NEW DELHI: Punjab National Bank (PNB) , the country’s second largest public sector lender, is set to step up its focus on customer service as well as retail, agriculture and MSME lending, while targeting corporate loans that give higher returns, the bank’s new MD and CEO Ashok Chandra told TOI.
Chandra, who took over in Jan, is working with his team to deploy a QR code-based feedback system for all customer-facing employees with each staff member required to receive at least 50 such reviews. “Customer service is one area where we must step up and therefore it will be our top priority. Customer feedback will be part of the annual assessment of each employee,” he said.
The HR department is working on the module which is expected to be rolled out from May. Already, Canara Bank, where Chandra was executive director, has rolled out the facility. Chandra said that better customer service improves deposit flow, as he pitches PNB to be the primary bank for most retail customers, some of whom may have multiple accounts.
Besides, increasing the share of current accounts and savings account (CASA) balances in the total deposit base of the bank will be a thrust, given that its share has dropped to around 38% at the end of Dec, compared with 42.5% in Dec 2023.
While Chandra intends to step up engagement with the top 100 companies to ensure that PNB can meet their requirements, he is also going to be selective when it comes to lending.
“Low yielding advances don’t generate good income. We are the second largest bank but rank fifth in terms of operating profit. So, we need to be very mindful of the opportunities in the system and pricing is an important criterion for corporate loans.”
The new PNB chief has also pushed his colleagues from the head office into the field, whether it is to boost lending or step up recovery. “Slippages are under control, but we can improve recovery (of bad debt),” he said, adding that one time loan settlement is being pursued.