The new normal is old news. It’s time to think about what really works for your business. While emerging from the pandemic, many financial institutions evolved their workforce model and are now asking if they need as much office space. Some FIs continue to have staff work from home. While others adopted a hybrid model with staff in the office two to three days a week.
If you are looking to rationalize your bricks-and-mortar footprint, we can help. A business site strategy is critical. Here, Bridgeforce shares a site consolidation strategy model designed to help make decisions based on facts and analytics.
Decisions on which sites to keep and which sites to exit are prone to emotional evaluations. Site closures ultimately affect people, and making dispassionate decisions is impossible without agreeing on a strategy.
Our model breaks decision-making into three main categories: stakeholders, analytics and forecasts. These assessment categories uncover necessary trade-offs, remove emotional barriers and help you make decisions based on facts.
You must highlight key data elements to be part of the analytics used to rank sites and determine core site strategy. Below you will find a sampling of questions to ask, so you can identify ranking methodology.
Stakeholders will come to the table with different priorities. You need to understand and balance competing priorities to strike an optimal strategy and agreeable outcomes. Identify company stakeholders and invite them to engage on this journey. This helps to understand their key considerations for site strategies.
Ask the stakeholders to define the analytics that are most critical to them, as outlined in this matrix.
|Operations Managers||Tenure and experience of the staff at each site, leadership strength at each site, site productivity statistics|
|Recruiters||Available talent in the market|
|Facilities||Whether the facility is leased or owned, expense to maintain the site and whether the remaining footprint will support expansion|
|Finance||The costs associated with expenses, staff and cost per seat in each market|
|Human Resources||Ensuring that decisions don’t disproportionately impact certain demographic groups, employee well-being and knowledge sharing|
|Executive Leadership||Strategic presence in certain locations to support future target operating model|
Make sure your site selections do not create gaps or inefficiencies by using your business forecasts, such as:
You can plan for the moment, but should be conscious of how the decisions that you make today affect future strategic growth. Bridgeforce can help use your forecasts to validate your selections and help you understand any resulting trade-offs.
Develop a site strategy that pulls together stakeholder priorities, ranking tools and forecasting. This way your plan will balance consideration for staff, efficiency and effectiveness of the resulting ongoing operations and cost savings.
These four elements provide the framework to follow when planning a site consolidation.
Stay true to your culture while achieving your objectives during a consolidation with guiding principles that reinforce the desired corporate culture, growth and business optimization. When building the strategy and making decisions, refer back to your principles regularly to ensure you have not gone astray and to keep emotional decision-making at bay.
Bridgeforce can help you move with speed. Our experience in defining a realistic site strategy to meet organizational goals runs deep. We’ve done it ourselves when we were in your shoes, and we’ve helped multiple clients do it. We bring our proprietary model and experience to guide you through the necessary foundational work, model development, decision-making and execution. Bridgeforce will:
Our model is interactive for real-time change and scope adjustments. The scenario-based model adapts to changing business needs. By being grounded in the guiding principles that we’re establishing up front, will enable you to monitor outcomes of executing your strategy. Changes that impact your guiding principles are tracked, this enables you to see if you are on plan or straying from the established foundational principles.
We understand that change is constant. If a key element of your business changes, real time adjustments to our model will reflect the impact to constant change. Our proprietary model is not static. Together, we can reduce your operating costs, intelligently plan site vacancy, and understand operational complexity. Call us. We can move as fast as you can. You bring the data – we have everything else.
[Editor’s note: this article has been updated and republished from it’s original publish date in 2020]