Case Study #1: Developing Financial Acumen
5 Mortgage Bank
Simulation Used: Cycloan™ (branch management
Specific Business Need: Communicate
new financial reporting measures.
Solution: Our client
needed to communicate to regional and area-level mortgage-branch
the new way
business success and profitability were
being measured, and the new way that revenues, expenses, and
profitability were now being reported.
PriSim® customized an existing branch-level simulation,
Cycloan™, to replicate the business dynamics of a mortgage loan
center. Classes of 30-people divided into teams to compete running
separate simulated mortgage branches. Teams received customer-segmentation
data to differentiate the needs and wants of specific customer groups.
Within Cycloan™, attendees practiced making the same decisions they
would need to make in a real-world mortgage branch:
- train loan
- define products to sell to different market segments
- set rates charged for specific products
- promote and advertise mortgage products
- develop sources of leads
- manage staffing and support
Built fundamental business acumen in managers through intense,
interactive training in core business skills. Took directors, managers
and VPs to the “next level” of business acumen and leadership.
Imparted a holistic view of the business tying together the core functions of running
a branch business and the overall fit with the parent company.
Developed and improved attendees' understanding
of the company’s
business model from a perspective of “controllable profit”.
Demonstrated how specific decisions made in operating a branch feed
into and impact the rest of the organization. Provided a “laboratory
setting” in which to practice branch-level strategies and to
demonstrate the final outcomes of profitability at a corporate level.
"The major benefit on this exercise is the quick feedback you get on the strategy you've choosen at the beginning. Also very good is the mixture of practical and theoretical experience and the feedback rounds ...and always a surprise is, that the dealers forgot their reservations about their strategy towards their dealer collegues because of the "game character" of this exercise. This never has happened during a "normal" training."
- DDM-Germany, Large Motorcycle Manufacturer, February 2007