A STUDY ON COUSTOMER SATISFACTION
WITH RERFERENCE TO
SHRIRAM CHITS PVT. LTD., PULIVENDULA,
ANDHRA PRADESH.
A FULL TIME PROJECT REPORT
Submitted in partial fulfillment for the award of
The degree of
MASTER OF BUSINESS ADMINISTRATION
OF MADRAS UNIVERSITY
Submitted By
N. VIVEKANANDA REDDY
(Regd.no. MB 20273)
Under the Esteemed guidance of
THANGAVELU COLLEGE OF SCIENCE & MANAGEMENT
(Affiliated to Madras University)
OLD MAHABALIPURAM ROAD
KARAPARKAM
CHENNAI – 96
TAMIL NADU
April 2004
CERTIFICATE
This is to certify that the project titled “A STUDY ON CUSTOMER SATISFACTION WITH REFERENCE TO SHRIRAM CHITS PVT. LTD.” Is a bonafied record of work carried out by N. VIVEKANANDA REDDY (Reg.No. MB 20273) in partial fulfillment of the requirements for the Award of the degree “Master of Business Administration, University of Madras”, during the month of April and the he has prepared the project under my guidance.
RAMANI KAVITHA
HOD Project Guide.
ACKNOWLEDGEMENT
I sincerely place my thanks to M. MALLIKARJUNA for providing me with opportunity to undertake project work in the company.
I would like to express my sincere and deep sense of gratitude to KAVITHA Whose expert advice enabled me to accomplish the project work successfully.
I am deeply indebted to my Guide, KAVITHA for his valuable guidance and for his enthusiastic and continue encouragement, which helped me to complete my project successfully.
My sincere thanks go to all my friends, family members who encouraged me in every aspect of the project.
N. VIVEKANANDA REDDY
(MB 20273)
DECLARATION
N. VIVEKANANDA REDDY full time student of TCSM has under signed here by declare that this full – time Project Report entitled ‘A STUDY ON CUSTOMER SATISFACTION WITH REFERENCE TO SHRIRAM CHITS PVT. LTD., PULIVENDULA, A.P’ Submitted to the University of Madras has been prepared by me Personally with the help and timely cooperation of the Staff of SHRIRAM CHITS PVT. LTD., and With the guidance from KAVITHA, and this report has not been submitted to any other university for the fulfillment of any other course.
STATION : PULIVENDLA N. VIVEKANADA REDDY
DATE : 22-03-04 (Reg.No. MB 20273)
CHAPTER NO / TABLE OF CONTENTS / PAGE NOLIST OF TABLES
LIST OF FIGURES
CHAPTER – 1 / INTRODUCTION1.1 GENERAL
1.2. INDUSTRY PROFILE
1.3 COMPANY PROFILE
1.4 PRODUCT PROFILE
CHAPTER-2 / RESEARCH METHODOLOGY AND DESIGN
2.1 STATEMENT OF OBJECTIVES
2.2 DATA COLLECTION
2.3. SAMPLING PROCEDURE
2.4. SAMPLE SIZE
2.5. PERIOD OF STUDY
2.6. QUESTIONNAIRE DESIGN
2.7. PILOT SURVEY
2.8. LIMITATION OF THE STUDY
CHAPTER – 3 / ANALYSIS AND INTERPRETATION
3.1 DATA ANALYSIS AND INTERPRETATION
3.2 STATISTICAL ANALYSIS
CHAPTER – 4 /
SUMMARY OF FINDINGS
CHAPTER –5 / RECOMMENDATION & CONCLUSION5.1 RECOMMENDATION & SUGGESTIONS
5.2 CONCLUSION
ANNEXURE
BIBLIGOGRAPHYTable No /
Title
/Page No
1 / Period of customer2 / No of chits paying
3 / Monthly payment
4 / Reason for investing
5 / Reason for becoming investor
6 / Opinion about security
7 / Level of satisfaction with staff service
8 / Present level of bidding
9 / Will you recommend Shriram chits to friends
10 / Advertising strategy suggested
11 / Promotional strategy suggested
12 / Improving Shriram chits
13 / Using any other chit funds
14 / Satisfied with Shri Ram chits services
14.1 / Reason for satisfaction
14.2 / Reason for dissatisfaction
15 / Length of customer ship vs. Number of chits
16 / Advertising strategy vs. promotional strategy
LIST OF FIGURES
Figures no / Title /Page no
1 / Period of customer2 / No of chits paying
3 / Monthly payment
4 / Reason for investing
5 / Reason for becoming investor
6 / Opinion about security
7 / Level of satisfaction with staff service
8 / Present level of bidding
9 / Will you recommend Shriram chits to friends
10 / Advertising strategy suggested
11 / Promotional strategy Suggested
12 / Improving ShriRam chits
13 / Using any other chit funds
14 / Satisfied with Shri Ram chits services
14.1 / Reason for satisfaction
14.2 / Reason for dissatisfaction
SYNOPSIS
Shriram chits started its operations in the year 1974, started by
Thyagarajan (chairperson) and Duruvasan (M.D) with a single
Branch at Chennai and has in a short span grown into a trusted
Household name for making chits available from of saving and
Borrowing to all sections of the society. Shriram now has a
Turnover exceeding Rs. 2500 Crores, 465 branches around 4
States and 5000 employees.
Shriram chits has to date disbursed over Rs. 8000 Crores as
Prize money. Shriram chits operate in four states. Tamilnadu,
Andhra Pradesh Karnataka and Maharashtra, where it has a
Reputation for timely disbursement of funds and excellent
Customer service that differentiates it from other companies.
At the SHRIRAM “They add a customer every 3 seconds.”
1.1 GENERAL
NEED FOR THE STUDY :
Though chit is a traditional method of financing. This study which gives a broad idea about customers in chits.
At present scenario customers are not satisfied in the chits because due to rapid growth bogus chit funds to know the satisfaction level of the customers in SHRIRAM CHITS, I preferred to do this study.
SCOPE FOR THE STUDY :
1. This study helps To assess the strength and weakness of SHRIRAM CHITS and also it helps to comparing its position among its competitors.
2. To assess the level of satisfaction with SHRIRAM CHITS and so that corrective action can be taken needed.
3. To work out strategies for improving the volume of business and market standard of SHRIRAM CHITS including promotional and advertising strategy.
1.2 INDUSTRY PROFILE :
‘Chit’ means a transaction where chit, chit fund, chatty, kury or by any other name or under which a person enters into an agreement with a specified number of persons that every of them shall subscribe a certain sum of money by way of installments over definite period and each such subscriber shall, in turn, as determined by lot or by auction or by tender or in such other manner as may be specified in the chit agreement, the entitle to the price amount.
Chit fund in a contract between the foreman, as the promoter is called, and the subscribers, who joined voluntarily. It is a financial system under which the periodical and regular saving of a group of subscribers are made available to each subscriber in turn on an agreed basis.
A specified amount every month of a specific period. The pooled funds every month are offered to the subscribers at monthly auctions and the subscriber who bids for the highest discount is declared the prizewinner and given the price amount on proper security. A priced winner also continued to pay the subscriptions till termination of chit. The amount foregone as discount less foreman’s commission is distributed among the subscribers as dividend.
1.3 COMPANY PROFILE :
A multi-locational, multi dimensional Rs 4000 organization, serving 36 laks customers from its all India network of 580 branches. The group is a player in the financial services sector. It has successfully raised investments in access of Rs 1400 crores and has financed over 50,000 trucks amounting to Rs 1400 crores.
At the SHRIRAM “They add a customer every 3 seconds.” An end result achieved through a single focus of innovation…. Developing products and services strategies based on a customer need. Financially, the SHRIRAM CHITS has a strong understanding of the fundamentals, the spirit of which is aptly captured in its corporate slogan “We understand money well.. and people even better”, SHRIRAM today has acquired a significant national presents in the field of financial services. It has also successfully diversified into industry transport and property development.
In the true spirit of globalization, SHRIRAM has numerous international tie-ups-Mitsubishi and Arai seisakusho-Japan, Emson research in & Tower Tech INC-USA, ITT way ASSAUTO-Italy and Cylinco group-Srilanka among others. And every of them is a success story with a tremendous potential to further entrench SHRIRAM’S credentials and interest in the subcontinent.
The products / Services of the group companies can be grouped the following categories
FINANCIAL SERVICES :
· Truck Financing
· Online Share Trading
· Insurance
· Chit Funds
Truck Financing :-
SHRIRAM investments Ltd (SIL), SHRIRAM Transport Finance Company Ltd (STFC) & SHRIRAM City Union Finance Ltd (SCUFF) are three major truck financing companies of SHRIRAM group. With loan disbursements of over Rs 1400 crore in truck financing with a recovery rate of 98.6 % & an interest earning of 27.4% we enjoy a leadership position in the truck financing sector.
Online Share Trading :
In sight share brokers (P) Ltd, (member national stock exchange) a company of the group provides online trading of shares and stocks.
Insurance :
Insurance marketing as tied up with major national / international players to offer the best customaries insurance solutions for the retail customers.
Chit funds :
The chit fund is a form of organizing credit on a co-operative basis. SHRIRAM CHITS, established in 1974, with a small investment of Rs 0.1 million, has grown to become the largest organization of its kind in India. Despite the huge size and spread of operation, the collection efficiency is of a very high order (99%), mainly due to the excellence of the managerial culture that has been created over the last 28 years. SHRIRAM CHITS today has evolved into a massive movement, which touches lives of the millions of subscribers satisfying their diverse credit requirements.
1.4 PRODUCT PROFILE :
The purpose of the chits is to inculcate and encourage the habit of thrift and there by extend the compulsory savings.
Now a days there are so many other chit fund companies also existing in the market. They are SHRIRAM CHITS, SAHARA INDIA, SUCHITRA CHITS and so on. SRIRAM CHITS is having nice position in the rural sector and captured better position compared with other chits.
The following are different types of research design.
1. Exploratory research design
2. Descriptive research design
3. Diagnosis research design
4. Experimental research design
Descriptive research design
Descriptive research includes surveys and fact-finding enquiry’s of different kinds. The major purpose of descriptive research is description of the state of affairs, as it exists at present. In social science and business research, we quit often use the term ex post facto research for descriptive research studies. The main characteristic of this method is that the researcher has no control over the variables; he can only report what has happened or what is happening. Most ex post facto research projects are used for descriptive studies in which the researcher seeks to measure such items as, for example, frequency of shopping, preferences of people, or similar data. Ex post facto studies also include attempts by researchers to discovers causes even when they cannot control the variables. The methods of research utilized in descriptive research are survey methods of all kinds, including comparative and correlation methods.
2.1 STATEMENT OF OBJECTIVES
1. To find out the customers profile of SHRIRAM CHITS.
2. To find out the reason for investing in SHRIRAM CHITS.
3. The find out the level of customers satisfaction with the services of SHRIRAM CHITS.
4. To find out the customers opinion on promotional strategies.
5. To find out the positioning of SHRIRAM CHITS with reference to similar chit fund organization.
6. To find out the opinion of customers on security of their funds of investments in SHRIRAM CHITS.
7. To find out the source of influence in investing in SHRIRAM CHITS.
2. RESEARCH METHODOLOGY
Research methodology is a way to systematically solve the research problem. It may be understood as a science of studying how research is done scientifically. The scope of research methodology is wider than that of research methods. The scope of research methodology is wider than that of research methods. Thus, we talk of research methodology we not only talk of the research methods but also consider the logic behind the methods we use in the context of our research study and explain why we are using a particular method or technique and why are not using others so that research results are capable of being evaluated either by the researcher himself or by others.
Research Design Descriptive Research
Methods of Data Collection Primary and Secondary Data
Sampling Procedure Non-Probability Sampling
Sampling Type Convenience Sampling
Sampling Size 150
Research Tool Questionnaire
Contact Made Direct Contact.
Research Design
A Research design is the specification of methods and procedures for acquiring the needed data to solve the problem.
Type of research design
The arrangement of conditions suitable of collection and analysis of data varies depending upon the type of research study. One has to prepare research design, depending upon the specific nature of the study.
2.2 DATA COLLECTION
Nature of data : The nature of data is both primary and secondary data
· Primary data :
Descriptive research design is been used for the study. Primary data is collected from consumers survey method; personal interview method was used to collect data from consumers
· Secondary data :
The secondary data is collected from various published books, Journals, Magazines, Newspapers, past records and from Websites.
2.3 SAMPLING PROCEDURE
Sampling population
The first step in the sampling process is the definition of the population, which can be defined in terms elements, sampling units extent & time.
Sampling unit
In the present study the sampling unit, chosen is any resident of Pulivendla.
2.4 SAMPLE SIZE
The total sample size is 150.
Sampling techniques
Convenience sampling methods has been adopted for the study. When population elements are selected for inclusion in the sample based on the ease of access of the researcher can be called as convenience sampling.
2.5 PERIOD OF STUDY
The study was undertaken for a period of three months, including data preparation, analysis and report presentation.
2.6 QUESTIONNAIRE DESIGN