Citibank Performance Evaluation Harvard Business School Thi

Citibank: Performance Evaluation – Harvard Business School

Think of Citibank’s new strategy (customer service and relationship banking). What were the limitations of the previous performance measurement system? Is the old system aligned to strategy? What changes were required to the system to better align to the new strategy? What is the role of the PS in this regard?

1)Why has Citibank introduced a Performance Scorecard (PS)?

2)What is your assessment of the performance measures used to evaluate James\' performance?

Solution

1)

Citibank required a new performance scorecard to evaluate the performance of managers in different verticals. It would help them in better evaluations of the managers. The new performance scorecard of the company helped in identifying the goals and achievements of managers in six areas including financial perspective, strategy implementation, standards, customer perspective, risk and control, and people development.

Hence, the performance scorecard developed by the company would allow the managers to complete well-rounded performance reviews. It helped to measure both the quantifiable as well as non-quantifiable measures of a manager’s performance.

2)

James’ performance as per the new scorecard is provided below:

Financial performance: The financial performance of James was above par as he was consistently exceeding the management’s expectations from the last 4 years.

Strategy implementation: This performance of James was also above par as he met or exceeded their growth goals for business, professional and retail segments.

Control measures: The control measures rating for James is par. James’ performance in this area was outstanding, although there was more scope of improvement.

People: Above par as he is an excellent people manager.

Standard: Above par as he has high expectations for himself as well as employees.

Customer satisfaction: Below par

Overall education: Above par