CITIBANK : PERFORMANCE
EVALUATION
GROUP 9
FT151018
ANUJ KHANDELWAL
FT151066
ARJUN NAMBIAR
FT151052
ROHAN M SHAH
FT154011
FT151082
SIDDHANT PARNAIK
VAIBHAV JOLLY
CASE FACTS- CHARACTER
INTRODUCTION
FRITS SEEGERS : PRESIDENT OF CITIBANK CALIFORNIA
LISA JOHNSON : AREA MANAGER
JAMES MCGARAN : BRANCH MANAGER OF LOS ANGELES AREA
BRANCH.
LISA JOHNSON
LOS ANGELES AREA MANAGER.
HER AREA WAS THE BIGGEST IN THE DIVISION AND
INCLUDED TWO REGIONS THAT HAD PREVIOUSLY BEEN
MANAGED SEPARATELY.
SUPPORTED MANY MANAGERS AND WAS WELL VERSED
WITH THE EVENTS IN EACH BRANCH.
JOINED THE COMPANY IN 1978 IN CHICAGO AND MOVED TO
CALIFORNIA IN EARLY 1988.
JAMES MCGARAN
WORKING IN THE BANKING INDUSTRY SINCE 1977.
THE BRANCH IN WHICH HE WAS WORKING HAD VERY DIVERSE
CUSTOMER BASE.
HE HAD DELIVERED IMPRESSIVE FINANCIAL RESULTS FOR FOUR
YEARS IN A ROW FROM 1992.
JOINED CITIBANK IN 1985 AS ASSISTANT BRANCH MANAGER.
PROMOTED AS BRANCH MANAGER OF LOS ANGELES AREA
BRANCH.
PURPOSE OF BALANCED SCORECARD
SET CLEAR GOALS FOR APPRAISE AND PROVIDE SPECIFIC
MEASURES FOR THE PERSON DOING APPRAISAL
INCLUDES BOTH QUANTITATIVE AND QUALITATIVE
PARAMETERS
PROVIDE ORGANIZATION WITH TOOLS TO DO STRATEGIC
MANAGEMENT AND OPERATIONAL CONTROL
HELPS EXECUTIVES TO FOCUS ON SEVERAL IMPORTANT
MEASURES THAT DRIVE THE STRATEGY
INTRODUCTION OF PERFORMANCE
SCORECARD
IMPLEMENTED PERFORMANCE SCORECARD
SPECIFYING GOALS AND MEASURES MANAGERS
PERFORMANCE
IN 6: FOCUSED
AREAS:MAINLY ON TOTAL
FINANCIAL MEASURES
REVENUE AND PROFIT MARGIN AGAINST TARGETS.
STRATEGY IMPLEMENTATION : MEASURES TRACKED REVENUE
FOR DIFFERENT TYPES OF TARGET CUSTOMER SEGMENTS
RELEVANT TO THE STRATEGY OF THE BRANCH.
CUSTOMER SATISFACTION : DERIVED FROM QUESTIONS
THAT FOCUSED ON BRANCH SERVICE AS WELL AS OTHER
CITIBANK SERVICES .
CONTROL MEASURES : REPORTED BY EVALUATION BY
INTERNAL AUDITORS ON THE BRANCHS INTERNAL CONTROL
PROCESSES.
PEOPLE AND STANDARDS : NON QUANTIFIABLE RATINGS
DETERMINED SUBJECTIVELY BY THE BRANCH MANAGERS
BOSS.
PERFORMANCE EVALUATION METHOD
3 TYPES OF RATINGS FOR EACH PERFORMANCE INDICATOR.
BONUS LINKED TO FINAL PERFORMANCE SCORE CARD
RATING.
A MANAGER COULD NOT GET AN ABOVE PAR RATING
WITHOUT MINIMUM PAR RATINGS IN ALL THE COMPONENT.
BELOW-PAR, PAR AND ABOVE-PAR.
EVALUATION WAS DETERMINED JOINTLY BY A TEAM LED BY
FRITS SEEGERS.
PROBLEMS WITH THE CURRENT
APPRAISAL PROCESS
HIGHLY SOPHISTICATED CLIENT BASE.
WHILE MEASURING THE CUSTOMER SATISFACTION THE
SURVEY WAS DONE WITH A SMALL SAMPLE SIZE.
INCLUDING THE COMPONENT OF SERVICES EVALUATION LIKE
24 HOURS PHONE BANKING AND ATM SERVICES.
JAMES PERFORMANCE
Q1
Q2
Q3
Q4
Overal
l
Financial
measures
Above
Par
Above
Par
Above
Par
Above
Par
Above
Par
Strategy
implementation
Par
Above
Par
Above
Par
Above
Par
Above
Par
Control
measures
Above
Par
Above
Par
Not
reviewed
Above
Par
Above
Par
Customer
Satisfaction
Par
Below
Par
Below
Par
Par
Below
Par
People
Above
Par
Above
Par
Above
Par
Above
Par
Above
Par
Standards
Above
Par
Above
Par
Above
Par
Above
Par
Above
Par
PRACTICAL CONSTRAINTS FACED BY
JAMES MCGARAN
DIVERSE SET OF CUSTOMERS.
HAD A DEMANDING CLIENTELE AND CHALLENGING
COMPETITION.
THE BRANCH THAT WAS HANDLED BY JAMES WAS THE
LARGEST AND TOUGHEST BRANCH IN THE DIVISION.
EVALUATION: ABOVERATING
PAR
FINAL
EVALUATION
FOR JAMES
OVERALL
THIS IS THE FIRST YEAR THE BALANCED
SCORECARD WAS IMPLEMENTED. IT WILL TAKE
SOMETIME TO INSURE THAT ALL THE AREAS ARE
MEASURED APPROPRIATELY
HE HAS DONE EXCEPTIONALLY WELL ACROSS THE
SCORECARD AND HE IS CONSCIOUSLY MAKING
EFFORTS TO OVER COME THE ISSUES IN CUSTOMER
EVALUATION RATING
MANAGEMENT SHOULD ALSO HAVE A LOOK ON
JAMES PEER GROUP RATINGS TO ENSURE
CUSTOMER SATISFACTION IS FAIR INDICATOR
WHICH CAN BE LINKED TO OVERALL PERFORMANCE
AS THIS IS THE HIGHEST REVENUE GENERATING
BRANCH ANY DECISION WHICH MAY HAVE AN
IMPACT ON REVENUES GENERATED FROM THIS
HOW WOULD YOU COMMUNICATE THE
DECISION TO JAMES?
JAMES SHOULD BE AWARE THAT HIS CONCERNS WITH THE
CUSTOMER SURVEY AND CONSISTENTLY EXCEPTIONAL
PERFORMANCE WERE THE MAIN REASON FOR MANAGEMENTS
DECISION
HE SHOULD ALSO BE TOLD THAT IN THE FUTURE HE WILL NOT
GET AN ABOVE PAR RATING IF HE FAILS TO SCORE PAR ON ALL
THE MEASURES
ALSO THE IMPORTANCE OF NON QUANTIFIABLE MEASURES
SHOULD BE COMMUNICATED TO JAMES AND ACROSS THE
ORGANIZATION
EXPECTED IMPACTS ON JAMES
UNSATISFIED WITH APPRAISAL:
COMPLAINT THAT TOP MANAGEMENT ASSESS BEHAVIOR
WITHOUT KNOWING PRACTICAL CONSTRAINTS
DECREASED DEDICATION TOWARDS THE AREAS IN WHICH HE IS
A TOP PERFORMER
SATISFIED WITH APPRAISAL:
PERCEPTION OF BEING VALUED AND BEING PART OF
ORGANIZATIONAL TEAM
HIGHLY MOTIVATED FOR THE IMPROVEMENT TOWARDS POINTS
MENTIONED IN FEEDBACK
THANK
YOU!!!!!
