Customer Service in the Citibank Australia Bank - Research Proposal Example

Background of the organization and service/product Citibank Australia was established in 1985 as one of the first overseas financial institutions to be issued with banking license in the country. It is also one of the leading foreign banks in Australia. The banks’ head office is based in Sydney, and presently comprises of main centers in Perth, Booragoon, Melbourne and Brisbane. Besides, the company has approximately 1,200 Australians. Citigroup, which is the parent company, has almost a million clients in New Zealand and Australia, as well as about 900 institutional and corporate customers. The bank’s Chief Executive Officer (CEO) is Stephen Roberts (Citibank Australia 2011). In 199, Citibank Australia acquired Diners Club, and the Citigroup center was established in Sydney in 2001. In 2002, the bank launched the CitiGold Wealth Management Banking, followed by banking Group. With response to a great bailout of Citigroup Inc in 2008 by the United States Government, Citigroup publicized in January, 2009 that the parent would be divided into Citicorp and bad bank; City Holdings that consists of the bank’s brokerage, troubled assets and client finance. In this case, the good bank; Citicorp would comprise of credit cards, retail banking, and business banking. Citigroup publicized on January 27, 2009 that the former head of the bank’s brokerage business; Michael Corbat would lead the Citi Holdings. The US Government is said to be using substantial pressure on Citigroup to increase capital and this has caused assumption concerning the selling of smaller international companies like Citibank Australia (Citibank Australia 2011). Citibank Australia consists of the customer group category of Citi Australia. In addition, the company has two other wealth management and banking and markets. To begin with, Citi Global Consumer Group on which Diners Club and Citibank fall. Diners Club entails a charge card that was established in 1950. Secondly, Citi banking and markets has the Citibank performing many functions that include underwriting debt and equity, provision of mergers and acquisitions advice, and provision of services in custodial, foreign, cash management, treasury and trade. Thirdly, Citi Global Wealth Management involves Citi Investment Research, Citi Private, and Citi Smith Barney. In terms of retail banking, Citibank quickly extended its retail banking business by opening branches in main shopping centers like QVB and Castle Towers. The branches are monitored by third parties like Australia Post’s Bank@Post, and NAB, rather than providing telling services. Nevertheless, some of the old branches like those in Citigroup provide telling services. In terms of products and services, Citibank Australia (2012) demonstrates that the company offers its clients personal loans, home loans, credit cards, savings accounts, and insurance. In addition, the company is among the leading Australian sources of superannuation finances. In terms of the Corporate Social Responsibility (CSR), Citibank Australia has certain environmental programs and financial education to aid the local communities in the country. For instance, it has initiated a program referred to as Making Cents whose aim is to help teachers and parents teach students on the fundamentals of managing money; Hip Pocket that aids teenagers understand money and be informed consumers. It also advocates for the use of alternative energy sources, and helps in the investigation of climatic change effects on industry and trade. Besides, the firm aids children hospice in the New South Wales known as Bear Cottage, and it is Sydney Swans AFL club’s main sponsor (Citibank Australia 2011). Problem statement Citibank Australia is one of the banking organizations in Australia and New Zealand offering exclusive products and services to their clients. Since its conception, the company has experienced a steady growth in its customer base and overall performance. The fact that it provides various products and services made the company’s acquisition and retention of clients as they it convenient. Despite the tremendous growth, the company is currently facing a challenge relating to reduced number of clients buying its products and services, especially the credit card product of the bank. There have been numerous complaints from the already existing clients on the poor customer services offered by the bank in its various outlets both within and without the country. This problem is situation is grave in the sense that most of the clients are threatening to transfer their savings and investments from the bank to other appropriate banking institutions in the region. There are reported cases of clients’ cards being changed regularly; customers’ transactions with the cards rejected on grounds of security; and lack of cooperation by the company staff on addressing their matters concerning credit cards and savings accounts. All these issues have been sufficient to change the once loyal clients’ attitudes towards Citibank Australia. Therefore, this paper attempts to address the issue of poor customer service in Citibank Australia so as to improve the company’s performance. The research problem is: How to improve customer service and overall performance in Citibank Australia. Research Objectives The main objectives of the study include: To determine the company’s present performance in Citibank Australia bank To establish the quality of customer service in the Citibank Australia bank To establish the extend at which poor customer service has affected the company’s performance customer acquisition and retention To determine the company’s causes of poor customer service To find out how others sectors of the company are performing To evaluate current marketing strategies that the company is employing it an attempt to boost its image and performance Proposed methodology This study intends to apply both quantitative and qualitative research methods. Use of quantitative research methods As Hughes (2005) reports, quantitative research comprises of studies in which information collected may be analyzed on the basis of numbers. Besides, qualitative research is founded on more openly on its inventive plans and the analysis and interpretation is easy. As the name suggests, quantitative research methodology involves researchers collecting and analyzing of information in numeric form. This method attempts to focus comparatively on large-scale and data sets representatives, and this is perceived and presented as concerning collecting of facts. Additionally, Hughes (2005) maintains that quantitative research entails an empirical research in which data is presented and analyzed numerically. One of the major features of the study involves control, as the technique allows the researchers to determine the causes of their observations. Here, investigators conduct experiments in an attempt to respond to various questions. These tests represent attempts to establish reasons for occurrence of some phenomena; their causes, or conditions under which such events take place. Control feature of the quantitative research method is essential in the provision of unequivocal responses to the research questions. To respond to the questions, it is vital to remove the concurrent effect of numerous variables to separate the cause and impact. Controlled inquiry is completely indispensable to this since without it, cause of an impact may not be separated. Secondly, quantitative research methodology entails operational definition, which implies that terms must be explained by operations or steps essential in their measuring. This procedure is significant in the elimination of any ambiguity and communication. Explaining an operational meaning compels an individual to establish the empirical terms or referents; hence, reduction of confusion. Hughes (2005) says that replication is another key feature of quantitative research method. In order for information achieved from experiments to be replicable, it must be reliable. This implies that similar results should be obtained if the research is repeated. In a situation where observations are unrepeatable, the researchers’ explanations and descriptions are termed unreliable. Quantitative research method also involves hypothesis testing as another feature. This means that hypothesis must be crated systematically, and that hypotheses ought to be subjected to an empirical experiment. In terms of this study, Hughes (2005) demonstrates that the use of the research method will be influential in that it will facilitate precision by reliable and quantitative measurement. It will also offer control through design and sampling. Besides, the method is advantageous to the study since is can offer causality statements by using controlled experiments. The study’s success will also be enhanced by the fact that the technique has statistical methods that facilitate for complicated analyses. Moreover, quantitative research approach is advantageous to the study as it replicable. However, Hughes (2005) says that there are certain drawbacks associated with the method, which include difficulty to control or rule out all variables because human experience complexity. Further, due to human agency, individuals cannot offer similar responses to research questions. Additionally, its mechanistic philosophy excludes choice, freedom, and moral duty concepts. Moreover, the method will be disadvantageous as it fails to consider individuals’ distinctive capabilities to interpret own experiences, crate own meanings, and apply on them. According to Hughes (2005) quantitative research method may limit the study’s success as it can cause speculation that facts are accurate and similar to everybody every time. The methodology also usually results in trivial and banal outcomes of small consequence because of the, initiation on and the regulation of variables. Another weakness of using the methodology is that it is absolutely objective as the investigator is subjectively engaged in the selection of problem, and in interpreting results. Some of the data collection methods proposed in the study involve interviews (face-to-face interviews and telephone interviews); questionnaires (paper-pencil-questionnaires; and web-based questionnaires). To start with, interviews to be conducted in this study will be more structure as compared to those in qualitative method. Face-to-face interviews are advantageous in that they facilitate researchers to develop a rapport with prospective participants, and thus gain their collaboration. Moreover, these interviews produce the highest response rates in studies, and enable investigator to elucidate confusing responses and when suitable, look for follow-up information. Nonetheless, they are impractical when huge samples are engaged; expensive and time-consuming. On the other hand, telephone interviews are less expensive and less time-consuming. They also permit the researcher to readily and easily access anybody in the world via telephone. Nevertheless, the method has a low response rates, and that samples may be biased to the degree that individuals without phones are in the population to be studied. In terms of questionnaires, paper-pencil questionnaires is advantageous in that it may be distributed to numerous people; hence, saving time and finances. It also facilitates people to be more truth when responding to questionnaires, as well as controversial matters because of their anonymity. Nevertheless, most of the people who obtain questionnaires fail to return them; hence they may not be initially chosen sample. On contrast, web-based questionnaires entail obtaining an e-mail on which individuals click on a particular address that they would like to get a site to respond to the questionnaire. Nonetheless, the method is disadvantageous in that it excludes people who do not posses or cannot access computers. Additionally, they bear questionable validity since people hurriedly fill; hence, lacking accuracy. Guidelines of creating a questionnaire According to McNabb (2008, 136-146), the following are the steps taken when developing a questionnaire: 1. Reviewing of the known to the unknown, and then determining the aim of the study and the kind of information to be found 2. Deciding on how the survey will be conducted, for example, in this case, it will be administered on phone and e-mail 3. Determination of the content of every question; brainstorming is involved, and writing of relevant questions 4. Determination of the response structure to every question. There are two various responses; close-ended and open-ended. Closed –ended questions offer the participant with many options from which to choose. This could be matching, or multiple choices. The questions are easy to examine and interpret, but have biased answers. On the other hand, open-ended format requires the respondent to give own answer. This type of response facilitates gaining of insightful information and avoids biased answers. Nonetheless, some of the participants might not be conversant with writing and time management; hence hampering their responses. 5. Development of each question’s wording; this entails ensuring that the words used in questions can easily be understood by respondents by making them brief and precise. 6. Establishment of the questions’ sequence. The questionnaire’s first part must have easy questions so as to get the respondents’ collaboration. In the middle part of the survey, most vital questions are asked. Demographics and other division questions should come at the end. The questions will be asked in a simple and logical manner for both the participant and the researchers. 7. Designing of the questionnaire’s format is the last part of the questionnaire development. It should be designed in way that motivates respondents to fill it wholly. It must also be easy to fill and appealing to the respondents. Various people’s opinions on the format should be sought. Quality of questionnaire The questionnaire is of high quality and will certainly facilitate successful study. Firstly, the questionnaire will be designed to meet the study objectives. Although every study leaves some questions unanswered, the questionnaire to be used in this study will attempt to reduce the problems. Secondly, the questionnaire will achieve the most accurate and complete information possible. This is because all the questions set are can be easily understood by the respondents; they will not provide wrong answers as they will willingly choose to completely fill it. Thirdly, the questionnaire is well-designed to facilitate the respondents’ essential answers. Fourthly, the quality and creativity of the questionnaire lies on the fact that it has brief and precise questions that appeal to the respondents; hence they will be interested throughout the survey. Qualitative research According to Bernard (2000, pp. 417-437) qualitative research method describes procedures or persons scientifically without using numerical information. This approach is more overt and receptive to its subject. Unlike the quantitative research method, qualitative research is more difficult, time-consuming, and stressful as compared to other techniques. This technique is most appropriate for individuals that care about it, serious and ready for commitment. It involves collection and analysis data in various forms, which are majorly non-numeric. It aims at focusing on the exploration of detailed information, few examples found illuminating or interesting, and intends to attain depth instead of breadth (Hughes 2005). Just like in quantitative research method, qualitative method has its distinguishing features. First, occurrences can be adequately understood as long as they are observable within the context. Thus, a qualitative investigator gets immersed in the context. Second, qualitative research approach has the study contexts uncontrived, but natural. Here, nothing is lightly considered or predefined. Third, qualitative investigators want those under study to justify themselves, to offer standpoints in actions and words. Thus, the method entails an interactive process whereby people under study inform the investigator on their lives (Rubin 2011, pp. 67-70). Fourth, qualitative research method views experience as one, and not isolated variables. The main goal of the method is to understand experience as united. Bernard (2000, pp. 417-437) argues that the method is beneficial for it allows close investigator involvement, where he or she attains an insider’s opinion of the topic under study. This facilitates the researchers’ ability to determine concerns commonly overlooked by scientific, positivistic studies. Moreover, the method is significant to the study as it recommends associations, causes, impacts, and dynamic processes. Furthermore, the technique will enhance effectiveness of the study by use of more narrative, descriptive style. Qualitative research method gives the study some reality. On the contrary, Bernard (2000, pp. 417-437) asserts that qualitative methodology is disadvantageous to the study because there is a concern of sufficient reliability and validity. Subjective nature of qualitative information and its single setting origin make it hard to use conventional principles of validity and reliability. Situations, events, contexts, interactions, and conditions may not be replicated to any degree, nor can generalizations made to a broader setting than one investigated with confidence. What is more, Hughes (2005) says that the time needed for the collection, analysis and interrelation of data is lengthy; hence hampering with the success of the study. The method may negatively influence the study because the presence of investigator affects study’s subjects. In addition, confidentiality and anonymity cases encountered when the method is used are problematic, especially during the selection of findings. The standpoints of the participants and researchers have to be elucidated and identified due to bias issues. Some of the methods used in the qualitative research method can include questionnaires, observations, and in-depth interviews. However, in this particular study, the most suitable method to be used in the collection of data is a questionnaire, just like in the quantitative research method (Bernard 2000, pp. 417-437). Sample plan Sample population definition The study will be conducted in various organizations in Melbourne, Australia. This site is suitable because that is where majority of the Citibank Australia, Melbourne branch employees and clients are located in the country. Therefore, a total number of 300 questionnaires will be issued to these aforementioned participants. Sample frame In this study, the participants of the study will be those working in Starbuck’s company in Melbourne, Australia. This sample frame is appropriate as there are many employees in the company who are clients of the Citibank Australia. Another sample frame in the study is at Citibank Australia, Melbourne branch. Sample size calculation The sample size of the study consists of 200 participants situated at Starbucks, and 50 participants in Citibank Australia. The total number of respondents will be n=300. There is a possibility that a total of 260 questionnaires will be returned by respondents, which translates to a response of about 87%. Sampling method The study will assume a random sampling method. This is the most accurate type of probability sampling methods in that every member of the sample population possesses know and equal chance of being incorporated in the probability sample. Using the sample frames identified above, individuals are numbered, and certain numbers are selected at random to determine the ones to be studied (Thompson 2012, pp. 11-15). Sample validation In order to enhance its quality, the researchers will carry out a validity and reliability test on the selected sample. Ethical considerations Just like in any other study, ethical issues must be considered in this research. To begin with, the research will consider people’s happiness and willingness to take part in the study. This implies that prospective participants ought to be happy as they respond, and that they should not be coerced to participate in the study. The researchers will also ensure that they do not demand participants’ much time. Additionally, for a successful study, it is imperative that the participants are assured of their security, anonymity and confidentiality (Houser 2008, pp. 61-70). This means that the researchers will maintain confidentiality and anonymity of the participants’ responses. This is done in line with respect for people’s privacy rights. Privacy will be upheld in the study by assigning every survey coding for every participant applying double-blind techniques. Prior to other consent to participate in the study, respondents will be advised to read a standard data package that outlines goals and techniques of study, and their rights. What is more, it will ethical for the research team to obtain agreement and permission from the organizations to which questionnaires will be sent, and approval will be attained through suitable ethical principles statements. The researchers will also ensure that no participant is harmed in the process of collecting data (Houser 2008, pp. 61-70). Proposed timetable Task Duration (weeks) Priority Topic selection 1,6,14 Medium Readers selection Obtaining Literature review reference list 1, 2 Normal Literature review completion 2-5 High Research question development 5-6 High Completion of draft proposal 6-7 High Proposal approval 7-8 High Task Exp 1 Exp2 priority Identification methods and materials 8-9 12-13 Medium Data collection 12 14 Normal Data analysis 13-14 15 Normal Writing data collection techniques 14-15 18 Normal Complete experiment 16 18 High Discussion writing 17-20 21 High Research report binding and submission of 22 High Proposed budget Item Projected cost Questionnaires printing (300 copies) $600 Questionnaire distribution to various study centers by courier services $600 Questionnaire recollection from centers $600 Salaries for questionnaire development team $1600 Analysis of pilot data $1100 Data analysis and report writing $2500 Total $7000 References Bernard, H 2000, Social research methods: qualitative and quantitative approaches, Sage Publications, Thousand Oaks, Calif. Pp. 417-437. Citibank Australia, 2012, Citigroup Inc, retrieved on April 19, 2012, from http://www.citibank.com.au/portal/citiau_home.htm Citibank Australia, 2011, Banks.com.au. http://www.banks.com.au/directory/citibank/ Houser, J 2008, Nursing research: reading, using, and creating evidence, Jones and Bartlett Publishers, Sudbury, Mass. pp. 61-70. Hughes, C 2005, Quantitative and Qualitative Approaches to Social Research, Retrieved on April 19, 2012, from http://www2.warwick.ac.uk/fac/soc/sociology/staff/academicstaff/chughes/hughesc_index/teachingresearchprocess/quantitativequalitative/quantitativequalitative/ McNabb, D 2008, Research methods in public administration and nonprofit management: quantitative and qualitative approaches, Armonk, Sharpe, Inc., N.Y: M.E. Pp. 136-146. Rubin, A 2011, Research methods for social work, Brooks/Cole Cengage, Belmont, CA. pp. 67-70. Thompson, S 2012, Sampling, Wiley, Hoboken, N.J. Pp. 11-15. Appendix Questionnaire 1. Are you a client at Citibank Australia? A. Yes B. No 2. How is Citibank Australia’s customer care service? A. good B. bad C. fair 3. Citibank Australia has quality customer service A. agree B. strongly agree C. disagree D. strongly disagree 4. What factors cause poor customer service at Citibank Australia? A. low employee motivation B. dishonest employees C. incompetent staff D. management’s negligence 5. Other sectors of the company are performing well. A. Yes B. No 6. Are the company’s marketing strategies effective? A. Yes B. No Read More