Tqm in Banking

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Introduction
Quality of services is the most important aspect in banking too. Business success can be reinforced if you conscientiously search for newer and more effective ways of improving the quality of your ways of serving your customer. Your organisation becomes more useful to the society as a whole thus. As far as banking is concerned, effective TQM measures bring in a transition form the good old good to the novel better or best from the bank’s internal department to its front-line employees. Marketing a bank is not just the same as marketing an FMCG company.  TQM, if effectively formulated and practised, provides extreme ease and clear direction to a bank marketeer in understanding what makes his bank the first choice to its customers before other banks.

What is effective TQM as far as a bank is concerned. Is it the physical amenities provided at each of the branches, is it a pleasing smile and a warm hand-shake at the front door, is it convenient hassle-free paperwork, or well thought about, well planned, target oriented, tailor-made  product mix, ICT enhanced sophisticated operational eases, or a properly balanced mix of all these. Will a centralised TQM plan is enough or freedom at the levels of individual branches needed, or a regional/zonal segmentation is enough? What could be the optimal level of decentralisation of decisions to achieve the maximum quality of services and at the same time achieve maximum profitability?

These are the various issues discussed and probed into in this study. An attempt to conceptualise and suggest some innovative TQM designs also is made here.  It’s envisaged that the findings of this study will be of some real use to the banking industry as a whole, the population pf students who are interested in pursuing higher studies in banking, and thus to the society in toto. Objectives of the Study

The researcher intends to examine the present state of the total quality management in banks, analyse the present situation, make comments on the observed facts and suggest some innovative strategies.

Research Modality

The mode of collecting relevant information has been direct interviews of some bank officials, telephonic interviews of some bankmen, resource persons in the subject of banking and finance, direct beneficiaries and prospective beneficiaries of these financial services etc.  Convenience sampling is the sampling modality chosen.

As a case study the Total Quality Management measures adopted by CenterBank, Ohio, USA is discussed in detail, and some innovative Quality Assurance measures are suggested. Published secondary data from books, journals and Internet also has been utilised.  The findings or the suggestions put forth in this study hopefully will be of some real use to the industry or the students who intend to do a study in these lines.

Quality of Services
As mentioned before a strongly founded quality assurance efforts can, perhaps only can, reinforce the success in a bank from its back office to the front office and in all its dealings. Service quality empowerment begins by giving the necessary training to the managers to train their employees in a proper way. They must then be provided with the resources required, to develop and train the employees on a continual basis. The training must be powerful enough to change the basic concepts of the employees especially those who come into direct contact with the customers. The training must enable them to derive satisfaction out of their everyday official chore, what you call job satisfaction. They must be taught the psychological aspects of rendering a good service, thus making themselves happy and through that making the customers also happy. In the end of each day the employees too will be freed from a lot of job related frustrations. A properly formulated training programme will ensure the employees their all round personality development, so that they will be able to win the esteem of the customers. From...
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