There are two important informative purposes for measuring branch profitability. Firstly, knowledge of what costs and revenues would
be affected if a particular branch were to be closed is crucial. Secondly, evaluating the performance of a branch based on profitability
will allow one to also assess the performance of branch managers. These purposes would seem to argue for not assigning assets to a branch,
but rather concentrating on core deposits and other activities directly related to the existence of the branch and over which branch
management has some control.
in’ Branch Profitability allows you to manage branch activities which have a direct impact on profitability (revenues and expenses). The solution allows you to determine whether:
1. The activity has either revenue or expense (or both) associated with it
2. The revenue or expense is related to a one-shot occurrence or an ongoing activity.
3. The revenue or expense is based on a fixed dollar amount per item or related to some dollar balance amount.
- Gain insightful information of branch performance through effective analytics
- Manage branch manager performance through profitability calculation tools
- Monitor key profitability-driven activities while evaluating their behavior and nature