Chapter 3 – Theories, Concepts and Applications

China Banking Corporation uses a type of theory which is the Managerial theory that implements to improve or increase their organizational productivity and services through their employees. This theory helps them to maintain their performance based on the information that we have gather during our interview. They consider training as an important strategy to improve the competitiveness of their employees. Trainings serve as a main factor to achieve their strategy or theory and apply it with competence and mastery by their employees in their respective field of work.
Another theory that the China Bank applies is the Contingency Theory where it asserts that the manager makes a decision based on the situation rather than the “one size fits all” method. Here the manager takes appropriate actions based on their current situations. The manager utilizes the participation from their workers or employees. With this they create a good camaraderie among them. Also with their good relationship, they are able to work more fast and productive.
The employees are having an active role in solving problems for their satisfaction. They are encouraged to be creative and actively participating to make a difference to have an impact on their respective field of work. They must commit to an attitude that values work, participation and job satisfaction over the possession of their skills and performance. By working together, their customers are satisfied by their performances and get a better appreciation. They also develop a sense of responsibility to produce a great output and services.
With this theories and concept, the China Bank applies it by giving proper salaries, incentives and benefits. The employee does not only have a harmonious relationship with their employer but they also create a good relationship with their customers