Barclays 2009 Annual Report Download - page 30

28 Barclays PLC Annual Report 2009 www.barclays.com/annualreport09
Key performance indicators
continued
Strategic KPIs: Develop Retail and Commercial Banking activities in selected countries outside the UK
Definition
Number of distribution outlets outside
the UK
Represents total number of branches and sales
centres outside the UK.
Proportion of Global Retail and Commercial
Banking international income
Percentage of total Global Retail and Commercial
Banking income earned outside the UK.
Why it’s important to the business and management
This represents the growth in our footprint around the world,
providing a clear indication of the development of our activities
outside the UK.
Sales centres are a low cost option for testing demand for
banking services in small towns and remote areas, and also
augment branch distribution in larger cities. These sites are
reviewed periodically to assess benefits to customers and the
franchise as a whole. In 2009, the number of sales centres in
Emerging Markets were reduced as the demand for products
and services in these areas did not require the presence of
dedicated distribution outlets.
As sales centres do not offer transaction services there is
limited impact on customer service, whereas new customers
or prospects can be served from the nearest Barclays branch.
This demonstrates the successful execution on Barclays
strategy of diversifying our business base by geography
over time to achieve higher growth.
2007 2008 2009
2,349 3,158 3,063
Strategic KPIs: Enhance operational excellence
Definition
Risk management
Loan loss rate
The loan loss rate represents the impairment
charge on loans and advances as a proportion
of the period and balances.
Why it’s important to the business and management
The granting of credit is one of Barclays major sources of
income and its most significant risk. The loan loss rate is an
indicator of the cost of granting credit.
07 08
09
45%
32%
38%
Strategic KPIs: Build the best bank continued
1.56%
0.95%
0.71%
07 08
09
Definition
International generation of income
Percentage of total income net of insurance
claims and benefits generated outside of the UK.
Why it’s important to the business and management
The goal of increasing the international diversification of
our income helps to reduce risk and is demonstrated by our
continuing focus to increase the ratio of non-UK to UK
businesses.
07 08
09
57%
43%
47%