Case summary: RK had a solution for the challenge faced by retail banks which is to sell money. He suggested that cross-selling should be done. N bank got merged with WF bank and RK became the President and CEO of WF bank. The most important goal according to him was revenue growth and it can be achieved by cross-selling. Bankers were given targets and bonuses for better selling. The bank’s stocks saw a 67% increase from this transformation. This culture however created a lot more pressure on bankers. When problems started to emerge, RK was not the President and JS was the President. When the problem was investigated, rogue bankers were found and hence they were fired. The WF bank was fined by OCC for opening fraud accounts for which WF bank blamed the employees and not the culture. However, the inside story was different as employees told that due to immense pressure all this fraud happened and somehow bank was aware of this. When JS resigned, TS became CEO, and he removed the label of stores from banks and changed the incentive plans. The focus was now customer satisfaction and sales goals were also reduced. However, other scandals did happen in banks that were charging many customers for insurance who were taking car loans. The bank suffered a loss in reputation and ranking. Also, many penalties were charged.
To explain:The organizational culture under CEP RK and the culture under CEO TS from the point of competing values framework.
Want to see the full answer?
Check out a sample textbook solutionChapter 8 Solutions
Gen Combo Looseleaf Management; Connect Access Card
- What are the functions of management? How managers play an effective role in an organization? Present your case with an appropriate example.arrow_forwardHow did Taylor and Weber differ in the approaches they took to improving the performance of organizations?Should Weber's concept of the bureaucratic organization be scrapped, or does it still have potential value today?arrow_forwardHow do contingency theories of management propose that organizational practices should be contingent upon various factors such as the external environment, technology, and employee characteristics?arrow_forward
- How does the organization environment (inside and outside) affect managers? Explain with examples for both (inside and outside environment)arrow_forwardBased on Individual and Cultural Differences and Organizational Behaviour, while conducting management skills application exercises, write in about 500 words the role and advantage of it.arrow_forward4. Explain the manager’s job according to Henry Mintzberg. 5. What responsibilities do managers have towards people within the organization? How do they express these responsibilities? 6. How do managers perform their job according to John Kotter?arrow_forward
- Write with fully explanation that how can we make management science as strong as need for today?arrow_forwardWhat are the various environmental factors that a manager should consider in an organization? Discuss each with appropriate examples.arrow_forwardEXPLORE THREE 3 MINTZBERG MANAGERIAL ROLES THAT WILL BE NEEDED WITHIN THE CHOSEN ORGANISATION TO OPERATE EFFECTIVELY.arrow_forward
- From a manager's point of view, is being able to understand human behavior at work the most important requirement for managerial success? Do you agree or disagree? Justify your answer. To answer the basic question, you must take into consideration the following: How important is the discipline of organizational behavior in the functions and roles of management? Do external environmental factors affect and influence the behavior of individuals in the organization? Explain. In what areas? Mention them.arrow_forwardDiscuss the role of various approaches to management, which approach do you think adequately clears the nature of management. (answer briefly)arrow_forwardRefine each issues through theories and approaches you could suggest or develop beneficial to the accomplishment of organizational goals. Issued: 1. Social equity 2. More expectations 3. Motivate employeesarrow_forward
- Understanding Management (MindTap Course List)ManagementISBN:9781305502215Author:Richard L. Daft, Dorothy MarcicPublisher:Cengage Learning