depends largely on the expertise, attitude, experiences, sense of responsibility and spirit of cooperation among all members and parts of the bank And mental capacity of the bank staff, the personnel policy values setting out in each bank have a profound impact on the formation of a comprehensive service quality produce, etc customers will feel more satisfied and confident when dealing with employees who have professional qualifications stable, agile style, open, polite, respectful to customers LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com Besides that, banks should have leadership team who have qualified and capable of good governance in order to give proper orientation for the development of banking in general and the development of banking services particularly 1.1.5.2.3 Facilities, scale and reputation of the bank The size of the bank is one of the crucial factors to the operation of the bank and the customer service deployed at each bank Facilities include buildings, ATM network, computers, operating procedures, etc have a direct impact to the banking service Good facilities facilitate customer service more convenient A large-scale system with branches and transaction offices throughout will serve customers quickly and more efficiently Through it, the prestige, the image of the bank is market recognition and greater visibility Moreover, to maintain loyal customers and attract potential customers, banks are increasingly reputable consolidation efforts, its brand on the market, establishing customer trust And above all, to satisfy our customers in the best way, the banks must constantly invest infrastructure and expand the scale of development 1.1.5.2.4 Banking technology Nowadays, technology is playing a leading role in important, fundamental factor for commercial banks to increase productivity, quality and performance Development and application of new modern technologies allow banks to create perfect services that meet expectations of customers The system of modern information technology will be a solid basis for funding to help develop new services having distinct characteristics and unique, providing customers with service quickly and accurately with safety higher by reducing manual intervention Also, the application of modern LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com technology also allows banks to improve business operational process logically, improve bank management, particularly risk management capabilities Although investments in technology systems require major cost but after going into use, these technologies will help banks improve their competitiveness by developing services and reducing costs in operations of business Technology development also creates conditions for the deployment and development of new services for individual customers such as money transfers automatically, the online payment services, card services, Internetbanking, mobile-banking and use automated trading kiosks with many utilities, etc The new service brings many benefits to customers, giving satisfaction to customers, to help customers use the number increased service, thereby bringing more income to the bank To exploit the advantages of modern technology, the bank should have highly qualified staff which able to master the technology to support customers with the fastest, most professional Applying modern technologies in banking helps banks deploy multiple services, reducing transaction time, transaction costs, etc to increasingly meet and satisfy best the increasingly diverse needs of the market 1.1.5.2.5 The level of organization and management of the bank Based on quality management system theoretical perspective, a bank is a system in which there is a unified coordination between functional units The level of quality achieved on the basis of cost reduction depends largely on the level of organization and management of each business Quality of management operations reflects the quality of bank operations coordination, between the rational exploitation of existing resources to make our products depends on the awareness, understanding and management of quality, level of LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com Professionalism in the activities of the Training Center is as the coordinator in the organization and implementation of training activities across the system That is why the professionalism and efficiency of the activities of the Centre a strong influence on the success of the training Therefore, training centers should note the following issues: Open training sessions for new employees to new employees understand organizational structure, strategic sale, system sales business process, design skills and product development services, skills manage and deploy sell all individual products, communication skills customer service, negotiation skills, corporate culture, the interests and fundamental obligations To meet the demand for large-scale training, banks need to diversify the forms of training: training through organized classes, training through the training bulletin, training through online training system, etc Develop training programs breakthrough, for example, program planning staff; program "Spread the red carpet, welcome talented people", programs to attract and train excellent students in prestigious universities with the goal of becoming the future leaders, etc Periodically organize training courses and professional skills for staff personnel capable of performing the work with modern technology, the ability to behave when in contact with customers At the same time, planning to send its young cadres capable intensive training in the areas of core business, new services in order to build a team of experts, as the core of human resources in the future Regular organization of seminars between employees with the leadership and encouragement to the presentation on the difficulties and problems as well as practical experience in professional activities Develop staff remuneration policies Besides recruitment policy and training, employee remuneration policy is also very important role Attractive salary and benefits programs for employees are LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com the factors encouraging employees to work enthusiastically, seriously, with a sense of responsibility, dedication and maximum long-term commitment with the bank The salary, bonus, promotion for staff should always be renewed in the direction of equality, fairness, based on clear criteria commenting; not just relying on the position, seniority, but also based on the actual performance, the level of enthusiasm, effort, responsibility, professional ethics of personnel for jobs In addition, MB should improve operational efficiency through the inspection, internal audit responsibilities associated with specific individuals Thus, to get good staff, work effectively, MB policy should focus on recruiting, training and remuneration of staff Building professional communication skills for staff Communication skills is one important factor to create a good impression, certain trust of customers to the bank, is the key to their decision to become bank customers row Thus, the communication of banking staff directly impacts the decision-making process using the product and customer service affect the business performance of the bank Therefore, when in contact with customers, employees involved in MB transactions must understand that besides mastering expertise should also implement the following principles: Firstly, there is the principle of respect for the customer Customer respect is shown at the teller know how to behave fairly, equally between customers Respecting customers also expressed in teller listener feedback from customers, said remediation, conduct dexterity, flexibility and customer satisfaction; how use plain language, with cultural, neat attire, proper regulation of banking, customer reception with attitude smiling, affable, enthusiastic, friendly and comfortable, etc Secondly, the tellers contribute to maintain the differences in products and services of the bank The difference is not only in service output expressed in the LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com culture in customer service of employees, to make customers feel comfortable, satisfied and found neglected differentiation when using banking services Thirdly, the principle of effective listener and knows how to speak Teller, when she is in direct contact with the customer to know towards customers, always looks into their eyes and knows exactly when to smile When customers are saying, teller should express attention and should not be interrupted unless a wish to clarify certain issues The teller should encourage customers to share their expectations about the type of product they're using, saying using clear language understandable and calm resolve the situation goes customer response; listen, receive feedback from customers, to capture timely information, advising leaders on making improvements about products and services as well as reducing unnecessary administrative Procedures The in transactions Fourthly, bank clerks must honestly dealing with customer service The officials need careful guidance, enthusiastic customers correct administrative procedures with the provisions of the bank; rights and responsibilities of the customer when using this kind of service Honesty also manifested in the cash logistics accurately with customers, evaluating the true state of customer records, without any demands and requirements with customers to profit Fifthly, bank clerks must be careful principles, agile and accurate During the transaction, a trader has to carefully perform tasks from data entry of customer until the implementation of the relevant transactions such as payment, withdrawal, debit authorizations However, when the transaction takes place, the manipulation of trading staff have definitive, agile and must comply with strict procedures correctly Avoid long waiting times for customers during the transaction and unpredictable happen mistakes caused dissatisfaction about the quality of customer service bank in particular and in general Sixthly, the principles of patience, know how to wait and seek for similarities, relationships with common interest to provide services, mutual cooperation LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com process in direct contact, teller should know to wait and use selected stops, know to make an impression to the customer that uses the service Bank of himself, understand the psychology, customer needs, advise customers on the benefits of the product to use banking services Seventhly, the principle is to build trust in a relationship and maintaining longterm guests In fact, if you want to build trust sustainability, want to maintain relationships with customers, the long-term care workers should understand that customer acceptance of products and services that uses the new banks only is the beginning of a strategic approach to customer satisfaction, but also through the customer care service after the transaction is done 2.5.1 Enhancing behavior standards, customer service attitude for staff in the bank About style Standard 1: Wear the uniform prescribed by Military Bank, tagged employees during working hours Employees wear uniforms as prescribed by Military Bank During the work, employees must wear a staff card, the front of the card is always turning out to ensure customers, who face visible, at eye level Standard 2: Jewelry which is simple, elegant For female employees: Jewelry which is simple, elegant Neat hair, hairstyles and makeup forms to suit the working environment Neat nails cut short, not so long nails, nail polish flashy For male employees: Early neat hair, trim beards Nails cut short Do not wear jewelry offensive Standard 3: Smile, greet customers and take the initiative to ask about the needs of customers at the start of customer service As customers enter the store, employees must proactively greet and smile at visitors This action represents the welcoming, friendly with customers and customers feel comfortable, happy to begin to work Ask employees actively LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com trading needs of our customers In case the customer name, the customer name to MB customers that are interested in her Standard 4: Ready to serve, quickly, right position, no long wait for customers without good reason, the device should not be used while dealing with customers If required to listen, to ask permission or apology customer before hearing Staff members are always at the ready to serve customers with enthusiasm, openness and friendliness No phone calls, texting while dealing with guests Where they cannot refuse the call, the customer should apologize before the hearing Where there are elderly, disabled with the transaction, priority service staff before However, before the service, employees must apologize to those customers waiting Standard 5: No private work in time, to fulfill their responsibility assigned Employees not work separately, talking, joking, eating, etc during working hours Female employees absolutely not makeup at the counter, at the table Male employees not smoke without the consent of the customer, particularly with female customers About attitude Standard 1: While dealing with customers, keep a friendly attitude, warm, sober staff should demonstrate the affable, beaming with customers, this feels good to customer psychology Attitude, friendly gesture reflected gentle manners, always concerned about the customer, not avoid indifference, generic replies, unclear Courteous staff needed in all acts avoid going too limited a flippant, not polite behavior Standard 2: Respond and resolve customer requests in a quick, expeditious and diligent style During the service, it is urgent, nimble operations give customers see the professionalism in work style Standard 3: Ready to help or resolve customer complaints properly, patience and cooperation In case of customer complaint, employees must adhere to the LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com following principles: It listened to what customers say with a serious attitude, no smiles, no daydreaming, no interruption when the customer is saying Keeping calm before the customer complains Sorry customers and quickly figure out how to solve Standard 4: Coherent voice, sufficient volume, clear voice when communicating with customers must be clear and coherent so that customers easily get the information needed Volume when talking is just enough, not too big and not too little to ensure that customers not feel uncomfortable or difficult to communicate Standard 5: Compliance with regulations on working time Staff should comply with regulations on working time The employees must come first this time to prepare the working conditions (turn on the computer, preparing forms, import/fund, etc.) Standard 6: Thank customers and see them again as the end customer transactions Staff should be proactive customer thank end transactions explicitly as: Thanks you And expressed desire to serve customers in the next time to get a promise or even just the word "yes" or "yes" from the customer (psychological research survey of US companies in addition, up to 85% of customers make promises to continue using the services of the bank if the quality of service to meet the requirements) 2.5.4 Enhancing the customer care in MB Hoang Quoc Viet Branch In the strategy of its business operations, MB Hoang Quoc Viet branch focuses on service quality for service quality which can help MB to build a new image to make a big difference and improve competitive advantage marketplace Therefore, to build a strong brand in customer sustainability, MB should improve the quality of customer service representative with the staff of MB staff provide a good service and satisfying evening multi-customer demand Therefore, MB to enhance customer care, as follows: LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com  Identify the customer service standards Service time: ready 24 hours x days Process simple transactions - fast - accurate and the equipment used should be trusted E.g paper form guarantee deposit/withdraw money easily accessible, minimizing the customer information to complete the form, minimizing the number of customers to sign documents, etc best to avoid customer case must go back multiple parts when performing a transaction only, or multiple transactions Tellers polite and professional, enthusiastic and attentive, ready to advise answering questions for customers, ensuring all customers are feeling happy when using the products and services provided by the bank to attract new customers, retain old customers Build good relationships with customers The building good relationship and regularly exchange information with customers are important in understanding and meeting customer expectations Information exchange can be carried out in various forms such as customer conferences; advertising programs, promote products and services; organizing polls, surveys of customer demand; establish hotline, etc Through it, the bank customer to transmit information about products, services, handling of customer requests and gather feedback and customer complaints associated all activities relating to the bank The bank also stores data necessary information about the customer focused service to facilitate exchanges with customers Resolve questions, complaints of customers a dedicated and satisfactory manner These questions, complaints from customers are signals for the bank to constantly improve service quality The research shows that customers often complain about a certain number of errors If these errors could be discovered, recognized, thereby modifying the timely reduction of complaints, which is synonymous with the satisfaction and confidence of customers is improved Also LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com limit the spread of information from bank customers not to settle complaints brought his dissatisfaction speak with others Build a team of loyal customers, loyal to the bank Customer’s loyalty in relationship show through the ability to increase the size and diversity of the transaction, the ability to persuade others to use mobile banking services The loyalty of customers increased profitability through increased revenue, decreased costs to attract customers, reduce customer sensitivity to prices, reduced costs of customer service because they were acquainted with the system's operation the bank To get a team of loyal customers, banks must first build trust, the trust of customers in banking, guarantee quality of service provided by the bank Construction-related standards of customer service such as: Willing to serve customers: Staff members always show a willingness to serve and consult to customers about bank’s services and products Make a good impression on customers This attitude creates a good interaction between customers and employees in the transaction Interests: Expressing concern, empathy and patience with customers Make customers feel their needs are properly concerned Actively communicate with customers to find customers seem shy, avoiding the mention of his demand Clean environment: Surroundings clean, no dirt from utensils, tables, chairs, computers, photocopiers, etc The previous transaction offices, branches should also clean, no objects obstructing the entrance Convenient for customers: Protect the unit must actively help customers when the transaction parking and take the car to leave Protection must always cheerful, enthusiastic, earnest to impress right from the first moment when the customer comes to dealing with MB Inside a transaction, teller must to ensure clear way, not put/to obstruct things The leaflets, forms, pens, etc should arrange convenient, easily accessible to customers LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com Commitment to service: Employees must be committed to their work, to comply with the functions and tasks assigned, honest, enthusiastic and fun Communication: Communication is a very important factor in the quality of service In communications, staff should demonstrate enthusiasm, affable, polite, ready to help customers Pay attention to the voice, expressions intonation, volume enough to hear customers, capture the information easy to understand Professional services: Professionalism is a core requirement of good service quality, it can be standardized with the process and regulations, etc and the knowledge of other social work service Flexibility: Flexibility gives more optimal efficiency in their work towards MB and its customers However, flexibility must ensure compliance with regulations and statutes In terms of customers, the flexibility in job creation for customers to see better service and should take precedence over longer want to stick to MB Friendliness: In the process of working with customers, who work to have a friendly attitude, make customers feel comfortable to discuss the transaction needs Fairness: Employees must adhere to this principle seriously Do not let customers feel unfairly treated, can lead to emotional reactions, inhibition customers Credible: This is one of the most important elements of service quality system Customers come to MB when they have confidence in MB, in prestige as well as the commitment of MB Therefore, employees must be present to make customers believe in yourself and MB Responsibility: In any case, from the leadership to the staff to have responsibility for work assigned, must be responsible for their respective work and to be responsible for the customer Safety, Security: Another important factor is safety, security Employees must be committed with customers about the safety of transactions and customer LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com information when trading in MB, to ensure the rights and obligations to customers in accordance with the provisions of Military Bank and legislation law Establishing a dedicated customer care at each transaction point Military Bank needs to establish customer care department to implement separate policies for customer care in order to retain customer loyalty to the bank, with functions such as: Receipt of complaints and inquiries from customers regarding products and services, monitor the frequency generated complaints about a service that enables them to make timely reports to the Board of Directors to take appropriate measures to improve product advances Collect feedback from customers, timely evaluation and information inversely customer reviews, mailing thank and reward our customers who contribute practical value Organize customer and promotions Perform all customer care program was oriented LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com CHAPTER 3: RECOMMENDATIONS 3.1 Customer service orientation of MB Hoang Quoc Viet branch 3.1.1 Business orientation of MB Mission and vision Investing all efforts in building professional personnel who are expertise and dedicated to putting up the cost-effective and excellent banking and financial solutions to satisfy its corporate and personal customers Core values MB’s value is not defined by its assets but lies in its six inherent core values that are respected and upheld by each and every member of MB, including: trust cooperation customer care creativity professionalism efficiency Indicator Plan 2016 Chartered capital VNDb 7,300 Total assets VNDb 90,000 Total outstanding loans VNDb 40,500 Mobilized capital VNDb 75,000 Profit before tax VNDb 2,000 Proportion of bad debts % Transaction points pts 140 (Source: Annual report of Military 2014) Table 3.1: Objectives for 2016 Entering the year of 2016, with the judgments that the financial crisis has touched its bottoms and made initial recovery and Vietnam’s economy will welcome many opportunities for growth, the Board of Management of MB has set the targets for this year, “Investing all its resources for stable growth stage from 2012 to 2016, grasping all the new opportunities after crisis, realizing LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com the comprehensive development target of 2016 and creating foundation for the strategic period from 2012 to 2016 for the whole MB Group” The target of MB Group is to become one of leading financial and banking groups in Vietnam by 2018 and to have its powerful member firm system listed top three in all respects of real estates, securities, fund management, insurance and asset management In order to realize the above objectives, MB will continue diversification and improvement of its product quality, investment in modern technology, expansion of partnership with strategic local and overseas partners With the goal of sustainable development, MB continues its improvement and enforcement of risk management system in order to well control the operation quality and firmly support its business entities Especially, MB will sharply focus on improvement of human resources quality - from the Board of Management, executive Board to all employees 3.1.2 Customer service orientation of MB Hoang Quoc Viet branch Military commercial join stock bank’s development strategy towards 20152020 period continue steadfastly with the goal "to become the leading retail bank sector" and oriented operational efficiency - secure – sustainable: Become the leading joint stock commercial bank leading the market on supply of financial and professional services in versatile package according to international standards Become the leading commercial bank in modernizing the country, dynamic, professional and trustworthy manner taking in all business activities Mission Establishing a comprehensive relationship with the economic groups of the maritime sector, post and telecommunications, aviation, investments, insurance Sustainable development, customer trust with small and medium enterprises Providing banking products and services with high quality to all customers Developing effective partnerships with financial institutions, in domestic and international areas With that vision, to complete the mission "is constantly evolving in order to provide customers with financial solutions package, most convenient, practical and reasonable price to continuously maximize the value added customers, shareholders, bringing the value of the profession and the welfare of employees; at the same time, contribute to the overall development of society and the LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com community," MB strategy period 2015 - 2020 has established three core values to ensure compliance: Efficiency is the goal of all the work Learning and creativity to reach perfection Cooperation, trust is the driving force of success Based on the development strategy of MB, ballistic orientation of the banking sector and economic characteristics of the social situation in the MB in general and Hoang Quoc Viet branch in particular, they develop, set targets and enhance customer service quality as follows: Regarding the quality of human resources: Target number of staff to 120 people by 2020 Accordingly, the increase in recruitment of qualified staff capable of meeting the requirements of the internal recruitment; detect internal qualified staff, trained personnel prepared to inherit; construction recruitment policy, training and development in order to stabilize the personnel, maintenance workers' retirement rate below 10%/year Regarding quality banking technology: Information technology plays a huge role in business growth Oriented development of a modern bank, MB Hoang Quoc Viet Branch must implement strong technology strategy for the period 2015 - 2020 to: increase productivity of operations staff and diverse products modern services such as international banks based on advanced technology through continuous improvement, additions and software upgrades BDS system; Enhance competitiveness and management capacity of the Bank, by fully exploiting the remarkable features of the BDS system software, data warehouse system (Data warehouse) and continues to implement other projects About the service: Focus on developing products and services to retail, whereby increasing the proportion of revenues from services in the income structure Meet all the needs of customers of financial products and services oriented retail bank, which focuses cross-selling activities with partners services linked to the supply to the market financial products package with reasonable price; Make a difference in products and services to deliver practical results as well as enhance the competitiveness of the Bank; Development of new products in the field of monetary as derivatives and structured products (structured products), debt securities products, etc to meet and satisfy the needs of customers LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 3.2 Recommendations Recommendations to the head- office of Military commercial join stock Bank 3.2.1.1 Developing the internal management customer service system In recent years, to improve customer service, the MB system has developed the customer service system to customer care and satisfy customer advice on the overall system of MB in order to logic in management However, it still exists some limitations in deploying process in entire system, including MB Hong Quoc Viet Branch Therefore, to build a more complete customer service system, MB Head Office should manage themselves to be better in order to improve customer service beside some solutions, support procedures for each branch 3.2.1.2 Enhancing self-testing and adjustment to improve the customer service in MB Hoang Quoc Viet Branch The programs are under management by the office to maintain the quality of customer service and monthly deployment applies to every branch for office transactions, then the results will be sent to each branch or department for grading, marking point for staff The evaluations of cross branch or department to elect outstanding employees, affiliates complete customer service work to contribute to the improvement of customer service quality 3.2.1.3 Applying of modern banking technology The technological level with people using that technology plays a decisive role customer service quality Technology brings rapid progress and outstanding ability to meet customer expectations Banking technology as modern day sensibilities as an effective tool for providing service quality of service is better, more complete The trust and loyalty of customers dependent on modern technology, as well as the utility, added value for customers by applying that technology brings The bank needs to constantly improving banking technology platform and accelerate the application of the achievements of modern technology, especially information technology, because on the basis of modern technology, the new bank is conditional deployment of new services, open object wide range of customers Information technology allows banks to capture and fully updated information from customers, which allows bank to minimize risks from adverse selection and moral hazard Modern technology also enables banks to reduce costs, reduce transaction times, increased safety for our customers LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 3.2.2 Recommendations to the Government, the State Bank of Vietnam, and other related agencies 3.2.2.1 Recommendations to the Government Adopt policies to encourage the activities of the independent audit company, to create a transparent environment for all financial business Adopt policies for private participation in the field of statistics and information disclosure, and Government constructs customer service joint stock companies for individuals and organizations 3.2.2.2 Recommendations to the SBV and other related agencies Firstly, they should build a specific and feasible customer service plan or customer service projects This will affect the decisions of the banks for the customer service Also SBV have to manage their customer service to build a good reputation for the banks Secondly, SBV should renew technology and equipment Because of limitation on capital, they should not choose the highest technology and modern equipment They should select technology basing on the taste of market Lastly, SBV should consider developing human resource This is extremely important in Vietnam when the quality of both managers and employees is still low Besides training programs, SBV must count and compare between cost and profit to have accurate, reasonable and effective decision LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com ... INDIVIDUAL CLIENDTS IN MB HOANG QUOC VIET BRANCH 2.1 Introduction of Military commercial join stock bank 2.1.1 History and development of Military Commercial Joint Stock Bank Established in 1994, through... operation, the Military Bank has continuously done the business effectively and been assessed by the State Bank of Vietnam as one of the leading commercial joint stock banks of Vietnam Military Bank was... providing credit, providing banking products and services for the individual objects in the area and in the region Initially, MB Hoang Quoc Viet Branch had 25 staff members Until now, MB Hoang Quoc