Impact of Data Privacy and Security on Customer Satisfaction

The given assignment focuses on the significance of data privacy and security in the banking sector, emphasizing its impact on customer satisfaction. It involves collecting primary data from secondary sources, analyzing it using a qualitative method, and drawing conclusions based on thematic analysis. The study aims to understand how the banking sector can increase customer base and satisfaction by prioritizing data security. References are provided from various books, journals, and online sources for further research.

Data security and Privacy in Banking /Smart
Banking Sector

TABLE OF CONTENTS
DISSERTATION PROPOSAL.......................................................................................................1
TITLE..............................................................................................................................................1
INTRODUCTION...........................................................................................................................1
Background of topic....................................................................................................................1
Background of company..............................................................................................................1
Aims and Objective.....................................................................................................................1
Aims:........................................................................................................................................1
Objective:.................................................................................................................................1
Research Question.......................................................................................................................2
Rationale......................................................................................................................................2
LITERATURE REVIEW................................................................................................................2
METHODOLOGY..........................................................................................................................4
Data collection.............................................................................................................................4
Data analysis................................................................................................................................4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

DISSERTATION PROPOSAL
TITLE
Data security and Privacy in Banking or Smart Banking Sector
INTRODUCTION
Background of topic
Security and privacy are the two main issues which are faced by today’s banking sector
as they are emerging as smart banking sectors (Raza, Jawaid and Hassan, 2015). The use of
technology will be very much influencing the banking sector of whole world as they are using
mobile banking, internet banking and many of them are having their own software application.
Despite the increasing trend of mobile applications and internet banking there are certain
loopholes and defaults which companies are facing. There is decreasing level of customer’s
satisfaction in relation to banks which is lowering down their profits and increasing cost.
So this particular dissertation will be dealing with all data security and privacy issues
which are faced by company and customers due to which their satisfaction is lowering down
(Liébana-Cabanillas, Sánchez-Fernández and Viedma-del Jesús, 2016).
Background of company
HSBC Holding Plc. is one of the leading banking solutions that are provided to customers
of all around the world. It is a British multinational banking and financial service holding
company which is having 7th rank in all around world and largest bank in Europe with total asset.
As it was included in year 2009 HSBC was charged fine of €3 million due to careless handling of
its customers details which is regarded to as one of the most important data security and privacy
issues faced by them (George and Kumar, 2014).
Aims and Objective
Aims:
To analyse the impact of data security and privacy in banking sector on customers
satisfaction: A case study on HSBC Holding Plc.
Objective:
 To identify issues related to data privacy and securities in banking sector
 To examine the role of globalisation and technology within HSBC Holding Plc.
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 To analyse the impact of data securities and privacy on banking sector
 To recommend ways to enhance data security and privacy for HSBC for increasing
customer satisfaction
Research Question
1. What are issues related to data privacy and securities in banking sector?
2. How globalisation and technology are playing significant role within HSBC Holding
Plc.?
3. What is the impact of data securities and privacy on banking sector?
4. How could HSBC enhance data security and privacy for increasing customer
satisfaction?
Rationale
This particular dissertation will be very much important for highlighting issue and
challenges which are faced by companies which are providing important banking solutions to
their customers (Zameer, Kausar and Mohsin, 2015). There are ways in which banks could
improve their level of customer satisfaction one of the most important could be that of providing
good data security and privacy settings.
LITERATURE REVIEW
According to view of Alwan and Al-Zubi, (2016) there are different types of services
which banks are providing to their customers like that of business loans, checking accounts, and
internet banking and cash management systems. All of them are having specified issues like that
of lack of security in respect to customer details, slow net banking services, lack of expertise,
lengthy process and documentations. So most important among them all will be related to lack of
appropriate measures in respect to securing privacy and details of customers.
Technology and globalisation both of them are playing very essential role in banking
sector as with their help only internet and international banking is possible. As per the view of
Bouma, Jeucken and Klinkers, (2017) without the help of technology it was not easy or possible
to interact with customers on nationwide or international level. While Shaikh and Karjaluoto,
(2015) also criticised the role of technology as due to this only there are many privacy errors or
leakage of data or details of customers.
With the increasing technologies and innovations in banking sectors has been the rise of
the need of sophisticated laws in order to protect the customer’s information. Many countries in
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the world have enacted the laws in order to protect the customer’s information. Data security and
data privacy will have both positive as well as negative impact on the customer’s satisfaction.
Data security and privacy will protect the customers valuable information from getting shared
this will result in development of loyal customers but any breach in the information will result in
loss of wide range of customers and will bring dissatisfaction and even the customer go for the
switching the bank because of the security reasons. A bank providing proper security to
customer’s valuable information will result in happy customers and will also result in building of
trust among the customers for the bank. But using the customer’s data for the marketing purpose
will leave a negative impression of bank on the customers and will result in the customer’s
dissatisfaction. Customers believe that most of the banking companies are responsible towards
protecting the customer’s data, this increases the customer’s loyalty, but a threat of breach
increases during the holidays or during the shopping seasons which brings dissatisfaction among
the customers.
. Customers using the banking cards trust the bank for their information not been stolen
this brings satisfaction and confidence that the institution would not breach the information
which brings a satisfaction among the customer and will increase the loyalty of the customers
towards the bank, but high level security breaches have made the things more difficult for the
banking institution and they are faced with the challenges of customer retention. Data privacy of
banking sector means to prevent customers information from the wrong hands so that to prevent
any bad thing to happen this will result in the customers satisfaction but if a bank is not
responsible towards the customer’s data privacy it will result in the financial loss of the customer
as well as for the bank and hence customers get dissatisfied with the banking service. This data
security and data privacy plays an important role in customers satisfaction the level of data
security and data privacy that a bank provides to the customers will have an impact on the
satisfaction level of a customers. So it is the duty of a banking sector to protect the data and
information’s of the customers from getting misused. A banking sectors should make use
different technologies and innovation in protecting customer’s data base in order to attract more
customers and increase the level of satisfaction for the customers. So at present customers data
security have become a prime focus of the banking sector.
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METHODOLOGY
Data collection
The data or information related to the data privacy and security will be dealing with
primary data will be collected from secondary sources (Omariba, Masese and Wanyembi, 2018).
Within this secondary sources data will be collected in form of articles, journals, website so that
impact of data privacy and security on customer and their satisfaction will be identified.
Data analysis
The analysis of data and information collected will be based on qualitative method by
involving thematic analyse so that conclusion could be drawn on topic.
CONCLUSION
From the above section it could be concluded that data privacy and security is very much
important in way of customers as it would develop more strength for banking sector in increasing
customer base.
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REFERENCES
Books and Journals:
1. Alwan, H.A. and Al-Zubi, A.I., 2016. Determinants of Internet banking adoption among
customers of commercial banks: an empirical study in the Jordanian banking
sector. International Journal of Business and Management, 11(3), p.95.
2. Bouma, J.J., Jeucken, M. and Klinkers, L., 2017. Assessing the sustainability of bank service
channels: the case of The Co-operative Bank. In Sustainable Banking (pp. 72-87).
Routledge.
3. George, A. and Kumar, G.G., 2014. Impact of service quality dimensions in internet banking
on customer satisfaction. Decision, 41(1), pp.73-85.
4. Liébana-Cabanillas, F., Sánchez-Fernández, J. and Viedma-del Jesús, M.I., 2016. The
moderating effect of user experience on satisfaction with electronic banking: empirical
evidence from the Spanish case. Information Systems and e-Business Management, 14(1),
pp.141-165.
5. Raza, S.A., Jawaid, S.T. and Hassan, A., 2015. Internet banking and customer satisfaction in
Pakistan. Qualitative Research in Financial Markets, 7(1), pp.24-36.
6. Shaikh, A.A. and Karjaluoto, H., 2015. Mobile banking adoption: A literature
review. Telematics and Informatics, 32(1), pp.129-142.
7. Zameer, H., Kausar, U. and Mohsin, A., 2015. Impact of service quality, corporate image and
customer satisfaction towards customers’ perceived value in the banking sector in
Pakistan. International Journal of Bank Marketing, 33(4), pp.442-456.
Online:
8. Omariba, B. Z., Masese, N. B. and Wanyembi, G., 2018. SECURITY AND PRIVACY OF
ELECTRONIC BANKING. [PDF]. Accessed through:
<https://core.ac.uk/download/pdf/25834734.pdf>. [Accessed on: 28/11/2018]
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