Make It Real
Since National City decided to go down the full service road, it has
- Implemented a data warehouse that allows the Bank to build customer profiles. These
profiles are used to identify the products and services appropriate for each
- Launched new sales, development and marketing programs that target specific
products and services to specific customers.
- Developed a technology capability that enables the Bank to deliver those customized
products across multiple channels such as ATMs, branch locations, call centers and a
- Introduced data mining procedures to identify and retain the Bank's most profitable
- Restructured the Bank along lines of business rather than geography.
Keep It Going
With scenario planning, National City may still not ultimately control its fate, but
at least all its business units now share a single strategic vision. "Scenario planning
helped [the IT group] understand the issues the business heads handle every day," says
Gorney. "Now, we have a better appreciation for the revenue side of the business
because we had to get specific. We had to get down to detailed end-states. To just say
that we want to be a customer-focused organization is pretty broad. Scenario planning
forced us to ask the business side specific questions about the level of customization
they wanted and what they mean when they say 'a market of one.'" Once Gorney had these
answers, he knew how to spend that $40 million on a customer information system with
the right specifications for determining profitability and cross-selling opportunities,
and for developing customized programs.
Participants on the business side also gained valuable perspective. Jim Bell, the
Bank's executive vice president, had spent 15 years primarily on the corporate Banking
side and three years as CEO of National City's Bank in Kentucky. "I got a crash course
in the issues facing our brokerage unit and retail practice," he says, "as well as an
understanding of the technology infrastructure needed to support those businesses that
I didn't get in my normal activities as CEO."
The exercise "established a short-hand or common nomenclature for some generic
strategies that still facilitates communication today," says Bell. Rupp concurs. "It is
amazing how after these sessions people would keep referring to the conversations and
the terms we used, like CyberBank, as we started to talk about implementing programs."