HRM #3 CITI BANK
2012120110 Daun Oh
1. Why has Citibank introduced a Performance Scorecard?
The Citibank introduced a new evaluating method to highlight the importance of a diverse set of measures in achieving the strategic goals of the division. As the Citibank's major competitor have four hundred offices in California compared to Citibank's eighty branches, the Citibank should set the differentiation strategy to focus on the long-term success. Given the characteristics of Citibank's customer who ranged from people working in financial district to less informed individuals, the sophisticated customer demanded the high quality services and knowledgeable employees who could satisfy them. Therefore, it built a profitable franchise by providing the relationship banking with a high level of service to the customer. However, the previous measures were hard to evaluate the high service strategy of bank. Also, Frits Seegers wanted employees to possess a broad view of this business area and focus on those dimension which is important to long-term success. In these reasons, the California Division developed the Performance Scorecard to reflect the importance of non-financial measures which check such as the customer satisfaction as frontier in this differentiation strategy. The performance card is made up of six different types of measures adding the non financial dimensions to previous one. There are Financial measures, strategy implementation, control measures, people& standards and Customer satisfaction which is a key differentiator for long term success.
2. Assume that you are Lisa Johnson. Complete Exhibit 1 to evaluate James′ performance.
If I were Lisa, I would give above par for his performance except the customer satisfaction. In the customer satisfaction, he would be given the below par value as he couldn't meet the company's policy of evaluation though I recognized that he dedicated himself to the company...
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