Establishment of a performance-evaluation model for service quality in the banking industry

The study addresses the problem of service quality in the banking industry by modifying an importance–satisfaction (I–S) model in order to develop an integrated performance-measurement model for the banking industry, which would enable the priority of items for improvement to be determined. An importance and satisfaction questionnaire has been provided to determine which items do not fall into the appropriate performance-control zone of the performance-control matrix of the model. The performance-control matrix index provided enables the value of certain improvement objectives to be calculated. Finally, quality loss function is then adopted to rank the improvement objectives in terms of priority. A case study of a Taiwanese bank is then presented to demonstrate the applicability of the model in practice. The study thus presents a complete assessment model that helps managers to identify items for improvement, while simultaneously promoting cost and time efficiencies in service processes.