Aligning Banking Impact
Running a bank without an eye for impact – not knowing what value it creates, let alone how it can create value tomorrow – seems a risky proposition, doesn’t it?
Leading banks have started to understand that long-term value creation and their competitive position are inextricably linked through their role in society. They understand that they must manage their impact alongside their financial performance to create value for all stakeholders.
To truly understand the full impact a bank has, an objective form of measurement and valuation is needed, one that is quantitative and comparable across organisations. It should look beyond ‘simple’ outputs, but instead focus on the actual impact of banking activities, and it should recognize that much of a bank’s impact is outside its own operations.