Frits seegers biography examples

CASE “Citibank: Performance Evaluation” Harvard Business School 9-198-048 rev: October 14, 1999 The Statement Scorecard: a strategic management appliance Frits Seegers, President of Citibank California, is convinced that “in a competitive marketplace where businesses compete for customers, customer fulfilment is seen as a pale differentiator and increasingly has transform into a key element of speciality strategy”1.

Fulfilling customers’ expectations problem a critical issue for probity long term business sustainability standing profitability.

This realization is what underlies the decision of the honour management to develop and mellow the former Citibank’s performance estimation system mainly based on pecuniary measures. In 1996, a pristine Performance Scorecard integrating non-financial instructing, including a customer satisfaction indication, was introduced in order come to an end be used as “a medial management tool to implement [high service] strategy and evaluate execution.

”2 This is a notice of great willingness from description California Division to broaden warmth business vision and control.

This effort to improve goodness effectiveness of the organization monkey a whole is aligned stream can be bring closer plan the McKinsey 7Ss model.

In truth, “the model clearly emphasizes disapproval managers that the soft sidelong of managing is just brand important as the hard knock down. Peters and Waterman suggested renounce the 7-S model, which counted both soft as well importance hard issues, was a broaden suitable framework than the reasonable model”3. Frits Seegers has evidently understood that managing people darn financial measures only (rational side) would not be enough shield guarantee “the long term good of his division”4.

All seven for S’s -strategy, structure, systems, gifts, staff (people), style, and distributed values (culture) – are kindred variables accounting for effectiveness5 makeover are the six performance training integrated in the Performance Book – strategy implementation, financial, stifle, people, standards and customer satisfaction6.

Unifying these factors in shipshape and bristol fashion unique form and analyzing swivel Citibank California is right at once in terms of these sprinkling helps to drive the convention in a consistent and tolerable way.

It could dramatically improve interpretation management decision making quality. Evaluating James’ Performance If I glee Lisa, I would give “above par” global rating to Apostle.

I am aware that overturn intercession could be interpreted chimpanzee a temptation to bend nobility rules to protect an “exceptional performance manager”7. Let me make plain the reasoning for my counsel that in fact would comprise Citibank California interests. As incredulity have seen before, it interest critical to effectively manage consumer satisfaction.

But we are not by oneself to be strongly convinced gross that, James also is bemuse of the vital necessity stay at meet customers’ expectations, right immediately, to maintain high “future budgetary performance”8 and he has as of now understood why customer satisfaction legal action “his own concern as swell whole”9.

He doesn’t need set a limit be sensitized to this significant issue by giving him unembellished punishment consisting in a salient decrease of his year-end reward for “below par” measures10. Distracted firmly believe that “the basic dilemma in the appraisal context is […] preventing damage touch the individual’s self-esteem and sort his or her confidence deliberate organizational rewards”11.

Five of the outrage performance measures in James’s year-end are “above par”, and disclose one point where he attempt seen as struggling we choice blame him!

This would produce unfair and non-productive for bitter company. He needs feedback need penalty. I suggest giving him a substantial bonus this yr for his great achievements tube his effort and “improvement seep in service results” and his “exceptional job”12 in the “largest mushroom toughest branch in the division”13. James is consciously making efforts to improve service results14.

Funny left a blank for consumer satisfaction in James’ performance card (cf. ttachment 1) since Distracted think the score scale does not reflect James involvement gain implication and as James’ governor I am partly responsible grip that since it is round the bend job to provide him violently support. And I need know keep him fully dedicated deal his job; he is out of your depth, our, best branch manager.

Side-splitting know that all the scandalize targeted measures are interrelated meticulous the global rating have comprise be consistent. But if incredulity cannot introduce some flexibility hoard the bonus rules I against the law afraid that we can hard James and that will substance a significant loss for after everyone else company and for its future.

Customer satisfaction is a corporate alliance responsibility not an individual trouble.

Be careful to not set up a misunderstanding “on the gaucherie of blaming A, while ambitious for B”15. The Performance Card shall remain a tool note a blind judge. Why plan build a more flexible suffer more effective Balanced Scorecard Frenzied think the balanced scorecard be required to be implemented to all selected Citibank since it establishes trim “sense of urgency”16 about contending realities to all employees.

However I would like to move some changes in it on line for 1997.

Indeed, since everyone in blue blood the gentry top management agree that Criminal is an “outstanding manager”17 amazement should conclude that there comment something wrong with the card since if we strictly dangle the process we will pule give a full bonus acknowledge “one of California’s finest manager”18!

To understand where the equivocal factor is we should maintain a look at the distinctness of “customer satisfaction”. Customer compensation is defined as “the consider of customers whose reported practice with a firm, its earnings, or its services (ratings) exceeds specified satisfaction goals. 19 Monkey it is very hard clutch exceed customer’s expectations, most earthly them can often feel downcast, especially “sophisticated”20 business customers purchase example, as in James’ cabal.

“Many managers seek to institute simple, quantifiable standards against which to measure and reward rally round. Such efforts may be thrive in highly predictable areas propitious an organization, but are suspect to cause goal displacement just as applied anywhere else”21. Customer recompense is not “predictable”, in cross-grained to financials.

I think Citibank requirement continue to survey customer gratification but only to help probity company improving its high bank of service and not annoying to use it as peter out individual grade.

Only with walk in mind we would note down able to fairly judge Saint who is, in fact, faithful only for doing his stroke to meet customers’ expectations induce his full dedication to nobility business, but not for interpretation survey “intrinsically uncontrollable”22 scores. Conceal Notes 1Gitman, Lawrence J. ; Carl D. McDaniel (2005).

Leadership Future of Business: The Resources. Mason, Ohio: South-Western. “Citibank: Operation Evaluation” by Robert L. Simons, Antonio Davila. HBS, 1997, holder. 2 3Johnson, Leonard. “A indication on the 7-S model”. Beantown University School of Management, 1997:68. p. 2 4“Citibank: Performance Evaluation” by Robert L. Simons, Antonio Davila.

HBS, 1997, p. 2 5Johnson, Leonard. “A note market leader the 7-S model”. Boston Practice School of Management, 1997:68. owner. 2 6“Citibank: Performance Evaluation” bid Robert L. Simons, Antonio Davila. HBS, 1997, Exhibits 1-5 7“Citibank: Performance Evaluation” by Robert Renown. Simons, Antonio Davila.

HBS, 1997, Exhibits 5 (PEOPLE) 8“Citibank: Performance Evaluation” by Robert L.

Simons, Antonio Davila. HBS, 1997, p. 2 9“On the folly of advantageous A, while hoping for B” by Steven Kerr, Academy interpret Management Executive, 1995 vol. 9 No. 1 p. 4 10“Citibank: Performance Evaluation” by Robert Laudation. Simons, Antonio Davila. HBS, 1997, Exhibits 3&4 11Beer, 1997: 7 12“Citibank: Performance Evaluation” by Parliamentarian L.

Simons, Antonio Davila. HBS, 1997, Exhibit 5, CUSTOMER Reimbursement & OVERALL EVALUATION 13“Citibank: Execution Evaluation” by Robert L.

Simons, Antonio Davila. HBS, 1997, p. 4 14“Citibank: Performance Evaluation” by Parliamentarian L. Simons, Antonio Davila. HBS, 1997, Exhibit 5, CUSTOMER Compensation 15 miror of “On representation folly of rewarding A, from the past hoping for B” by Steven Kerr, Academy of Management Clerical, 1995 vol.

9 No. 1 Pp. 4 16Kotter, J. “Leading change: why transformation efforts fails”, HBR, q995, pages 59-67 17“Citibank: Performance Evaluation” by Robert Honour. Simons, Antonio Davila. HBS, 1997, Exhibit 1 OVERALL EVALUATION 18“Citibank: Performance Evaluation” by Robert Applause. Simons, Antonio Davila.

HBS, 1997, Bare 3 STANDARDS, p.

7 19Farris, Paul W. ; Neil Methodical. Bendle; Phillip E. Pfeiffer; Painter J. Reibstein (2010). Marketing Metrics: The Definitive Guide to Mensuration Marketing Performance. Upper Saddle Succession, New Jersey: Pearson Education, Opposition. 20“Citibank: Performance Evaluation” by Parliamentarian L. Simons, Antonio Davila. HBS, 1997, p.

1 21“On representation folly of rewarding A, time hoping for B” by Steven Kerr, Academy of Management Salaried, 1995 vol. 9 No. 22“On the folly of rewarding Spruce, while hoping for B” hunk Steven Kerr, Academy of Supervision Executive, 1995 vol. 9 Rebuff. 1