ISSN - 2348-2397 January-March, 2021 Vol. 8, Issue 29 Page Nos. 176-183 AN INTERNATIONAL BILINGUAL PEER REVIEWED REFEREED RESEARCH JOURNAL THE PREPAREDNESS OF HDFC BANK IN PANDEMIC SITUATION : A CASE STUDY ON CONSUMER'S PERCEPTION ABOUT HDFC ONLINE BANKING SYSTEM DURING COVID -19 IN PUNE a a LISTED JOURNAL Shodh Sarita Dr. Susil Kumar Sarangi* Dr. Shailesh Rajhans** BS ABSTRACT Ee COVID-19 features the chance that will have enormous negative effects on worldwide local interest, This is a distinct advantage from money related markets fail to value the probability of awful tailerisk occasions that would not be survivable in any case. A thought of potential effects of COVID-19 on money related markets and institutions, for example, HDFC Bank, either straightforwardly research recommends have been the effects of past occasions that here and there generally equal COVID-19. Ourstudy reports the general perception of clients towards the online exchange in HDFC bank which directly affects exchanges during lockdown period in COVID 19 pandemic. The data collected just prior the declaration of pandemic isin any case is an indicator of success of HDFC bank to deal with possible financial blackout due to the CORONA Virus. It is an endeavour to comprehend the view of customers of HDFC bank towards choice of channels of correspondence, to discover the reasons of not utilizing Net Banking, regardless of whether there exists any connection among occupation and reasons of not utilizing net banking. Every one of these variables is very substantial while proceeding with exchange during COVID 19 lock down period is quickly laid out by drawing on variety of writings. Examining what Keywords : COVID 19, Online Transaction, Net Banking, Channels of Communication. Introduction COVID-19 and others like it are all around harming to the world economy to a seldom prece extent, However, they are survivable. We ought to expect now that there will be a drawn out effect on firm financing and firm cost of capital. They intently outline the financial worries that are currently in the bleeding edge with COVID-19: expenses to the wellbeing framework, both open and private, of clinical treatment of the contaminated and of episode control; the strain to health system of being not able to associatively manage progressively routine medical problems during flare-ups; misfortune to employment productivity; social distancing upsetting monetary movement; effect of the travel industry; impact on direct foreign direct iments, Banks obviously by their tendency are powerless in the midst of financial downturns, as a result of the probability of nonperforming credits and the chance in extreme instances of bank runs Literature Review Many papers closely related to the COVID-19 crisis, have wamed us to anticipate the economic costs of possible future pandemics and epidemics. Particularly Bloom,Cadarette, and Sevilla(2018) These worry resounded by worth noting is __Fan,Jamison, and summers(2018). They note “an unmet need for greater investment in preparedness against major epidemics and pandemics.” They calculated the feared annual losses from pandemic risk to be annually approximately 500 billion US dollars, or 0.6% of global income. In event of the costs of COVID-19, this apparently large sum now seems greatly underestimated. We should also note "Associate Professor - Jaywant Insitute of Management Studies, ISPM, Pune ** Assistant Professor - ISPM Narhe Technicel Campus, Pune Vol. 8 Issue 29 © January to March 2024 [SHODHSARITA, QD) ‘QUARTERLY BILINGUAL RESEARCH JOURNALarticles that note the numbers of “near fiasco,” in which infectious disease outbreaks have happened that were contained to a level far less than their potentiality. Particularly striking is a report from Global Preparedness Monitoring Board of the World Health Organization Global-Preparedness-Monitoring-Board(2019) as later as September 2019, which declares directly that the world is imminent danger of a global pandemic but practically zero planning is being embraced. As per _Global- Preparedness-Monitoring-Board(2019), during 2011-2018, the World Health Organization followed 1,483 epidemic events in 172 countries. Another inquiry is whether COVID-19 should be regarded as a black swan, or an unforeseeable event with extreme consequences? The appropriate response is by all accounts "no." When you have a large group of scholastic articles, talked about above, recommending the chance of pandemics and foreseeing gigantic monetary misfortunes because of pandemics; just as various real-world epidemics and wellbeing crises that could have become worldwide pandemics, it ought to be viewed as some different option from absolutely sudden ___Elnahas,Kim, and Kim(2018) firms located in more di discovered that ter-prone areas adapt to be less levered. Steady with a trade-off view of capital structure ( Krausand Litzenberger, 1973), they ascribe this finding to firms being impacted in disastrous areas with respect to operating disruption, increased costs of capital, and tightened financial flexibility. While firms are often seen as persistent in their capital structure policy, they often respond to macroeconomic shocks (_Huang,Gao, and Chen, 2018), COVID-19 clearly recommends a previous under- value of equity risk. Will this lead to firms embracing less influence? Will there be a drawn out moving in expenses Leeand MeKibbin(2004) discovered a 200- basis point increase in the country risk premium for China and Hong Kong following SARS. While effect of country-risk premiums on costs of equity will vary with of value? firm exposures to different markets, certainly, an increase of two percent points in a nation risk premium (likely to be higher for COVID-19) would prompt to a significant increase in the cost of equity capital, with a concomitant underfunding of global pensions. In any case, the discoveries of expanded nation danger of, Leeand McKibbin(2004) for China and Hong Kong are depend on China and Hong Kong being particular risk areas for SARS, With a genuine pandemic like COVID- 19 however the exposure is global opposed to in select nations, In any case, the discoveries of expanded nation, ind McKibbin (2004) for China and Hong Kong depend on China and Hong Kong being specific hazard zones for SARS. With an authentic pandemic like COVID-19 anyway the introduction is worldwide as opposed to in select nations, KPMG, “Technology enabled transformation in Banking”, The Economic Times Banking Technology, Conclave 2011, has concluded that banking will be transformed by new technology by 2015.customer friendly products, delivery channel, easy and accessible danger of Li services and competitive pricing would be driving forces- and technology shall pay a dominant role in all these. Models using mobile devices and efficient payment systems will make banking services more widely available 24 x7, Singapore Management Review (2008). Satisfaction with banking services is an area of growing interest to researchers and managers. Building on the synthesis of existing literature on satisfaction and relationship marketing, this study explores the satisfaction variables within the banking industry. The key findings of an empirical research are based on the data collected from 555 customers. Systematic methodology, including design and validation of, questionnaire, factor analysis and regression analysis were utilized to enhance reliability of the findings. The study reinforces that customer satisfaction is linked with performance of the banks. The authors demonstrate how adaptation of satisfaction variables can lead to better performance. Bhayani (2005) conducted a study among 200 customers on the retail banking awareness of private banks, nationalized and co-operative banks in the Rajkot city of Gujarat. The conclusion she arrives at is because of | the low literacy among the customers, they are not aware ‘QUARTERLY BILINGUAL RESEARCH JOURNALof technology assisted banking services. So the banks should try to create awareness among customers on technology and technology driven products for better retail banking operations. Indian banks are increasingly sk Banks have already embraced the focusing on adopting integrated approach to management. {international banking supervision accord of Basel Il, and majority of the banks already meet capital requirements of Basel Ill, which has a deadline of 31 March 2019.Credit off-take has been surging ahead over the past decade, aided by strong economic growth, rising disposable incomes, increasing consumerism & easier access to credit. During FY07-18, credit offtake grew at a CAGR of 11%. As of QI FY19, total credit extended surged to Rs 86,976 billion (USS 1,297.4 billion), Demand has grown for both corporate & retail loans; particularly the services, real estate, consumer durables & agriculture allied sectors have led the growth in credit, Total banking sector assets (including public and private sector banks) have increased at a CAGR of 6% to USS 2.2 trillion during FY13-18, FY13-18 saw growth inassets ofbanks across sectors. RESEARCH PROBLEM: Evaluation of Channels of communication for Product Penetration during Covid 19 Reasons to study: Bank is doing cross sales from various channels but which one is most effective and profitable to bank as well as to customers particularly during Covid 19 period..To find out this a study is done of channels of communication in relation to demographic factors and satisfaction level among customers during the pandemic period. Case Processing Summary Primary Objective: 1, To Study Customer Preference on Selection of Channels of Communication during Covid 19. 2. To find out the reasons of not using Net Banking during Covid 19. HYPOTHESIS 1. HO: There is no significant association between customer preference on selection of channels of, communication and satisfaction. HI customer preference on selection of channels of, communication and satisfaction. 2. HO: There is no significant relationship between occupation and reasons of not using net banking. Hi: There is significant relationship between ‘occupation and reasons of not using net banking. Level of significance: Hypothesis was tested with 95% level of confidence and 5% level of significance (a= 0.05) Research Methodology : For this research conclusive There is significant association between and descriptive research is used in 300samples in various areas of Pune during period of May 2000-July2000, DATAANALYSIS Data analysis has been done using SPSS and MS. Excel Statement 1: There is significant association between customer preference on selection of channels of communication and satisfaction, HO: There is no significant association between customer preference on selection of channels of communication and satisfaction, Hi: There is significant association between customer preference on selection of channels of communication and satisfaction. Connectivity With The Bank + Satsfation with Fevourte Chanel Cae Waid sng Teal 3 ep = Tact Tavourte Chanmstat | S00 f000% fr To Vol. 8 Issue 29 © January to March 2024 seoon sana GD ‘QUARTERLY BI-LINGUAL RESEARGH JOURNALFavourite Channel of Connectivity with the Bank* Satisfaction with Favourite Channel Cross tabulation RateYourFavouriteChannel Tighly Highly [Dissatisfied [Dissatisfied Neutral Satisfied Satisfied Mobile Banking II 1 0 ps 1 {71 Net Banking i7 ba 26 03. Personal Banking hi2 p4 bs ho 74 Customer Care 7 b I ls Phone Banking II Il 6 ILI 1S 4 Total b 7 3 23. fs 00 Chi-Square Tests Asymp. Sig. 2 falue ff jdded) Pearson Chi-Square 4458" [16 [000 Likelihood Ratio 3.475 |e 1000 Linear-by-Linear Association sf 335 N of Valid Cases boo a. 9 cells (36.0%) have expected count less than 5. customer preference of channels of communication and ‘The minimum expected countis 12. satisfaction level. 4.458 Statement 2: 6 There is significant relationship between p=.000 Occupation and reasons of not using net banking, Interpretation : p value (0.000) is less than the level of H0: There is no significant relationship between significance (a=0.05), hence, null hypothesis is rejected; occupation and reasons of notusing net banking, therefore, there is significant association between HI: There is significant relationship between occupation andreasons of not using net banking, er sve 2 + January io Mar OOM CED {QUARTERLY B-LNGUATRESEAREN JOURNALCase Processing Summary Cases Valid Missing Total N Percent [N Percent [N Percent ‘Occupation*® Reasons | 3 100.0% % 3 100.0% Of Not Using Net Banking Occupation* Reasons Of Not Using Net Banking Cross tabulation Reasons Of Not Using Net Banking Difficul Safety Technolog. | Forgot Lack of G & y Passwor Knowledg toAcces Securit Capability a e y Housewit e Salaried olf Occupatio Employed Retired Student Chi-Square Tests Value DE ‘Asymp. Sig. (2-sided) Pearson Chi-Square | 22.528" [20 313 Likelihood Ratio 25.194 |20 194 Linear-by-Linear 1.507 1 220 Association N of Valid Cases 30 a, 30 cells (100.0%) have expected count less than 5. The minimum expected count is 53. ee sve + Jaa o Mar OMSL CED {QUARTERLY B-LNGUATRESEAREN JOURNALInterpretation : The value ofp (p= 0.313)is greater than forgot password, lack of knowledge. 0.05, therefore null hypothesis accepted and itshows that Statement 4: Reasons for Not Using Net Banking majority of customers not using net banking because of Reasons for Not Using Net Banking cumulative lid [Frequency [Percent [Percent Percent Technical Issues f 3 3.3 3.3 Unawareness 0 0.0 13.3 Forget Password |16 3 3.3 16.7 Safety & Security I 3 100.0 Total bo 10.0 ——‘f.00.0 Missing System 270 po. Total 00 loo. Interpretation : From the above data we can interpret most selected reason for not using net banking followed that Forget Password which is covering 53.33% is the by Unawareness 3 Reasons Not To Use HDFC Bank Services falid JCumulativ, [Frequency | Percent [Percent —_e Percent More Processing Time [32 07 p24 b24 Availability lio 3 13.3 5.7 “Awareness ko 7 14.0 h9.7 Low Consumer Satisfaction o B.0 bo3 5.9 Low Assurance/Trust [5 1.7 B.5 9.4 Affordability [54 3.0 B78 7.2 Accessability i 7 7.9 Safety/Security B 1.0 RL 1100.0 Total 143 7.7 {100.0 Missing System 57 2.3 Total {300 100.0 ei have 2 + Jrunry to Marcon1 — SNOOMSARTAT CED) {QUARTERLY /LNGUAL RESEARCH JOURNALInterpretation : From the above data we can interpret that Affordability which is covering 37.76% is the most selected reason for not to use HDFC Bank services followed by More Processing Time (22.38%) and ‘Awareness (13.99%). Also, the advancements in technology have brought the mobile and intemet banking services to the fore. The banking sector is laying greater emphasis on providing improved services to their clients and also upgrading their technology infrastructure, in order to enhance the customer's overall experience as well as give banks a competitive edge. CONCLUSION The COVID-19 emergency is educating investors, policy makers and the public at large that natural disasters can inflict economic damage on a previously unprecedented scale. Dissimilar to occasions such as global nuclear war, which is not survivable and so of no relevant cost, or events stich as environmental change that are much slower moving, or restricted calamities that make overflow and market responses, the COVID-19 pandemic is causing a direct global destructive economic impact that is present in every area of the globe. HDFC BANK has a tremendous potential to shake the banking industry, with its high captured market and big credit facility to cope up with COVID 19. Based on the analysis of responses given by existing and churn customers it can be concluded that HDFC BANK is good in providing consumer satisfaction and people are likely to shiftto intemet banking and mobile banking because it saves money and gives a freedom to customers. HDFC BANK needs to upgrade its digital banking services on deposits and withdrawals. As competitors are taking advantage in this area, HDFC bank should also introduce a kind of service in which customer can deposit cash without filling the slip In addition to it awareness is other concen; customers don't know that they have offers on certain products. Bank should aware them about them offers so that sales can be increased. A consideration of the characteristics of COVID-19, along with what research suggests have been the impacts of other past events that in some ways roughly parallel COVID-19, points toward avenues of future investigation, Many banks, including HDFC, ICICI and AXIS ate exploring the option to launch contact-less credit and debit cards in the market shortly. The cards, which use near field communication (NFC) mechanism, will allow customers to transact without having to insert or swipe. Competition is increasing in digital banking, in relation to it a comparative study can be done among different banks with the features and satisfaction level among customers. Introduction of digital platform for cash deposit and withdrawals can be done via mobile app in which a reference code can be generated and at the time of, depositing money at the counter the banker will enter the code in the system to after counting the cash and balance can be updated in the account of the customer, Complaints and Queries of the customer should be properly handled and should be resolved via their net banking handler, this will not only help the customer in resolving the problem soon as it takes less time in processing the request online but also it will lead the customer to a better satisfaction level and may help in patching the products online, as it will be readily 1 in be: Recurring Deposit, Fixed Deposit, Life available on their net banking login account, These products Insurance, General Insurance, 'axe-filling, Cheque book request, Loans ete, Introduction ofa tech leaming centre for customer can be beneficial for both, the bank and customers and customer will be empowered, aware and friendly in using net banking, Also it will minimize the load of operations and customer instructions in the bank. HDFC Bank is using Oracle Flexcube as its banking software where each time the operator needs to fast the information of the customer and account, For this enter a different path for accessing purpose a common fast path can be generated to access common type of information. It will save time and energy ofthe employees during lockdown period in COVID 19. References: 1. Bloom,Cadarette, and Sevilla(2018), Finance & development, June 2018, vol. $5, no. 2 Fan,Jamison, and summers(2018), Pandemic risk: how large are the expected losses? Who ‘QUARTERLY BILINGUAL RESEARCH JOURNALbulletin, feb1, 2018, 96(2), 129-134 Global-preparedness-monitoring-board(2019)_ a world atrisk, anmual report on global preparedness forhealth emergencies, September 2019. Elnahas, Ahmed and Kim, Dongnyoung and Kim, Incheon, natural disaster risk and corporate leverage (October 1, 2018). 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