Citibank: Performance Evaluation Case Study

Citibank: Performance Evaluation Case Study

By: Alyssa Marie Paguirigan

Helton Jay Dellosa

Mary Marjorie Simeon

Problem

        The California Division of Citibank introduced a new performance scorecard to highlight the importance of a diverse set of measures in achieving strategic goals of the division. They opted to focus more on non-financial elements, and especially the customer service satisfaction. James McGaran, the manager of the most important branch in Los Angeles area has been in the banking industry since 1977 and started working for Citibank since 1985. He has been a consistent high performer and grew rapidly within the organization. His financial are outstanding and James’ branch had generated the highest revenue of any branch in the system. However, the new performance indicator showed low customer satisfaction ratings. James’s financials were exceptional, but only in the last quarter was he able to pull customer satisfaction to an acceptable level. The performance evaluation team is conflicted whether to give James a “par” or “above par” rating.

Alternative 1

Use the Survey Monkey web based software application to conduct its survey to measure customer satisfaction amongst others.

Advantages:

• The software has the ability to track respondents and re contact non-respondents.
• Can export data into program like SAS or SPSS for more complex analysis.
• Great tool for attracting large number of respondents.
• No need to use e-mails and there is less likelihood of invading privacy.

Disadvantages:

• Anonymous option is not activated and customers information will be visible
• All survey monkey users seem to have access  to the data from all surveys
• The consent is informal and it is not possible to provide oral presentation
• Customers cannot withdraw any responses that have been made at hth epoint of exit.

Alternative 2

Performance of Prism Management System

This emphasizes that performance measures should be derived from strategies. The wants and needs of the stakeholders must be considered before formulating the strategies.

Advantages:

• Considers organization strategies, processes and capabilities.
• Suitable for organization which creating stockholder value is first priority.

Alternative 3

Outsourcing the performance evaluation to a reputable company

Citibank does not have the capacity to implement proper performance evaluation system so they can opt to outsource this project.

Advantages:

• Lower cost and become more efficient and expand employment in oother lines of work
• Cost benefits
• Access to innovation and niche capabilities
• Greater focus on core competencies

Disadvantages:

• Fear of losing jobs.
• Cost are not reduced but increased
• Threat of confidential information revealed to competitors.

Recommendation

Citibank must conduct a proper survey for customers and implement a proper performance evaluation system that includes non-financial measures in its evaluation. Customer survey was conducted among 25 customers only, which may have led to biased results. It is recommended for them to use the Survey Monkey web-based survey toolto conduct customer satisfaction survey. This tool has easy to use inbuilt quality survey templates that are designed to produce reliable and accurate information. Citibank can use it for accessing most of its customers all at once and does not need to call customers when conducting interviews.