ST.

MARRY UNIVERSTY
SCHOOL OF GRADUATE STUDIES
MBA PROGRAM

ASSESEMENT OF SERVICE QUALITY DIMENSION AND IT’S IMPACT ON

CUSTOMER SATISFACTION IN SELECTED ETHIOPIAN PRIVATE BANKS

By: Ayecheluhem Addise

A Thesis Presented in Partial Fulfillment of the Requirements

for the Masters of Business Administration in
ST. Marry University

St. Marry University

Addis Ababa Ethiopia

May, 2014
 ST. MARRY UNIVERSTY
SCHOOL OF GRADUATE STUDIES
MBA PROGRAM

ASSESEMENT OF SERVICE QUALITY DIMENSIONS AND THEIR IMPACT

ON CUSTOMER SATISFACTION IN SELECTED ETHIOPIAN PRIVATE
BANKS

Advisor: Temesgen Belay (PhD)

III
St. Marry University

Addis Ababa Ethiopia

May, 2014
 Endorsement

This thesis entitled, “Assessment of Service Quality Dimensions and its impact

on Customer Satisfaction in the case of Selected Ethiopian Private Banks’’, has

been submitted to St. Marry University, School of Graduate Studies for examination

with my approval as a University advisor.

Research Advisor: Temesgen Belay (PhD)

Signature _______________________

Date: _______________________
IV
 Declaration
I, Ayecheluhem Addise declare that this work entitled “Assessment of Service

Quality Dimensions and its impact on Customer Satisfaction in the case of

Selected Ethiopian Private Banks’’, is outcome of my own effort and study and

that all sources of materials usedfor the study have been duly acknowledged. I have

produced it independently except for the guidance and suggestion of the Research

Advisor.

This study has not been submitted for any degree in this University or any other

University. It is offered for the partial fulfillment of the degree of MA in Business

Administration [MBA].

By: Ayecheluhem Addise

Signature____________________________

Date_______________________________
V
 Acknowledgments

First and foremost I would like to thank the almighty God. Secondly, I would like to

thank my advisor, Dr. Temesgen Belay for his fruitful support, expert guidance,

helpful criticism and encouragement at every stage during the completion of this

work. It was pleasant and inspiring experience for me to work under his guidance.

So, I always remain grateful and thankful. Thirdly, I would like to thank my wife

Amrot Yilma for her unconditional love and support throughout my journey. I am

also grateful to many other individuals who were instrumental in the process of

completing this degree. Especially, I would like to thank the managements and

branch employees of Enat Bank S.C and Debub Global Bank S.C for their positive

cooperation in distributing and on time collection of the questionnaires.

i
 Abstract

This study was designed to assess the dimension of service quality and its effect

on customer satisfaction taking a case to Ethiopian Private Banks which gives

special attention to newly opened banks.Both descriptive and explanatory

research design were employed by using quantitative research approach to

assess the service quality dimensions and their impacts on customer satisfaction.

The researcher used questionnaire method to gather the primary data from the

customers’ of the two main branches of the selected private banks. The

independent variable that service quality of the banks is measured by using the

five service quality dimensions including tangibility, reliability, responsibility,

assurance and empathy and while customer satisfaction is considered for

dependent variable. the regression output also briefly show that there was a

statistically weighty link between service quality dimensions and customer

satisfaction which is more sustained by R2 result explaining that the dependent

variable is explained more than 80% by the five service quality dimensions.

Assurance dimension takes the highest fraction in influencing customer

satisfaction followed by reliability, tangibility, responsiveness and empathy. As

customer expectations are changing over time, bank managers are advised to

measure their customer expectation against the actual performance regularly

and handle complaints timely and effectively.

ii
TABLE OF CONTENT
Acknowledgment…………………………………………………………………………………………....….…I
Abstract………………………………………………………………………………………………………....….…I
I
Table of Content…………………………………………………………….……………………….………....III
List of Tables……………..…………………………………………………….………………………….……...V
List of Figures………………………………………………………………………………………………....….V
Acronyms…………………………………………………………………………………………………..……….VI
CHAPTER ONE ............................................................................................................................... 1
INTRODUCTION…………………………………………………………………………………………………………………………. …………1
1.1 Background of the Study………………………………………………………………………………………………… …………1
1.2 Statement of the Problem ……………………………………………………………………………………………………………3
1.3 Research Hypothesis………………………………………………………………………………………………………… …………6
1.4 Objective of the Study……………………………………………………………………………………………………… ………..7
1.4.1 General objectives of the Study……………………………………………………………………………………………… …………7
1.4.2 Specific Objectives of the Study……………………………………………………………………………………………….…………7
1.5 Significance of the study………………………………………………………………………………………………….. …………8
1.6 Scope of the Study…………………………………………………………………………………………………………….…………9
1.7 Limitation of the Study…………………………………………………………………………………………………….. …………9
1.8 Organization of the Paper………………………………………………………………………………………………………….. …………9

CHAPTER TWO ............................................................................................................................ 11

REVIEW OF RELATED LITERATURE………………………………………………………………………………………………. ……….11
2.1 Introduction…………………………………………………………………………………………………………………….. ……….11
2.2 Definition of Terms………………………………………………………………………………………………………… ……….11
2.2.1 What is Marketing?.................................................................................................................... ……….11
2.2.2 Definition of Service quality…………………………………………………………………………………………………… ……….12
2.2.3 Definitions of Customer Service…………………………………………………………………………………………….. ……….13
2.2.4 Defining Customer Value and Satisfaction……………………………………………………………………………… ……….14
2.2.5 Service Quality and Customer Satisfaction…………………………………………………………………………….. ……….16
2.2.6 Dimensions of Service Quality……………………………………………………………………………………………….. ………..17
2.3 Overview of Servqual and Servperf Scale of Measurement………………………………………………. ………..19
2.4 What Managers can do to Improve Service Quality?............................................................………..21
2.5 Emperical Study……………………………………………………………………………………………………………….. ………..29
2.5.1 The Impact of service quality in customer satisfaction…..…………………………………………….29
2.6 The Conceptual Frame Work of the study……………………………………………………………………. ……….31

CHAPTER THREE .................................................................................................................... 32

RESEARCH DESIGN AND METHODOLOGY…………………………………………………………………………………… ……….32
3.1 Introduction…………………………………………………………………………………………………………………… ……….32
3.2 Research Approach………………………………………………………………………………………………………….. ……….32
3.3 Source of Data………………………………………………………………………………………………………………… ……….33

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 3.4 Sample Size and Sampling Technique………………………………………………………………………………. ………33
3.5 Data Gathering Techniques……………………………………………………………………………………………… ………34
3.6 Data Analysis…………………………………………………………………………………………………………………… ………35
3.7 Description of Variables and Measurements…………………………………………………………………… ………35
3.8 Model specification…………………………………………………………………………………………………………. ………36
3.9 Reliability Test………………………………………………………………………………………………………………… ………37

CHAPTER FOUR........................................................................................................................... 39
DATAPRESENTATION, ANALYSISANDINTERPRETATION……………………………………………………………….………39
4.1 Introduction…………………………………………..………………………………………………………………………………….39
4.2 Review of Respondent’s Profile………………………………………………………………………………………………….39
4.3 Descriptive Statistics…………………………………………………………………………………………………………………43
4.3.1 GAP Analysis of Service Quality Dimension…………………………………………………………………43
4.4 Infrential Data Analysis………………………………………………………………………………………………….…….45
4.4.1 Test of Multicollinearity ………………………………………………………………………………………………………………….45
4.4.2 Regression Analysis and Hypothesis Testing…………………………………………………………………………….……..47

CHAPTER FIVE ............................................................................................................................. 53

SUMMARY, CONCLUSION AND RECOMMENDATION…………………………………………………………………. …53
5.1 Introduction………………………………………………………………………………………………………………….…53
5.2 Summary of Major Findings…………………………………………………………………………………………….53
5.3 Conclusion of the Study …………………………………………………………………………………………………..55
5.4 Recommendation……………………………………………………………………………………………………………56
5.5 Direction for Future Research…………………………………………………………………………………………58
Reference…………………………………………………………………………………………………………60
Appendix

iv
List of Tables

Table 3.1 Number of Customers and Proportion of Samples taken from each bank34

Table 3.2 Reliability Statistics of Service Quality Dimensions…………………………..…38

Table 4.1 Respondent's age and education level……………………………………………..…41

Table 4.2 Service Quality Dimensions Gap Analysis……………………………………………44

Table 4.3 Multicollinearity Statistics……………………….....…………………………….……….46

Table 4.4 Regression Analysis Results...….…………………………………………..………………47

List of Figures

Figure 2.1 Conceptual Frame Work of the study…………………………………………………31

Figure 4.1 Respondent’s gender…................................................................................................40

Figure 4.2 Frequencies of using the bank’s service………………………………………………42

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 ABBREVIATIONS

Ta–Tangibility

Re- Reliability

As: Assurance

Em: Empathy

Res: Responsiveness

Cs: Customer Satisfaction

TE: Tangibility Expected

TP: Tangibility Perceived

RE: Reliability Expected

RP: Reliability Perceived

AE: Assurance Expected

AP: Assurance Perceived

EE: Empathy Expected

EP: Empathy Perceived

REE: Responsiveness Expected

REP: Responsiveness Perceived

vi
 CHAPTER ONE

INTRODUCTION

1.1 Background of the Study

Now a day, marketing is one of a dynamic discipline in the area of business

management. It deals with marketing both physical products and services. The focus

of service marketing is selling or delivering quality services for the customers in

effective and efficient manner. As competition becomes more intense and

environmental factors become more hostile, the concern for service quality grows.

As a result service quality is becoming an approach to manage business processes in

order to ensure full satisfaction of customers which will help to increase

competitiveness and effectiveness of the service business. If service quality is a key

factor to meet customer satisfaction and it becomes the cornerstone of marketing

strategy, the service marketer must have the means to measure it. The most

popular measure of service quality is SERVQUAL, an instrument developed by

Parasuraman et al., (1988) which involve five dimensions of service quality, namely

Reliability, Responsiveness, Empathy, Assurance, and Tangibles. SERVQUAL is

designed to measure service quality as perceived by the customers.

The service sectors have high contribution to the Ethiopian economy. Banking

sector is one service sector that provides financial service for the user and

contributes to the country service sector development. Accordingly, many private

banks have already been established and their number is increasing from year

1
to year. Due to this fact a fierce competition among banks has come to exist.

Since all banks render almost the same types of services for their customers’, banks

can differentiate themselves from competitors by providing high quality service

than their competitors to satisfy their customers. However, service providers are

not in position to understand the relationship of service quality and customer

satisfaction. So to survive in the competitive banking industry, bank managers need

to know the quality of their service from customers perspectives and which service

quality dimensions more affect customer satisfaction. Researchers that use the

SERVQUAL model to measure service quality have different argument regarding to

which service quality dimensions was affect customer satisfaction. For example, a

study conducted in India by Usha, et al., (2009) said that among the five dimensions

of service quality, nature of service transactions greatly depends on the physical

layout of the workplace i.e. tangibility. And also the SERVQUAL model has different

impact on customer satisfaction in different geographic area or region.

Consequently, the study has important facets for the managers of Ethiopian private

banks which give especial attention to newly opened banks to identify which

dimension of service quality is important from customers’ perspectives to satisfy

their specific needs and objectives. It would assist banking service provider or bank

managers to plan and execute a marketing strategy that would maximize service

quality to improve customer satisfaction. Therefore, the purpose of this study was to

assess the dimensions of service quality and to find out the effects of these

dimensions on customer satisfaction in a way that which dimension is more

significant on customer satisfaction in the case of Enat Bank S.C and Debub Global

2
Bank S.C and since they have less market share as compared to the industry as

whole.

1.2 Statement of the Problem

Service quality is one of the critical factors that influence the competitiveness of an

organization and also key to long-term business success (Zeithaml, et al., 1996).

Particularly, service quality is essential in the banking services context because it

provides high level of customer satisfaction, and hence it becomes a key to

competitive advantage (Ahmossawi, 2001). In the financial service sector,

particularly banks compete in the marketplace with generally undifferentiated

products; therefore service quality becomes a primary competitive weapon

(Stafford, 1996).The banking industry is highly competitive; banks do not only

compete among each other; but also with non-banks and other financial institutions

both local and foreign (Kaynak and Kucukemiroglu, 1992).

Now a day in Ethiopia, financial institutions like microfinance institutions would

snatch a high portion of market from the banking sector as they are aggressively

mobilizing deposits from the public at large. Thus, banks need to differentiate

themselves from competitors merely by providing high quality service and having

good relationship with customers than their competitors in more effective and

efficient manner. Otherwise, any bank that fails to surpass customer expectations

and meet customer satisfaction will not be able to compete with other banks.

Meanwhile, banks operating in Ethiopia are consequently put into lot of pressures

due towards increase in competition. Especially it’s challenging for the newly

opened private banks since they have the floor market share of the banking sector

3
and customers are also nearly sensitive to switched off their relationship and

transfer their accounts to rival banks because of better services.

According to Rashid, et al., (2011), various strategies are formulated to retain

customers and the key of it is to increase the service quality level. As a result, if

customers like the service quality, their satisfaction level will improve and banks

will be able to maintain stable customer base. This also leads the bank not only to

retain their customers rather to get the customer’s positive word of mouth which

make easy to capture the minds of potential customers.

Therefore, service quality has proved to be an essential ingredient to convince

customers to choose one bank over another. Many banks have realized that

maintaining service excellence on a consistent basis is imperative if they are to gain

customer heart.

However, even though it is vital and considered as fundamental course of action to

survive as well as to be successful in the competitive banking industry, formal

research has not been done in this area specific to assessing the difference between

the customer’s expectation and perception level of actual performance toward the

banking services. Besides, to the best of the researcher’s knowledge, there is one

research conducted by Mesay, (2012) that is intended to investigate bank service

quality, Customer Satisfaction and Loyalty in Ethiopian Banking Sector taking a case

to private banks operating in Hawassa city. The study also conducted by using

SERVPERF measures of service quality which merely considers the perceptions of

customers. However, the incorporation of expectation scores provides richer

information than that provided by the perception-only scores (i.e. SERVPERF

4
measure of scale) thus adding to the diagnostic power of the service quality scale.

Even the developers of performance-only scale were cognizant of this fact and did

not suggest that it is unnecessary to measure customer expectations in service

quality research (Cronin and Taylor, 1992).

In addition, the model developed in the context of one nation may not be

necessarily applicable in other nations as the institutional, economic and socio-

cultural factors may different from region to region or from one sector to another

within the same region. And also different studies have different conclusions

regarding which dimension affect more customer satisfaction. Among these, study

conducted in Jordan by Rashid M. Alhamali, et al., (2011) said that among the

various dimensions of service quality, Assurance was especially significant in

fostering satisfaction for the customers of Jordanian commercial banks. While study

conducted in India by Usha, et al., (2009) said that among the five dimensions of

service quality, nature of service transactions greatly depends on the physical layout

of the workplace i.e. tangibility.

Therefore, the researcher forced to conduct this study in order to evaluate the

service quality dimensions and their impact on customer satisfaction in the context

of two selected Ethiopian private banks. It give special reference for the newly

opened private banks since such banks needs to measure the difference of the

customer expectation and perceived range of attitudes toward the actual

performance of their service quality. So that to make adjustment and get

competitive advantage over competitors.

5
Above all, the major aim of the study was to evaluate all indicators of Parasuraman

model of service quality dimensions in the context of customers selected from Enat

Bank S.C and Debub Global Bank S.C since they need to have better understanding of

these dimensions so that to meet customers expectation better than that of their

rivals.

1.3 Research Hypothesis

Taking the previous research outcomes into consideration the following hypotheses

were developed:

Tangibles have been defined as physical facilities, equipment and appearance of

personnel (Parasuraman et al., 1988). Issues related the branches such as access to

the facilities; safety and convenience are on tangible basis (Castro, 1997) as stated

on the work of Bellini et al., (2005). Thus, the hypothesis is proposed:

H1: There is statistically significant and positive relationship between Tangibility

and customer satisfactions.

Parasuraman et al., (1988) defined reliability as the ability to perform the promised

service dependably and accurately which could be related to customers past

experiences. As such, the hypothesis was proposed as follows:

H2: There is statistically significant and positive relationship between reliability and

customer satisfaction.

Parasuraman et al. (1988) defined assurance the knowledge and courtesy of

employees and their ability to inspire trust and confidence. In British banks,

assurance means the polite and friendly staff, provision of financial advice, interior

6
comfort, eases of access to account information and knowledgeable and experienced

management team (Sadek et al., 2010). Here, the hypothesis is developed below:

H3: There is statistically significant and positive relationship between assurance and

customer satisfaction.

Parasuraman et al., (1988) defined empathy as the caring, individualized attention

the firm provides for its customers. Jabnoun and Al-Tamimi, (2003) found that bank

customers believed empathy as an essential factor of service quality. Thus:

H4: There is statistically significant and positive relationship between empathy and

customer satisfaction.

According to Parasuraman et al., (1988), responsiveness is willingness to help

customers and provide prompt service. Responsiveness is likely to have an

important and positive effect on customer satisfaction (Jun & Cai, 2001; Diaz & Ruiz,

2002; Joseph et al., 2005; Glaveli et al., 2006). Therefore, the hypothesis:

H5: There is statistically significant and positive relationship between

responsiveness and customer satisfaction.

1.4 Objectives of the Study

1.4.1 General objectives of the Study

The general objective of the study is to assess the dimension of service quality and

its effect on customer satisfaction in the case of Enat Bank S.C and Debub Global

Bank S.C.

1.4.2 Specific Objectives of the Study

In addition to the above general objective, the specific objectives are:

7
  To assess the effect of tangibility of service offered on the satisfaction of

customers.

 To examine the effect of reliability of service offered on the satisfaction of

customers.

 To find out the effect of employee’s assurance on the satisfaction of

customers.

 To assess the effect of employee’s empathy on the satisfaction of customers.

 To assess the effect of employee’s responsiveness on the satisfaction of

customers.

1.5 Significance of the study

This study would be very much significant for the managers of the bank, for the

researcher and for those interested to do further study in the area. For the bank

managers, it is a good indicator to identify the weakness of the bank related to the

quality of service and to take corrective actions to satisfy their customers. It also

helps them to know the gap between management’s perception of service quality

and that of their customers. For the researcher, the study will help to apply the

theoretical knowledge to solve the problem in the existing world. In addition to the

above significance, the study will help for anyone who needs to undertake further

study in this area as setting information.

8
 1.6 Scope of the Study

The scope of the study is limited to customers who have an account in main

branches of Enat Bank S.C and Debub Global bank S.C. The study examines the

banking service quality dimensions and its impact on customer satisfaction merely

from customers’ perspective.

1.7 Limitation of the Study

The study did not take into account the potential differences in customers because

the major problem that hinders the researcher is to get demographic data of the

respondents is not easily available and rather it’s merely acquired from the

respondents. Furthermore, the questionnaire is long which facilitates the reasons

those customers not to respond the questionnaires timely by completing all the

questions raised.

1.8 Organization of the Study

This research is organized into five chapters. Chapter one contains background of

the study, statement of the problem, research questions, hypothesis of the study,

research objectives, significance of the study, scope and limitations of the study.

Chapter two deals with related literature review informing the reader of what is

already known in this area of study. Chapter three discusses the methodology

employed in the study, including, research design, sample size and sampling

technique, data source and collection method, procedure of data collection, method

of data analysis and model specification. Chapter four is about data analysis and

9
interpretation of results. Finally, chapter five contains conclusions,

recommendations for stakeholders and directions for future researches.

10
 CHAPTER TWO

REVIEW OF RELATED LITERATURE

2.1 INTRODUCTION

In this section the researcher first presents the definition of related terms specific to

the area of service quality dimensions and customer satisfaction and its followed by

the empirical investigation that are most relevant and specific to this area of study.

Finally, the researcher develops conceptual framework of the study.

2.2 Definition of Terms

2.2.1 What is Marketing?

It is observed that, marketing more than any other business function, deals with

customer relationship. To take some instances on the definition of marketing,

marketing is managing profitable customer relationship (Kotler et al., 2002, pp. 17).

Therefore, a key goal of marketing is to develop deep understanding and convenient

relationship with all customers and organizations that could directly or indirectly

affect the success of the banks activity.

In addition, marketing refers to satisfying the needs of a group of customers better

than the competitors. According to Kotler et al., (1956 pp. 5), marketing is the

delivery of customer satisfaction at a profit. Today, marketing must be understood

not in the old sense of making a sale “telling and selling” but in the new sense of

satisfying customer needs. If the marketer does a good job of understanding

customer needs; develops products that provide superior value; and prices,

distributes, and promotes them effectively later these products will sold very easily.

11
Besides, it facilitates the vision of attracting new customers by promising superior

value and to keep and grow current customers by delivering satisfaction.

2.2.2 Definition of Service quality

In fact that, quality is the keyword for survival of organizations in the global

economy. However, the word quality means different things to people according to

the context. Lovelock et al., (2007, pp. 418) mentions the five perspectives on

quality.

 The transaction view of quality is synonymous with innate excellence: a

mark of uncompromising standards and high achievement. This viewpoint is often

applied to the performing and performing of visual arts. It is argued that people

learn to recognize quality only through the experience gained from repeated

exposure and managers or customers will also know quality when they see it is not

very helpful.

 The product- based approach sees quality as a precise and measurable

variable. Differences in quality, it is argued, reflect differences in the amount of an

ingredient or attribute possessed by the product or service. Because this view is

totally objective, it fails to account for differences in the tests, needs, and

preferences of individual customers or even entire market segments.

 User based definitions starts with the premise that quality lies in the eyes

of the beholder. These definitions equate quality with maximum satisfaction. This

subjective, demand oriented perspective recognizes that different customers have

different wants and needs.

12
  The manufacturing based approach is supply based and is concerned

primarily with engineering and manufacturing practices, quality is also operation

driven.

 Value based definitions define quality in terms of value and price. By

considering the tradeoff between perception and price, quality comes to be defined

as “affordable”.

Now a day, organizations are undergoing a shift from a production-led

philosophy to a customer-focused approach. Service quality is a concept that

has aroused considerable interest and debate in the research literature

because of the difficulties in both defining it and measuring it with no overall

consensus emerging on either (Wisniewski, 2001).

Service quality is a recent, decisive issue in the marketing thought. According to

Rashid et al., (2011) and Zeithaml et al., (1988) service quality defined as the gap

between expectations and perception of service quality (SERVQUAL), and indicated

five service quality dimensions. SERVQUAL consists of two sections and a 22-item

section measuring the service quality expectation within a specific service quality of

the bank and a corresponding 22-item section measuring the perception of service

quality.

2.2.3 Definition of Customer Service

According to Robert (2005) “customer service is defined as the ability of

knowledgeable, capable and enthusiastic employees to deliver products and

services to their internal and external customers in a manner that satisfies identified

13
and unidentified needs and ultimately result in positive word-of-mouth publicity

and return business”. In addition, “Customer service is concerned establishing,

maintaining and enhancing relationships between and/or among relevant business

parties in order to achieve the objective of the relevant parties” Osuagwu (2002).

According to Davidow et al., (1989), “customer service means all features, acts and

information that augment the customer’s ability to realize the potential value of a

core product or service”. Therefore, customer service is all about the company’s

ability to deliver its service in a way that argue customer’s expectation to realize the

competitive advantage and value of a given services.

2.2.4 Definition of Customer Value and Satisfaction

More than 35 years ago, Peter observed that a company's first task is to create

customers'. However, creating customers can be a difficult task. Today’s customers

face a vast array of product and brand choices, prices and suppliers. The company

must answer a key question: How do customers make their choices?

The answer is that customers choose the marketing offer that gives them the most

value. Customers are value maximizes, within the bounds of search costs and limited

knowledge, mobility and income. They form expectations of value and act upon

them. Then they compare the actual value they receive in consuming the product to

the value expected, and this affects their satisfaction and repurchase behaviour. We

will now examine the concepts of customer value and customer satisfaction more

carefully.

Thus, Customer Satisfaction is one of the most important outcomes in the marketing

literature. Consistent with Kazi (2011) and Oliver (1980), customer satisfaction

14
model explains that when the customers compare their perceptions of actual

products/services performance with the expectations, then the feelings of

satisfaction have arisen. Any discrepancies between the expectations and the

performance create the disconfirmation (i.e. positive, negative and zero

disconfirmation). So customer satisfaction has been a central concept in marketing

literature and is an important goal of all business activities. In addition, customer

satisfaction is defined as a customer’s overall evaluation of the performance of an

offering to date (Johnson et al., 1991). Today, companies face their toughest

competition, because they move from a product and sales philosophy to a marketing

philosophy, which gives a company a better chance of outperforming competition

(Kotler, 2000). Overall customer satisfaction translates to more profits for

companies and market share increase. The importance of customers has been

highlighted by many researchers and academicians. The principal concern of

marketing is also to connect with customers by building a strong customer

relationship in order to meet their expectations.

Satisfaction is thus a function of relative levels of expectation and perceived

performance. Expectations are formed on the basis of past experiences with the

same or similar situations and perceived performances related to the actual

performance of the service after consuming particular service. While one should

understand the extent of customer satisfaction (i.e. how much customers are

satisfied), it is perhaps more important to understand the underlying cause of the

satisfaction/dissatisfaction. According to Mohammad et al., (2011) and Walfried et

al., (2000), customer satisfaction is measured by a Five-point Liker-scale ranging

15
from “very dissatisfied (1) to “extremely dissatisfied (5) which was used by the

researcher to assess overall level of customer satisfaction.

2.2.5 Service Quality and Customer Satisfaction

Service quality is a significant determinant of customer satisfaction and service

quality was the basic factor that affects customer satisfaction. Therefore, high

quality service is an increasingly important weapon to survive, the higher service

quality was, and the higher customer satisfaction was. If customers like the service

quality, their satisfaction level will improve and banks will be able to maintain

stable customer base (Rashid et al., 2011).

Zeitham et al., (1988) developed a service research instrument called “SERVQUAL”

this model is based on the premises by which customers can evaluate a firm’s

service quality through comparing their perception of its service and with their own

expectations. SERVQUAL is seen as a generic measurement tool that can be applied

across a broad spectrum of service industries. There are 22 perception items and

expectation items that are reflecting the five dimensions of service quality.

Respondents complete a series of scales that measure their expectation of

companies in a particular industry in a wide area of service characteristics. They

also discuss that when perceived performance ratings are lower than expectations,

it is a sign of poor quality and reverse indicate good quality.

Parasuraman et al., (1988) says that in service and retail business, SERVQUAL is a

multi-item scale which is developed to assess customer perceptions of service

quality but originally it is developed from GAP model. The author also argues that

16
SERVQUAL must be reliably assessed and measured in order to improve services

quality. He mentions that SERVQUAL is an important model to identify the gaps

between customer expectations of the service and their perceptions of the actual

performance of the service.

2.2.6 Dimensions of Service Quality

Parasuraman et al., (1985) identified ten dimensions of service quality (e.g.

credibility, security, accessibility, communication, understanding the consumer,

tangibles, reliability, responsiveness, competence and courtesy). According to

Jayaraman et al., (2010), SERVQUAL model is effective model to measure customer

satisfaction in the retail banking. Managers from various banks should continuously

measure and improve the level of customer satisfaction using the SERVQUAL model

in order to maintain competitive in the market place.

Parasuraman et al.,(1988) consolidated the above ten dimensions into five broad

dimensions that are shown along with their definitions as follows;

 Tangibles: physical facilities, equipment and appearance of personnel.

Moreover, Ananth et al., (2011) referred tangibility dimension in their study of

private sector banks as modern looking equipment, physical facility, employees are

well dressed and materials are visually appealing.

 Reliability: ability to perform the promised service dependably and

accurately; Reliability is a significant factor of product quality in addition to good

personal service, staff attitude, knowledge and skills (Walker 1990). It is found that

17
service reliability is the service core to most customers and managers should use

every opportunity to build a “do-it-right-first” attitude (Berry et al., 1990).

 Assurance: knowledge and courtesy of employees and their ability to convey

trust and confidence; According to Sadek et al., (2010), in British banks assurance

means the polite and friendly staff, provision of financial advice, interior comfort,

eases of access to account information and knowledgeable and experienced

management team. In addition, Parasuraman et al., (1988) found that assurance is an

important factor of service quality next to reliability and responsiveness towards

customer satisfaction.

 Empathy: Parasuraman et al., (1988) defined empathy as caring,

individualized attention the firm provides for its customers. Jabnoun et al., (2003)

found that bank customers believed empathy as an essential factor of service

quality.

 Responsiveness: Refers willingness to help customers and provide prompt

service; According to Parasuraman et al., (1988), responsiveness is willingness to

help customers and provide prompt service. Responsiveness is likely to have an

important and positive effect on customer satisfaction (Jun & Cai, 2001; Diaz & Ruiz,

2002; Joseph et al., 2005; Glaveli et al., 2006).

According to Mohammad et al., (2011), the five dimensions of service quality have

significant influence on customer satisfaction. These dimensions include tangibles,

reliability, responsiveness, assurance, and empathy. Moreover, our findings show

that service quality is an important antecedent of customer satisfaction. This

18
finding reinforces the need for banks managers to place an emphasis on the five

dimensions of service quality to satisfy their customers.

2.3 Overview of Servqual and Servperf Scale of Measurement

A number of measures have been proposed in the past to determine customer

expectations, customer perceptions and overall satisfactions in service industries

but the two most prominent scales forming the genesis for service quality

assessment in different service sectors are SERVQUAL and SERVPERF.

Despite the criticism, SERVQUAL has been widely used in various contexts

throughout other studies. The SERVQUAL instrument has been widely used because

it provides a basic skeleton which can be adapted or supplemented to fit the

characteristics or specific research needs of a particular organization (Parasuraman

et al., 1988). In addition, the SERVQUAL model has been the major generic model

used to measure and manage service quality across different service settings and

various cultural backgrounds and is valued by different academicians and

practitioners.

In another empirical work, Parasuraman et al., (1994) refined SERVQUAL’s

structure to embody not only the discordance between perceived service and

desired service, but also the discrepancy between perceived service and adequate

service.

While, the role of expectations and its inclusion in the SERVQUAL measuring

instrument is a cause and major concern for SERVPERF model. However, the

incorporation of expectation scores provides richer information than that provided

19
by the perception-only scores (i.e. SERVPERF measure of scale) thus adding to the

diagnostic power of the service quality scale. Even the developers of performance-

only scale were cognizant of this fact and did not suggest that it is unnecessary to

measure customer expectations in service quality research (Joseph et al., 1992).

These authors state that when somebody is called to evaluate the perception, she or

he in their own mind has already considered the personal past expectation of the

service, thus the evaluation of the perception already contains the expectation.

However, asking and knowing the customer’s expectation is the key to a successful

customer service as the idea is useful to create, deliver and communicate superior

value. In fact the service offer should answer to the needs and demands of

customers. Understanding customers are necessary not only because of their effect

on marketing decisions but because customers’ activities influence the entire

organization.

Along the lines, banks are greatly dependent upon their customers. If they do not try

to capture and know the customers expectation prior to development of customer

dissatisfaction, they could lose their customers as well as businesses. Therefore,

without customers banks would not exist and their purpose is to fulfill the needs of

the customers. Since, the customer makes it possible to achieve their business aims.

Furthermore, the use of a SERVPERF scale is justified by reducing the dynamic

character of the client’s expectations and by the greater effort required by the

respondents to complete two questionnaires, one prior using the services (i.e.

expectations) and another post reduce the number of respondents willing to

20
respond their genuine feedback merely about the actual service offered by the

banks. The SERVPERF scale is found to be superior and more effective in dropping

the number of items to be measured by half 22 items in contrast to SERVQUAL’s 44

items. But in terms of diagnostic ability, the SERVQUAL scale that emerges as a clear

winner since it necessitate a direct comparison of performance perceptions with

customer expectations, which later provides a more pragmatic diagnosis of service

quality short falls for managers of banks so that to identify weaknesses and conduct

the correct measure that boosts service quality improvement. Especially in the event

of time and resource constraints, the SERVQUAL scale is able to direct managerial

attention to service areas which are critically deficient from the customer’s

viewpoint and require immediate attention.

In conclusion, no doubt the SERVQUAL scale entails greater data collection work

which may result in customers losing their motivation to answer correctly (Shadin,

2006). But it can be eased out by employing direct rather than computed

expectation disconfirmation measures. This can be done by asking customers to the

extreme freedom and more time whereby the report their perception and

expectation scores separately as it is required under the SERVQUAL scale.

2.4 What Managers can do to Improve Service Quality?

Delivering excellent service is a winning strategy. Quality service sustains

customers' confidence and is essential for a competitive advantage of any company.

Yet many companies are struggling to improve service, wasting money on ill-

conceived service programs and undermining credibility with management rhetoric

21
not backed up with action. There are ten guidelines to help managers chart a

service-improvement strategy for their organizations (Berry et al, 1994).

I. Listening to Customers.

Quality is defined by the customer. Conformance to company specifications is not

quality; conformance to the customer's specifications is. Spending wisely to improve

service comes from continuous learning about the expectations and perceptions of

customers and noncustomers.

Customer research reveals the strengths and weaknesses of a company's service

from the perspective of those who have experienced it. Noncustomer research

reveals how competitors perform on service and provides a basis for comparison.

Important expectations for the service that competitors full-fill better offer an

agenda for action. Companies need to install an on-going service research process

that provides timely, relevant trend data that managers become accustomed to

using in decision making. Companies need to build a service quality information

system, not just do a study. Conducting a service quality study is analogous to taking

a snapshot. Deeper insight and a sense for the pattern of change come from a

continuing series of snapshots taken from many angles (Berry et al., 1994).

II. Reliability

Reliability is the ability of the company to perform the promised service dependably

and accurately without errors (Schroeder, 2007). Also Reliability is the core of

quality service. Little else matters to customers when a service is unreliable. When a

firm makes frequent mistakes in delivery, when it doesn't keep its promises,

customers lose confidence in the firm's ability to do what it promises dependably

22
and accurately. Friendliness from the staff and sincere apologies do not compensate

for unreliable service. Although most customers appreciate an apology, the apology

does not erase the memory of that service. If a pattern of service failure develops,

customers conclude the firm cannot be counted on, friendly and apologetic or not

(Barry et al., 1994).

III. Basic Service

In addition to Reliability, service customers want the basics-they expect

fundamentals, not fanciness; performance, not empty promises. The services

delivery should at least be above their acceptable services. Basic services are the

minimum requirements a service provides should deliver to meet the customers’

desired service level (Berry et al., 1994).

IV. Service Design

Reliably delivering the basic service customers expect depends in part on how well

various elements function together in a service system. These elements include the

people who perform the specific services in the service chain, the equipment that

supports these performances, and the physical environment in which the services

are performed. Design flaws in any part of a service system can reduce quality. It is

tempting to blame poor quality on the people delivering service but frequently the

real culprit is poor service system design.

Service mapping is one way to improve service system design. A service map is a

visual definition of a service system, displaying each sub-process in the system in

the sequence in which it appears.

23
In effect, the service map depicts the chronology and pattern of performances that

make up a service. If drawn explicitly, it answers the questions: "What is the

service?" and "How does it work?" (Berry et al., 1994).

V. Recovery

Service encounters are moment of truth or interaction between a customer or

potential customers and an organization (Zelthmal et al., 2006). While these

moments of interaction provide an opportunity for firms to satisfy and even to

delight the customers, there likewise is an opportunity to disappoint the customer.

This happens when customers perception of initial service delivery behaviour

falling below the customer’s expectation, or “Zone of tolerance” (Zelthmal et al.,

2006). The impact of active recovery strategies on a company’s revenue and

profitability is dramatic (Bamford et al., 2005). Service recovery involves the actions

taken by an organization in response to a service failure presenting another and

perhaps even more critical moment of truth, in which the company can not only

satisfy and retain its customers, but it can even delight them with its effort. In this

sense service recovery involves a wider set of activities than mere complaint

handling (Holloway et. al., 2009). In such cases, the consumer may be unable or

unwilling to complain, the service personnel may acknowledge the failure before

customer initiates (Zelthmal et al., 2006).

Many dissatisfied customers do not complain directly to the company-to avoid a

confrontation, or because they perceive no convenient way to complain, or do not

believe complaining will do much good. Companies can overcome some of this

reluctance and improve recovery service in three ways:

24
A. Encourage customers to complain and make it easy for them to do so.

Managers who wish to improve problem-resolution service must overcome the

common customer perception that companies don't really care when things go

wrong. Many firms rely exclusively on reactive recovery strategies in which

customers must initiate contact.

Comment cards available in the service facility and toll-free telephone numbers are

examples of reactive systems. These approaches are useful but they preclude

customers unwilling to take the first step. Thus, proactive strategies, in which the

company makes the first contact, should be considered.

B. Respond quickly and personally.

Companies often take too long to respond to unhappy customers, and then respond

impersonally. By responding quickly, a firm conveys a sense of urgency. Quick

response demonstrates that the customer's concern is the company's concern. By

responding personally, with a telephone call or a visit, the firm creates an

opportunity for dialogue with the customer-an opportunity to listen, ask questions,

explain, apologize, and provide an appropriate remedy.

C. Develop a problem resolution system.

Service employees need specific training on how to deal with angry customers and

how to help customers solve service problems. In some cases, they need access to

information systems that will tell them more about the customer, the situation

causing the problem, and possible solutions (Berry et al., 1994).

25
 VI. Surprising Customers.

Customers judge the dimensions of Responsiveness, Assurance, Empathy and

Tangibles during the service delivery process; hence, these are process dimensions

(Zelthmal et al., 2006). Reliability, judged following the service, is an outcome

dimension. Although Reliability is the most important dimension in meeting

customers' service expectations, the process dimensions-especially Assurance,

Responsiveness, and Empathy-are most important in exceeding them. Companies

are supposed to be reliable; they are supposed to provide the service they promise

to provide. Thus, it is difficult for firms to exceed customers' expectations by being

reliable. The process dimensions of service, however, provide the opportunity to

surprise customers with uncommon swiftness, grace, courtesy, competence,

commitment, or understanding. The opportunity is present to go beyond what is

expected. In effect, exceeding customers' expectations requires the element of

surprise, and the best opportunity for surprising customers is when service

providers and customers interact (Berry et al., 1994).

VII. Fair Play

Customers expect service companies to treat them fairly and become resentful and

mistrustful when they perceive otherwise. Fairness underlies all the customers'

expectations. Customer expect service companies to keep their promises

(reliability), to offer honest communication materials and clean, comfortable

facilities (Tangibles), to provide prompt service (Responsiveness), to be competent

and courteous (Assurance), and to provide caring, individualized attention

(Empathy).

26
Fairness is not a separate dimension of service but, rather, touches the very essence

of what customers expect. The intangibility of services heightens customers'

sensitivity to fairness issues. Because services are performances rather than objects,

they are difficult for customers to evaluate prior to purchase.

Customers cannot try on services for fit and feel; there are no tires to kick such as in

buying an automobile. Customers usually must buy the service to actually

experience it. Thus, they must trust a service company to deliver on its promises

and conduct itself honourably (Berry et al., 1994).

VIII. Team work

Teamwork is often seen in the academic literature as a means of supporting

willingness to deliver service quality (Parasuraman et al., 1992). Having many

customers to serve, like on a full airline flight or in a busy bank office, can be

mentally and physically exhausting. Control over the service is often dispersed

among different organizational units that function without cooperation, frustrating

contact employees' ability to effectively serve their customers. It is common for

employees to be so stressed by the service role that they become less caring, less

sensitive, and less eager to please. The presence of service "teammates" is an

important dynamic in sustaining servers' motivation to serve. Thus, effective team

work tends to develop capabilities for delivering a high level of service quality

(Ueno, 2008) Co-workers who support each other and achieve together can be an

antidote to service burnout. Team involvement can be rejuvenating, inspirational,

and fun.

27
 IX. Employees Research

Employee research is as important to service improvement as customer research,

for three reasons. First, employees are themselves customers of internal service, and

thus are the only people who can assess internal service quality. Because internal

service quality affects external service quality, measuring internal service quality is

essential.

Second, employees can offer insight into conditions that reduce service quality in

the organization. Employees experience the company's service delivery system day

after day. They see more than customers see and they see it from a different angle.

Employee research helps reveal why service problems occur, and what companies

might do to solve these problems.

Third, employee research serves as an early-warning system. Because of employees'

more intensive exposure to the service delivery system, they often see the system

breaking down before customers do (Berry et al., 1994).

X. Management Commitment/Servant Leadership

Delivering excellent service requires a special form of leadership/management

commitment which is also referred as "servant leadership" by Parasuraman et al.,

(1994). According to the authors, Servant leaders serve the servers, inspiring and

enabling them to achieve. Such leaders fundamentally believe in the capacity of

people to achieve, viewing their own role as setting a direction and a standard of

excellence, and giving people the tools and freedom to perform their task.

Empowerment of front-line staff could be fundamental to achieving and improving

the level of service quality. Nevertheless, empowerment of front-line staff has both

28
positive and negative outcomes (Ueno, 2008). But still it is possible to achieve a high

level of service quality form medium degree of empowerment.

The ten guidelines discussed above are not mutually exclusive and that they must be

viewed in a holistic manner.

2.5 Empirical Study

In fact that, the model developed in the context of one nation may not be

necessarily applicable in other nations as the institutional, economic and socio-

cultural factors may different from region to region or from one sector to another

within the same region. This section briefly shows some of the research

outputs/results related to specific this area of study.

2.5.1 The Impact of service quality in customer satisfaction

This empirical section briefly stated some of the research findings in the following

manner. Since different studies have different conclusions regarding which

dimension affect more customer satisfaction. Among these, study conducted in

Jordan by Rashid et al., (2011) said that among the various dimensions of service

quality, Assurance was especially significant in fostering satisfaction for the

customers of Jordanian commercial banks. It is apparent that focusing on delivering

high quality services, and improve service quality effectively is critical for customer

satisfaction. While study conducted in India by Usha et. al., (2009) said that among

the five dimensions of service quality, nature of service transactions greatly depends

on the physical layout of the workplace i.e. tangibility. Common complaints

regarding service escape include inability to concentrate on work because of noise

29
and distraction, lack of privacy, poorly arranged work spaces, discomfort in

temperature, lighting and ventilation. These tangible cues impact on how customers

view a service firm. Customers in banks prefer those services which have

comfortable and convenient physical evidence, planned layout and well-managed

queues.

According to a study conducted by Niveen et al., (2013), the quality perception of

bank customers in Egypt and the differences in relative importance they attach to

the various quality dimensions using the SERVQUAL model. SERVQUAL appears to

be a reliable scale to measure banking service quality, and provide a useful

diagnostic role to play in assessing and monitoring service quality in banks. The

research finding on Customer Satisfaction in the Egyptian banking services is

significantly affected by Reliability, Empathy, Assurance and Responsiveness, while

the effect of the dimension of Tangibility does not have any significant impact on

customer satisfaction. It also indicates that customers‟ perception is highest in the

reliability area this result showed consistency with Parasuraman et al., (1985, 1988)

and Yang et al., (2004) and lowest in the assurance area.

30
2.6 The Conceptual Frame Work of the study

Based on previous research outcomes, the researcher developed the following

conceptual frame work to find out the statistically significant and positive

relationship between independent variable and dependent variable. Independent

variable is service quality i.e. the five dimensions (tangibility, assurance, empathy,

reliability and responsiveness) while, the dependent variable is customer

satisfaction.

Responsiveness Reliability

Customer
Assurance Service Quality Satisfaction:
dimensions:
Dependent
Independent Variable
Empathy
Variables

Tangibility

Figure 2.1: Conceptual Frame Work of the study

31
 CHAPTER THREE

RESEARCH METHODOLOGY

3.1 Introduction

This section of the study presents the methodology that the researcher used to

select sample, collect data and analyze the data in accordance with assessing service

quality dimensions and its effect on customer satisfaction. The researcher used the

most popular measuring instrument that was developed by Parasuraman et al.,

(1988) known as SERVQUAL that have been refined to explain the effect of service

quality dimensions on customer satisfaction.

3.2 Research Approach

The researcher used descriptive research design which is intended to assess gap

enquiry of customer expectation and perception toward dimensions of service

quality. A descriptive research intends to present facts concerning the nature and

status of a situation, as it exists at the time of the study and to describe present

conditions, events or systems based on the impressions or reactions of the

respondents of the research (Creswell, 1994). In addition, the researcher employed

explanatory research design to examine the cause and effect relationships between

service quality dimension and customer satisfaction.

32
3.3 Source of Data

The type of data employed in this study was cross-sectional in the sense that

relevant data was collected from different area at one point in time.The researcher

used both primary and secondary source of data to undertake the study. The

primary source was consists information gathered through structured

questionnaires from the sample chosen. The secondary source of data includes;

books or other published materials.

3.4 Sample Size and Sampling Technique

The total population of the study holds customers of two main branches of Enat

Bank S.C and Debub Global Bank S.C. The main reason of selection of the study area

centers is that they are recently entered to the industry and they have small number

of customers (customer base) which is glimpse to have floor market share as

compared to the industry at whole. The sample size of banks has been determined

by using simple formula which was developed by Taro (1967) as stated on the work

of Kassa (2012). In this calculation of sample determination, 95% confidence

interval is used. It is calculated as follows:

Where n is the sample size, e denotes for the level of precision or

N is the population size, and sampling error = (.05)

33
Hence, the total sample size is 350. Since the number of people in each bank is not the

same, therefore the number of samples for each bank was calculated with the following

formula:

Where n= total number of samples

N= total number of population

N1= total number of population in each bank

n1= number of samples in each bank

Table 3.1: Number of Customers and Proportion of Samples taken from each bank

Banks Total Number of Population Sample Size Taken in

each Bank

Enat Bank S.C 1,036 223

Debub Global Bank S.C 1,814 127

Source: Own compilation based on branch coordination office monthly report of two banks

(2013/2014)

Consequently, the researcher used convenience sampling technique because the

questionnaires were merely distributed for those customers who are conveniently

available at the counter of these selected banks.

3.5 Data Gathering Techniques

The researcher used survey method (questionnaire) to gather the primary data

from the customers of the two main branches of the selected private banks which

gives special reference to newly opened banks. The questionnaire was constructed

having three major sections. The first section questions are about personal profiles

34
of the respondents. While, the second section contains the five constructs measuring

of SERVQUAL in the view of respondent’s expectation of service qualities as

proposed by Parasuraman et al., (1988). This part consists of 22 different

statements that are divided in to the five dimensions. Finally, the third section deals

about the 22 items that measure customer’s feeling and perception toward the

actual performance of service of these selected banks. Questions that measure

customer satisfaction level is also included in this section.

3.6 Data Analysis

After the data collection and coding, the appropriate data analytic techniques were

included both the descriptive and inferential statistical method. Charts and tables

were used in order to describe the demographic features of the respondents and

general distribution of the data set to examine the gap enquiry of service quality

dimensions. While, inferential statistical method used to view the objective of the

study by using latest version of Statistical Package for Social Scientists (SPSS).

3.7 Description of Variables and Measurements

The study investigates the service quality dimensions and its impact on customer

satisfactions. The independent variable that service quality of the banks measured

by using the five service quality dimensions including tangibility, reliability,

responsibility, assurance and empathy and while customer satisfaction is

considered for dependent variable. Customer satisfaction was measured by one

question which describes the overall satisfaction level of the customers. The

questions of customer satisfaction was followed by a five-point Likert format having

35
a range of attitudes like very dissatisfied represented by 1, dissatisfied; 2, neutral; 3,

satisfied; 4 and extremely satisfied 5.

3.8 Model Specification

The researcher used multiple regression analysis (i.e. a popular and widely used

analysis that is similar to linear regression analysis except that the outcome is

dichotomous (e.g., success/failure or yes/no or died/lived) for analyzing the impact

of service quality dimensions on customer satisfaction. The dependent variable (i.e.

customer satisfaction) is a function of independent variable service quality

dimensions (i.e. responsiveness, assurance, reliability, empathy and tangibility).

The equation is: CS= α + β1Ta + β2Re+ β3As+ β4Em+β5Res+Ɛ

Where, y is the measured value of customer satisfaction

α is constant term

β1, β2, β3, β4, β5 are coefficient of the variables

Ta: is the measured value of tangibility

Re: is the measured value of reliability

As: is the measured value of assurance

Em: is the measured value of empathy

Res: is the measured value of responsiveness

Ɛ- error term

36
3.9 Reliability Test

Reliability test is an assessment of the degree of consistency between multiple

measurements of a variable (Bryman et al., 2003). According to George et al., (2003),

reliability is the degree to which measure are free from error and therefore yield consistent

results. The reliability of a measure indicates the stability and consistency with which the

instrument measures the concept and helps to assess the “goodness” of a measure (Cavana

et al., 2001).

Cronbach’s alpha is the most widely used measurement tool with a generally agreed lower

limit of 0.7. According to Hair, et al., (2006), if α is greater than 0.7, it means that it has high

reliability and if α is smaller than 0.3, then it implies that there is low reliability. To meet

consistency reliability of the instrument, the researcher considered the 31 questionnaires

result which includes the service quality dimensions and customer satisfaction question.

As can be seen from table 3.2, all the alpha coefficients of measure of service quality

dimensions were above the required level of 0.7. Therefore, there is high degree of

consistency on the all measurements of service quality dimensions.

Table 3.2: Reliability Statistics of Service Quality Dimensions

 Reliability Statistics for Number of Items Cronbach's Alpha

Expected Tangibility 4 0.853

Expected Reliability 5 0.869

Expected Assurance 4 0.925

Expected Empathy 5 0.763

Expected Responsiveness 4 0.795

Perceived Tangibility 4 0.909

Perceived Reliability 5 0.910

Perceived Assurance 4 0.908

Perceived Empathy 5 0.885

Perceived Responsiveness 4 0.922

Source: Survey Result (2014)

CHAPTER FOUR
 DATA PRESENTATION, ANALYSIS AND INTERPRETATION

4.1 INTRODUCTION

The analysis and interpretation of this study is based on the data collected from the

customers of recently opened Ethiopian Private Banks namely Enat Bank .C and Debub

Global Bank S.C. The data was collected through survey questionnaire. The survey

questionnaires were administered with main branches of the two banks. Out of the 350

questionnaires distributed to randomly selected customers, 341 were properly completed

and returned. This represents a response rate of approximately 97% from the distributed

questionnaires. Hence, the data gathered were organized and analyzed in a manner that

enables to answer the basic research questions raised at the beginning of the study.

This chapter is broadly categorized in to three sections. The first section explores the

respondents’ profile. The second section deals with descriptive data analysis part which

contains the average score value of customer’s expectation and perception of banks’

services, the gap analysis and standard deviation. The third section shows statement of

intent with the inferential statistics consisting of the collinearity statistics, regression

analysis and hypothesis testing part.

4.2 Review of Respondents Profile

The questionnaires were distributed with convenient sampling method to the respondents.

The demographic characteristics include: gender, age, level of education, and frequency of

using the bank’s service. This aspect of the analysis deals with the personal data which is

briefly described through the chart and tables below.

 41%

Men
59%
Women

Source: Own Compilation (2014)

Figure 4.1 Respondent’s gender

The above chart gives information on the composition of the respondents in terms of sex.

The reason that the researcher included this part is for example, to make sure that

respondents are in appropriate mix in terms of gender. In addition, the responses to the

items in the instrument are also expected to be balanced.

The survey showed that there were more males as compared to females. Male respondents

represented 59.5%; on the other hand 40.5% were females. However, as the chart indicates

there is an appropriate mix of gender in the study.

Table 4.1 Respondent’s age and education level

 Items Age Category No. of Percentage

Age Respondents

18-30 204 59.8

31-40 100 29.3

41-60 37 10.9

>60 - -

Total 341 100%

Level of Education Education Level No. Respondents Percentage

High School 40 11.8

Diploma 68 19.9

First Degree 232 68

Masters and Above 1 0.3

Total 341 100%

Source: Survey Result (2014)

Table 4.1 shows the demographic information of the respondents. Moreover, it summarizes

the respondents’ age and level of education. Information on age and level of education

might give the researcher a clue about respondents’ understanding level about the issues

raised on the survey questionnaires. Most of the respondents are in the age range of 18-40

it’s about 89% of the total sample size. When it comes to the level of education, it is clear

from the table 4.1 that above 68% of the respondents are first and second degree holders.

This indicates that most of the respondents can understand and evaluate banking service

quality dimensions.
 43.4
45
40
32.3
35
30 Daily
23.5
25 Weekly
20 Monthly
15 Others
10
5 0.9
0
Daily Weekly Monthly Others

Source: Own Compilation (2014)

Figure 4.2: Frequencies of using the bank’s service

The figure 4.2 gives information concerning the frequency of customers reached to the

bank counter to get the necessary service from their respective bank; this helps the

researcher to understand the level of attachment available between the bank and the

customers because it’s helps the researcher to know how much customers made enough

and prevalent interaction with the bank’s service which later strengthen the bank service

evaluation. Finally, the banks services which can be measured by 22 statements are

consistently filled by customers who have been reached the bank counter daily and weekly

and it is more than 75% of the respondents were involved in completing the questionnaire.

4.3 Descriptive Statistics

The following summary of descriptive statistics of all dependent and independent variables

gives the general distribution of the data set to examine the service quality dimensions and

customer. Table 4.2 reports the Average Expectation Score, Average Perception Score,
Difference Score, standard deviation and the number of observations for Customer

satisfaction and five explanatory variables. The average score of expectation and

perception is the sum of the observations divided by the total number of observations. The

standard deviation is the squared root of the variance. Indicates how close the data is to the

mean (average score value).

4.3.1 GAP Analysis of Service Quality Dimension

According to Rashid et al., (2011) and Zeithaml et al., (1988) define service quality as the

gap between expectations and perception of service quality dimensions. The authors also

mention that SERVQUAL is an important model to identify the gaps between customer

expectations of the service and their perceptions of the actual performance of the service.

Accordingly, the researcher tried to show existing gap inquiry of customer expectation and

perception of the actual performance. It is articulated that the difference between average

expectation and perception value of respondents is clearly shows the availability of service

quality problem. Thus, respondents completed a series of scales that measure their

expectation as well as perception of bank services.

Table 4.2: Service Quality Dimensions Gap Analysis

Service Quality N Average Average Difference Std.

Dimensions Expectation Perception (P-E) Dev.

Tangibility 341 4.1356 3.8717 -0.2639 0.49852

Reliability 341 4.2903 3.8915 -0.3988 0.58255

Assurance 341 4.1196 3.4391 -0.6805 0.59904

Empathy 341 3.9809 3.7701 -0.2109 0.61569

Responsiveness 341 4.1238 3.8258 -0.2979 0.73606

Overall 341 3.6 Mean Value 0.85400

Customer

Satisfaction

Source: Captured from survey (2014)

The gap analysis is conducted based on the same procedure of a SERVQUAL instrument.

Table 4.2 shows that all the values of average expectation of each service quality

dimensions except empathy indicates that respondents are almost all agree with the

statements that measures customer’s expectation of service offered by their banks. While,

less agree on the empathy service quality dimension which shows that the respondent’s

expectation toward the caring and individualized attention is not as such affected by types

of information’s they may get from explicit and implicit service promises which leads to

form service expectation. Since, customer’s level of service expectation is much more

influenced by explicit service promises, implicit service promises, word of mouth

communication and past experience as confirmed on by Zeithamal et al., (2004).

The difference score of all service quality dimensions are negative indicating that the banks

are fail to meet customers overall expectations of bank services. While discussing each

dimensions separately assurance has the highest gap (difference) score of -0.6805 followed

by reliability, responsiveness, tangibility and empathy. This shows that there are

weaknesses in provision of financial advice, interior comfort and eases of access to

information. This might be because of that these banks are late in their branch expansion

and core banking application system as compared to the banks that already settled such
technological advancement which gives their customers interior comfort and one window

services. Thus, customer’s expectation might be influenced by their past experience and

exposure with other private banks while here it’s not actually obtainable by these banks.

Reliability dimension has the second highest gap score which indicates that these banks’

and their employees are operating with more promise and less effective way to ensure

customer satisfaction which might affect the banks’ reputation negatively.

Responsiveness has the highest standard deviation score which depicts 0.73606,

suggesting that it was highly dispersed.

4.4 Inferential Data Analysis

4.4.1 Test of Multicollinearity

One obstacle that presents difficulty in rendering regression analysis is the existence of

multicollinearity. Multicollinearity refers to the situation when independent variables are

multi collinear; there is overlap or sharing of predictive power. This may lead to the

paradoxical effect, whereby the regression model fits the data well, but none of the

explanatory variables (individually) has a significant impact in predicting the dependent

variable Gujarati (2004). This is because when the predictor variables are highly collinear

with one another, they share essentially the same information. Thus, together, they may

explain a great deal of the dependent variable, but may not individually contribute

significantly to the model. Thus, the impact of multicollinearity is to reduce any individual

explanatory variable’s predictive power by the extent to which it is associated with the

other explanatory variables. A number of different methods can be used for diagnosing

collinearity problem. The most used one is the variance inflation factor (Weisberg, 1985).
Table 4.3: Multicollinearity Statistics

Model VIF Model VIF Model VIF Model VIF Model VIF

TE1 5.132 RE5 3.680 AE10 4.859 EE14 4.696 REE19 1.570

TE2 3.105 RE6 2.923 AE11 3.953 EE15 4.215 REE20 1.868

TE3 2.563 RE7 1.913 AE12 5.218 EE16 2.874 REE21 2.060

TE4 2.339 RE8 2.357 AE13 4.936 EE17 1.663 REE22 2.609

TP1 3.748 RE9 3.803 AP10 6.599 EE18 2.233 REP19 4.576

TP2 2.412 RP5 3.244 AP11 4.435 EP14 2.535 REP20 2.692

TP3 2.676 RP6 3.326 AP12 4.634 EP15 4.133 REP21 3.252

TP4 3.236 RP7 2.109 AP13 2.617 EP16 3.760 REP22 1.060

RP8 2.854 EP17 2.864

RP9 3.145 EP18 1.848

Source: Generated from Survey Result (2014)

As it can be presented in table 4.3, the explanatory variables included in the study were not

significantly suspected to multicollinearity problem because all of the VIF coefficients are

below 5. As a result, none of the predictor variables contribute uniquely and significantly to

the prediction of independent variable after the other independent variables is included.

4.4.2 Regression Analysis and Hypothesis Testing

Multiple regression analysis was employed to test the impact of service quality dimensions

on customer satisfaction. It is a useful technique that can be used to analyze the

relationship between a single dependent and several independent variables (Hair et al.,

1998).

Table 4.4: Regression Analysis result

Service Quality Dimensions Β t Sig.
Constant .200 3.461 0.000

Tangibility .044 .611 0.000

Reliability .053 .854 0.007

Assurance .237 2.468 0.004

Empathy .013 .160 0.000

Responsiveness .039 .513 0.002

R 0.740(a)
R-squared 0.800
Adjusted R Square 0.831
S. E of the Estimate 0.835

Sig. 0.0000
Source: Generated from SPSS output (2014).

From (Table 4.4), it can be observed that the coefficient of adjusted (R2) was 0.831,

representing that 83.1 percent of customer satisfaction can be predicted by the above five

service quality dimensions. The remaining 16.9% change in customer satisfaction is

because of other factors that are not included in the model. Thus, service quality

dimensions (tangibility, reliability, assurance, empathy and responsiveness) combined

significantly influence the satisfaction of customers. The sig. (p-value) shows that all

explanatory variables tangibility, reliability, assurance and responsiveness are statistically

significant at one percent significance level. The researcher found the established

regression function as follows:

As it can be observed from table 4.4, the regression showed positive and statistically

significant relationship between service quality dimensions and customer satisfaction.

Accordingly, assurance dimension of service quality is carried out superior to the other

four dimensions with a β coefficient of 0.237 and it’s a significant predictor of customer

satisfaction. The study conducted in Jordan by Rashid et al, (2011) confirmed that

assurance was especially significant in fostering satisfaction for the customers of Jordanian

commercial banks. Thus, a 1% increase in assurance of bank’s service would result a 23.7

percent increase on customer satisfaction. This result agreed with various previous

research findings like Shireen et al., (2011) and Suresh et al., (2003). They confirmed the

significant positive relationship of assurance and customer satisfaction.

Reliability dimension is the second determinant variable and the second strong indicator

followed by tangibility, responsiveness and empathy in explaining the independent

variable customer satisfaction. This result is supported by Al-Hawary et al., (2011)

reported that reliability has a positive and significant effect on customer satisfaction. This

result also supported by Malik et al., (2011), found that reliability has a significant and

positive effect on customer satisfaction. Therefore, a 1% increase in reliability of Banks

would result 5.3 percent rise on CS. Moreover, assurance and reliability dimensions are

need to be given much emphasis than the other dimensions. Because, customers are much

expecting on both service quality dimensions and at the same time the impact of these

variables on customer satisfaction also high and sensitive as compared to tangibility,

responsiveness and empathy dimension.

The result of this study also indicates that tangibility has a positive and significant effect on

customer satisfaction. A 1% improvement in tangibility would result on 4.4 percent

increase on customer satisfaction. This finding is similar to Munusamy et al., (2010) who

found that tangibility has a positive and significant effect on customer satisfaction. This

finding is also supported by Al-Hawary et al., (2011) reported that tangibility has a positive

and significant effect on customer satisfaction.

Another customer satisfaction affecting variable is responsiveness. It’s true that

responsiveness is the willingness of staff to provide responsive service with affordable and

fast delivery accuracy. Regression results also show that a 1% spending wisely to improve

responsiveness dimension found to have 1.3% change on customer satisfaction. This is in

line with the study conducted by Alhamadani et al., (2011) and by Al-Hawary et al., (2011)

who found that responsiveness has a positive and significant effect on customer

satisfaction. In most cases of Ethiopian banking practices it is observed that long queues

and slow process of serving customers due to network interruption and any other reason is

clearly observed. This forced customers to shift their accounts for better and fast service

delivery in order to avoid such types of delays and queues.

Empathy also has significant and positive relationship with customer satisfaction. Jabnoun

et al., (2003) found that bank customers believed empathy as an essential factor of service

quality. Empathy is the attitude to environment in term of the customer's view. As it can be

observed from the regression output, a 1% improvement on caring and individualized

attention that these banks provide for their customers have a return of 1.3% on customer

satisfactions. Even if empathy service quality dimension indicates inferior impact in

affecting the overall customer satisfaction but still it has a significant relationship with

dependent variable (i.e. customer satisfaction). The gap analysis part also shows that the
average customer’s expectation is exceeding the actual provision of caring and

individualized attention given by these banks.

In order to understand and determine the significant and positive relationship between

service quality dimensions and customer satisfaction, a number of hypotheses were

devised. The regression analysis shows sig. test of service quality dimensions along with

the degrees of freedom to check the hypothesis which was formulated by the researcher.

According to the Table 4.5, there is a significant relationship between the five dimensions

of service quality and customer satisfaction since their coefficients are significant at 1%

significant level. Furthermore, the hypotheses were devised and tested as shown below:

H1: There is statistically significant and positive relationship between Tangibility and

customer satisfaction.

Research hypothesis one predicts a statistically significant and positive relationship between

Tangibility and customer satisfaction. Similar to the hypothesis, the regression output showed

positive and statistically significant relationship between tangibility and customer

satisfaction. This would enable the researcher not to reject the hypothesis H1.

H2: There is statistically significant and positive between reliability and Customer

Satisfaction.

Research hypothesis two predicts a statistically significant and positive between reliability

and Customer Satisfaction. Similar to the hypothesis, the regression output showed positive and

statistically significant between reliability and Customer Satisfaction. This shows a

significant relation between reliability and customer satisfaction. This would enable the

researcher not to reject the hypothesis H1.

H3: There is statistically significant and positive relationship between assurance and

Customer Satisfaction.

Research hypothesis three predicts a statistically significant and positive relationship

between assurance and customer satisfaction. Similar to the hypothesis, the regression output

showed positive and is statistically significant relationship between assurance and customer

satisfaction. This shows a significant relation between assurance and customer satisfaction.

This would enable the researcher not to reject the hypothesis H3.

H4: There is statistically significant and positive relationship between empathy and

Customer Satisfaction.

Research hypothesis 4 predicts a statistically significant and positive relationship between

empathy and customer satisfaction. Similar to the hypothesis, the regression output showed

positive and is statistically significant relationship between empathy and Customer

Satisfaction. This would enable the researcher not to reject the hypothesis H4.

H5: There is statistically significant and positive relationship between Responsiveness and

Customer Satisfaction.

Research hypothesis five predicts a statistically significant and positive relationship between

responsiveness and customer satisfaction. Similar to the hypothesis, the regression output

showed positive and is statistically significant relationship between responsiveness and

customer satisfaction. This confirms that there is a positive and significant relation

between tangibility and customer satisfaction. This would enable the researcher not to

reject the hypothesis H5.

 CHAPTER FIVE

SUMMARY, CONCLUSION AND RECOMMENDATION

5.1 INTRODUCTION

The study was intended to investigate the effect of service quality dimensions on customer

satisfaction in selected private banks. Accordingly, this chapter briefly sums up the

overviews of its main outcomes, conclusion of the study and recommendations pertaining

to the identified findings. Finally, future research directions are also presented.

5.2 Summary of Major Findings

Based on the analysis made in previous chapter, summary of major findings is drawn

below.

 As it can be observed from the gap analysis result, the perceived performance
ratings of the five service quality dimensions are lower than expectation which

declares that it is a sign of poor quality and less course of actions taken by these

banks in measuring the customer expectation.

 It is observed that service quality dimensions are important antecedent of customer

satisfaction. Among the five dimensions of SERVQUAL model, Assurance service

quality dimension takes the highest fraction in influencing customer satisfaction

followed by reliability, tangibility, responsiveness and empathy with a β coefficient

of 0.237. Accordingly, a 1% enhancement on knowledge and courtesy of employees

 in a way that convey trust and confidence in customers would result a 23.7 percent

increase on the level of customer satisfaction.

 Reliability dimension is the second explaining variable with β coefficient of 0.053.

This dimension also has a significant and positive relationship with customer

satisfaction. Thus, a 1% enhancement in the bank’s ability to perform the promised

service dependably and accurately without errors would result 5.3 percent rise on

the level of customer satisfaction. In line with, both assurance and reliability

dimensions have the highest negative gap score which implies that banks are fail to

meet customers overall expectations.

 The result of this study also indicates that tangibility has a positive and significant
effect on customer satisfaction. A 1% development in the people who perform the

specific services in the service chain, the equipment that supports these

performances and the physical environment in which the services are performed

would result 4.4 percent increase on customer satisfaction.

 Another affecting variable on customer satisfaction is responsiveness. A 1%

spending wisely to improve the willingness of staff would result to have 1.3%

changes on customer satisfaction.

 The gap analysis part also shows that the average customer’s expectation is
exceeding the actual provision of caring and individualized attention given by these

banks. Since, empathy is the attitude to environment in term of the customer's view.

As it can be observed from the regression output, a 1% improvement on caring and

individualized attention that these banks provide for their customers have a return

of 1.3% on customer satisfactions. Even if empathy service quality dimension

 indicates inferior impact in affecting the overall customer satisfaction but still it has

a significant relationship with dependent variable (i.e. customer satisfaction).

5.3 Conclusion of the Study

The study aims to examine the service quality dimensions and their statistical effect on

customer satisfaction. In order to achieve the major objective of the study the researcher

used the most popular measuring instrument which is called SERVQUAL scale of

measurement.

Similar to SERVQUAL measurement application, the researcher tried to show existing gap

inquiry of customer expectation and perception of the actual performance. As a result, the

difference between average expectation and perception value of respondents are clearly

shows a negative value for all of service quality dimensions. This, implies that these banks

are fail to meet customers overall expectations of bank services. The difference amount is

also highly reserved by assurance service quality dimension followed by reliability,

responsiveness, tangibility and empathy.

Moreover, the result of the regression analysis shows that service quality dimensions are

important antecedent of customer satisfaction. This weighty link is more sustained by

adjusted R2 result which constructs that more than 80% change in customer satisfaction is

due to the change made by the five service quality dimensions. Beside among the five

dimensions, assurance takes the lion share in explaining customer satisfaction. Reliability is

the second explaining dimension followed by tangibility, responsiveness and empathy.

Above all, the proposed model was adequate as the overall significance test observed at

one percent significant level. In addition, all the hypotheses were strongly supported and
the proposed framework of the present study was able to demonstrate positive and

significant relationship between explanatory and dependent variables. Therefore, notably

this study provides evidence for the direct effect of service quality dimensions on customer

satisfaction as suggested by the literature.

5.4 Recommendation

Here, the researcher forwarded the following recommendations to the management of the

banks and suggestion for other researchers. The main theme of the recommendation focus

on the proper enhancement of the five service quality dimensions. Since, customer’s actual

perception of service quality dimensions was not adjacent to the real customer’s

expectation.

 It’s observed in gap analysis the customers expectation of knowledge and courtesy
of employees and their ability to convey trust and confidence is much higher than

what actually perceived. Therefore, banks should teach their employees especially

those who are working at the front office to create more friendly communication

with customers and sort deeper understanding from real needs of customers and

create a more intimate atmosphere to customers. Here the emergence of foreign

banks also expected in the coming few years, thus local banks especially those who

are join the industry recently need to improve their service quality by providing

more experienced employees and branch managers to serve the customer in the

operations in a way that meets the customers expectation so that to be competent

enough in their service delivery.

 It is found that service reliability is core to most customers and managers should
use every opportunity to build a do-it-right-first attitude and error free transactions.
 Thus, the bank managers and top managements also should give serious attention

especially for the frequent mistakes made during service delivery. Otherwise, when

the bank doesn't keep its promises and fault free transactions customers lose

confidence in the bank’s ability to do what it promises dependably and accurately.

Finally, friendliness from the staff and sincere apologies do not compensate for

unreliable service.

 The banks’ should built convenient atmosphere by ensuring cleanliness and

favourable ambience with appropriate modern looking equipment, music and

lighting, employees are also need to be well dressed.

 Customers, who use a particular bank service, consider switching bank as a threat.
Customer are more educated and knowledgeable, their demand is also on an

increasing trend. In order to stay in the business, bank need to improve their

customer service campaign and service delivery time that is convenient to

customers need.

 In order to advance the Willingness of employees to help customers and provide

prompt service, frontline staffs need to be continuously trained with proper skill of

providing effective communication, accurate response and prompt service.

Moreover, staff that are committed in implementing quality services should be

gained recognitions from customers should be given better rewards.

 In general, as customer expectations are changing over time, bank practitioners are

advised to measure their customer expectation against the actual performance

regularly and handle complaints timely and effectively. Because, wisely

improvement of service quality and gaining a strategic advantage and survive in

 today’s ever-increasing competitive environment comes from continuous and

regular measurement of the expectations and perceptions of customers.

5.5 Direction for Future Research

This study was conducted to examine the service quality dimensions and their effect on

customer satisfaction merely the case of two main branches of Enat Bank S.C and Debub

Global Bank S.C.

However, the present study has a number of limitations which can be overwhelmed by the

future studies. Firstly, the nature of sampling unit under study cannot be generalized to a

larger population and future researches should have to draw sample of respondents on

more number of branches for the sake of generalizing the results of the study.

Secondly, the use of single-item measurement for overall customer satisfaction level also

need to be substituted with other measurements of Walfried et al., (2000) (i.e. customer

satisfaction was measured by a nine item).Thirdly, future study should use more banks

which are more fruitful to conduct the study that creates a comprehensive picture about

nationwide banking practices from customer perspective.

Furthermore, its better if the proposed model can also be extended to other service

industries especially for the public owned institutions like telecommunication, EEC, Addis

Ababa Transport Bureau and Addis Ababa Housing development Agency so that to identify

the gap between the customer’s expectation and perception prior to the advancement of

dissatisfaction.
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 APPENDIX A: RELIABILITY TEST

Reliability Statistics of
Expected Tangibility
Reliability Statistics of
Cronbach's N of Items
Expected Assurance
Alpha
Cronbach's N of Items
.853 4
Alpha

.925 5
Reliability Statistics of
Expected Reliability

Cronbach's N of Items Reliability Statistics of

Alpha Expected Responsiveness

869 5 Cronbach's N of Items

Alpha
Reliability Statistics of .795 4
Expected Empathy

Cronbach's N of Items Reliability Statistics of

Alpha Perceived Reliability
.763 4 Cronbach's N of Items
Alpha
Reliability Statistics of
.910 5
Perceived Tangibility

Cronbach's N of Items Reliability Statistics of

Alpha Perceived Empathy
.909 4 Cronbach's N of Items
Alpha

.885 5
Reliability Statistics of
Perceived Assurance

Cronbach's N of Items Reliability Statistics of

Alpha Perceived Responsiveness

.908 4 Cronbach's N of Items

Alpha

.922 4
 APPENDIX B: Regression Output

Model B Std. Error t Sig.

1 (Constant) .200 .058 3.461 0.000

Tangibility .044 .072 .611 0.000
Reliability .053 .062 .854 0.007
Assurance .237 .096 2.468 0.004
Empathy .013 .081 .160 0.000
Responsiveness .039 .076 .513 0.002
 APPENDIX C: QUESTIONNAIRE

ቅዴስተ ማሪያም ዩኒቨርስቲ

የዴህረ ምረቃት/ክፍሌ

መጠይቅ

በቅዴሚያ ይህን መጠይቅ ሇመሙሊት ጊዜዎን ስሇሰጡን እና ፍቃዯኛ ስሇሆኑ ከሌብ ሊመሰግን እወዲሇው። ይህ መጠይቅ ኢትዮጵያ ውስጥ
በሚገኙ ሁሇት የግሌ ባንኮች የሚሰጡት የዯንበኞች አገሌግልት በዯንበኞች እርካታ ሊይ ስሇሚኖረው ተፅዕኖ የሚያተኩር ሲሆን እርስዎ
ይህን መጠይቅ በመሙሊት አስፇሊጊውን ትብብር እንዱያዯርጉሌኝ ስሌ በአክብሮት እጠይቃሇሁ። እርስዎ በዚህ ጥናት በመሳተፍ
የሚሰጡት መረጃሇ ጥናቱ እጅግ አስፇሊጊ መሆኑን ሌገሌፅልት እፇሌጋሇሁ።

እርስዎ በዚህ ጥናት በመሳተፍዎ ማንኛውም ሚስጥር ሇላሊ አካሌ ተሊሌፎ የማይሰጥና ሇጥናቱ አሊማ ብቻ እንዯሚውሌ ሊረጋግጥልት
እወዲሇው።

ከሠሊምታ ጋር።

ማስታወሻ: መጠይቁን ሲሞለ ስሞትን መፃፍ አያስፇሌግም።

I. የግሌመረጃ
መመሪያ፡እባክዎንከተሰጡትአማራጮችየተስማሙበትንያክብቡ።
1. ፆታሀ/ ወንዴሇ/ ሴት
2. ዕዴሜሀ/ 18-30 ሇ/ 31-40
ሐ/ 41-60 መ/ ከ60 ዓመትበሊይ
3. የትምህትዯረጃሀ/ ሁሇተኛዯረጃሇ/ ዱፕልማ
ሐ/ የመጀመሪያዴግሪመ/ ሁሇተኛዴግሪእናከዛበሊይ
ሠ/ ላሊ
4. በምንያህሌጊዜውስጥየባንኩአገሌግልትተጠቃሚኖት
ሀ/ በየቀኑሇ/ በየሳምንቱ
 ሐ/ በወርአንዳመ/ ላሊ
II. ዯንበኞችእዱቀርብሊቸውየሚጠብቁትአገሌግልትመጠይቅ

መመሪያ፡እባክዎንከተሰጡትአማራጮችየተስማሙበትሊይ ( ) ምሌክትያዴርጉ።የሚስማሙበትንየሚሇኩበትየሚከተለትናቸው። (5;

በጣምእስማማሇው, 4; እስማማሇው, 3; እርግጠኛአይዯሇሁም, 2; አሌስማማም 1; በጣምአሌስማማም)

ቁጥር መሇኪያዎች የአመሇካከትዯረጃ

5 4 3 2 1
1 ባንኩዘመናዊመሳሪያዎችሉኖሩትይገባሌ።

2 ባንኩንፁህናማራኪሉሆንይገባሌ።
3 የባንኩሰራተኞችንፁህናማራኪሌብስሉሇብሱይገባሌ።
4 ባንኩየሚሰጣቸውንአገሌግልቶችየሚገሌፁበራርፅሁፎችበበቂሁኔታመዘጋጀትአሇበት።
5 ባንኩበሚሰጠውቀጠሮመሰረትአገሌግልቱንሉሠጥይገባሌ።
6 ባንኩዯንበኞቹሇሚያቀርቡትቅሬታተገቢውንምሊሽሉሰጥይገባሌ።
7 ባንኩሇዯንበኞቹየሚሰጠውአገሌግልትዯንበኞቹንበማያጉሊሊወይምበማያሰሇችመሌኩመሆንአሇበት።
8 ባንኩቃሌበገባውመሠረትአገሌግልትመስጠትአሇበት።
9 ባንኩከስህተትበፀዲመሌኩመረጃዎችሉያስቀምጥይገባሌ።
10 የባንኩሰራተኞችባህሪአመኔታንሉያሳዴርብኝይገባሌ።
11 ባንኩበሚሰጠውአጠቃሊይየዯንበኞችአገሌግልትየዯህንነትስሜትሉሰማኝይገባሌ።
12 የባንኩሰራተኞችዯንበኞችንየሚያገሇግለትከታሊቅአክብሮትጋርሉሆንይገባሌ።
13 የባንኩሰራተኞችየሚኖረኝንጥያቄሇመመሇስበቂእውቀትሉኖራቸውይገባሌ።
14 ባንኩሇዯንበኞችየግሌፍሊጎትትኩረትሉሠጥይገባሌ።
15 ባንኩሇዯንበኞችየግሌፍሊጎትትኩረትየሚሰጡሰራተኞችሉኖረውይገባሌ።
16 ባንኩየዯንበኞችንየግሌፍሊጎትሉረዲይገባሌ።
17 የባንኩሰራተኞችየዯንበኞችንፍሊጎትሉረደይገባሌ።
18 ባንኩሇዯንበኞችምቹየሆነየስራሠዏትሉኖረውይገባሌ።
19 የባንኩሰራተኞችየባንኩንየአገሌግልትሠዏትሉነግሩኝይገባሌ።
20 የባንኩሰራተኞችፇጣንአገሌግልትሉሰጡኝይገባሌ።
21 የባንኩሰራተኞችምንጊዜምዯንበኞችንሇማገሌገሌፍቃዯኛመሆንአሇባቸው።
22 የባንኩሰራተኞችዯንበኞችሇሚያቀርቡትጥያቄተገቢውንምሊሽሉሰጡይገባሌ።

III. ሇዯንበኞችበተግባርእየቀርብሊቸውስሊሇውአገሌግልትመጠይቅ

መመሪያ፡እባክዎንከተሰጡትአማራጮችየተስማሙበትሊይ ( ) ምሌክትያዴርጉ።የሚስማሙበትንየሚሇኩበትየሚከተለትናቸው።(5;
በጣምእስማማሇው, 4; እስማማሇው, 3; እርግጠኛአይዯሇሁም, 2; አሌስማማም 1; በጣምአሌስማማም)

ቁጥ መሇክያወች የአመሇካከትዯረጃ
ር 5 4 3 2 1
1 ባንኩዘመናዊመሳሪያዎችአለት።
2 ባንኩንፁህናማራኪነው።
3 የባንኩሰራተኞችንፁህናማራኪሌብስይሇብሳለ።
4 ባንኩየሚሰጣቸውንአገሌግልቶችየሚገሌፁበራርፅሁፎችበበቂሁኔታአለት።
5 ባንኩበሚሰጠውቀጠሮመሰረትአገሌግልቱንይሰጣሌ።
6 ባንኩዯንበኞቹሇሚያቀርቡትቅሬታተገቢውንምሊሽይሰጣሌ።
7 ባንኩሇዯንበኞቹየሚሰጠውአገሌግልትዯንበኞቹንበማያጉሊሊወይምበማያሰሇችመሌኩነው።
8 ባንኩቃሌበገባውመሠረትአገሌግልትይሰጣሌ።
9 ባንኩከስህተትበፀዲመሌኩመረጃዎችያስቀምጣሌ።
10 የባንኩሰራተኞችባህሪአመኔታንያሳዴርብኛሌ።
11 ባንኩበሚሰጠውአጠቃሊይየዯንበኞችሒሳብእንቅስቃሴየዯህንነትስሜትይሰማኛሌ።
12 የባንኩሰራተኞችዯንበኞችንየሚያገሇግለትከታሊቅአክብሮትጋርነው።
13 የባንኩሰራተኞችየሚኖረኝንጥያቄሇመመሇስበቂእውቀትአሊቸው።
14 ባንኩሇዯንበኞችየግሌፍሊጎትትኩረትይሠጣሌ።
15 ባንኩሇዯንበኞችየግሌፍሊጎትትኩረትየሚሰጡሰራተኞችአለት።
16 ባንኩየዯንበኞችንየግሌፍሊጎትይረዲሌ።
17 የባንኩሰራተኞችየዯንበኞችንፍሊጎትይረዲለ።
18 ባንኩሇዯንበኞችምቹየሆነየስራሠዓትአሇው።
19 የባንኩሰራተኞችየባንኩንየአገሌግልትሠ፬ትይገሌፃለ።
20 የባንኩሰራተኞችፇጣንአገሌግልትይሠጣለ።
21 የባንኩሰራተኞችምንጊዜምዯንበኞችንሇማገሌገሌፍቃዯኛናቸው።
22 የባንኩሰራተኞችዯንበኞችሇሚያቀርቡትጥያቄተገቢውንምሊሽይሠጣለ።
No. አጠቃሊይየእርካታዯረጃ 5 4 3 2 1
1 ባንኩበሚሰጠውአጠቃሊይየዯንበኞችአገሌግልትምንያህሌእረክተዋሌ?