(15 September 2009 – Australia) With CBA executive pay now closely related to customer satisfaction and performance, the CBA’s IT heads have seen a hit to their pay packets as a result of the well publicised Netbank outage in June.CBA’s internet banking facility, NetBank, had to be taken offline for a short time in June this year because of a massive increase in traffic affecting the bank’s website service standards.
Technology news website Finextra reported that CBA chief information officer Michael Harte has now revealed that the outage led to a pay hit for him and members of his team.
At a press briefing, Harte said that the outage affected the pay packets of both him and other fellow IT executives.
At the press briefing attended by CBA head of online, Tim Whitely, head of core banking, Dave Curran and the lead for a Telstra telecommunications project, Nick Holdsworth, Harte said that it not only affected his own pay, but also other people in the room.
While the volume of the pay cut was not revealed, it is part of CBA’s previously launched focus on customer satisfaction, which is now a key performance indicator for 40 percent of ‘at risk pay’ for the enterprise services team, according to Finextra.
That simply means that if CBA’s customers aren’t happy with the reliability of the system, the convenience and ease of use and access, the richness and features and functions, CBA will be penalised, and its staff will directly feel that, Harte said in the briefing.
Notably, CBA is applying the same criteria to technology suppliers, affecting firms such as Telstra, SAP, Acenture, Oracle, IBM and HP.