ASSESING THE EFFECT OF CORE BANKING ON SERVICE QUALITY AND CUSTOMER SATISFACTION: THE CASE STUDY OF COMMERCIAL BANK OF ETHIOPIA NORTH ADDIS ABABA DISTRICT

Abstract

The purpose of this study was to: examine effect of core banking system in Ethiopia; with a title of the study (assessing the effect of core banking on service quality and customer satisfaction) under the emphasis on North Addis Ababa district. This research was carried out using a descriptive survey design. The target population of this study was all the commercial banks in Ethiopia North Addis Ababa District by considering North Addis Ababa the whole representation of the commercial bank of Ethiopia. The research instrument for this study was a questionnaire and interview, Data was collected from customer, operational manager, district manager of commercial banks in Ethiopia. This data was analyzed using SPSS Version 24 and manipulated through descriptive statistics such as frequency, percentages, standard deviation, correlation, regression and mean scores. Findings also indicated that implementing modern core banking systems has a contribution to the quick and fast service delivery, Based on the above findings, the following recommendations were made. First, banks need to be mindful of the challenges associated with core banking deployments. These challenges, once understood should be mitigated, so the bank should focus on service quality and customer satisfaction therefore there could be better tomorrow