Citibank has been a prosperous financial institution for more than 180 years. One of the key components that have made this institution very successful is their focus in offering a personalized banking experience integrated with great customer service, providing higher profitability. However, in the California division, the financial targets became more important throughout the years, leaving behind the importance of customer satisfaction. It is now the main focus of the California division to improve on customer satisfaction ratings before their financials catch up with the number of complaints that have been received in various branches.
In 1995, the California division of Citibank decided to implement a new Performance Scorecard to measure more efficiently the performance of various divisions within the company and how those performances aligned with the strategic goals of the division. Since Performance Scorecards were filled out by the employee’s immediate supervisors, this would also serve as a basis for determining an employee’s bonus opportunity. One of the new metrics highlighted in the Performance Scorecard was customer satisfaction.
A fairly controversial situation has been brewing because Lisa Johnson, the Los Angeles area manager, graded and commented on James McGaran’s Performance Scorecard and it is being reviewed by the President and the management team of Citibank California. James McGaran is the branch manager for the most important branch in the Los Angeles area. James seems to have a strong professional background and has delivered phenomenal financial growth with this branch for the past four years. However, his customer satisfaction performance has consistently been below the division’s expectations. Never the less, Lisa Johnson, James McGaran’s supervisor, continued to comment and make high remarks about his results and his desire to improve on customer service measures even when the scores revealed the opposite. This has been a...
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