Banking services in saudi arabia research proposal

Banking problems in the late 1950s decade resulted in regulatory framework being strengthened in Saudi Arabia during the middle 1960s decade in which broad supervisory capacity was given to SAMA in a legal environment that upheld the concept of a Universal Banking Model allowing banks to make provision of a wide range of financial services â€Å"including banking, investments, securities, etc. through their branches.† (Saudi Arabian Monetary Agency, 2004, p.3) There were 12 operating banks by 1979 only three of which, were non-Saudi banks and branches had doubled by that year to 140. II. Lending Institutions in Saudi Arabia Five major lending institutions were introduced in the decade of the 1970s: (1) Saudi Credit Bank; (2) Saudi Agricultural Bank; (3) Public Investment Fund; (4) Saudi Development Fund; and (5) the Real Estate Fund. (Saudi Arabian Monetary Agency, 2004, p.3) Restructuring was accomplished arising from encouragement by the Saudi Government and by 1975 there was a reported â€Å"10 international bank†Ã¢â‚¬ ¦including â€Å"29 branches present.† (Saudi Arabian Monetary Agency, 2004, p.3) There was a rise and fall in the economy and SAMA faced a critical challenge for supervision in 1982 â€Å"when irregularities appeared in Saudi Cairo Bank’s operations. Two senior managers were involved in unauthorized trading in bullion during the 1979-81 period, and had concealed accumulated losses that exceeded the Bank’s share capital.† (Saudi Arabian Monetary Agency, 2004, p.3) It is reported that SAMA required the Bank to issue new shares and double its capital i n 1986. SAMA arranged this increase to be taken up entirely by the Public Investment Fund (PIF). The Bank also benefited from â€Å"low-cost† deposits from the Public Investment Fund. These measures helped the Bank with liquidity and rescued it back to a healthy position.† (Saudi Arabian Monetary Agency, 2004, p. 4-5 III. Regulatory Framework of Banking System in Saudi Arabia SAMA in collaboration with Saudi Arabia Ministry of Finance ensured the financial system’s stability and assisted banks in clearing the hurdles of economic downturn. Included in this collaborative initiative were the following actions: (1) Banks were required to seek SAMA’s approval prior to announcing their dividends. The Banking Control Law required all banks to build their statutory reserves equal to their share capital. SAMA further encouraged Saudi banks to build additional reserves to strengthen their capital base. (2) Most foreign shareholders in Saudi banks enjoyed a tax holiday for the first five years of their ownership. To encourage retention of profits, the tax holiday was extended in most cases by another 5 years after which a deferred tax scheme was permitted; (3) In 1986, SAMA obtained a ruling from the Tax Department that permitted the tax deduction of loan loss provisions on an accrual basis. This encouraged banks to increase their loan loss provisions for doubtful accounts; (4) To encourage Saudi banks to increase their inter-bank dealings and to support the development of a riyal inter-bank market, a tax ruling was obtained which exempted foreign banks from withholding taxes when carrying out inter-bank transactions with Saudi banks; (5) Corporate Governance. SAMA recognized the need to encourage banks to take strong steps to improve their risk management and control procedures. Consequently, it took major initiatives in the area of corporate governance. Firstly, it required all banks to develop and strengthen their internal audit departments, and secondly it issued minimum internal control guidelines. In addition, SAMA issued accounting standards for Commercial Banks in Saudi Arabia which were in line with International Accounting Standards; (6) Creation of Banking Disputes Committee. In 1987, Saudi authorities established a Banking Dispute Committee by the order of the Council of Ministers. The creation of this Committee a s the only relevant quasicourt to handle dispute between banks and their customers significantly strengthened the legal system. By law, all banking disputes had to be referred to this Committee and the rulings of this Committee were given the same enforcement support as decisions from any other court; (7) Exchange of Information on Large Borrowers and on Delinquent Loans. In the early 1980’s, SAMA established a credit information service that provided information to Saudi banks on all large exposures of the Banking System. This enabled banks to better assess the credit position and risk of big borrowers. Also in 1986, SAMA permitted banks to exchange information on delinquent borrowers as a means of applying collective pressure on them. These measures have proved quite effective in resolving problems of delinquent loans.† (Saudi Arabian Monetary Agency, 2004, p. 5-6) IV. Improvement of Banking Services Banking and financial services were improved during the early decade of the 1980s by technological advances and SAMA had acknowledged a decade earlier that there was not only a potential but as well as need to â€Å"enhance and strengthen the Saudi financial markets through greater investment in modern technology. It is reported that the primary objectives of this strategy were: (1) elimination of duplication of efforts and waste; and (2) development of a national infrastructure. (Saudi Arabian Monetary Agency, 2004, p. 7) Technology enhanced business services introduced included: (1) automated Cheque Clearing System (1986); (2) linking of Saudi Arabia with the SWIFT payment network; (3) introduction of a national Automated Teller Machine System enabling customers to access accounts from any machine in Saudi Arabia and from the major financial markets; (4) introduction of debit, credit and charge cards; and (5) introduction of Point-of-Sale terminals that link customers, traders and banks. (Saudi Arabian Monetary Agency, 2004, p.7) International Islamic Financial Institutions It is reported that International Islamic Financial Institutions are reported in the work of Memon (2007) entitled â€Å"Islamic Banking: Present and Future Challenges† to be making provision of â€Å"a wide range of services in accordance with the basic principles of Shariah. The products are reported to include: (1) Mudaraba; (2) Murabaha; (3) Musharaka; (4) Ijarah; (5) Isstina; and (6) Salam. (Memon, 2007, p.4) Conventional banks are reported to operate under the concept â€Å"of lender-borrower relationship where interest is considered as the rental income on capital. The depositors are assumed to be capital providers.† (Memon, 2007, p.4) Bank customers are reported to be divided into three broad categories as follows: (1) religiously motivated customers; (2) high profit customers; and (3) customers who are religiously motivated but also expect returns at least similar to conventional banks. (Memon, 2007, p.6) It is reported as follows in regards to the Islamic ec onomic system: â€Å"Islamic economics is a system, which not only fulfils our moral, ethical, and religious obligations but also demonstrates to be economically feasible and financially rewarding. Islamic banking is based on asset-based transactions for the purpose of income generation, and prohibits financing in all forms of economic activities, which are normally and/or socially injurious to the society.† (Memon, 2007, p.6) Additionally stated is that the Islamic field of Banking operations â€Å"is unlimited. It is under continuous process of evolving and Islamic financial modes instruments have been developed to cover nearly all kinds of businesses including consumer financing, project financing, house financing, working capital financing, import and export financing, venture capital, etc.† (Memon, 2007, p.6) A survey conducted in the United States indicates that U.S. banker perception of Islamic Banking includes that 10 out of 20 Islamic Banking practices are vie wed as acceptable. Those ten include: (1) investment accounts; (2) transfer of funds; (3) cost plus finance; (4) profit and loss; (5) sharing, (6) trust financing, (7) leasing, (8) lease purchase, (9) letters of guarantee, and (10) flexible investment of deposit and role as trustees. (Memon, 2007, p.8) VI. Service Quality in Saudi Arabian Banks The work of Al-Fawzan (2005) entitled â€Å"Assessing Service Quality in a Saudi Bank† states that service quality is defined as â€Å"the degree of alignment between customers’ expectations and their perceptions of the service received.† (Al-Fawzan, 2005, p.1) Al-Fawzan (2005) states that the move to â€Å"†¦managed service has increased demands for outcome-based accountability, cost containment, and attention to customer-focused quality in order to remain competitive in a rapidly changing environment. This dual focus on driving down costs while increasing quality has intensified pressures to understand, measure, and manage quality from a customer perspective.† (p.101) While banking systems are stated to provide services that are the same they are differentiated by the quality of services provided. In addition, today’s customers are â€Å"†¦more aware of the alternatives and their expectations of service have increased. Service quality c an, therefore, be used as a strategic tool to build a distinctive advantage over competitors. Banks are striving for zero defection and retaining every customer that the company can profitably serve in order to achieve service excellence.† (Al-Fawzan, 2005) Zero defections makes a requirement of ongoing efforts for improving service quality. It is reported that while quality â€Å"can not be improved unless it is measured, it can be defined from several perspectives, e.g., the ability to satisfy the needs and expectations of the customer, or the totality of features and characteristics of a product or service that bears on its ability to satisfy given needs.† (Al-Fawzan, 2005) There is a growing acknowledgement of quality importance in banking services although â€Å"its conceptualization and empirical assessment have remained limited.† (Al-Fawzan, 2005) Al-Fawzan (2005) reports that the â€Å"central tenet of the quality paradigm is the importance of understand ing and utilizing customer data to drive operational and strategic decisions, defining quality from the outside-in based on customer information is critical. This shift in defining quality often necessitates a fundamental change in the way professionals, managers, staff, and policy makers think about and identify those who â€Å"buy† or â€Å"use† products and service.† (Al-Fawzan, 2005) Those who use banking services are not generally refers to as ‘customers’ but instead are referred to as ‘client† suggesting â€Å"†¦a passive voice in the service delivery process, which is reflected by professionals in the field who question the credibility of client evaluation of services. On the other hand, customer carries an image of an active participant with more input in determining choices and decisions. Clients of human service organizations who follow directions from professionals and make few demands on the system are labeled as â€Å"cooperative.† In contrast, customers in the business sector who are loyal to the service, interact with the staff, and are willing to show their preferences are viewed as â€Å"desirable customer.† (Al-Fawzan, 2005) Al-Fawzan states that customers have difficulty in the articulation of â€Å"banking service quality† therefore â€Å"the recipient of the service can only really assess it, t hereby making its measurement more subjective than exact. Hence, the measurement of banking service quality has to be based on perceived quality rather than objective quality because services are intangible, heterogeneous and their consumption and production occur simultaneously.† (2005) It is reported that service quality â€Å"†¦ is a measure of how well the service level matches customers’ expectations.† (Al-Fawzan, 2005) It is reported that Parasuraman et al. â€Å"†¦defined service quality as perceived by customers and items from a comparison on their expectations of the services they will receive with their perceptions of the performance of the service provider.† (Al-Fawzan, 2005) The study reported by Al-Fawzan (2005) summarizes the results stated the following findings: (1) the most important dimension determined by Saudi Bank customers is that of ‘assurance dimension’; (2) a service gap exists in service quality provided b y Saudi Banks with the most notable gap being the accessibility dimension; (3) Saudi Bank customers, on average, rated Saudi Banks service quality to be overall good; (4) the expectations of Saudi Banks by customers are â€Å"highest in reliability dimension; (5) 67.8% of SB customers rated the overall service quality as good and very good; (5) SB employees dress nicely and they are polite when talking to customers; (6) SB has exceeded customers’ expectations in performing the service right from the beginning and in instilling the confidence in customers that their transactions are complete and safe.† (Al-Fawzan, 2005) The work of Sohail and Shaikh (2008) entitled â€Å"Internet Banking and Quality of Service: Perspectives from a Developing Nation in the Middle East† reports a study that had as its objective the measurement of the quality of service from the perspective of the customer on internet banking in Saudi Arabia. The study was conducted via a questionnaire survey and an extensive review of literature. Findings in the study report that upon the basis of a factor analysis three factors were found to influence the evaluation of quality of internet banking services by users. Those three factors identified are stated to include: (1) efficiency and security; (2) fulfillment; and (3) responsiveness. (Sohail and Shaikh, 2008) In 2010 Jasimuddin reported in the work entitled â€Å"Saudi Arabian Banks on the Web† reports that commercial transactions via the Internet began in 1995 and that online banking is an application with much promise. However, while many banks in developed countri es have made provision of banking services via the Internet, Saudi Arabia is â€Å"lagging behind.† (Jasimuddin, 2010, p.1) The environment in the Kingdom of Saudi Arabia’s environment is very conducive to Internet banking service provision. Jasimuddin reports that as of 2000 there were 11 banks and 1201 branches operating in Saudi Arabia. As of the middle of 2000, there are 11 banks with 1201 branches operating across Saudi Arabia. Eight banks are reported to have established a web site presence which is a rate of 73% of banks with a web site presence although only two of these offer Internet Banking Services. When the Saudi banks web sites are compared there is not major difference noted in the content of the bank web sites. The contents of the websites are stated to be inclusive of information about the bank, the addresses of branches and ATMs, phone and fax numbers, press releases, newsletters, news about the site and welcome letters, hot links, job opportunities, publications, contact and email, feedback, sitemap, site search, online forms and so forth. (Jasimuddin, 2010, paraphrased) Practically all of the banks provide information relating to customer services that â€Å"incorporate financial market, retail and corporate banking, investment treasury service, telephone and PC banking.† (Jasimuddin, 2010) I t is reported that online banking in Saudi Arabia is still a â€Å"very marginal activity† and that internet is presently being used by Saudi banks primarily for â€Å"brand awareness and promotion.† (Jasimuddin, 2010) Saudi banks will be driven by â€Å"the dynamic and imperatives of e-finance†¦to build web site and to start Internet banking.† (Jasimuddin, 2010) In other words, since this is a banking service that is increasingly familiar customers will be requesting these services from banks in the future in Saudi Arabia. VII. Technology Use in Banking Service Provision It was reported in 2007 that the National Commercial Bank of Saudi Arabia was established in Saudi Arabia prior to any other banks being established. This bank has 300 branches throughout the Kingdom of Saudi Arabia with some branches stated to be â€Å"dedicated exclusively to Islamic Banking Services. The National Commercial bank reports having implemented use of a digital signage system which is reported to make provision of a â€Å"better platform for NCB to better communicate with its employees, educating them about the banks products and services and enhancing the service they provide to their customers.† (Jasimuddin, 2010) Summary of Literature Reviewed It is clear that banks in Saudi Arabia are faced with a diverse customer-base and this makes a requirement of diversification of banking services offered by banks in the Kingdom. While internet banking services provision is somewhat behind the development in the rest of the world, it is certain that Saudi Arabian banking customers will clearly see the benefits to Internet banking and that the push will soon be on for provision of this banking service by Saudi Arabian banks. Internet banking as well as other technological advanced service possibilities are presently being explored by Saudi Arabian banks including such technologies as a digital signage system among others. While the banking sector is quite developed in the Kingdom of Saudi Arabia there does appear to be a general mistrust of Internet banking technology and not just on the part of customers but in the view of the banking industry in Saudi Arabia as well. Recommendations Arising from this study is a recommendation for research to be conducted examining the quality of banking service provision by banks in the Kingdom of Saudi Arabia with a focus on technology use. References Memon, N.A. (2007) Islamic Banking: Present and Future Challenges. Journal of Management and Social Sciences. Vol. 3, No. 1, (Spring 2007) 01-10. Institute of Business and Technology (BIZTEK). Retrieved from: http://www.biztek.edu.pk/downloads/research/jmss_v3_n1/1-islamic%20banking.pdf A Case Study On Globalization and the Role of Institution Building in the Financial Sector Saudi Arabian Monetary Agency. February 2004. Retrieved from: http://www.sama.gov.sa/sites/samaen/OtherReportsLib/SK521-04(CaseStudyonGlobalization-RoleofInstitutionBuildinginSaudiArabia-Final)Dr.Shaukat.pdf Al-Fawzan, MA (2005) Assessing Service Quality in a Saudi Bank. J. King Saud Univ., Vol. 18, Eng. Sci. (1), pp. 101-115, Riyadh (1426H./2005). Sohail, M.S. and Shaikh, N.M. (2008) Internet banking and quality of service: Perspectives from a developing nation in the Middle East. â€Å", Online Information Review, Vol. 32 Iss: 1, pp.58 – 72 Jasimuddin, Sajjad M. (2010) Saudi Arabianu Banks on the Web. Array Development. Retrieved from: http://www.tenso.fr/emarketing/wp-content/uploads/2010/05/Aper%C3%A7u-de-%C2%AB%C2%A0Saudi-Arabian-Banks-on-the-Web%C2%A0%C2%BB.pdf Banking services in saudi arabia research proposal Banking problems in the late 1950s decade resulted in regulatory framework being strengthened in Saudi Arabia during the middle 1960s decade in which broad supervisory capacity was given to SAMA in a legal environment that upheld the concept of a Universal Banking Model allowing banks to make provision of a wide range of financial services â€Å"including banking, investments, securities, etc. through their branches.† (Saudi Arabian Monetary Agency, 2004, p.3) There were 12 operating banks by 1979 only three of which, were non-Saudi banks and branches had doubled by that year to 140. II. Lending Institutions in Saudi Arabia Five major lending institutions were introduced in the decade of the 1970s: (1) Saudi Credit Bank; (2) Saudi Agricultural Bank; (3) Public Investment Fund; (4) Saudi Development Fund; and (5) the Real Estate Fund. (Saudi Arabian Monetary Agency, 2004, p.3) Restructuring was accomplished arising from encouragement by the Saudi Government and by 1975 there was a reported â€Å"10 international bank†Ã¢â‚¬ ¦including â€Å"29 branches present.† (Saudi Arabian Monetary Agency, 2004, p.3) There was a rise and fall in the economy and SAMA faced a critical challenge for supervision in 1982 â€Å"when irregularities appeared in Saudi Cairo Bank’s operations. Two senior managers were involved in unauthorized trading in bullion during the 1979-81 period, and had concealed accumulated losses that exceeded the Bank’s share capital.† (Saudi Arabian Monetary Agency, 2004, p.3) It is reported that SAMA required the Bank to issue new shares and double its capital i n 1986. SAMA arranged this increase to be taken up entirely by the Public Investment Fund (PIF). The Bank also benefited from â€Å"low-cost† deposits from the Public Investment Fund. These measures helped the Bank with liquidity and rescued it back to a healthy position.† (Saudi Arabian Monetary Agency, 2004, p. 4-5 III. Regulatory Framework of Banking System in Saudi Arabia SAMA in collaboration with Saudi Arabia Ministry of Finance ensured the financial system’s stability and assisted banks in clearing the hurdles of economic downturn. Included in this collaborative initiative were the following actions: (1) Banks were required to seek SAMA’s approval prior to announcing their dividends. The Banking Control Law required all banks to build their statutory reserves equal to their share capital. SAMA further encouraged Saudi banks to build additional reserves to strengthen their capital base. (2) Most foreign shareholders in Saudi banks enjoyed a tax holiday for the first five years of their ownership. To encourage retention of profits, the tax holiday was extended in most cases by another 5 years after which a deferred tax scheme was permitted; (3) In 1986, SAMA obtained a ruling from the Tax Department that permitted the tax deduction of loan loss provisions on an accrual basis. This encouraged banks to increase their loan loss provisions for doubtful accounts; (4) To encourage Saudi banks to increase their inter-bank dealings and to support the development of a riyal inter-bank market, a tax ruling was obtained which exempted foreign banks from withholding taxes when carrying out inter-bank transactions with Saudi banks; (5) Corporate Governance. SAMA recognized the need to encourage banks to take strong steps to improve their risk management and control procedures. Consequently, it took major initiatives in the area of corporate governance. Firstly, it required all banks to develop and strengthen their internal audit departments, and secondly it issued minimum internal control guidelines. In addition, SAMA issued accounting standards for Commercial Banks in Saudi Arabia which were in line with International Accounting Standards; (6) Creation of Banking Disputes Committee. In 1987, Saudi authorities established a Banking Dispute Committee by the order of the Council of Ministers. The creation of this Committee a s the only relevant quasicourt to handle dispute between banks and their customers significantly strengthened the legal system. By law, all banking disputes had to be referred to this Committee and the rulings of this Committee were given the same enforcement support as decisions from any other court; (7) Exchange of Information on Large Borrowers and on Delinquent Loans. In the early 1980’s, SAMA established a credit information service that provided information to Saudi banks on all large exposures of the Banking System. This enabled banks to better assess the credit position and risk of big borrowers. Also in 1986, SAMA permitted banks to exchange information on delinquent borrowers as a means of applying collective pressure on them. These measures have proved quite effective in resolving problems of delinquent loans.† (Saudi Arabian Monetary Agency, 2004, p. 5-6) IV. Improvement of Banking Services Banking and financial services were improved during the early decade of the 1980s by technological advances and SAMA had acknowledged a decade earlier that there was not only a potential but as well as need to â€Å"enhance and strengthen the Saudi financial markets through greater investment in modern technology. It is reported that the primary objectives of this strategy were: (1) elimination of duplication of efforts and waste; and (2) development of a national infrastructure. (Saudi Arabian Monetary Agency, 2004, p. 7) Technology enhanced business services introduced included: (1) automated Cheque Clearing System (1986); (2) linking of Saudi Arabia with the SWIFT payment network; (3) introduction of a national Automated Teller Machine System enabling customers to access accounts from any machine in Saudi Arabia and from the major financial markets; (4) introduction of debit, credit and charge cards; and (5) introduction of Point-of-Sale terminals that link customers, traders and banks. (Saudi Arabian Monetary Agency, 2004, p.7) International Islamic Financial Institutions It is reported that International Islamic Financial Institutions are reported in the work of Memon (2007) entitled â€Å"Islamic Banking: Present and Future Challenges† to be making provision of â€Å"a wide range of services in accordance with the basic principles of Shariah. The products are reported to include: (1) Mudaraba; (2) Murabaha; (3) Musharaka; (4) Ijarah; (5) Isstina; and (6) Salam. (Memon, 2007, p.4) Conventional banks are reported to operate under the concept â€Å"of lender-borrower relationship where interest is considered as the rental income on capital. The depositors are assumed to be capital providers.† (Memon, 2007, p.4) Bank customers are reported to be divided into three broad categories as follows: (1) religiously motivated customers; (2) high profit customers; and (3) customers who are religiously motivated but also expect returns at least similar to conventional banks. (Memon, 2007, p.6) It is reported as follows in regards to the Islamic ec onomic system: â€Å"Islamic economics is a system, which not only fulfils our moral, ethical, and religious obligations but also demonstrates to be economically feasible and financially rewarding. Islamic banking is based on asset-based transactions for the purpose of income generation, and prohibits financing in all forms of economic activities, which are normally and/or socially injurious to the society.† (Memon, 2007, p.6) Additionally stated is that the Islamic field of Banking operations â€Å"is unlimited. It is under continuous process of evolving and Islamic financial modes instruments have been developed to cover nearly all kinds of businesses including consumer financing, project financing, house financing, working capital financing, import and export financing, venture capital, etc.† (Memon, 2007, p.6) A survey conducted in the United States indicates that U.S. banker perception of Islamic Banking includes that 10 out of 20 Islamic Banking practices are vie wed as acceptable. Those ten include: (1) investment accounts; (2) transfer of funds; (3) cost plus finance; (4) profit and loss; (5) sharing, (6) trust financing, (7) leasing, (8) lease purchase, (9) letters of guarantee, and (10) flexible investment of deposit and role as trustees. (Memon, 2007, p.8) VI. Service Quality in Saudi Arabian Banks The work of Al-Fawzan (2005) entitled â€Å"Assessing Service Quality in a Saudi Bank† states that service quality is defined as â€Å"the degree of alignment between customers’ expectations and their perceptions of the service received.† (Al-Fawzan, 2005, p.1) Al-Fawzan (2005) states that the move to â€Å"†¦managed service has increased demands for outcome-based accountability, cost containment, and attention to customer-focused quality in order to remain competitive in a rapidly changing environment. This dual focus on driving down costs while increasing quality has intensified pressures to understand, measure, and manage quality from a customer perspective.† (p.101) While banking systems are stated to provide services that are the same they are differentiated by the quality of services provided. In addition, today’s customers are â€Å"†¦more aware of the alternatives and their expectations of service have increased. Service quality c an, therefore, be used as a strategic tool to build a distinctive advantage over competitors. Banks are striving for zero defection and retaining every customer that the company can profitably serve in order to achieve service excellence.† (Al-Fawzan, 2005) Zero defections makes a requirement of ongoing efforts for improving service quality. It is reported that while quality â€Å"can not be improved unless it is measured, it can be defined from several perspectives, e.g., the ability to satisfy the needs and expectations of the customer, or the totality of features and characteristics of a product or service that bears on its ability to satisfy given needs.† (Al-Fawzan, 2005) There is a growing acknowledgement of quality importance in banking services although â€Å"its conceptualization and empirical assessment have remained limited.† (Al-Fawzan, 2005) Al-Fawzan (2005) reports that the â€Å"central tenet of the quality paradigm is the importance of understand ing and utilizing customer data to drive operational and strategic decisions, defining quality from the outside-in based on customer information is critical. This shift in defining quality often necessitates a fundamental change in the way professionals, managers, staff, and policy makers think about and identify those who â€Å"buy† or â€Å"use† products and service.† (Al-Fawzan, 2005) Those who use banking services are not generally refers to as ‘customers’ but instead are referred to as ‘client† suggesting â€Å"†¦a passive voice in the service delivery process, which is reflected by professionals in the field who question the credibility of client evaluation of services. On the other hand, customer carries an image of an active participant with more input in determining choices and decisions. Clients of human service organizations who follow directions from professionals and make few demands on the system are labeled as â€Å"cooperative.† In contrast, customers in the business sector who are loyal to the service, interact with the staff, and are willing to show their preferences are viewed as â€Å"desirable customer.† (Al-Fawzan, 2005) Al-Fawzan states that customers have difficulty in the articulation of â€Å"banking service quality† therefore â€Å"the recipient of the service can only really assess it, t hereby making its measurement more subjective than exact. Hence, the measurement of banking service quality has to be based on perceived quality rather than objective quality because services are intangible, heterogeneous and their consumption and production occur simultaneously.† (2005) It is reported that service quality â€Å"†¦ is a measure of how well the service level matches customers’ expectations.† (Al-Fawzan, 2005) It is reported that Parasuraman et al. â€Å"†¦defined service quality as perceived by customers and items from a comparison on their expectations of the services they will receive with their perceptions of the performance of the service provider.† (Al-Fawzan, 2005) The study reported by Al-Fawzan (2005) summarizes the results stated the following findings: (1) the most important dimension determined by Saudi Bank customers is that of ‘assurance dimension’; (2) a service gap exists in service quality provided b y Saudi Banks with the most notable gap being the accessibility dimension; (3) Saudi Bank customers, on average, rated Saudi Banks service quality to be overall good; (4) the expectations of Saudi Banks by customers are â€Å"highest in reliability dimension; (5) 67.8% of SB customers rated the overall service quality as good and very good; (5) SB employees dress nicely and they are polite when talking to customers; (6) SB has exceeded customers’ expectations in performing the service right from the beginning and in instilling the confidence in customers that their transactions are complete and safe.† (Al-Fawzan, 2005) The work of Sohail and Shaikh (2008) entitled â€Å"Internet Banking and Quality of Service: Perspectives from a Developing Nation in the Middle East† reports a study that had as its objective the measurement of the quality of service from the perspective of the customer on internet banking in Saudi Arabia. The study was conducted via a questionnaire survey and an extensive review of literature. Findings in the study report that upon the basis of a factor analysis three factors were found to influence the evaluation of quality of internet banking services by users. Those three factors identified are stated to include: (1) efficiency and security; (2) fulfillment; and (3) responsiveness. (Sohail and Shaikh, 2008) In 2010 Jasimuddin reported in the work entitled â€Å"Saudi Arabian Banks on the Web† reports that commercial transactions via the Internet began in 1995 and that online banking is an application with much promise. However, while many banks in developed countri es have made provision of banking services via the Internet, Saudi Arabia is â€Å"lagging behind.† (Jasimuddin, 2010, p.1) The environment in the Kingdom of Saudi Arabia’s environment is very conducive to Internet banking service provision. Jasimuddin reports that as of 2000 there were 11 banks and 1201 branches operating in Saudi Arabia. As of the middle of 2000, there are 11 banks with 1201 branches operating across Saudi Arabia. Eight banks are reported to have established a web site presence which is a rate of 73% of banks with a web site presence although only two of these offer Internet Banking Services. When the Saudi banks web sites are compared there is not major difference noted in the content of the bank web sites. The contents of the websites are stated to be inclusive of information about the bank, the addresses of branches and ATMs, phone and fax numbers, press releases, newsletters, news about the site and welcome letters, hot links, job opportunities, publications, contact and email, feedback, sitemap, site search, online forms and so forth. (Jasimuddin, 2010, paraphrased) Practically all of the banks provide information relating to customer services that â€Å"incorporate financial market, retail and corporate banking, investment treasury service, telephone and PC banking.† (Jasimuddin, 2010) I t is reported that online banking in Saudi Arabia is still a â€Å"very marginal activity† and that internet is presently being used by Saudi banks primarily for â€Å"brand awareness and promotion.† (Jasimuddin, 2010) Saudi banks will be driven by â€Å"the dynamic and imperatives of e-finance†¦to build web site and to start Internet banking.† (Jasimuddin, 2010) In other words, since this is a banking service that is increasingly familiar customers will be requesting these services from banks in the future in Saudi Arabia. VII. Technology Use in Banking Service Provision It was reported in 2007 that the National Commercial Bank of Saudi Arabia was established in Saudi Arabia prior to any other banks being established. This bank has 300 branches throughout the Kingdom of Saudi Arabia with some branches stated to be â€Å"dedicated exclusively to Islamic Banking Services. The National Commercial bank reports having implemented use of a digital signage system which is reported to make provision of a â€Å"better platform for NCB to better communicate with its employees, educating them about the banks products and services and enhancing the service they provide to their customers.† (Jasimuddin, 2010) Summary of Literature Reviewed It is clear that banks in Saudi Arabia are faced with a diverse customer-base and this makes a requirement of diversification of banking services offered by banks in the Kingdom. While internet banking services provision is somewhat behind the development in the rest of the world, it is certain that Saudi Arabian banking customers will clearly see the benefits to Internet banking and that the push will soon be on for provision of this banking service by Saudi Arabian banks. Internet banking as well as other technological advanced service possibilities are presently being explored by Saudi Arabian banks including such technologies as a digital signage system among others. While the banking sector is quite developed in the Kingdom of Saudi Arabia there does appear to be a general mistrust of Internet banking technology and not just on the part of customers but in the view of the banking industry in Saudi Arabia as well. Recommendations Arising from this study is a recommendation for research to be conducted examining the quality of banking service provision by banks in the Kingdom of Saudi Arabia with a focus on technology use. References Memon, N.A. (2007) Islamic Banking: Present and Future Challenges. Journal of Management and Social Sciences. Vol. 3, No. 1, (Spring 2007) 01-10. Institute of Business and Technology (BIZTEK). Retrieved from: http://www.biztek.edu.pk/downloads/research/jmss_v3_n1/1-islamic%20banking.pdf A Case Study On Globalization and the Role of Institution Building in the Financial Sector Saudi Arabian Monetary Agency. February 2004. Retrieved from: http://www.sama.gov.sa/sites/samaen/OtherReportsLib/SK521-04(CaseStudyonGlobalization-RoleofInstitutionBuildinginSaudiArabia-Final)Dr.Shaukat.pdf Al-Fawzan, MA (2005) Assessing Service Quality in a Saudi Bank. J. King Saud Univ., Vol. 18, Eng. Sci. (1), pp. 101-115, Riyadh (1426H./2005). Sohail, M.S. and Shaikh, N.M. (2008) Internet banking and quality of service: Perspectives from a developing nation in the Middle East. â€Å", Online Information Review, Vol. 32 Iss: 1, pp.58 – 72 Jasimuddin, Sajjad M. (2010) Saudi Arabianu Banks on the Web. Array Development. Retrieved from: http://www.tenso.fr/emarketing/wp-content/uploads/2010/05/Aper%C3%A7u-de-%C2%AB%C2%A0Saudi-Arabian-Banks-on-the-Web%C2%A0%C2%BB.pdf

Ways of a DJ Essay Example | Topics and Well Written Essays - 750 words

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American Gothic Essay Example | Topics and Well Written Essays - 500 words

American Gothic - Essay Example American Gothic is a highly expressive painting which captures the spirit of an age. Depicting a Midwestern farmer and his daughter, the dour expressions of the faces of both father and daughter, their highly modest clothing and the conservatism which they exude, communicate the hardship of the times. Whether from the modesty of their clothing, the utter dourness of their expression or the plainness of the house in the background, the picture tells the story of an age. It is an age where people lived by their own labor and had to work long hours, leaving hardly any room for pleasurable pursuits, just to survive and make ends meet. Certainly, the picture does not tell a tale of poverty but it tells one of a life of work with no pleasure in order to satisfy the basic requirements of livelihood, decent clothing and shelter. The painting further provides readers with an understanding of male-female relations and roles during the age in question. In this picture, the farmer is pictured holding a large pitchfork and dominates the painting. His daughter is standing just behind him and while he is looking straight ahead, gazing at onlookers, her eyes are averted. The pitchfork is a symbol of the manual labor for which men were responsible and the fact that the daughter is standing behind the father is indicative of the subservient status of females. Added to that, the fact that the man is looking straight ahead and the daughter’s eyes are averted could be interpreted as evidencing the public role of men versus the private role of females. It is, thus, that the male figure is boldly looking at the painter and, hence, directly at us while the female figure is not.

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Have recent reforms increased parliaments ability to hold the executive to account - Essay Example ervation of separation of powers is essential as a check on autocratic power, further symbolised in the UK by the role of Parliament as a check on the executive. With regard to the UK position, the doctrine of the separation of powers has traditionally been limited and criticised for being somewhat unclear in comparison to other democracies3. Nevertheless, it has been commented that the doctrine does in fact influence everyday operations of the executive, legislature and judiciary4 and Barnett argues that â€Å"Separation of powers†¦Ã¢â‚¬ ¦ runs like a thread throughout the constitution of the United Kingdom5.† Nevertheless, in the UK there has not been a clear separation of the branches of the state6, but rather a fusion. For example, the executive clearly carries out legislative functions and a prime example is the Law Commission. Although the Law Commission Act 1965 clearly requires the Commission to be â€Å"independent7† in reviewing law reform, its committee members are appointed by the Lord Chancellor who also grants prior approval to projects that the Law Commission will review. Additionally, the judiciary obtain their power from the Crown and there is a distinct overlap of functions between the powers, which should be separated for the effective application of the separation of powers and the efficacy of Parliament as check on the executive8. To address these inefficiencies in the constitutional notion of a separation of powers, the Government undertook what was propounded as the â€Å"biggest constitutional shake up for years9† asserted determination â€Å"to put the relationship between Executive, Legislature and Judiciary on a modern footing, respecting the separation of powers between the three10.† Official debate regarding this pledge culminated in the implementation of the Constitutional Reform Act 2005 (the Act), which was approved by both Houses on March 21, 2005, receiving Royal Assent on 24 March 2005. The Act introduced provisions for modifying

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Analyse and evaluate the impact of volunteer tourism on host communities - Essay Example In the first place, firms try to optimise everything and one subject of the optimisation process is the human resource. For this reason, the human resource department may be picky in dealing with finding the human resources that are truly competent or will have optimum contribution for the firm’s future success. There is a prevailing notion that the younger are the chosen employees, the better it will be for the company. However, there might also be substantial flaws in this argument because there are also prevailing young age discriminations in the workplace. In particular, young people might be less likely promoted because of their age (Sargeant, 2006, p.84). At the other end, old age discrimination is also prevalent, because older people are perceived to be somewhere in the portion of economic inactivity, leading to the firm’s likelihood of obtaining less possible output from them (Sargeant, 2006, p.91). Added to this, people belonging to senior age group are also un der the area of discrimination, especially on the ground of promotion, training opportunities and redundancy (Sargeant, 2006, p.90). On the other hand, the group that will be less likely to experience possible discrimination at the workplace is composed of the middle-age employees, but these are also the people who have most of their needs for feeding their children and some women in this group suffer a significant discrimination (Sergeant, 2006, p.88). In other words, in all possible ages of workers, discrimination might be remarkable in the workplace, because they are subjects to the firm’s prevailing requirement of optimising what seems to be substantial for the company’s welfare. In other words, not everyone of varying age has the chance to be given the optimum break in a firm. The work at hand tries to depict the actual probable problems linked to inequality through age discrimination in the workplace. According to the study of Roscigno et al. (2007,

A critical analysis of the local, national and international context Essay

A critical analysis of the local, national and international context of Inclusive Education - Essay Example anchored on consolidation of the existing capacity, policies and practices of the education system in a country to reach out to students with special needs and disability and seeks to eliminate the distinction between SEND as well as regular students (Sovic & Blythman, 2013). Students with special education needs experience learning difficulties when subjected under the normal school environment caused by diversified factors such as the autistic spectrum disorder (ASD), physical impairments, and cerebral palsy. The National Association for Special Educational Need (NASEN) has classified students with special educational needs under three broad categories including School Action, School Action Plus and statement plus special education, which facilitates the implementation of policy and practice for students with SEND as well as inclusion in various educational institutions. Over the years, legislations, policies, and strategies have been implemented to set an inclusive school environment for SEND provisions, which have been accommodated in the education school system such as the Special Education Act 20that has had a global influence in the promotion of inclusive education. Initially, the subject of whether children with special education needs should be included in special or mainstream school was controversial and it was only until 1990 that saw the inception of inclusive education (Black-Hawkins, Florian & Rouse, 2007). Special Educational Needs Act was implemented on 2009, which highlighted the policies and legal rights of students with disabilities in the UK. Similarly, a number of strategies have also been placed to ensure students with SEND swiftly adapt to the mainstream schools such as provision physical amenities that are friendly to students with disabilities including ramps (DfE, 2011). On an equal measure various local and international le gislations and policies have also been enacted to ensure that students with SEND are provided with equal

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The influence of Bunuel on Latin American Cinema - Essay Example The paper "The influence of Bunuel on Latin American Cinema" concerns the surrealism and the figure of Bunuel. The Dada representatives disdained official art. In 1922 the movement of Dada propagated the dominance of the world of imagination and subconscious. Having become surrealists the former Dadaists started experimenting with the automatic writing. The idea was that one put down the words that occurred to a writer. The same principle was applied to painters who reflected on the canvas the images appearing in their head. In general the direction of surrealism prioritized the fabrication of psychological works rather than creating art masterpieces. The basic principle used in surrealism was irrationalism. Breton published â€Å"Manifesto of Surrealism† where he gave the explanation of this movement. Luis Buà ±uel was the introducer of surrealism to the cinema and in this way he became an innovator. He was prominent both in silent and modern films, he shot not only feature films but also documentaries. He is believed to be the first surrealist in the world of cinematic though he has several works that are said to be made in realistic and non-realistic manner. His most successful films were in the can when he was past 60. As a rule film directors either retire or have a substantial filmography at this age. Due to his rich life experience Buà ±uel touched upon several topics in his films: Yet despite all the innovations and permutations of his work, Buà ±uel remained suprisingly consistent.