Dave Kaytes Featured at BAI's SmartTactics Conference, Speaks on Branch Management

April 24, 2006

LAS VEGAS – System–wide branch uniformity has increased efficiency in retail banking, but local market responsiveness also is needed for peak revenue growth, Dave Kaytes today told attendees at BAI's SmartTactics Conference.

A Managing Director at Novantas, Kaytes discussed "Making the Most of Local Branch Presence" at SmartTactics, a gathering of retail professionals that explores best practices and innovative approaches to drive profitable retail delivery. Co-presenting this session was Susan Potter, an Executive Vice President at KeyBank, Cleveland.

Kaytes and Potter explored key tactics to improve growth and profitability of regional branch franchises. "Positioning in fast–growth markets and ability to gain share are the drivers of top-line revenue growth," Kaytes said. "To identify and capture these opportunities, branches and regions must be managed uniquely."

Kaytes highlighted three tactics to deploy resources strategically and empower branches distinctively: 1) Divide roles and responsibilities in a way that balances centralized decision-making with local responsiveness and accountability; 2) Develop and implement regional performance metrics based on local conditions; and 3) Price distinctively by market.

Potter focused on finding the right balance between the line of business and the community bank structure. She also said regional mangers should be encouraged to play an expanded leadership role, which has implications for hiring, training and job design. Most importantly, Potter said, retail banks should strive to array their regional branch networks and services from a customer point of view, and always remember to look beyond questions about organizational structure.

Novantas is the acknowledged leader in customer science and revenue strategy for the financial industries. The Firm specializes in applying advanced analytics and technologies to help clients make better decisions in marketing, product, pricing, customer management, and distribution.