case1. Conduct survey2. Find issues in surveysKenexa found in 1987First 8 years, provide talent management solutionsLater include employee and customer satisfaction research, performance
management technology and consultation, and employee process outsourcingJune 24, 2005, Kenexa announced its initial public offeringKenexa aimed at helping corporate clients to maximize
their performance by improving their human capital management2,400 clients (— financial services, life sciences, retail, health care, call centers, education and hospitality)Kenexa reported total revenues of $65.6 million,2 an increase of 42 per cent compared to the prior yearKenexa employed approximately 1,000 peopleThe personnel comprising these teams had strong analytical, cross-functional and multi-industry expertise.Numerous Kenexa employees had PhDs in Industrial/Organizational PsychologyJACK W. WILEYhad developed WorkTrendsT, a
unique database of employee opinionsPhD in Organizational Psychology from the University of Tennessee,SCOTT M. BROOKSB.A. from Cornell University and a PhD in Industrial and Organizational Psychology from the Ohio State Universitydeveloped customized employee and survey research products for Kenexa’s projects.he worked closely with Wiley to prepare feedback for Kenexa’s clients based on the analysis of employee/customer survey data.effective workforce management->better performanceIt entails seeing the workforce as a source of competitive advantage,organizational practices->better workforce management->predictors of organizational successperceptions of an organization’s customer orientation and the extent of emphasis on service quality.->Customer loyalty->business performance• Specific leadership practices->better able to deliver quality service to customers->better organizational performancemore visible and present certain organizational values and leadership practices->the more energized and productive the workforce.->greater the satisfaction and loyalty of customers->the long-term business performanceThe High Performance Model illuminated the interrelationships among organizational practices, employee perceptions of their work environment, customer satisfaction and business performance.Organizational success was contingent on the ability to build “longterm and mutually beneficial relationships among the company, employees and customers.High Performance Model were affected by elements of the work characteristics and contextual factorsHigh Performance Model involved integration and correlation of data from employees, customers and business performance metrics.A typical employee survey focused on employee descriptions of the aspects of their business-unit’s work environmentthe customer survey collected data on customer perceptions of service quality, customer satisfaction and customer loyaltyKenexa research team developed a customized project plan for serving the needs of the clientThis was followed by the survey development phasetranslating the ...
case1. Conduct survey2. Find issues in surveysKenexa found in 1987
1. case1. Conduct survey2. Find issues in surveysKenexa found in
1987First 8 years, provide talent management solutionsLater
include employee and customer satisfaction research,
performance
management technology and consultation, and employee process
outsourcingJune 24, 2005, Kenexa announced its initial public
offeringKenexa aimed at helping corporate clients to maximize
their performance by improving their human capital
management2,400 clients (— financial services, life sciences,
retail, health care, call centers, education and
hospitality)Kenexa reported total revenues of $65.6 million,2 an
increase of 42 per cent compared to the prior yearKenexa
employed approximately 1,000 peopleThe personnel comprising
these teams had strong analytical, cross-functional and multi-
industry expertise.Numerous Kenexa employees had PhDs in
Industrial/Organizational PsychologyJACK W. WILEYhad
developed WorkTrendsT, a
unique database of employee opinionsPhD in Organizational
Psychology from the University of Tennessee,S COTT M.
BROOKSB.A. from Cornell University and a PhD in Industrial
and Organizational Psychology from the Ohio State
Universitydeveloped customized employee and survey research
products for Kenexa’s projects.he worked closely with Wiley to
prepare feedback for Kenexa’s clients based on the analysis of
employee/customer survey data.effective workforce
management->better performanceIt entails seeing the workforce
as a source of competitive advantage,organizational practices -
>better workforce management->predictors of organizational
successperceptions of an organization’s customer orientation
and the extent of emphasis on service quality.->Customer
loyalty->business performance• Specific leadership practices-
>better able to deliver quality service to customers->better
organizational performancemore visible and present certain
organizational values and leadership practices->the more
2. energized and productive the workforce.->greater the
satisfaction and loyalty of customers->the long-term business
performanceThe High Performance Model illuminated the
interrelationships among organizational practices, employee
perceptions of their work environment, customer satisfaction
and business performance.Organizational success was
contingent on the ability to build “longterm and mutually
beneficial relationships among the company, employees and
customers.High Performance Model were affected by elements
of the work characteristics and contextual factorsHigh
Performance Model involved integration and correlation of data
from employees, customers and business performance metrics.A
typical employee survey focused on employee descriptions of
the aspects of their business-unit’s work environmentthe
customer survey collected data on customer perceptions of
service quality, customer satisfaction and customer
loyaltyKenexa research team developed a customized project
plan for serving the needs of the clientThis was followed by the
survey development phasetranslating the linkage research
results into actions for improving workplace performance.(1)
provide an understanding of employee/customer opinions and
their relation to performance of NCB’s branches in order to
differentiate better-performing branches from the poorer
ones(2) identify priorities for organizational development
activities;(3) serve as a benchmark to track the progress of
organizational development activities.NCB128 branches located
in six mid-western statesBased on 2005 financial data, NCB had
approximately $7.5 billion in assets, $5.1 billion in deposits and
a net income of $104 million.headquarters was responsible for
setting the overall strategic directionBranches, on the other
hand, were responsible for execution of the products.A typical
branch was comprised of about 20 employees, including a
branch manager, assistant branch managers, personal bankers,
banking assistants and tellers.The branch manager was
responsible for coordinating with the headquarters and
managing the day-to-day functioning of the branchThe assistant
3. branch managers were responsible for working closely with the
manager to create a high-energy, highperformance culture
within the branchAs “champions” of customer service and sales
practices, they were expected to focus on meeting and
exceeding branch targets. They were specifically required to
identify opportunities for training of the branch personnel if
branch performance was falling behindThe personal banker(s)
were responsible for the portfolio of personal services offered
to existing and new consumers: personal loans, credit card
applications, and day-to-day bankingSalesBanking assistants
worked in the banking hall of the branch and were usually one
of the first employees who came in contact with the
customersThe tellers were responsible for cashing checks,
accepting deposits and loan payments, processing withdrawals,
accepting payments for customers' utility bills and charge
cardsEmployee SurveyThese elements were organized along
nine themes in the survey: customer orientation, quality
emphasis, employee training, involvement/empowerment,
communication, teamwork, engagement, intention to leave, and
satisfaction with compensation and benefitsThis confidential
survey was administered, during October to November 2005, on
company time to the employees in 128 branches; 2,230
employees returned usable surveys.The Customer Satisfaction
SurveyThe resulting survey had 40 questions aimed at
measuring customer opinions on specific service issues (these
issues were organized along four themes: satisfaction with
service quality, satisfaction with teller, satisfaction with branch
in general and facilities at the branch, and satisfaction with
personal banker)300 per branchThe survey did not ask for
customer names but identified customers on the basis of branch
affiliation; 14,114 customers returned usable surveysBUSINESS
PERFORMANCE AND BRANCH LOCATION DATAGraham
mentioned that the NCB management speculated about the
possibility of different business dynamics in branches located in
metropolitan areas versus those in non-metropolitan
areas.DATA AGGREGATION TEAM FOR THE NCB PROJECT
4. GETS TO WORKOnce the initial screening was complete, the
research assistants calculated scores for the employee/customer
opinion themes by computing the averages for the set of
questions intended to measure a particular
themeObjectivesdetermining the relationship between these
three data categories.Priorizar las variables más
importantesDeterminar si las muestras son representativas
databnumbaddblocbsizeecusoequaleinvoletraecommeteameengei
tlebencserqcbrtelcbrcbrpbcloycconteltrprod1Anoka
(E)1383.523.473.213.243.183.373.122.573.583.264.294.154.133
.76139464122Anoka
(W)1153.753.583.393.023.113.443.362.933.793.434.484.544.34
3.84140413173Apple
Valley1193.633.633.443.283.233.493.292.423.423.453.914.183.
933.81135102324Blaine1123.833.583.323.263.613.253.482.583.
923.294.133.964.063.73041843235Bloomington1273.223.163.19
3.082.852.912.683.33.523.674.134.154.093.98134842426Brookl
yn1283.73.63.363.093.243.683.032.074.043.594.0643.924.0504
4063517Burnsville1313.883.723.423.423.393.663.392.323.773.
154.144.334.113.61046423248Columbia
hts.1363.473.453.283.263.293.313.132.613.863.284.214.24.063.
72043443919Cottage
groove1513.83.543.393.133.083.463.162.513.83.44.13.983.963.
760406034210Hopkins1233.953.73.383.223.143.593.272.1743.1
84.184.244.093.610439931411Minneapolis1344.294.043.943.48
3.663.873.892.153.613.464.34.334.093.771405630912Minneapo
lis
(NE)1123.393.423.533.173.363.723.211.753.673.294.34.084.05
3.840418630513Minnetonka1243.843.813.83.353.473.513.452.1
34.083.264.113.873.873.630405131114Little
Canada1193.433.382.983.013.163.392.782.583.683.194.054.234
.063.60441328715Oakdale1163.753.633.683.223.733.823.372.2
53.883.364.384.224.273.780450229416Plymouth194.193.563.65
3.343.263.633.581.443.563.184.24.244.153.780383934617Robbi
nsdale1103.333.553.413.533.93.932.951.933.074.063.94.013.54
0458836318St. Louis
10. ProjectExp19_PowerPoint_Ch01_CapAssessment_Winter_Camp
Project Description:
You are the director of Covenant Harbor and will be offering a
winter day camp opportunity for boys and girls in grades 1-6
during the winter break from school. You have been asked to
put together a presentation to advertise the winter camp.
Steps to Perform:
Step
Instructions
Points Possible
1
Start PowerPoint. Download and open the file named
Exp19_PPT_Ch01_CapAssessment_WinterCamp.pptx. Grader
has automatically added your last name to the beginning of the
filename. Save the file to the location you are saving your files.
0
2
Change the theme variant to the blue variant. (first row, fourth
column).
1
3
Change the theme font to TrebuchetMS.
6
4
On Slide 1, type Winter Break Camp in the title placeholder and
Friendships and Memories in the subtitle placeholder.
5
5
Add a new slide after Slide 1 with the Title and Content layout.
Type Overview in the title placeholder.
6
6
Type the following bulleted text in the content placeholder at
the level listed.
• Dates (first level)
• December 26, 27, 28, and 31 (second level)
11. • 8 am to 4 pm (second level)
• Activities (first level)
• Swimming (second level)
• Sledding (second level)
• Arts & Crafts (second level)
10
7
Use the Reuse Slides option to insert all of the slides from
Winter Break Camp.pptx after Slide 2.
8
8
Delete Slide 3. Move Slide 5 (Sledding) so that it becomes Slide
4.
5
9
On Slide 1 insert the Snowflake.jpg image. Crop the image on
all sides so that only the snowflake is remaining. Resize the
image to height of 2.11” and the width to 2.22”. Hint: Uncheck
Lock aspect ratio in the Size pane.
9
10
Apply the Beveled Oval, Black picture style to the inserted
image. Position the image horizontally at3.7" and vertically at
4.3".
7
11
Apply the Fill: Dark Blue, Accent color 1; Shadow WordArt
style to the text in the title placeholder (Winter Break Camp).
8
12
Change the layout of Slide 7 to Panoramic Picture with Caption.
Add the Snowman.jpg image in the picture placeholder. Apply
the Drop Shadow Rectangle picture style.
10
13
On Slide 6, convert the bulleted list to a Vertical Bullet List
12. SmartArt graphic.
10
14
Type the following in the Notes pane for Slide 1: Join Us for
Winter Break Camp. (including the period).
5
15
Create a Notes and Handouts footer with the following: Winter
Camp Details. Apply to all.
5
16
Check the presentation for spelling errors. Make corrections as
needed on the slides.
5
17
Save and close Exp19_PPT_Ch01_CapAssessment_Winter
Camp.pptx. Submit the file as directed.
0
Total Points
100
Created On: 11/13/2020 1
Exp19_PowerPoint_Ch01_CapAssessment - Winter Camp
1.4
S w
907C04
KENEXA
14. in order to conduct an employee opinion survey and a customer
satisfaction survey. Once both the
employee and customer survey data had been collected, the
challenge for Wiley and Brooks was to identify
issues in the data that they needed to address in their
presentation to NCB’s leadership in Chicago on
October 9, 2006.
KENEXA1
Kenexa, a Wayne, Pennsylvania-based HR consulting firm, was
founded in 1987. During the initial eight
years, Kenexa focused on providing talent management
solutions to its clients. Later on, it broadened its
products and services offerings to include employee and
customer satisfaction research, performance
management technology and consultation, and employee process
outsourcing. On June 24, 2005, Kenexa
announced its initial public offering and began trading on the
NASDAQ National Market. As a full-service
consulting firm, Kenexa provided solutions (see Exhibit 1)
aimed at helping corporate clients to maximize
their performance by improving their human capital
management. Its list of approximately 2,400 clients,
including approximately 130 companies on the Fortune 500 list
published in April 2005, spanned many
key industries — financial services, life sciences, retail, health
care, call centers, education and hospitality.
For the year ending December 31, 2005, Kenexa reported total
revenues of $65.6 million,2 an increase of
42 per cent compared to the prior year. As of September 2006,
Kenexa employed approximately 1,000
people and had offices throughout the United States in Wayne,
Lincoln, Philadelphia, Lexington,
Englewoods, Minneapolis, San Francisco and New York, as well
15. as in London (United Kingdom),
Hyderabad (India), Taipei (Taiwan) and Toronto (Canada).
1 Source: http://www.kenexa.com/abou_hist.html;
http://www.kenexa.com/abou_over.html, accessed December 1,
2006.
2 All funds are in U.S. dollars unless noted otherwise.
Page 2 9B07C004
In the last 19 years, Kenexa had garnered extensive experience
and expertise in providing clients tools for
human capital management. The team-oriented workforce at
Kenexa played a vital role in this regard. The
personnel comprising these teams had strong analytical, cross-
functional and multi-industry expertise.
Numerous Kenexa employees had PhDs in
Industrial/Organizational Psychology and were well-recognized
experts in both the practitioner and academic communities.
JACK W. WILEY
Jack Wiley, executive director of the Research Institute at
Kenexa, had 30 years of experience with
research on linking employee opinion survey results to
organizational performance measures of customer
satisfaction and business performance. Based on his research,
Wiley had developed WorkTrendsTM, a
unique database of employee opinions. Previously, Wiley had
been president and CEO of Gantz Wiley
16. Research — a consulting firm he co-founded in 1986 — that
was acquired by Kenexa in August 2006.
Prior to that, he was director of organizational research at
Control Data Corporation (now Ceridian) and
held personnel research positions at National Bank of Detroit
and Ford Motor Company. With a PhD in
Organizational Psychology from the University of Tennessee,
Wiley was also a licensed psychologist and
an accredited senior professional in human resources. He had
written numerous articles and book chapters
on conducting organizational surveys and had made many
presentations to professional associations
around the globe. His professional affiliations included
memberships in the Society for Industrial and
Organizational Psychology (SIOP), the Human Resources
Planning Society (HRPS), and the Academy of
Management (AoM).
SCOTT M. BROOKS
Brooks, who had a B.A. from Cornell University and a PhD in
Industrial and Organizational Psychology
from the Ohio State University, shouldered responsibility for
managing WorkTrendsTM and developed
customized employee and survey research products for Kenexa’s
projects. Additionally, he worked closely
with Wiley to prepare feedback for Kenexa’s clients based on
the analysis of employee/customer survey
data. Previously, Brooks worked for the retailer Mervyn’s, a
division of Dayton Hudson Corporation. He
had 15 years of survey research experience and had authored
many presentations and publications on
employee measurement topics. He was a member of SIOP,
AoM, the Society for Human Resource
Management and the American Psychological Association.
17. RATIONALE UNDERLYING WILEY’S AND BROOKS’
APPROACH TO PROJECTS
Wiley firmly believed in the notion that effective workforce
management was the key to better
performance. This belief was grounded in research by others,
but also in his own research and work with
many clients. Stanford Professor Jeffrey Pfeffer had
summarized relevant research:
Achieving competitive success through people involves
fundamentally altering how we
think about the workforce and the employment relationship. It
means achieving success
by working with people, not by replacing them or limiting the
scope of their activities. It
entails seeing the workforce as a source of competitive
advantage, not just as a cost to be
Page 3 9B07C004
minimized or avoided. Firms that take this perspective are
often able to successfully
outmaneuver and outperform their rivals.3
Wiley’s own research aimed at diagnosing the organizational
practices that were indicative of better
workforce management and, at the same time, were predictors
18. of organizational success. For that purpose,
he used data from employee surveys, customer surveys and
business performance measures. The findings
from his consulting projects consistently showed:
• Customer loyalty was a potent predictor of business
performance. Moreover, customer loyalty could
be forecasted from employee perceptions of an organization’s
customer orientation and the extent of
emphasis on service quality.
• Specific leadership practices — customer orientation, quality
emphasis, employee training and
employee involvement — created an environment of service
excellence and separated leading
organizations from lagging ones. Organizations focusing on
these four practices had employees who
knew their tasks, worked well in teams, were more satisfied and
were better able to deliver quality
service to customers. That capability translated into the
delivery of products and services of better
value, thereby contributing to customer loyalty, higher market
share and better bottom-line
organizational performance.
According to Wiley, these findings suggested a chain of
activities (see Exhibits 2a and 2b) that built a
high-performance organization (see Exhibit 3):
The more visible and present certain organizational values and
leadership practices (e.g.
customer orientation, quality emphasis, employee training, and
employee involvement) are
19. in a given work environment, the more energized and productive
the workforce. In turn,
the more energized and productive the workforce, the greater
the satisfaction and loyalty
of customers, and with a time lag, the stronger the long-term
business performance of the
organization.4
The High Performance Model illuminated the interrelationships
among organizational practices, employee
perceptions of their work environment, customer satisfaction
and business performance. It provided a
well-grounded argument to clients. Organizational success was
contingent on the ability to build “long-
term and mutually beneficial relationships among the company,
employees and customers.”5 For that
reason, organizations needed to embrace the leadership
practices outlined in the High Performance Model
and create a work environment where employees felt capable of,
and were able to deliver top-quality
service to customers. The ability to deliver exceptional service
translated into improved customer
satisfaction and retention, ultimately improving the company’s
growth and bottom-line. Employees, too,
felt more satisfied with their jobs as a result of their ability to
provide excellent service and their continued
positive interactions with satisfied customers.
Wiley noted that the interrelationships articulated in the High
Performance Model were affected by
elements of the work characteristics and contextual factors. In
a retail bank setting, for example, certain
bank-branch characteristics (e.g. frequency of customer contact
at a branch) might differentially influence
20. 3 J. Pfeffer, “Producing Sustainable Competitive Advantage
Through the Effective Management of People,” Academy of
Management Executive, 19(4), 2005, pp. 95-106.
4 J. W. Wiley and B. Campbell, “Using linkage research to
drive high performance: A case study in Organizational
Development,” Getting Action from Organizational Surveys:
New Concepts, Techniques, and Applications, San Francisco:
Jossey-Bass Inc. Publishers, 2006, pp. 150-180.
5 S. D. Pugh, et al., “Driving service effectiveness through
employee-customer linkages,” Academy of Management
Executive, 16(4), 2002, pp. 73-84.
Page 4 9B07C004
the relationship between employee opinions about elements of
their work environment and customer
satisfaction. Furthermore, he suggested that the
interrelationships among employee perceptions of their
work environment, customer satisfaction and business
performance grew stronger with a time lag. For
example, positive customer perceptions translated into potential
repeat purchases and word-of-mouth
recommendations of a bank’s products and services to friends
and relatives, resulting in improved
performance over the long term rather than over the short term.
When applied for organizational diagnoses, the High
Performance Model involved integration and
correlation of data from employees, customers and business
performance metrics. Both employees and
customers were considered as subject matter experts of the
service environment. Kenexa gathered
21. customer and employee reports using surveys. A typical
employee survey focused on employee
descriptions of the aspects of their business-unit’s work
environment (e.g. the extent to which top
management emphasized the importance of top-quality service)
that were relevant for building service
capability. Similarly, the customer survey collected data on
customer perceptions of service quality,
customer satisfaction and customer loyalty. Finally, the data
from employee and customer surveys was
integrated with organizational performance data.
The integrated data was analyzed for the interrelationships
among employee perceptions, customer reports,
and business-unit performance. These interrelationships
pointed out the key drivers of customer
satisfaction and performance that separated better-performing
business units from the lower-performing
ones. This was critical to understanding where an organization
stood in terms of managing the core drivers
and what managers could change in their organizations to better
realize the full potential of these drivers.
Kenexa’s consultants focused on providing tangible action-
planning recommendations to clients so that the
reformulated organizational practices reflected an increased
emphasis on the crucial drivers.
HOW KENEXA EXECUTED PROJECTS
Kenexa followed a five-phase model to design and execute a
research project for its clients. During the
initial planning phase, members of the Kenexa research team
developed a customized project plan for
serving the needs of the client. This was followed by the survey
development phase during which
22. Kenexa’s consultants tailored their standard survey instruments
and incorporated the key indicators that
determined employee/customer opinions for the clients. Once
adapted, the survey instrument was
administered using a variety of formats, including interactive
voice recognition (IVR) and the Internet, as
well as with paper and pencil. Kenexa also provided help desk
support for the survey respondents during
the administration phase. Once the data had been collected,
Kenexa’s consultants, using a Web-enabled
technology platform, organized and analyzed the data and
prepared it for reporting back to the client.
Finally, Kenexa’s executives provided action-planning feedback
to the client, translating the linkage
research results into actions for improving workplace
performance.
THE NCB PROJECT
On April 16, 2005, Wiley and Brooks gave a presentation on the
High Performance Model at the annual
conference of the Society for Industrial and Organizational
Psychology in Los Angeles, California.
Katharine Graham, senior vice-president of Organization and
Leadership Development at NCB, was in the
audience and was intrigued by the possibility of how insights
from the High Performance Model approach
could help make NCB more effective. Graham’s informal
discussions with Wiley and Brooks at SIOP
materialized into NCB’s decision, in June 2005, to conduct
employee and customer opinion surveys that
Page 5 9B07C004
23. would: (1) provide an understanding of employee/customer
opinions and their relation to performance of
NCB’s branches in order to differentiate better-performing
branches from the poorer ones; (2) identify
priorities for organizational development activities; and (3)
serve as a benchmark to track the progress of
organizational development activities.
NCB
NCB, headquartered in Chicago, was a large retail branch
banking organization that provided the full range
of retail banking services (e.g. accepting deposits, consumer
lending, wealth management services and safe
deposit box operations) to its clients through 128 branches
located in six mid-western states. It also had a
network of 264 ATMs and an on-line full-service electronic
banking center. Based on 2005 financial data,
NCB had approximately $7.5 billion in assets, $5.1 billion in
deposits and a net income of $104 million.
As of year-end 2005, NCB served about 70,000 customers and
employed a workforce of 2,884, including
84 at its Chicago headquarters.
At NCB, headquarters was responsible for setting the overall
strategic direction. The headquarters’ role
included new product design, branch layout design, public and
media relations, and marketing strategy
conceptualization. Branches, on the other hand, were
responsible for execution of the products. Branches
acted independently, catered to their geographic region and
reported to the headquarters. A typical branch
24. was comprised of about 20 employees, including a branch
manager, assistant branch managers, personal
bankers, banking assistants and tellers.
The branch manager was responsible for coordinating with the
headquarters and managing the day-to-day
functioning of the branch. With ultimate responsibility for
branch performance, the branch manager needed
to motivate the team, drive sales and lead the way in how the
branch delivered excellent customer service.
The manager also served as the bank’s liaison with local
community groups and institutions. The assistant
branch managers were responsible for working closely with the
manager to create a high-energy, high-
performance culture within the branch. As “champions” of
customer service and sales practices, they were
expected to focus on meeting and exceeding branch targets.
They were specifically required to identify
opportunities for training of the branch personnel if branch
performance was falling behind.
The personal banker(s) were responsible for the portfolio of
personal services offered to existing and new
consumers: personal loans, credit card applications, and day-to-
day banking — savings and checking
account plans, safety deposit offerings, travel and medical
insurance products, and wealth management
products. Banking assistants worked in the banking hall of the
branch and were usually one of the first
employees who came in contact with the customers. As such,
they were responsible for talking to the
customers about the bank’s products and services and guiding
them to the appropriate banking personnel.
The tellers were responsible for cashing checks, accepting
deposits and loan payments, processing
25. withdrawals, accepting payments for customers' utility bills and
charge cards, processing necessary
paperwork for certificates of deposit and selling travelers'
checks and foreign currencies. As the
quintessential face of NCB, tellers were expected to be
courteous, attentive and patient in dealing with the
customers. They needed to work as a team and, together with
banking assistants, they were expected to be
resourceful in spotting potential sales opportunities.
The personnel at NCB were focused on providing value-
enhancing and need-satisfying services to its
clientele. In that vein, NCB was dedicated to meeting and
exceeding the banking needs of current and new
customers. That was an ongoing challenge given that the
competition for banking customers continued to
Page 6 9B07C004
be intense. NCB management firmly believed in the bank’s
ability to offer a broad array of services and
products at competitive prices and counted on its committed and
knowledgeable employee base to deliver
its products and services.
THE NCB PROJECT GETS UNDERWAY
Wiley and Brooks led the team that designed and administered
the surveys for the NCB project. Their
project plan included: (1) the administration of two surveys for
all the 128 branches of NCB — an
26. employee opinion survey in the fourth quarter of 2005 and a
branch-level customer satisfaction survey
shortly thereafter; (2) organization of the data collected from
the two surveys at the branch level; (3)
collection of performance data available from NCB
headquarters for the 128 branches; and (4) integration
of the resulting data for the purposes of conducting the
analyses.
The Employee Opinion Survey
Wiley and Brooks began the NCB project during July and
August of 2005 with the design of the employee
opinion survey. For that purpose, they adapted a standard
employee survey instrument to NCB’s
requirements. The resulting survey contained 54 questions and
assessed employee opinions on specific
elements of their work environment. These elements were
organized along nine themes in the survey:
customer orientation, quality emphasis, employee training,
involvement/empowerment, communication,
teamwork, engagement, intention to leave, and satisfaction with
compensation and benefits (Exhibit 4
provides examples on questions6 intended to measure different
themes). While answering the survey,
employees indicated their agreement with the survey questions
on five-point scales ranging from 1
(Strongly Disagree) to 5 (Strongly Agree). The survey package
identified employees on the basis of their
branch affiliation and not their names. This confidential survey
was administered, during October to
November 2005, on company time to the employees in 128
branches; 2,230 employees returned usable
surveys.
27. The Customer Satisfaction Survey
In September 2005, the NCB project’s team developed a
customized retail branch customer opinion survey
for the NCB project. The resulting survey had 40 questions
aimed at measuring customer opinions on
specific service issues (these issues were organized along four
themes: satisfaction with service quality,
satisfaction with teller, satisfaction with branch in general and
facilities at the branch, and satisfaction with
personal banker) and opinions on customer loyalty. Exhibit 4
provides examples of questions7 intended to
measure different themes. Similar to the employee opinion
survey, customers indicated their extent of
satisfaction with the survey questions on five-point scales
ranging from 1 (Very Dissatisfied) to 5 (Very
Satisfied). In addition, the survey assessed the frequency of
contact these customers had with the branch’s
service personnel. The questions, intended for this purpose,
asked the customers to indicate the number of
times they had used the services of bank tellers or personal
bankers during the last six months. The
6 The employee opinion survey contained at least two questions
intended to measure each theme of employee opinions.
While each employee responded to individual questions, an
average of the responses on the set of questions intended to
measure each theme served as corresponding employee opinion
score for that theme.
7 The customer satisfaction survey contained at least two
questions intended to measure each theme of customer opinions.
While each customer responded to individual questions, an
average of the responses on the set of questions intended to
measure each theme served as corresponding customer opinion
28. score for that theme.
Page 7 9B07C004
response categories were: 1, “not at all;” 2, “1-3 times;” 3, “4-6
times;” 4, “7-10 times;” and 5, “11 or more
times.”
The survey was mailed to customers’ homes (with around 300
randomly selected customer households per
branch) during December 2005. The survey did not ask for
customer names but identified customers on
the basis of branch affiliation; 14,114 customers returned usable
surveys.
BUSINESS PERFORMANCE AND BRANCH LOCATION
DATA
In May 2006, Graham sent data on two key indicators of bank-
branch performance for all 128 branches:
(1) teller productivity, computed as the volume of transactions
handled by tellers in relation to the number
of full-time equivalent teller staff; and (2) overall productivity
ratio, a measure of the amount of revenue
generated by the branch for every dollar of personnel expense.
The business performance measures were
based on 2005 year-end data. In her email, Graham mentioned
that the NCB management speculated
about the possibility of different business dynamics in branches
located in metropolitan areas versus those
in non-metropolitan areas. She provided data on branch
29. location (i.e. whether a branch was located in a
metropolitan or non-metropolitan area).
DATA AGGREGATION TEAM FOR THE NCB PROJECT
GETS TO WORK
Once the data from the two surveys had been collected and
business performance data from NCB was
available, research assistants at Kenexa’s Minneapolis office
entered the employee and customer survey
data as two separate data files, with responses from 2,230
employees and 14,114 customers respectively,
and cross-checked for data entry errors.
Once the initial screening was complete, the research assistants
calculated scores for the
employee/customer opinion themes by computing the averages
for the set of questions intended to measure
a particular theme. The resulting files were sent to the project
consultants who conducted initial statistical
tests on each of the two surveys to assess whether or not
respondents of the same branch responded
similarly to the survey questions and if these responses differed
across branches. These tests involved
testing for within-bank branch versus between-bank branch
variance. The project consultants found
support for within-branch similarity in responses and between-
branch variance in responses and therefore
aggregated each of the data files such that they represented
employee and customer8 data for the 128
branches.
Finally, these two data files were merged and combined with the
business performance and branch location
data and sent to Wiley and Brooks for analysis (see Exhibit 5
30. for a list of variables included in the final
data file; Exhibit 6 provides a sample from the NCB data file).
8 For the purposes of making the branch level customer data on
the frequency of usage of the services of bank tellers or
personal bankers amenable for analyses, project consultants for
the NCB project team did a median split and transformed
the frequency of contact variable into a categorical variable (see
Exhibit 5 for the two categories represented by the
transformed variable ‘ccon’).
Page 8 9B07C004
WHAT NEXT?
Wiley and Brooks had three weeks to prepare a presentation for
NCB’s senior leadership team at Katharine
Graham’s Chicago office. Wiley had last met Graham at the
2006 SIOP conference in Dallas on May 5,
2006 where she had indicated the eagerness with which the top
management team at NCB was looking
forward to hearing the findings of this project. As Wiley and
Brooks helped themselves to a cup of coffee,
they considered how best to make sense of the data so as to
draft an insightful presentation for the October
9th meeting.
31. Page 9 9B07C004
Exhibit 1
SOLUTIONS OFFERED BY KENEXA
Source: Company files.
Page 10 9B07C004
Exhibit 2a
THE HIGH PERFORMANCE MODEL: CONCEPTUAL MODEL
Exhibit 2b
32. THE HIGH PERFORMANCE MODEL: ANALYTICAL MODEL
Source: Company files.
Data collected
from employees
Data collected from
customers
Business
performance data
Page 11 9B07C004
Exhibit 3
33. Source: Company files.
CHARACTERISTICS OF HIGH PERFORMANCE
ORGANIZATIONS
Page 12 9B07C004
Exhibit 4
ILLUSTRATIVE QUESTIONS FROM THE EMPLOYEE
OPINION SURVEY
Theme Illustrative Questions/Items
Customer Orientation
1. Where I work, customer problems are corrected quickly
2. Senior management shows by its actions that customer
service is a top
34. priority
Emphasis on quality
Involvement
1. Where I work, day-to-day decisions demonstrate that quality
is a top
priority
2. Where I work, we set clear performance standards for service
quality
1. Sufficient effort is made to get the opinions and thinking of
people
who work here
2. Where I work, employees are encouraged to participate in
making
decisions which affect their work
Training
35. Communication
1. I receive enough training to help me continually improve my
job
performance
2. I receive adequate training on National Choice Bank’s
products and
services
1. Senior management gives employees a clear picture of the
direction
in which the company is headed
2. I get enough warning about changes that are going to take
place at
National Choice Bank
Teamwork
1. Where I work, management encourages a teamwork approach
to
getting things done
2. The people I work with cooperate to get the work done
Engagement 1. I like the kind of work I do
36. 2. My work gives me a feeling of accomplishment
Compensation and
Benefits
1. The amount of pay I get at National Choice Bank
2. The total benefits program at National Choice Bank
Source: Company files.
This document is authorized for educator review use only by
Área de Materiales PAD, Universidad De Piura (PAD) until Jul
2022. Copying or posting is an infringement of copyright.
[email protected] or 617.783.7860
Page 13 9B07C004
Exhibit 4 (continued)
ILLUSTRATIVE QUESTIONS FROM THE CUSTOMER
SATISFACTION SURVEY
Theme Illustrative Questions/Items
Satisfaction with Service
37. Quality
1. National Choice Bank is innovative in finding new and better
ways to
meet my needs
2. Compared to other banks I know of, National Choice Bank
offers
more convenient ways for me to do my banking
Satisfaction with Branch
Teller
Satisfaction with Bank
Branch in General and
Facilities
1. How satisfied are you with the service you receive from
tellers at the
National Choice Bank’s branch you use most often in terms of
the
tellers’ courtesy and friendliness?
2. How satisfied are you with the service you receive from
tellers at the
38. National Choice Bank’s branch you use most often in terms of
the
tellers’ ability to resolve your problems quickly?
1. How satisfied are you with the convenience of lobby hours at
the
National Choice Bank Branch you use most often?
2. Thinking about the National Choice Bank branch you use
most often,
how satisfied are you with the overall service you receive
Satisfaction with
Personal Bankers
Customer Loyalty
1. How satisfied are you with the service you receive from
personal
bankers at the National Choice Bank’s branch you use most
often in
terms of giving you individualized, personal attention?
2. How satisfied are you with the service you receive from
personal
bankers at the National Choice Bank’s branch you use most
39. often in
terms of following up on what they say they will do for you?
1. I would recommend National Choice Bank to friends and
family
2. The next time I need additional financial services, National
Choice
Bank would be my first choice
Source: Company files.
Page 14 9B07C004
Exhibit 5
NAMES AND DEFINITIONS OF VARIABLES FOR THE NCB
DATAFILE
Variable Name Definition
bnum Branch number; numerical variable ranging from 1 to 128
badd Branch address
40. bloc Branch location; categorical variable:
0 = non-metropolitan branch, 1 = metropolitan branch
bsize Branch size (the number of employees at the branch who
responded to the employee survey)
ecuso Employee opinion on the extent of customer orientation
equal Employee opinion on the emphasis of quality
einvol Employee opinion on the extent of their involvement
etra Employee opinion on the training they receive
ecomm Employee opinion on communication levels
eteam Employee opinion on teamwork
eeng Employee opinion on engagement
eitl Employee intention to leave
eben Employee opinion on the compensation and benefits
received
cserq Customer satisfaction with service quality
cbrtel Customer satisfaction with branch teller
cbr Customer satisfaction with branch in general and facilities
at
the branch
41. cbrpb Customer satisfaction with personal bankers
cloy Customer loyalty for the bank
ccon Customer’s frequency of contact with branch’s service
personnel; categorical variable: 0 = branch with customers who
interact less frequently with branch’s service personnel, 1 =
branch with customers who interact more frequently with
branch’s service personnel
teltr Teller productivity for the branch
prod Overall productivity ratio for the branch
Page 15 9B07C004
Exhibit 6
NCB DATA FILE
bnum badd bloc bsize ecuso equal einvol etra ecomm eteam
eeng eitl eben cserq cbrtel cbr cbrpb cloy ccon teltr prod
1 Anoka (E) 1 38 3.52 3.47 3.21 3.24 3.18 3.37 3.12 2.57 3.58
3.26 4.29 4.15 4.13 3.76 1 3946 412
