CHAPTER - 6

PERCEPTIONS OF THE CUSTOMERS REGARDING THE

TECHNOLOGICAL OPERATIONS OF BANKS SERVICE
QUALITY IN “PUBLIC AND PRIVATE SECTOR BANKS”

6.1 INTRODUCTION

6.2 RELIABILITY TEST FOR CUSTOMERS

6.3 QUESTIONNAIRE ANALYSIS FOR CUSTOMERS

6.3.1 SECTION A QUESTIONNAIRE ANALYSIS FOR CUSTOMERS

6.3.2: FREQUENCY DISTRIBUTION FOR CUSTOMERS

6.4 ANALYSIS OF PART B: (LEVEL OF USAGE AND AWARENESS

RELATED TO TECHNOLOGY IN BANKING)

6.5 ANALYSIS OF PART C: (LEVEL OF SATISFACTION AND

PROBLEMS OF TECHNOLOGY USAGE)
6.5.1 ANALYSIS OF LEVEL OF SATISFACTION OF “PUBLIC AND
PRIVATE SECTOR BANKS” CUSTOMERS

6.5.2 ANALYSIS OF PROBLEMS OF TECHNOLOGY USAGE BY

CUSTOMERS OF “PUBLIC AND PRIVATE SECTOR BANKS”

6.6 ANALYSIS OF PART D: (SATISFACTION LEVELS REGARDING

THE VARIOUS SERVICES QUALITY DIMENSIONS)

6.7 CONCLUSION

1
6.1 INTRODUCTION

AI is described as the human intelligence inculcated in robots and taught to think and behave
like human beings (Frankenfield 2020). (Frankenfield 2020). AI is frequently described to as
an interdisciplinary discipline that works with constructing clever machines that performs tasks
much like humans. Machine learning and deep learning advancements are facilitating a
paradigm shift in virtually every sector of the technology industry (In 2016). Advances in
computing power are fueling the next wave of innovation, which is Artificial Intelligence. It
can store vast amounts of data on the cloud at a minimum cost. It is recognised as a most
disruptive and powerful movement in technology in contrast to the preceding years.

There are various words used to depict AI: machine learning, deep learning, natural language
processing, predictive analytics, etc. All these concepts indicate a foundation on which our
future will be founded and system will be smart enough to determine our interactions and data
to anticipate one‘s need, to help comprehend what is necessary, to remind neglected duties.
A.I. allows us to seamlessly combine our private, public, and professional lives into a unified
whole that follows us everywhere we go. Our phones are one of the examples which helps us
to feel this to most of the extent. All software and hardware in the future will have AI built in.

Machines may now do conventional jobs in concert with one another, surpassing human
capabilities in areas such as data organisation, collection, and dissemination in response to
specific user needs. As a result, this breakthrough has resulted in evolution of Artificial
Intelligence (AI) (AI). Over the past decade, there has been a dramatic expansion in both the
quantity and depth of consumer data held by businesses and the variety of channels via which
customers interact with those firms. The promise of artificial intelligence technology lies in its
potential to boost economic benefits and improve interactions between businesses and their
clients.

It's widely believed that AI is one of the technologies with the potential to radically alter entire
markets. Not even banking is an exception. The entire financial system has been revolutionised
by AI. Quicker transactions, more secure funds transfers, and more streamlined back-office
operations are all possible thanks to advances in artificial intelligence within the banking
industry. In the banking and financial sector, AI has emerged as a major game-changer. By

2
incorporating AI into banking apps and services, the industry has become more customer-
focused and cutting-edge.

Through increased efficiency and the ability to make judgments based on data
incomprehensible to a human agent, AI-based systems can help banks cut expenses. In
addition, sophisticated algorithms can detect false data in a flash. According to Business
Insider's survey, approximately 80% of financial institutions recognise the opportunities AI can
bring to their industry. Some $447 billion in cost savings for financial institutions adopting AI
applications is predicted by another report for the year 2023. It's clear from these figures that
the banking and financial industry is rapidly using AI in order to boost performance metrics
like productivity, customer satisfaction, and operational costs.

In previous chapters, we highlighted how AI is the future of banking because it can use
advanced data analytics to prevent fraudulent transactions and increase regulatory compliance.
Anti-money-laundering tasks that used to take hours or days can now be completed in seconds
by using an AI system. Also, with the help of AI, financial institutions can process massive
amounts of data extremely quickly, opening up countless opportunities for discovery and
insight. Artificial intelligence (AI) bots, digital payment advisors, and biometric fraud
detection methods all contribute to better service for more people. There will be more money
coming in, less expenses, and more money coming out.

Accordingly, the Indian banking industry is in the midst of a period of tremendous

transformation as a result of the effects of the liberalised business environment on the banking
business (including increased competition, higher client expectations, narrower spreads, and
more disintermediation). There are several distinct categories of financial institutions,
including government-run, privately-owned, and mutual ones. These banks serve the
requirements of many different demographics in India. Some of the public sector banks are
primarily available in urban regions, while others serve and focus on rural communities. By
allowing private banks to operate, India was able to implement a number of progressive
financial reforms and bring its banking system into the contemporary era. Private sector banks
such as ICICI, HDFC, and Axis bank are easily recognisable brands. City and developing-area
towns are typically the domain of private sector banks. The banking industry has advanced to
become quicker, more accurate, and easier thanks to private banks and advanced technologies.
The Indian banking system is dominated by public sector banks, but their market share has
been steadily decreasing in recent years. It wasn't until the market competition and new glares
3
began eating into their share that their inefficiencies became apparent. To maintain market
share in the face of competition from private banks, public sector banks have shifted their
attention to the role that technology will play in banking. To this end, attention must be paid to
the impact of technology on banking operations at both public and private financial institutions.
Research on the effects of technology on the workings of India's public and private banking
sectors has been sparse, according to a survey of the relevant literature. The majority of the
studies analysed human resource development, retail banking, internal marketing in banking,
customer happiness, organisational efficiency, the quality of work life, and the performance
review and assessment process in both public and private sector financial institutions. No one
has yet attempted a systematic comparison of the technological procedures of post-
liberalization “public sector banks and private sector banks”.

Therefore This chapter performs an analysis over the data collected through customer
questionnaire for performing “A COMPARITAVE STUDY ON EFFECT OF ARTIFICIAL
INTELLIGENCE IN OPERATIONS OF “PUBLIC AND PRIVATE SECTOR BANKS” IN
RAJASTHAN” from customers point of view. Analysis is done using different statistical tools
and techniques as follows;

6.2 RELIABILITY TEST FOR CUSTOMERS

The above table provides a summary of the cases that are processed. It is clear that the total
number of cases examined and deemed to be valid is 500. Also, total numbers of cases taken
for the study are 500 and since out of these 500, none of the missing/excluded cases are
identified.

4
It is apparent that Internal consistency is demonstrated by the Cronbach's alpha. Cronbach's
alpha has a minimum value of 0.6 and a maximum value of 0.9. This study has a cronbach's
alpha of 0.757, which is reasonable and represents good reliability of the collected data.

6.3 QUESTIONNAIRE ANALYSIS FOR CUSTOMERS

Various statistical approaches and measurements are used to evaluate the questionnaire framed
for customers of banks.

6.3.1 SECTION A QUESTIONNAIRE ANALYSIS FOR CUSTOMERS

Table 6.3: Respondents Descriptive Encoding

5
Above data shows the descriptive encoding for all respondents Personal Profile.

6
“Table 6.4: Demographic Profile of Customers”

Descriptive statistics for the personal profile of respondents are given above. “Mean value for
education is recorded as 4.08 which is the highest amongst all variables. Lowest mean value is
for demographic variable Gender”.

6.3.2: FREQUENCY DISTRIBUTION FOR CUSTOMERS

7
Above Table and Graph shows the figures tabulated for the gender of the participants. The
collected data represents that 59% of respondents are males and 41% are female. This implies
that banks are dealing with increased number of female customers as compared with the past
years. The results will be comprised of perception of both male and female customers on AI
and its usage in banking.

Graph 6.2: Frequency graph of Age of Customers

8
Above table and graph shows the data tabulated about age of the participants. The results from
above table show that among the total respondents selected for the study purpose 21.4% are
from 18-25 years age group, 28% belongs to 26-30 years age group, 12% are from 31-40 group,
18% from 41-50 years, 15% from 51-60 years and remaining 5.2% are from 60 and above age
group.

Graph 6.3: Frequency graph of Education of Customers

9
Table and graph given above shows the details of education of respondents. From the results
of the analysis here it can be seen that most of the respondents are graduates (39%) followed
by postgraduates with count (37%). These results are will impact the overall research results
positively as only highly qualified respondents will be able to understand the concept of
artificial intelligence. Customers who are less qualified doesn’t have the sufficient technical
and internet knowledge and awareness about AI in banking.

Graph 6.4: Frequency graph of Marital Status of Customers

10
 3%
23%

Married
Un married
74%
Widowed

Data given above display the results of marital status of respondents. From the results here it
can be stated that respondents 74% of respondents are married, 23% are unmarried and only
3% are widowed. Thus, most of the respondents are married customers.

Graph 6.5: Frequency graph of Profession of Customers

11
 500

140
96 90 100.0
82
19.2 28.0 45 9.0 18.0 16.4 46 9.2 1 .2

GOVT PRIVATE BUSINESS SELF- STUDENT HOUSE WIFE OTHERS TOTAL

EMPLOYEE EMPLOYEE EMPLOYEE (PLEASE
SPECIFY)

Frequency Percent

The information about respondents' occupations is displayed above. The statistics show that
19% of respondents are government employees. 28 percent of workers are employed by private
companies, 9 percent own their own businesses, 18 percent work for themselves, 16 percent
are students, and 9 percent are housewives. Therefore, the majority of responders are both
government and private sector workers.

12
Graph 6.6: Frequency graph of Monthly Income of Customers

500

117
100.0
86 79
68 13.6 23.4 53 10.6 17.2 15.8 20 4.0 29 5.8 28 5.6 20 4.0

Frequency Percent

13
The monthly income data shown above clearly shows that 14% are from less than 10K monthly
income group, 23% are from 10-15K monthly income group, 11% are from 15-20K income
group, 17% are from 20-25K group, 16% from 25-30K, 4% from 30-35K, 6% from 35-40K,
6% from 40-45K and only 4% are from greater than 50K monthly income group. Thus, most
of the respondents are found falling under 10-15K monthly income group.

Table 6.11: Frequency table of Experience with bank related to e- Banking services

Graph 6.7: Frequency graph of Experience with bank related to e- Banking services

14
Data given above display the experience of respondents with banks related wit e-banking
services. Results here show that most of the respondents 41% have 1-5 years of experience
with these services, 28% have less than 1 years of experience and 16% have 5-10 years of
experience related with these services. Thus, it can be stated that artificial intelligence and
related services are new to customers and they doesn’t have much experience with these
services.

Table 6.12: Frequency table of Type of account

Graph 6.8: Frequency graph of Type of account

15
Type of account details of respondents are shown above. Results show that most of the
respondents 58% have savings account with the banks followed by 35% of respondents having
current account. Only 7% of respondents are associated with banks for their loan accounts.

Table 6.13: Frequency table of Customer Locality

Graph 6.9: Frequency graph of Customer Locality

16
The information above demonstrates the frequency of consumer location. It is clear from the
results that 53% of respondents are from urban localities and 47% are from rural localities. In
comparison to urban respondents, rural respondents had less familiarity with artificial
intelligence and related services.

6.4 ANALYSIS OF PART B: (LEVEL OF USAGE AND AWARENESS

RELATED TO TECHNOLOGY IN BANKING)
This part of the chapter anlayzes the level of usage and awareness related to technology in
banking as follows;

Table 6.14: Frequency table of type of bank has the most cutting-edge technology

17
Graph 6.10: Frequency graph of type of bank has the most cutting-edge technology

43%
57% Public sector bank
Private sector bank

When respondents are asked about Which type of bank has the most cutting-edge technology
in their opinion, the collected responses are tabulated above. From the results here it can be
seen that according to 57% of respondent’s public sector banks has the most cutting-edge
technology and as per 43% of them private sector banks have the most cutting-edge technology.
Therefore, as per the results it can be stated that both the type of banks is at par with each other
concerning the technology usage and adoption. However, the public sector banks are on the
higher side in terms of cutting-edge technology adoption when compared with the private
sector banks according to the respondents.

Table 6.15: Frequency table of bank feature is most important

Graph 6.11: Frequency graph of bank feature is most important

18
When respondents were asked about the most important bank feature, the results from the data
analysis shows that technology used is the most important bank feature, followed by type of
bank at 2nd position in terms of importance and location at 3rd position.

Table 6.16: Frequency table of Encourages to use the new banking techniques

Graph 6.12: Frequency graph of Encourages to use the new banking techniques

19
Further in the same section when respondents were asked about What encourages them to use
the new banking techniques, the data is shown above. From the results it can be seen that cost
effectiveness is the most important factor that encourages them to use new techniques followed
by reduced time of transactions holding second position in terms of importance and technology
savvy is at the 3rd position. Thus, cost effectiveness encourages them the most to use the new
banking techniques.

Table 6.17: Frequency table of well-versed with bank's computer usage

Graph 6.13: Frequency graph of well-versed with bank's computer usage

20
When respondents were asked about How well-versed are you in your bank's computer usage,
the results are shown above. From the results it can be seen that most of the respondents (49%)
have average knowledge about using computer in banking. However, 41% of respondents have
advanced computer knowledge. Thus, number of respondents having advanced computer
knowledge is significant in terms of AI adoption and suage in banking.

Table 6.18: Frequency table of Customer level of usage of technology

Graph 6.14: Frequency graph of Customer level of usage of technology

21
 600

500
500

400

300

200

100 118
108 109 100.0
55 11.0 21.6 54 10.8 21.8 23.6 56 11.2
0
Connected to Uses E – mail ATM / Debit Credit card Online banking E – payments Total
the Internet at card service service services
home or work to
do their financial
transactions

Frequency Percent

The findings of the question about respondents' level of technology usage are shown in the
statistics above. The findings show that the majority of respondents use email, credit card
services, and online e-banking. It can also mean that they use technology extensively in their
financial operations.

Table 6.19: Frequency table of using banking services per Year

S. No Services Nil 1 to 3 3 to 8 8 to 12 Over 12

1 Branch Banking 75 186 103 66 70
2 Internet Banking 171 146 77 52 54
3 Mobile banking 20 41 24 101 314

Graph 6.15: Frequency graph of using banking services per Year

22
 314

186
171
146

103 101
75 77 70
66
52 54
20 41 24

NIL 1 TO 3 3 TO 8 8 TO 12 OVER 12

Branch Banking Internet Banking Mobile banking

The results of a question asking respondents how frequently they utilise various financial
services annually are seen above. From the results it can be seen that respondents are mostly
using branch banking 1 to 3 times a year and mobile banking 8 to 12 times a year. Internet
banking has been seen as a new trend among the users and therefore the frequency of usage per
year is quite low.

6.5 ANALYSIS OF PART C: (LEVEL OF SATISFACTION AND

PROBLEMS OF TECHNOLOGY USAGE)
This part of the chapter analyses level of satisfaction and problems of technology usage of
respondents as follows;

6.5.1 ANALYSIS OF LEVEL OF SATISFACTION OF “PUBLIC AND

PRIVATE SECTOR BANKS” CUSTOMERS

To find the significant difference in the satisfaction level of customers in “public and private
sector banks” related to digital banking services following hypothesis is framed;

H01: “There is no significant difference in the satisfaction level of customers in public

and private sector banks related to digital banking services” such as;

23
HA1: “There is a significant difference in the satisfaction level of customers in public
and private sector banks related to digital banking services” such as ….

Table 6.20: Descriptive table of level of satisfaction of public and private banks customers

Above table display the descriptive statistics data like mean, standard deviation and number of
respondents participated for level of satisfaction of public and private banks customers. From
the data it can eb seen that highest mean is for variable “internet banking service”. Among
“public and private sector banks” the mean value of public sector banks is high.

Table 6.21: Test of Homogeneity of Variances table of level of satisfaction of public and
private banks customers

24
Table given above display the results of test of homogeneity of variances to check the
established hypothesis. From the test results it can be seen that the sig value for Satisfaction on
Technology usage and Internet banking Services is greater than .05 and therefore for these two
variables the results of the test are as follows;

“There is no significant difference in the satisfaction level of customers in public and private
sector banks related to digital banking services” (Satisfaction on Technology usage).

“There is no significant difference in the satisfaction level of customers in public and private
sector banks related to digital banking services” (Internet banking Services).

This can also be interpreted as satisfaction level of customer for both the banks remains same
for technology usage and internet banking services.

Further for variable mobile banking services it can eb seen that sig value is less than .05 ad
therefore here it can eb stated that “There is a significant difference in the satisfaction level of
customers in public and private sector banks related to digital banking services mobile banking
service”. This can also be interpreted as mobile banking brings different level of satisfaction
for “public and private sector banks” customers.

Table 6.22: ANOVA table of level of satisfaction of public and private banks customers

25
Table given above display the ANOVA test results for testing the established hypothesis. The
results of ANOVA test confirm the results obtained from the Test of Homogeneity of
Variances.

Further for finding “significant difference in the satisfaction level of rural and urban
customers of public and private sector banks related to digital banking services”
following hypothesis is framed;

H02: “There is no significant difference in the satisfaction level of rural and urban
customers of public and private sector banks related to digital banking services”.

H02: “There is a significant difference in the satisfaction level of rural and urban
customers of public and private sector banks related to digital banking services”.

Table 6.23: Descriptive table of level of satisfaction of rural and urban banks customers

Above table display the descriptive statistics data like mean, standard deviation and number of
respondents participated for level of satisfaction of rural and urban region banks customers.
“From the data it can be seen that highest mean is for variable internet banking service”. Among
urban and rural sector banks the mean value of urban sector banks is high.

Table 6.24: Test of Homogeneity of Variances table of level of satisfaction of rural and
urban banks customers
26
 Test of Homogeneity of Variances
Levene Statistic df1 df2 Sig.
Satisfaction on Technology usage .027 1 498 .869
Internet banking Services .279 1 498 .598
Telephone Banking Services .022 1 498 .882
Mobile Banking services 1.013 1 498 .315

The results of the test to determine the homogeneity of variances are shown in the table above.
Since the sig value for each of the four services is more than.05, the null hypothesis is accepted
for each of them, according to the test results, which demonstrate that;

“There is no significant difference in the satisfaction level of rural and urban customers
of public and private sector banks related to digital banking services” (Satisfaction on
Technology usage)

“There is no significant difference in the satisfaction level of rural and urban customers
of public and private sector banks related to digital banking services” (Internet banking
Services)

“There is no significant difference in the satisfaction level of rural and urban customers
of public and private sector banks related to digital banking services” (Telephone Banking
Services)

“There is no significant difference in the satisfaction level of rural and urban customers
of public and private sector banks related to digital banking services” (Mobile Banking
services).

Thus overall, it can be stated that There is no significant difference in the satisfaction level of
rural and urban customers of “public and private sector banks” related to digital banking
services. This can also be interpreted as both rural and urban customer of both “public and
private sector banks” holds similar satisfaction level for all the digital banking services.

Table 6.25: ANOVA table of level of satisfaction of rural and urban banks customers

ANOVA

27
 Sum of df Mean F Sig.
Squares Square
Satisfaction on Between 6.881 1 6.881 4.170 .052
Technology usage Groups
Within 821.717 498 1.650
Groups
Total 828.598 499
Internet banking Between 14.178 1 14.178 8.621 .063
Services Groups
Within 819.060 498 1.645
Groups
Total 833.238 499
Telephone Banking Between 7.642 1 7.642 4.666 .101
Services Groups
Within 815.580 498 1.638
Groups
Total 823.222 499
Mobile Banking Between 10.201 1 10.201 5.443 .120
services Groups
Within 933.341 498 1.874
Groups
Total 943.542 499

Above table shows the ANOVA test results for checking the hypothesis. The results obtained
from the test here confirms the results obtained from the previous test. The results here confirms
that “There is no significant difference in the satisfaction level of rural and urban customers of
public and private sector banks related to digital banking services”.

6.5.2 ANALYSIS OF PROBLEMS OF TECHNOLOGY USAGE BY CUSTOMERS

OF “PUBLIC AND PRIVATE SECTOR BANKS”

The following section of the chapter analyses the issues with technology utilisation by "public
and private sector banks” customers.;

28
Further to find the use of Artificial Intelligence is inconvenient and insecure way of doing the
banking transactions electronically help in improving the customer experience or not following
hypothesis is framed;

H03: The use of Artificial Intelligence is inconvenient and insecure way of doing the
banking transactions electronically does not help in improving the customer
experience.
HA3: The use of Artificial Intelligence is convenient and secure way of doing the banking
transactions electronically, help in improving the customer experience.

Table 6.26: Descriptive table of Problem faced by public and private banks customers

Above table display the descriptive statistics data like mean, standard deviation and number of
respondents participated for the problems faced by the “public and private sector banks”
customers. “ATM problem” has the highest mean value. Among “public and private sector
banks” the mean value of public sector banks is high.

Table 6.27: Test of Homogeneity of Variances table of Problem faced by public and
private banks customers

29
The results of the test to determine whether variances were homogeneous are shown in the
table above. The sig value for each of the three problems is less than.05. As a result, the null
hypothesis is rejected for each of the three problems, according to the test results, which also
demonstrate that;
The use of Artificial Intelligence is convenient and secure way of doing the banking
transactions electronically, help in improving the customer experience.

“Table 6.28: ANOVA table of Problem faced by public and private banks customers”

30
Above table shows the ANOVA test results for checking the hypothesis. The results obtained
from the test here confirms the results obtained from the previous test. The results here confirms
that The use of Artificial Intelligence is convenient and secure way of doing the banking
transactions electronically, help in improving the customer experience.

6.6 ANALYSIS OF PART D: (“SATISFACTION LEVELS

REGARDING THE VARIOUS SERVICES QUALITY
DIMENSIONS”)

“Table 6.29: Descriptive Statistics table of satisfaction levels regarding the various
services quality dimensions”

31
32
33
Above table display the descriptive statistics data like mean, standard deviation and number of
respondents participated for the satisfaction levels regarding the various services quality
dimensions. Results shows highest mean is for variable “Help desks, call centres of bank” and
“Wide range of products and services provided”.

Table 6.30: Communalities table of satisfaction levels regarding the various services
quality dimensions

34
35
36
Above table display the communalities, we are interested in the amount of original information
contained in each variable that can be extracted from a common factor. That is, the higher the
communality (closer to 1) the larger the amount of information that will be extracted. From the
result, the minimum amount of information is 5.3% by “The contribution of new technology
to the success of banks in your opinion is” indicating 94.7% loss of information.

Table 6.31: Total Variance Explained table of satisfaction levels regarding the various
services quality dimensions
Total Variance Explained
Component Initial Eigenvalues Extraction Sums of Squared
Loadings
Total % of Cumulative Total % of Cumulative
Variance % Variance %
1 9.724 19.448 19.448 9.724 19.448 19.448
2 6.660 13.319 32.767 6.660 13.319 32.767
3 4.768 9.537 42.304 4.768 9.537 42.304
4 4.528 9.057 51.361 4.528 9.057 51.361
5 3.290 6.579 57.940 3.290 6.579 57.940
6 3.055 6.110 64.050 3.055 6.110 64.050
7 2.540 5.079 69.130 2.540 5.079 69.130
8 2.213 4.425 73.555 2.213 4.425 73.555

37
9 1.966 3.931 77.486 1.966 3.931 77.486
10 1.571 3.142 80.628 1.571 3.142 80.628
11 1.191 2.382 83.010
12 1.168 2.335 85.345
13 1.071 2.142 87.488
14 .950 1.900 89.388
15 .811 1.622 91.009
16 .782 1.563 92.572
17 .692 1.384 93.956
18 .601 1.202 95.158
19 .533 1.066 96.224
20 .431 .861 97.086
21 .401 .801 97.887
22 .372 .744 98.630
23 .251 .501 99.131
24 .167 .334 99.465
25 .110 .221 99.686
26 .106 .212 99.898
27 .051 .102 100.000
28 1.090E- 1.179E- 100.000
013 013
29 1.010E- 1.020E- 100.000
013 013
30 1.003E- 1.005E- 100.000
013 013
31 1.001E- 1.002E- 100.000
013 013
32 1.001E- 1.002E- 100.000
013 013
33 1.001E- 1.001E- 100.000
013 013
34 1.000E- 1.001E- 100.000
013 013

38
35 1.000E- 1.001E- 100.000
013 013
36 1.000E- 1.000E- 100.000
013 013
37 1.000E- 1.000E- 100.000
013 013
38 1.000E- 1.000E- 100.000
013 013
39 - -1.000E- 100.000
1.000E- 013
013
40 - -1.000E- 100.000
1.000E- 013
013
41 - -1.000E- 100.000
1.000E- 013
013
42 - -1.001E- 100.000
1.000E- 013
013
43 - -1.001E- 100.000
1.000E- 013
013
44 - -1.001E- 100.000
1.001E- 013
013
45 - -1.001E- 100.000
1.001E- 013
013
46 - -1.001E- 100.000
1.001E- 013
013

39
 47 - -1.002E- 100.000
1.001E- 013
013
48 - -1.003E- 100.000
1.001E- 013
013
49 - -1.027E- 100.000
1.014E- 013
013
50 - -1.056E- 100.000
1.028E- 013
013
Extraction Method: Principal Component Analysis.

Above table shows the total variance explained for satisfaction levels regarding the various
services quality dimensions. Results show that total 10 factors are extracted out of 50 variables
which accounts for 81% of the total data. Thus, factors analysis extracts ten factors.

Table 6.32: Component Matrix table of satisfaction levels regarding the various services
quality dimensions
Component Matrixa

Component

Easy
and Custo
Tangibi Reliabi Responsiv Assura Empa Efficie Accur Secur Conven mer
lity lity eness nce thy ncy acy ity ient Servic
Bankin e
g
-
1 0.061 -0.095 0.082 -0.033 -0.108 0.231 0.393 -0.094 -0.069
0.115
-
2 0.377 -0.317 -0.492 -0.089 0.342 -0.061 0.333 0.433 0.253
0.007

3 0.187 -0.667 0.506 0.027 0.124 0.211 -0.106 0.191 0.255 -0.219

40
 -
4 -0.173 0.28 0.497 0.617 0.236 0.18 0.057 0.028 0.181
0.253
-
5 0.688 0.436 0.045 -0.212 -0.21 -0.038 -0.052 0.101 -0.201
0.323
-
6 0.753 0.294 0.328 0.132 0.328 -0.185 0.094 -0.025 0.006
0.004

7 0.775 0.426 0.105 -0.233 0.106 -0.11 0.048 0.007 0.031 -0.107

8 0.698 -0.52 -0.142 0.275 -0.137 -0.077 -0.09 0.043 0.016 -0.035

9 0.576 -0.152 -0.411 0.449 -0.367 0.135 -0.035 0.089 -0.148 -0.022

1
0.54 0.117 0.073 -0.295 0.264 0.544 -0.296 0.236 -0.164 0.178
0
1
0.139 -0.187 -0.477 0.219 0.484 -0.029 -0.141 -0.21 -0.488 -0.067
1
1 -
0.36 -0.2 0.181 0.093 -0.521 0.178 -0.087 0.11 0.33
2 0.434
1 -
0.177 -0.21 0.045 -0.104 -0.12 0.57 0.643 -0.233 0.002
3 0.043
1 -
0.378 -0.317 -0.495 -0.088 0.349 -0.039 0.319 0.436 0.26
4 0.009
1
0.191 -0.673 0.505 0.026 0.124 0.199 -0.096 0.193 0.258 -0.222
5
1 -
-0.172 0.279 0.5 0.624 0.238 0.166 0.073 0.031 0.181
6 0.255
1 -
0.695 0.431 0.04 -0.216 -0.212 -0.064 -0.03 0.106 -0.205
7 0.322
1 -
0.753 0.294 0.328 0.132 0.328 -0.185 0.094 -0.025 0.006
8 0.004
1
0.782 0.421 0.1 -0.237 0.105 -0.136 0.07 0.009 0.036 -0.111
9
2
0.698 -0.52 -0.142 0.275 -0.137 -0.077 -0.09 0.043 0.016 -0.035
0
2
0.576 -0.152 -0.411 0.449 -0.367 0.135 -0.035 0.089 -0.148 -0.022
1
2
0.54 0.117 0.073 -0.295 0.264 0.544 -0.296 0.236 -0.164 0.178
2
2 -
0.177 -0.21 0.045 -0.104 -0.12 0.57 0.643 -0.233 0.002
3 0.043

41
2 -
0.378 -0.317 -0.495 -0.088 0.349 -0.039 0.319 0.436 0.26
4 0.009
2
0.191 -0.673 0.505 0.026 0.124 0.199 -0.096 0.193 0.258 -0.222
5
2 -
-0.172 0.279 0.5 0.624 0.238 0.166 0.073 0.031 0.181
6 0.255
2 -
0.695 0.431 0.04 -0.216 -0.212 -0.064 -0.03 0.106 -0.205
7 0.322
2 -
0.753 0.294 0.328 0.132 0.328 -0.185 0.094 -0.025 0.006
8 0.004
2
0.782 0.421 0.1 -0.237 0.105 -0.136 0.07 0.009 0.036 -0.111
9
3
0.698 -0.52 -0.142 0.275 -0.137 -0.077 -0.09 0.043 0.016 -0.035
0
3
0.576 -0.152 -0.411 0.449 -0.367 0.135 -0.035 0.089 -0.148 -0.022
1
3
0.54 0.117 0.073 -0.295 0.264 0.544 -0.296 0.236 -0.164 0.178
2
3
0.139 -0.187 -0.477 0.219 0.484 -0.029 -0.141 -0.21 -0.488 -0.067
3
3 -
0.36 -0.2 0.181 0.093 -0.521 0.178 -0.087 0.11 0.33
4 0.434
3
0.019 0.651 -0.207 0.489 -0.07 0.225 0.072 0.239 0.189 -0.101
5
3
0.019 0.651 -0.207 0.489 -0.07 0.225 0.072 0.239 0.189 -0.101
6
3
0.019 0.651 -0.207 0.489 -0.07 0.225 0.072 0.239 0.189 -0.101
7
3
0.135 -0.001 -0.102 0.685 0.188 -0.215 0.01 0.369 0.014 0.026
8
3
0.043 0.251 -0.053 0.492 0.092 -0.237 -0.301 0.039 0.054 0.189
9
4
-0.016 0.484 0.135 -0.122 -0.376 0.149 0.128 0.399 0.021 -0.094
0
4
0 0.05 -0.112 -0.002 -0.301 0.068 -0.571 0.091 0.307 0.144
1
4
-0.16 -0.297 0.432 0.314 -0.066 0.077 0.103 0.176 0.083 -0.257
2

42
 4
-0.006 0.157 0.278 -0.193 -0.085 0.132 -0.24 0.093 0.016 0.499
3
4
0.267 -0.083 0.432 0.061 -0.279 -0.469 0.325 0.322 -0.259 0.265
4
4
0.267 -0.083 0.432 0.061 -0.279 -0.469 0.325 0.322 -0.259 0.265
5
4 -
0.201 -0.615 0.395 0.134 0.1 -0.213 -0.041 -0.078 -0.114
6 0.154
4 -
0.415 -0.388 0.262 0.121 0.027 -0.108 -0.249 -0.146 -0.026
7 0.079
4
0.181 0.074 0.065 -0.35 -0.165 -0.35 -0.052 0.374 -0.106 0.261
8
4
-0.066 0.023 -0.106 -0.098 0.019 -0.096 0.13 0.142 -0.075 0.021
9
5
0.023 0.124 0.01 -0.09 0.075 0.124 0.043 0.054 -0.056 -0.004
0

Extraction Method: Principal Component Analysis.

a. 10 components extracted.

From the component analysis and factor analysis total 10 factors are extracted which are as
follows;

A. Tangibility

B. Reliability

C. Responsiveness

D. Assurance

E. Empathy

F. Efficiency

G. Accuracy

H. Security

I. Easy and Convenient Banking

J. Customer Service

43
Furthermore, at the end of the analysis to find the s”ignificant difference in satisfaction levels
regarding the various service quality dimensions of public and private sector bank
customers” following hypothesis is framed;

H04: “There is no significant difference in satisfaction levels regarding the various

service quality dimensions of public and private sector bank customers”.

HA4: “There is a significant difference in satisfaction levels regarding the various

service quality dimensions of public and private sector bank customers”.

Table 6.33: One-Sample Statistics table of service quality dimensions of public and
private sector bank customers

Above table display the one sample statistics of service quality dimensions of public and
private sector bank customers. Highest mean value can be observed for variable Customer
Service followed by Easy and Convenient Banking.

Table 6.35: One-Sample Test table of service quality dimensions of public and private
sector bank customers

44
The findings of the One-Sample Test of the service quality dimensions of bank customers from
the public and private sectors are shown in the above table. The findings indicate that there is
a substantial difference in the degree of satisfaction among clients of public and private sector
banks regarding the various service quality characteristics, as all of the variables' sig values are
less than.05.

Graph 6.16: Graph of satisfaction with the overall technological services of banks

45
 8%
6%

Yes
No

86% Can Not Say

The replies gathered when respondents were further questioned about their satisfaction with
the bank's overall technology services are tabulated above. According to the report, 86 percent
of respondents are happy with their bank's overall technological capabilities. This information
demonstrates that banks are offering their clients satisfactory technological services.

Graph 6.17: Graph of “contribution of new technology to the success of banks”

46
 500
500
450
400
350
300
250
185
200 146
150 100.0
87
100 47
37.0 29.2 35
50 17.4 7.0 9.4
0
Very high High Average Low Nil Total

Frequency Percent

The information above demonstrates how much new technology is contributing to banks'
success, according to their customers. The data shows that the majority of respondents believe
technology contributes very highly or highly to the success of their banks. This suggests that
clients think banking technology is assisting banks in being highly successful. This is a
promising sign for the uptake and application of AI in banking.

Suggestions you can give to the development of technology to the Indian banking industry

47
At the end of the questionnaire, respondents were asked to give Suggestions for the
development of technology to the Indian banking industry. Respondents have suggested the
technological measures listed in the image above like crown functioning, automation, instant
payment, mobile banking, cloud computing etc. for successful implementation and adoption of
AI in banking.

6.7 CONCLUSION

It can thus be concluded that Artificial intelligence (AI) is at the forefront of a revolution in the
banking industry that is occurring at a faster rate than ever before. Core banking, operational
performance, customer service, and analytics are just few of the banking areas where various
AI technologies have been implemented. Artificial intelligence has opened up a whole new
universe of digital financial institutions beyond traditional bank offices. Modern banks'
expansion and development can be attributed to the availability of new banking services. As a
result of technological advancements, the banking system is becoming more accessible, more
cost-efficient, and able to process transactions of a smaller dollar amount. The growth and
development of banks is multiplied when technology is used effectively. Thus, the advent of
AI has resulted in a greater number of consumers for banks, which has contributed to their
expansion. Through the use of AI, financial institutions can facilitate seamless, around-the-
clock client association, greatly enhancing the satisfaction of their clientele. AI is improving
back- and middle-office processes in investment banking and other financial regulatory
oversight. Customers are found believing that technology in banking is helping banks in
achieving success at a high rate.

The financial industry can reap many benefits from the application of artificial intelligence.
The results show that the use of AI in banking and finance is beneficial for customers.
Consumers in the banking and financial services industries have a solid understanding of AI's
usefulness. By providing representatives with cutting-edge training to enhance AI operations
in the workplace, banks and financial institutions can increase employee dedication to serving
customers. It is also used to check for fraudulent activity, determine an individual's
creditworthiness, and ensure regulatory compliance. The next chapter goes into great detail on
the study's findings and conclusions.

48