Independent Banker - February 2018 - 77

week, in every branch, you might
have slightly different variations of
how people are paid and managed,
how often they show up late, or
how long they've worked there. You
can measure that running record of
everything that goes on in the branch
during the week. It's just sitting there
in your administrative system. "
He says community banks are now
approaching his fi rm and inquiring
about HR analytics. One bank client
parsed the differences between its
10 branches involving the people,
policies and practices, and how
they drove profi ts and losses at
each branch.
The truth of the matter
The process can also uncover
unconscious biases that could lead to
certain employees being undervalued.
Consider a branch that credits a
high performer for his or her success
as compared with the bank's other
branch locations. In reality, the
success of this employee and of the
branch more widely may simply be
the result of geography; the branch
might sit in a wealthy neighborhood
and naturally bring in higher-value
deposits and loan applications.
" We fi nd this all the time, " Stevenson
says, explaining that HR
analytics help bankers separate fact
from gut-level opinion. " You send
high potentials to the best places,
and magically they do well. Highpotential
programs are notorious
for this. "
HR analytics can help the fortunes
of any community bank, regardless
of size, especially if it's targeting a
specifi c market or population.
" This is one area where [analytics]
can certainly level the playing
fi eld, " says Rob Dicks, principal at
Deloitte Consulting, a global consultancy
based in New York. " It's
a real opportunity for community
banks to compete in specialized
markets in areas focused on specifi c
customer or employee segments
to improve the service delivery or
employee experience. "
He adds that analytics is also useful
when developing succession plans and
compensation programs, understanding
learning targets or identifying
needed workforce skills. Community
banks can start the process by asking
leaders to identify business issues that
need to be addressed and then develop
hypotheses about contributing factors,
Dicks says.
For example, one problem may be
that a branch experiences higher staff
" Don't be scared by
anything the data
might reveal. Embrace
it. ... It's an opportunity
to be proactive and
make positive changes
in your bank. "
-JERI GEORGE,
ANALYTIC FOCUS
turnover than other branches. One
approach would be to raise salaries in
hopes of reducing turnover. But with
analytics, Dicks says your hypotheses
would focus on the differences
between branches, such as their
locations, hiring practices or branch
management experience. Analytics
can identify specifi c themes, like
managers at the high-turnover branch
lacking supervisory skills. With that
information, HR now has a roadmap
and can offer training or coaching to
resolve the issue.
The human component
Although community banks generally
employ fi nancial experts who are
skilled at gathering and interpreting
data, they still need to partner with
HR professionals when conducting
a handful of challenges in the areas
of recruitment avenues, employee
performance, staff turnover or
workplace culture.
But don't assume that it's a oneand-done
process. Since the key trait
shared by employees, customers
and community banks is change,
this process is ongoing. Analytics
simply reveals the real causes behind
existing and new challenges so HR
can strategically and effectively
tackle them.
" Take a chance and try analytics, "
George says. " Don't be scared by
anything the data might reveal.
Embrace it. ... It's an opportunity
to be proactive and make positive
changes in your bank. "
Carol Patton is a writer in Nevada.
independentbanker.org
ICBA Independent Banker 77
analytics " to bring back the human
component, " explains Jeri George,
director of HR consulting at San
Antonio-based Analytic Focus, which
provides analytic and consulting
services primarily to fi nancial institutions,
including community banks.
" Sometimes there's too much
emphasis put on numbers, results,
fi gures and the bottom line, " she
says. " You have to pause and put
back in that human component and
blend those together to achieve and
maximize your results. "
She encourages community
banks to start small by working on
http://www.independentbanker.org
Independent Banker - February 2018

Table of Contents for the Digital Edition of Independent Banker - February 2018
