Customer centric practices: implications for banks in India

Researchers and practioners have proclaimed the adoption of customer oriented philosophy in banks as the key to maintaining a sustainable competitive advantage. By considering the views of 232 bank employees, the results indicate that using factor analysis, four factors responsible for customer orientation in Indian banks are customer value creation, better customer understanding, frontline customer relationship and solution through empowerment. The two independent sample t-test indicated the differences on variables such as comprehensive need analysis, frontline customer understanding, tailor products, growth and employee productivity between higher and lower levels of employees. Using regression analysis, we find that comprehensive need analysis and incentives of profitability as the predictor for growth; frontline customer understanding and suggestions for new products for profitability and suggestions for new products and tailor products for employee productivity.