The Effect Of Customer Orientation Of Service Employees On Customer Satisfaction In Selected Private Banks

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The researcher tried to examine the effect of customer orientation of service employees on customer satisfaction in the private banking sector based on the four dimensions of COSE proposed by Hennig (2004) i.e Technical skills, social skills, motivation and perceived decision making authority. A quantitative research design was applied whereby descriptive and explanatory types were selected to describe about COSE and customer satisfaction and to research the causal relationship of COSE to that of customer satisfaction. A sample of 424individuals that are customers of the selected banks Tier I branches were selected by convenience sampling method and sample data by applying a structured questionnaire written in Amharic.The analysis was performed using descriptive and inferential statistics by using SPSS version 20 software.The finding shows that all dimensions of COSE positively and strongly affect customer satisfaction. Among the dependent variables motivation was found to have the greatest effect on customer satisfaction followed by perceived decision making authority while their mean scores show the lowest among the variables. Therefore, it is advisable for the banks to work more on motivating and developing the decision making capabilities of their employees. In addition, considering the inevitability of the high effect of COSE dimensions on customer satisfaction, banks should bear in mind these factors during recruitment and training of their employees



Customer orientation of service employees, customer satisfaction, technical skills