Our client, a medium-sized financial services organisation, needed to make a decision about whether to renew the lease of an under-performing branch. 

The location had been predicted as viable by the organisation’s ‘branch payback model’, however the branch had under-performed since it opened, and had experienced high manager turnover, and a number of other significant issues.  

 

Our client needed a way to unpick the range of factors that could have been contributing to the branch’s poor performance, and determine any appropriate interventions which could be undertaken to increase the branch’s success.  Or should the branch be closed?  

Igniter was engaged to assist in the decision making process and create a standardised method by which the client could evaluate the performance of their network on an ongoing basis.  

 

Igniter's approach:  

Firstly, we began by developing a decision support framework that could be used to assess and review branch performance against set criteria.  This model could also be used to explore potential options for improving performance.

To develop this framework, we collected information on our client’s branch selection criteria, performance expectations, and actual branch performance.  In collaboration with the management team, we then developed a decision support framework.

Following this, we worked with the team to develop a range of potential management interventions and agree the likely impact of each.

These inputs were used to construct a model which delivered a visual output showing relative and potential branch performance. This made it very clear what the potential outcome might be from a range of options to improve branch performance.  

 

Outcomes for our client:  

Our client used the outputs of the model to recommend to the Board that the branch in question be closed.

The model was also used as a tool to monitor the performance of other branches, and as the basis of a strategy to increase their branch footprint.  Our client opened five new branches over the following years.