DEFINITION & Introduction of 'Customer Service'

The process of ensuring customer satisfaction with a product or service is called

Customer Services. Often, customer service takes place while performing a transaction
for the customer, such as making a sale or returning an item. Customer service can
take the form of an in-person interaction, a phone call, self-service systems, or by
other means.

Customer service isn't just about the way you greet and serve your customers. It
involves many aspects of business operations, including:

 products and services information

 counter and face-to-face service
 telephone service
 taking customer orders
 follow-up documentation
 billing and managing payments
 visiting the customer
 making repairs
 handling complaints
 managing the service culture.

BREAKING DOWN 'Customer Service'

Customer service is an extremely important part of maintaining ongoing client

relationships that are key to continuing revenue. For this reason, many companies
have worked hard to increase their customer satisfaction levels. Often there are many
more people working behind the scenes at a company than there are customer service
representatives, yet it is primarily the personnel that interact directly with customers
that form customers' perceptions of the company as a whole.

All interactions between a customer and a product provider at the time of sale, and
thereafter. Customer service adds value to a product and builds enduring relationship.

 It is ardently stressed that customer service is the most important product since
each employee should be aware that each customer wants to be treated with courtesy
and respect.
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 One of the biggest complaints in the modern world for the modern consumer is the
inability to receive satisfactory customer service.

The banking system in Bangladesh is still the most important conduit for delivery of
financial services. And that’s why the matter of customer services is the prime factor in
banking industry. With the rapid expansion of banking network within the country, the
demands & expectations for service of the customers are increasing rapidly and
therefore the quality and content of dispensation of customer services has come under
tremendous pressure.

The vast net-work of branches spread over the entire territory with millions of
customers and a complex variety of products and services offered, add to the enormity
and complexity of banking operations in Bangladesh giving rise to complaints for
deficiencies in services.

In this context, FICSD, Bangladesh Bank vide their FICSD circular no. 01/2014 dated- July
13, 2014 has issued a policy/guidelines for customer services & complaint Management
of the Bank to be implemented without any delay. As per the guidelines/policy of
Bangladesh Bank a policy has been formulated (attached) and approved by the Board
(Decision no. 2015/4020) at its 269 th meeting, which is to be implemented with
immediate effect.

Therefore, all the Zones/Branches & concerned Wings/Divisions are to follow the
policy/guidelines with immediate effect.

Bangladesh Bank, as the regulator of the banking sector, has therefore been actively
involved in the review, examination and evaluation of customer service in Banks. It
constantly brings into sharp focus the inadequacy in banking services available to the
common people and endeavors to improve the quality and standard of customer
services of Banks through instructions/guidelines.

With a view to strengthening the corporate governance structure of the bank and also
to bring about improvement in the quality of customer services of the Banks, customer
service should be projected as a priority objective of a bank along with its
profitability, growth and social responsibility and therefore the Managing Authority of
each bank should have direct involvement with customer service quality. With this end

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in view bank has formed a separate framework for customer services and complaint
management.

Why Is Customer Service Important to an Organization?

Customer service is important to an organization for a number of reasons.

 The customer service officials or the agents of the company deal directly with
the public.
 It would be difficult for a company to survive without customer service, as there
would be no one available to handle payments or answer questions from
prospective customers.

Customer is an asset
 We should bear in mind that a customer is the most important visitor on our
premises.
 A customer is not dependent on us. We are dependent on him. A client is not an
interruption in our work; rather he is the purpose of it.
 We should remember that we are not doing him a favor by serving him. He is
doing us a favor by giving us an opportunity to do so.
 Customer is not an outsider in our business; but he is the part of it.

Significance

 Customer service is important to an organization because it is often the only

contact a customer has with a company.
 Customers are vital to an organization. Customer is the heart of an organization.
We should bear in mind that customers are not dependent on us rather we are
dependent on them.
 Customer Service is the only way to gain revenue. Some customers spend
hundreds and even thousands of dollars per year with a company. Consequently,

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 when they have a question or product issue, they expect a company's customer
service department to resolve their issues.

Identification

 Customer service is sometimes the only way a business can differentiate itself
from its competitors. Customer services can help differentiate a company from
its competitors. It may be difficult to tell the difference between two small-
town drug stores, especially if their prices are similar. Therefore, putting extra
efforts into customer service may be thing that gives one drug store a
competitive advantage.

Function

 A company with excellent customer service is more likely to get repeat business
from customers. Consequently, the company will benefit with greater sales and
profits. Contrarily, companies with poor customer service may lose customers,
which will have a negative impact on business.
 It costs a lot more money for a company to acquire a customer than to retain
them, due to advertising costs and the expense of sales calls. Therefore, the
efforts that go into maintaining quality customer service can really pay
dividends over time.

Publicity

 People that have a positive experience with a company's customer service

department will likely tell two or three others about their experience.
Therefore, quality customer service can be a source of promotion for
organizations. Contrarily, a person who has a bad customer service experience
will likely tell between nine and 20 people.

Prevention/Solution

 Customer service is important to an organization because of potential

complaints. Consumers can file a complaint with the higher authority, if they
are dissatisfied with a company's customer service. As long as a customer owns
a product, they expect to be able to service it.

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Customer services can help you:

 increase customer loyalty

 increase the amount of money each customer spends with your business
 increase how often a customer buys from you
 generate positive word-of-mouth and reputation
 decrease barriers to buying (for example, if your business has an excellent
reputation of customer service for refunds, you're more likely to entice a
hesitant buyer to purchase from you).

Excellent customer service is about:

 treating your customers respectfully

 following up on feedback/reaction
 handling complaints and returns gracefully
 understanding your customers' needs and wants
 exceeding customer expectations
 going out of your way to help them.

Benefits of high-quality customer service include:

 improved customer satisfaction

 stronger customer loyalty
 consistency of work-flow practices
 reduced marketing costs
 competitive advantage
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  improved market position
 staff pride and satisfaction.

CODE OF CONDUCT:

 Generally Code of conduct is a set of rules for employees’ personal behavioral

pattern, official decorum and dress code, environmental and disciplinary
arrangement for staff, stakeholders and stock holders in the banking premises
set forth by Bank Company.
 The purpose of the code of conduct is to create a sense of oneness among a
group of employees, customers and guests in spite of individual differences.
 The aim of the code of conduct is also to develop a common perspective towards
a mission & vision of the company.
 A Code of Conduct acts as an internal watchdog and memorandum of the basic
requirements of appropriate professionalism within the organizational culture.
 Exercising code of conduct helps to make customers happy and improve long
term banker-customer relationship.

The basic code of conduct for the employees will be applied in five essential areas
(5Ps) as listed below:

a. People - The team who serve the customers.

b. Premises - The location from which bankers serve and communicate with customers
and colleagues.
c. Papers - The documents which are used to provide and receive information.
d. Processes -The operation processes that enable bankers to delight customers.
e. Practices - The way in which bankers interact with customers.

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A. The code of conduct covers the following topics:
1. Behavioral pattern- Behavioral pattern includes the standard in speaking, listening,
greetings that will exhibit loyalty, modesty, impartiality and proactive attitude in
providing service and that will not show obscene or abusive language, materials or
messages in any way.
2. Disciplinary arrangement-
1. Customer service point should be kept neat, clean, comfortable and disciplined.
2. There should be sitting arrangement, waiting lounge, drinking water, line or array
at customer service point and counter for customers etc.
B. Some standard Behavioral pattern and indicators at customer service point are
given below as example:
Employees should expose standard behavior while delivering their service to customers
over the telephone, cell phone or face-to-face. Some examples are given below:
1. Use basic courtesies such as always try to say “Please” and “Thank you” while
conversing with the customers.
2. Address customers properly such as Mr. or Ms. and surname of customer may be
acceptable. Never use casual terms of endearment such as “honey”, “yeah”, “huh”, or
“dear.”
3. Treat others as you would like to be treated in the same situation.
4. Never show emotional impression or expression.
5. Be positive, pleasant, courteous and cheerful with a good impression.
6. Never interrupt interactions with a customer to take a break, lunch or any lame
excuse etc.
7. Avoid any rubbish or junk word to the customers.
8. Never disparage or criticize another employee or customers.
9. Do not react negatively when someone approaches any help.
10. Do not take anything personally.
11. Avoid technical terminology with all customers.
12. Assume everything (remark, comment or any approach) positively and take the
best theme or idea, even if the customer actually meant the comment in a negative
manner, he or she will see that you sincerely want to help them and then their attitude
will change.
13. Present a professional approach and appearance by practicing good personal
hygiene and dressing appropriately in the work place.
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14. Be a bank employee, not just a department employee as the customers see us as
“the bankers” - they do not see individual departments or divisions.

21 Ways to Deliver Great Customer Service

(Mostly Related to Code of Conduct)
You don’t need a million dollar marketing budget or even a large staff to deliver great
customer service.

Whether yours is an organization of 1000 employees or just one, you can deliver the
kind of "knock your socks off" service that will boost customer loyalty and grow your
business.

Here are 21 easy ways you can deliver great customer service:

1. Smile
Did you know that smiling takes fewer muscles than frowning? It is a universal
sign of friendliness and transmits your desire to begin new relationships that can
last a lifetime.
2. Learn and use the names of your customers
Take pride in knowing and correctly pronouncing your customers' names. It's a
sign of respect and shows that you know your customers and value them as
individuals.
3. Use magic words and phrases
In addition to hearing their names, customers love to hear words and phrases
like, "Yes, we'd be glad to", "Consider it done", "We're sorry", and "Let us fix it for
you".
4. Say thank you
This is perhaps the second most important phrase after "We're sorry". Thank
customers for their patronage and referrals, and for taking the time and having
the courage to complain. This is doing you a favour - now you know what to fix
and why other customers may have left.
5. Look professional
Show respect for your customers by dressing the part. While attire varies by job
and industry, looking professional will help you act more professional and be
seen as such by others
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6. Ask questions
The skilled professional - whether in sales or service, management or on the front
line - asks questions to better understand customer needs, desires and fears.
7. Listen actively
Listen with your ears, eyes, mind and heart. Use body language to convey
comprehension, agreement or consternation. Give great eye contact and avoid
distractions, and let your customers know they've been heard.
8. Master phone etiquette
Learn to answer your phone with confidence, poise, sincerity and a caring
attitude. Ask customers for permission before putting them on hold, and thank
them for their patience.
9. Keep in touch
Building lasting relationships with customers means staying in touch throughout
the year. Vary the mechanisms: phone calls, hand-written notes, e-mails,
newsletters, etc.
10. Create a system
For tracking and remembering key customer details to help you serve them
better. Don't tax your memory - write it down.
11. Cross-train your employees
The better your employees understand other roles and functions in your
organization, the stronger your organization becomes. Teamwork and efficiency
will improve and the negative impact of unexpected sick leave and vacations will
be minimized.
12. Be a customer for a day
A great way to think like your customers is to become a customer of your own
products or services. When you live their experience, you can review your own
policies, procedures and protocols and improve them for your customers'
convenience and benefit.
13. Give something away
Often you can generate new customers through freebies, so identify something of
value you can give to prospects.
14. Demonstrate a touch of class
Seize the etiquette edge through the classy way you value and treat your
customers. When you treat customers like royalty, they will respond with loyalty.
Find elegant ways to show your appreciation for your customers.

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15. Empower your employees to make it right
Teach employees to use common sense in correcting mistakes and fixing
problems customers bring to their attention, without involving you or their
manager. Solving problems quickly makes customers happy, and it ultimately
saves your company money.

16. Replace negative language with positive

Focus on the positive in resolving customer problems. Emphasize what you can
do instead of telling customers what you can't or won't do, or what is unavailable
to them.

17. Think about the lifetime value of each customer

A well cared for customer can be a customer for life, potentially buying
thousands (or even millions) of dollars worth of products and services from you.
Focus as much (if not more) on keeping existing customers as you do on
attracting new ones.

18. Value Kaizen, the Japanese concept of continuous improvement

Be attentive to improving all aspects of your business. This will help you stand
out from your competitors and prosper over the long term.

19. Ask your customers what else and what more you can do for them
It's that simple: Ask customers how you can serve them better. Many times your
customers will offer insights into ways you can improve, expand and grow with
them. But you have to ask, listen and act upon this information.

20. Honour the diversity of your customers

Learn about their culture, religion and values. Show respect and appreciation for
their needs, preferences and desires. Don't assume "one size fits all", because
there is great variance by nationality, religion and generations. Become a student
of all these variables and more.

21. Give customers "lagniappe"

A little something extra. Apply the Cajun concept of lagniappe to give customers
more than they expect.

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 CUSTOMER CHARTER:
 Customer Charter is, in fact, a general statement of commitments for providing
banking services and necessary information to customers.
 This may be in the form of written document, banner, poster, leaflets etc. that
exhibit the names of banking products and services available in the bank.
 It also contains road maps or indicators for the customers to get services in the
bank premises. For example, the indications of Information desk, Customer
Relationship Desk, Remittance Desk, Credit Desk etc may be displayed in the
charter for the customers for tracing the service points easily.
 The Charter will also include a list of customers’ rights & obligations to the
Bank.
 The main objective of the “Customer Charter” is to make the customers
conscious about their general rights, obligations, grievance approach process
and thereby help customers taking their own decision.
 Copies of the Customer Charter should be available on request to all customers
at all branches, Customer-Service-Points and at bank's web site.

01 CUSTOMERS’ RIGHTS/BANKERS' OBLIGATIONS:

We will allow our customers to obtain the following rights at least, i e, Branches shall
carry out the following obligations to their customers:
A) Disclosure of Tenure, Current Profit Rates, Charges, -
Prior to signing the contract with the consumers for both profit-bearing deposits and
investments, Branches shall-
1) inform the customers of the term of the fixed deposit or Investment;
2) inform the customers of the charges, if any, and consequences of premature
termination of a fixed deposit or loan;
3) inform the customers that the profit rate is fixed/variable & the provisional profit
rates for deposit products are adjustable after the year.
4) inform the basis and frequency on which profit payments or deductions are to be
made;
5) explain the method used to calculate profit of each product;
6) disclose prominently the total probable amount of income that the customers shall
receive on the fixed deposits/schemes; and
7) disclose the total cost of credit with break up, if any.

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B) Disclosure of latest Schedule of Charges, Fee, Commission etc.
As financial service provider Branches will, for all charges and fees to be levied at the
time of service rendered or on request,
1) Provide the customers with a schedule of charges, fees, commissions payable for the
products or services that the customers have chosen;
2) Display prominently our standard fees and charges at all branches,
3) Inform the customers of any additional charges or expenses that the customers
have to pay, such as searching fees to retrieve available past records etc.

C) Notice of Changes to Terms and Conditions:

The terms and conditions provided by bank shall highlight to a consumer the fees,
charges, penalties, relevant profit rates and any other consumer liabilities or obligations
in the use of the financial products or services. We will ensure that a consumer is
notified-
1) At least thirty days in advance before implementing any changes to the terms and
conditions, fees or charges, discontinuation of services or relocation of premises of the
financial services provider.
2) Immediately of any changes in profit rates regarding the product or service.
D) Value Added Services:
Branches must take written consent from their customers for any value added
services, such as, internet banking, SMS banking, ATM services etc. and inform the
customers of the terms and conditions along with the charges, levied for that.
E) Guarantor:
Prior to a person acting as a guarantor, branch shall in writing:
1) Advise the person of the quantum and nature of his or her potential liabilities; and
2) Advise the person to seek independent legal advice before acting as a personal
guarantor.
F) Disclosure of other facts, such as-
1. Buying and selling rates of foreign currencies
2. financial statement, financial performance indicators etc.
3. Banking hours and holiday notices
4. Operating cycle or road map of services (indicators showing desk Number, floor
number, room number etc.).

02 CUSTOMERS’ OBLIGATIONS/BANKERS’ RIGHTS:

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a) Customers shall follow the banking norms, practices, functional rules etc.
b) Customers shall abide by the terms and conditions prescribed for each banking
product and services.
c) Customers shall maintain disciplinary arrangement at the customer service points.
d) Customers shall convey their grievance to the bank in proper way or in prescribed
form.
e) Customers shall convey the bank any changes in their address, contact numbers, KYC
& TP.
f) Customer shall not try to show unreasonable persistence, demand, argument &
behavior.
g) Customers generally shall ask any query at prescribed desk such as Customers’
Service Desk, Help Desk, Information Desk or Enquiry Desk at first instance.
h) Customer should avoid misunderstanding as far as possible.

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