The Impact of Forward-Looking Metrics on Employee Decision-Making: The Case of Customer Lifetime Value
研究银行向分行经理提供客户终身价值指标后，员工决策的变化，发现客户价值平均提升5%，经理更关注高利润客户，且经验较短的经理反应更强。
ABSTRACT This paper analyzes the effects of forward-looking metrics on employee decision-making. We use data from a bank that started providing branch managers with the customer lifetime value (CLV)—an estimate of the future value of the customer relationship—of mortgage applicants. The data allow us to gauge the effects of enriching the employees' information set in an environment where explicit incentives and decision rights remained unchanged. On average, customer value increased 5 percent after the metric's introduction. The metric's availability resulted in a significant shift in attention toward more profitable client segments and some improvement in cross-selling. However, the use of CLV did not negatively impact pricing or default risk, as the literature predicts. Finally, branch managers with shorter tenure displayed a stronger response, consistent with information substituting for experience.