ANALYSIS OF PERFORMANCE MEASUREMENT IN GRANTING CREDIT (A CASE STUDY OF VIETNAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY AND TRADE – VIETIN BANK, HANOI BRANCH)

Abstract

The research intended to measuring efficiency of credit granting performance, case of Vietinbank, Hanoi branch. The objectives of the research was measuring the efficiency of credit granting performance in terms of factors that influence the efficiency of credit granting performance in Vietinbank. The research method used was quantitative method with a survey of population of 140 customer who required to be granted credit by Vietinbank, Hanoi branch that selected using simple random simpling technique. Data was collected from both type of data, primary data with the help of a self-constructed questionnaire survey using Likert Scales, processed and analyzed using the Statistical Package for Social Sciences (SPSS 16.0). Secondary data got from textbooks, internet newspaper and journals. To this end, the research revealed that customer borrower, credit terms, collection efforts and economic environment are the four factors affecting on the efficiency of credit granting performance, Vietinbank, Hanoi branch. The recommendation of the research that the management should consider the following as important factor that enhance of the efficiency credit granting performance. Vietinbank should train its customers on how to beneficially use the borrowerd money. In addition to this, bank should listen to customer’s complaint, from then it’s can be considered in remaining or improve bank’s credit policy in order to efficiently serve customer’s interests and so achieve target goals.