Name of
bank
1. Santo
Tomas*2
Type of
Minimum
Program MFU
requirement
MABSBranch Par
affiliate
(over 7 days)
IS
<= 5%
Minimum AO
requirements
Who is
entitled?
Some
Other
bonuses
Major revisions1
Portfolio: 500,000
pesos
AO – 60
6-month;
yearly pay
raise; consist
of AO training
to upgrade
skills
Within the last year,
increased IS quotas
from P350,000
portfolio and 60
active clients.
Overtime
pay, sports
fests, bonus
withheld
instead of
lost, until
PAR <= 1.5%
From 2000-2002,
used a MABS
approach but after
cases of AO fraud,
management
changed to bankwide scheme.
PAR: <= 2%
# of active clients: >=
80
# of loans disbursed
each month: >= 25
2. One
Network
Bank
wide
program
Branch must
reach HO’s
monthly quota
and MFU
PAR <= 1.5%
Portfolio: 600,000
pesos
PAR: <= 1.5%
# of active clients: N/A
# of loans disbursed
each month: 10
1
2
MF
Supervisor –
25%
In-house staff
–
15%
10% of net
income for IS –
distributed to all
46 branches –
equal % of IS
for all staff
based on
branch income
Research was conducted in May of 2004. Therefore, many of these revisions have already been implemented or are planned for the next quarter or by the end of the year.
* - uses break even analysis
3.Kabayan
*
4. Macro *
Profitsharing;
Bank /
branch
wide
program
Branch must
reach HO’s
yearly targets
Areawide
program
focusing
on PAR
and # of
clients
Area (2
branches)
must have
PAR <= 5%
Portfolio: N/A
PAR: < 3%
# of active clients:
about
120 clients by 1st year
# of loans disbursed
each month: N/A
Portfolio: N/A
PAR: <= 5%
# of active clients: >
50
# of loans disbursed
each month: N/A
5-7% of net
income used for
profit-sharing
amongst all staff
if yearly targets
for each unit of
the bank are
met.
Seasonal
outings; 3-4
months of
bonus salary a
year; life
insurance;
hosp- ital
insurance
No majors have
been made or have
been planned.
Mngment: 20%
Field staff: 80%
(75% to AOs;
25% to sprvsr).
70% based on
PAR; 30% on #
of active clients.
Quarterly
bonus,
motorcycle
provided by
management,
client
apprecia-tion
fiestas.
Management is
planning to change
to fully AO
independent IS, so
AO performance is
not tied to MFU
Name of
bank
Type of
Minimum
Program MFU
requirement
Minimum AO
requirements
Who is
entitled?
Other
bonuses
Major revisions3
5. Green*4
MABSaffiliate
IS
Portfolio: 1 million
pesos
AO: 50%
Supervisor:
15%
Head Offc:
5%
In-house
Staff: 30%
5% Head
office IS
used for
end-of-theyear awards
IS Plans – extend
portfolio to 2.5
million; Reward
qualifying AOs 50%
of IS if branch does
not reach
requirements
AO: 60%
Supervisor: 15%
Product Head:
5%
Loan Section
Head: 3%
Branch Share:
17%
Branch
share is
used for
merienda for
all staff the
entire month
IS Plans – extend
portfolio to 2 million;
lower AO and branch
PAR 1 day + to 3%;
increase portfolio to
600,000 (AO far from
branch) and 700,000
(AO close to branch)
6 Cantilan* MABSaffiliate
IS
Weekly
branch PAR:
<=5%;
Monthly
branch PAR:
<=3%
Monthly MFU
PAR for 7
days + <= 5%
PAR: <= 3% for 7 days
+
# of active clients: >=
100
# of loans disbursed
each month: >= 25
Portfolio: 400,000
pesos
PAR: < 5%
# of active clients: 80
# of loans disbursed
each month: 20
3
4
Research was conducted in May of 2004. Therefore, many of these revisions have already been implemented or are planned for the next quarter or by the end of the year.
* - uses break even analysis
7.
Talisayan
8. Coop
MABSaffiliate
MABSaffiliate
No minimum
MFU
requirements.
AO’s
performance
not tied to
branch
No minimum
MFU
requirements.
AO’s
performance
not tied to
branch
Portfolio: 400,000
pesos
PAR: <= 5%
# of active clients: 60
# of loans disbursed
each month: 25
Portfolio: 400,000
pesos
PAR: <= 5%
# of active clients: 60
# of loans disbursed
each month: 20
AO: 100%
Supervisor:
25%
Head ofc: 20%
In-house staff:
40%
Brach Mngr:
15%
CAP health;
In-house staff
divide IS at
the end of
the year.
IS plans: increase
portfolio to 1 million;
increase # of
accounts to 150;
lower PAR minimum
to 2%
AO: 100%
Supervisor:
15%
Branch Mngr:
20%
CAP health;
monthly
outings and
weekly
sports fests.
No changes to
individual program;
but group-lending
minimum active
clients was 100, and
now is 125.