This article will focus on Budgeting tools for Banks.
The Balanced Scorecard is finally in place, now what? The senior management of the bank came up with twenty-four key performance indicators (KPI’s) that will make up the bank’s balanced scorecard. Everybody is excited about the new measures and is looking forward to see how they rank. The first report comes out with a lot of fanfare. The second report then comes out and nothing changes. Hmmm. Everyone thought performance would immediately start to improve.
What is missing? Budget tools for banks! Now that the bank knows what measures are important to implementing its strategy for success, it needs to come up with a way to set goals and targets for those various measures. The first step in this process is to come up with a budget. There are many approaches and tools for budgeting for banks. This article will help you sift through the myriad budget tools for banks by coming up with a list of requirements.