Bank Branch Planning & Site Analysis: Art or Science?

Right Site Systems uses both art and science.

Besides E=MC², Einstein is famous for his definition of insanity — “doing the same thing over and over again and expecting different results”. Right Site Systems agrees with this definition, but suggests that the inverse is also insane — doing different things over and over again and expecting the same results.

The sane approach is to expect consistency when doing the same thing over and over again, which is why we use systems to guide bank site analysis and location planning decisions. Good bank planning systems are composed of art and science. When properly constructed, these systems serve as guidance beacons, ensuring that you consistently make the right bank branch planning decisions. Whether you are considering a new bank location, existing branch relocation, branch closure, branch consolidation, or dealing with the challenges of a bank merger or acquisition, the basic issues are the same. However, the systems you select to guide your decisions will vary according to your focal viewpoint — Satellite View, Airplane View or Windshield View.

The Science behind site analysis and bank planning is the system itself. We understand how to weave relevant factors together so you can consistently make the right decisions for your bank. We know all the statistical models and methodologies available to help guide bank planning decisions. We know their strengths and weaknesses and how to properly use them. In addition to this knowledge, we have the talent to select and filter data so that potentially misleading and erroneous data will not contaminate an otherwise useful business analytics process. Learn more about our approach to bank planning. Bank Branch Planning and Site Analysis The Art of site analysis and bank planning is knowing which factors are important and when to apply them. Many research factors can make a significant difference in a branch’s performance. Understanding which factors are relevant is an art that can only be mastered through the wisdom gained by a seasoned professional. Learn more about our team.

The Simple Truth is that even with limitless money, resources, and time, no one— not even Right Site Systems— can construct a perfect guidance system that would always predict the precise outcome of any branch planning decision. Market data research companies have tried for decades to develop a model that could magically link demand-side demographic factors with supply-side performance characteristics to accurately and consistently predict results for hypothetical changes in branch distribution. The problem is that missing information and unpredictable events can greatly influence performance, so our answer is to develop decision guidance systems that consistently do two things:

  1. Separate markets, areas, and sites that are worthy of branch planning consideration from those that should be avoided
  2. Predict relatively accurate approximate performance values for sites under “normal” circumstances, to be compared with alternatives under like conditions

If this approach makes sense to you, we’d like to get to know you. We think you’ll like what we have to offer.

© 2012 Right Site Systems Inc.