Tag: Metrics

Why Your Bank Is Using The Wrong Metrics

Bank Lead Measures

Seeing that we are in the heart of bank strategic planning season one major difference between average and high performing banks are the use of “lead measures.” Most banks come out of their planning effort with a series of lagging metrics such as “Achieve 12% ROE,” or “Reduce efficiency below 65%.” These measures are good because they measure achievement of a goal but they are not optimal because they are not instructive in helping you achieve those goals.

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