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special featureand varied Indian democratic structures. Personaltouch and relationship management in banks in Indiacontinues to hold significance as a value propositionto customers despite the massive automation of bankingservices.Financial Inclusion- a viable business propositionfor banksDespite the massive expansion of banking system,majority of people still bank on indigenous moneylendersin villages leading to a low financial inclusion ratio.More inclusive growth leads to improvement in theeconomy and pooling financial resources in the formof savings of large number of people strengthensbank's capability to lend more. Banks need to quicklymove towards universal financial inclusion. This isboth a national commitment as well as a publicpolicy priority. In order to achieve the ultimateobjective of reaching banking services to all the sixlakh villages, financial inclusion has to become a viablebusiness proposition for the banks.Rising Customer ExpectationWhile banks are moving towards attaining higherstandards of customer service, the customer needstoo are increasing because of globalizing environment.As a result, banks have to chase moving target inmeeting customer aspirations. While the technologybrings sophistication and speed, the element of humanrelationship holds more value in strengthening businessties. PSBs provide the much needed personal serviceto customers respecting the age and profile ofcustomers. Banks are gearing up to provide a suitableservice environment to different class of customers.Setting up of specialized branches is a step to meetcustomer expectations.Challenges for banks in integrating ITMaking customers comfortable in using technologybased products and services will be a challengeto educate customers to shift transactions frommanual mode to technology mode to enable optimumuse of IT infrastructure. Unless customers extensivelyuse technology platform, there is absolutely no pay backfor banks.In the environment of subdued usage, banks will notbe encouraged to bring further improved technology.Since technology suffers from fast obsolescence,replacement has to be fast and hence pay back isessential. Those using technology centric services inbanks should become partners in spreading educationon usage of electronic banking.IT Centric Customer ServiceThe future of banks will belong to tech-savvy bankersas well as users. Information technologies and theinnovations are strategic tools for enhancing thevalue of customer relationship. They reduce the costof financial transactions, improve the allocation offinancial resources and increase the competitivenessand efficiency of financial institutions. Even as theachievements of IT in the banking sector areimpressive, banks have a big agenda on the wayforward.Customer - centric ModelBanks need to adopt more customer-centric modelsof growth and service. Technology is not an end,but means of business and it must help reduceintermediation costs. Availability of financial services /products, at affordable prices on an uninterruptedbasis is the purpose and result of financial sectorstability.Efforts to Improve Customer Service at BranchesBanks should be focused towards providingexcellent customer service through all deliverychannels and has been making continuous effortsfor enhancing the level of customers' satisfaction byleveraging technology to provide e-products andalternative delivery channels best suited to thediverse needs of different customers. The variedinterests and expectations of customers are takencare of by improving upon the various processes andprocedures.To eradicate customer complaints fully and ensurehassle free customer service, analysis is done onthe complaints received from the customers andsuitable timely action is taken so that there is norepetition of such complaints in future. Every bank24October - December 2011The Journal of Indian Institute of Banking & Finance