Our Work

Case Study: Lloyds Banking Group

Driving culture change with digital learning

Lloyds Banking Group’s ‘Your Bonus Award’ programme helped bring about a discernible cultural shift within the organisation towards greater transparency over bonus payments.

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The Business Challenge

Lloyds Banking Group plc is listed on the London Stock Exchange and the FTSE 100 Index, with a history stemming back to 1695. Lloyds Bank plc, its main subsidiary, is one of the UK’s ‘Big Four’ clearing banks, and its extensive network of branches and ATM in England and Wales make it the largest retail bank in Britain.

Bonus payments were awarded to Lloyds’ staff after calculations that took place ‘behind the scenes’ and staff were not given any clear guidance as to how these payments were determined. In order to build and maintain trust among its staff, the organisation made, in the words of Paul Hucknall, Director, People Centre of Excellence, ‘a conscious choice to be more transparent about how bonus awards are determined.

‘All colleagues needed to see a clear link between doing the right things for our customers and how they were rewarded.’

However, the way that bonus awards were determined remained unclear to many colleagues, and existing communications weren’t cutting through.

  • A training need was identified with three clear aims:
  • Improve understanding
  • Enable better bonus conversations
  • Drive cultural change
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Probably the single most engaging piece of training I’ve done

The Solution

Lloyds collaborated with Lumesse to produce a digital learning solution for 6,000 line managers that would meet these aims. Line managers hold pay and bonus conversations with their team members on a yearly basis, and the launch of the programme was timed to support managers in doing this successfully, and answering any potentially difficult questions around the process. The programme took the form of a multi-dimensional 40-minute solution delivered through a toolkit of animations, videos and apps, which immerse the learner in ‘real-life’ situations – providing a suitable environment for learners to break down and simplify what could be initially interpreted as complex calculations.

The toolkit was designed to give learners control of their own journey with the first three chapters being designed in a way that gave learners absolute autonomy to complete only the sections that applied directly to them as individuals.

The module is interspersed with real excerpts from Lloyds’ senior management team – who fully endorsed the learning and spoke frankly about the issues that affect staff.

Multi-layered and immersive, the content featured interesting visuals and interactive elements, as well as a series of illustrated videos to break down and simplify the calculation process. A handy ‘on-the-job’ PDF summary was unlocked on completion of the course, so that managers could take it away to refer to during bonus-related conversations with staff.

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99% of the 6,000 line managers asked to undertake the training did so.

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99% of the 6,000 line managers asked to undertake the training did so.

Results

The programme met with unprecedented enthusiasm from Lloyds’ staff on launch, with over 14,000 people choosing to take the course in addition to the 6,000 for whom it was mandatory.

Survey evidence shows that the staff now better understand the link between doing the right thing for customers, and their bonus payments. The support given to line managers has facilitated better bonus conversations, and has helped to drive cultural change.

At a cost of £2 per end-user, it was deemed fantastic value for money, and with the assessment being part of the annual mandatory training, it will deliver exceptional return on investment for years to come.