...Using the fall of Wachovia bank, there could be several lines that have room to improve and grow. They need to focus on image transformation based in clean international reputation. Establish a clear policy and easy for all levels of society. With the intention to cover the general public, customers, investors and government. The restore confidence in these lines will be a strong distrust task as completely closed all channels of communication. Creating an environment hostile an interrupt the flow of ideas for the advancement of the company. Applying Kotter Jonh 8 steps we can start a transformation in the following way: Create a sense of urgency, identifying the behaviors that led to the company in the context of the antitrust. Identify the customer sensitivity issues and address them with elements to replace them. Creating mortgage banking processes consonant with the current average market standards and avoiding extravagant enter deals that would bring the memories of the practices of the "Pick and Paid". Elsewhere on second order retrieve the value and respect of former employees and veterans of war and finally make contributions in campaigns against the drug business, focused on enhancing the human value of the Latino community internationally. Creating a coalition guidance, identifying persons with high levels of communication and experience at the three issues mentioned above. These issues need to open a direct channel of communication between the client and...
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...exploring the ethical conduct in the world of business, we are encouraged to discuss a legal case that includes with it the court proceedings and the punishment that was dished out. For the sake of intrigue, I chose a case in which a very controversial punishment was given by federal prosecutors. In the wake of the 20 year surge in white collar crime…and after the dust settled from the Enron scandal & the Sarbanes-Oxley Act of 2002…there lies a handful of businesses that don’t seem to mind being unethical in a myriad of ways. The majority of the businesses in that group are in the banking business. My subject is Wachovia Bank, formerly one of America’s six largest banks by assets. In 2012, Wachovia completed what amounted to a year-long probation arising from a March 2010 settlement deal with federal prosecutors who were pursuing criminal proceedings against Wachovia for its facilitating of illegal money transfers from Mexico totaling $378 billion. To put that number in perspective…that is more than the annual budget of the Pentagon, the world’s headquarters of military operations for the U.S. Anyone interested in the happenings of the U.S. congress can research the percentage of U.S. dollars appropriated by our nation’s congress and see that military funding makes up, on average, over 50% of the federal budget. Conversely, an average of less than 10% is spent on education, job training, employment and social services combined! The first percentage is basically what America...
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...Manage Your Energy, Not Your Time by Tony Schwartz and Catherine McCarthy The science of stamina has advanced to the point where individuals, teams, and whole organizations can, with some straightforward interventions, significantly increase their capacity to get things done. Steve Wanner is a highly respected 37-year-old partner at Ernst & Young, married with four young children. When we met him a year ago, he was working 12- to 14-hour days, felt perpetually exhausted, and found it difficult to fully engage with his family in the evenings, which left him feeling guilty and dissatisfied. He slept poorly, made no time to exercise, and seldom ate healthy meals, instead grabbing a bite to eat on the run or while working at his desk. Wanner‟s experience is not uncommon. Most of us respond to rising demands in the workplace by putting in longer hours, which inevitably take a toll on us physically, mentally, and emotionally. That leads to declining levels of engagement, increasing levels of distraction, high turnover rates, and soaring medical costs among employees. We at the Energy Project have worked with thousands of leaders and managers in the course of doing consulting and coaching at large organizations during the past five years. With remarkable consistency, these executives tell us they‟re pushing themselves harder than ever to keep up and increasingly feel they are at a breaking point. The core problem with working longer hours is that time is a finite resource. Energy...
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...Organizational Change Paper MGT/380 November 26, 2012 Dr. Addisu Mengesha Organizational Change Paper In any institution, from profit to nonprofit organization change occurs when a company transitions from its current state to a different or desired future state. It is challenging, for businesses to accept these changes within their organization. According to BusinessDictionary.com, the definitions or organizational change is as follow “Company or organization going through a transformation. Organization change occurs when business strategies or major sections of an organization are altered. Also known as reorganization, restructuring and turnaround” (BusinessDictionary.com, 2012). This paper will describe the factors that drive organizational change. Additionally, the paper will cover certain catalysts such as drop in sale, death of a chief executive officer and mergers or acquisitions, which contribute to changes within an organization. Factors that drive organizational change In today’s current global competition, it is necessary for organizations to remain competitive when it comes to their organizational change. Two factors play a big role in today’s organizational change, which is globalization and technology. In the world of technology consumers look for convenience, and wants result. Internet, cell phones and social media have increased customers reach beyond humankind could imagine. Changes could occur in a matter of a second in an organization, therefore...
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...SWOT Analysis Strengths Weakness • leading and renowned banks in the financial sectors • Ranked as 19 in the Fortune 500 list (2010). • Acquired Wachovia Corp • Among the ‘Top 100 Companies’ according to Forbes. • Holds assets worth $1.2 trillion. • Employs 278,000 team members. • Customer base of 70,000,000 (2010). • The firm has more than 9,000 stores and about 12,100 ATMs (2010). • High level Research and Development • Stable online growth that shows positive vibe. • very strong financial position. • Real Estate is an important part regarding the revenue generation of the firm. • Cost advantage • Asset leverage • Effective communication • Innovation • Loyal customers • Market share leadership • Strong management team • Strong brand equity • Limited International presence • Diseconomies to scale • Over leveraged financial position • Low market share • the online system and the authentication had less security measures • Not innovative • Not diversified • Low level of debit card market share • Regulatory restraints • Fluctuating stock price • Opportunity Treats • Create more effective commercial • New Acquisitions • Asset leverage • Emerging markets and expansion internationally • Innovation • More Online banking • Product and services expansion • Takeovers of other small financial service providers. • Increase Profit from Investments and Insurance • Increase market share • Economic slowdown • Exchange...
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...D Diversity Analysis of Wells Fargo MGMT 360-51 Team - Multiplicity Shannon Willy Darren Cattnach Jeannine Petersen Edward Davis Cindy Sellner Metropolitan State University Summer 2010 Executive Background Introduction Wells Fargo & Company is a diversified financial services company providing banking, insurance, investments, mortgage, and consumer and commercial finance through more than 10,000 stores and 12,000 ATMs and the Internet across North America and internationally. They are headquartered in San Francisco; however, they’re decentralized so every local Wells Fargo store is a headquarters for satisfying all their customers’ financial needs. This has led to a large customer base, which Wells estimates that one in three households in America does business with them. Wells Fargo has $1.2 trillion in assets and more than 278,000 team members across their 80+ businesses. They ranked fourth in assets, and third in market value of their stock among their U.S. peers as of March 31, 2010 ("Wellsfargo.com," 2010). Wells Fargo’s company vision is stated as, “We want to satisfy all our customers’ financial needs, help them succeed financially, be the premier provider of financial services in every one of our markets, and be known as one of America’s great companies.” This statement has led them to have an outstanding reputation in the community. They have been recognized in the following publications: FORTUNE 19th in Revenue among All Companies...
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...The article I found is about Wachovia Capital Markets LLC where the company’s research analysts issued biased coverage to help them acquire investment-banking business. Wachovia’s suspected fraud involved two instruments known as collateralized debt obligations, or CDOs (David S. Hilzenrath, 2011), which means that when Wachovia could not find a buyer the company would mark down the value of investments. Later Wachovia would try to sell the investments at a much higher rate to other companies, which, in return they would record, the transaction as a gain in their books. Below I will outline what unethical research behavior was involved, who were the injured parties, how has the unethical behavior affected the organization, the individual, and society, and how could the unethical behavior be avoided or resolved. After a 28 month investigation led by the Securities and Exchange Commission (SEC) where their findings were that Wachovia Capital Markets cheated investors by charging inflated prices on securities tied to home mortgages (David S. Hilzenrath, 2011). Hefty penalties were handed down such as 22 million dollars in penalties along with pay 3 million dollars towards educating investors in spotting the wrong investments. Wachovia will also pay 25 million in settlement fees to the people that were cheated out of their money. After this incident happened, Wells Fargo has taken over the reins of Wachovia but the fines kept going, Wells Fargo agreed to pay more fines of almost...
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...Financial Analysis of Wells Fargo Bank Analyze the company’s mission and vision statements against the performance of the organization. Then, evaluate how well the company lives out its mission and vision statement. Provide support from the organization’s performance in your evaluation. The mission statement of Wells Fargo, like most other banks, centers around getting as much money and financial obligation from each individual as possible. “We want to satisfy all our customers’ financial needs and help them succeed financially.” To further clarify that mission Wells Fargo says, “We believe our customer can save more time and money if--- after carefully shopping around and comparing choices --- they bring all their financial services to one trust provider.” Wells Fargo has lived up to its mission statement by becoming the nation’s largest financial institutions, serving one in three U.S. households and employing over in 500 working Americans. Regardless of the growing size, scope and reach, Wells Fargo common visions and distinct values form the fabric that holds the company together. As a team member of Wells Fargo, I can say it doesn’t matter what my responsibility is, or my titles, the business of the company is what I work for. Wells Fargo is one of the few American companies doing business for longer than 150 years under its founding name and in its original line of business: banking. Banking has changed in many ways through the years...
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...Investigating employee turnover in a department or division Wells Fargo Bank Introduction Wells Fargo is a public organization having expertise in financial products. The company has expanded across different regions thereby trying to attain globalization. It has been offering advices on investments, loans, insurance and several other business products. The company believes that their strong commitment towards work along with commitment by every employee had enabled them to reach great heights. Wells Fargo bank has large number of customers getting served financially on a daily basis. However, they have experienced financial issues recently which forced them to poor management of employees. Ultimately, the customer reactions were worst and they have suffered as much. The low employee morale in turn revealed the poor economic status prevailing in the organization and this indeed reflected their efficiency in operations management. Wells Fargo’s expansion indicates a large size of the company and they have been operating in various market segments satisfying the demographical changes. It is the consultant of Wells Fargo bank being used here to gather relevant points for the research paper. Customer satisfaction is believed to be their strength but this was once their issue. Still, this has not been fulfilled completely. The impact of recession on Wells Fargo bank was relatively high such that they had faced worst situations where they lost clients and customers. The employee...
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...San Francisco all the way to the east coast in New York. The company took a big hit when the government took the bank and left them only with one branch, their base in San Francisco, so they basically had to start again from zero; but as a company they pulled through and Mr. Wells and Mr. Fargo took the company back into great business. One of the organizational strengths that I see with this company today is the strength to be always prepared for what is coming, they will be able to manage disturbing situations that come to them, from tough economical times. We can take the example of the great recession that we are just getting out from 2008 and 2009, as a bank with strengths it was able to stay a float, to still buy another big bank Wachovia, and become the largest retail bank in the United States, now being in 39 states of the Country, and having plans to start opening branches in the other 11 states that have not yet being conquered by Wells Fargo. This makes it distinctive from other companies because most people can have services with Wells Fargo, and right now literally can get service from the company coast to coast, from California to Florida, Wells Fargo right now is present. Another Strength that I see with this company, is that the company is looking back to its roots, to their founders, on how to adapt to the changing world and be able...
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...for certain goods and services. The improvement of the speed of technology has increased profits as well as competition between businesses that offer the same product. This situation will continue and is not sustainable. New and faster technology will always be introduced into the environment, creating rat races for the top spot. When the market moves, you move. Faster technology can sometimes decrease the need for employees, which can benefit companies by increasing their revenue. This can help smooth out volatility, the herd buying and selling in the trading business. One day, everything might just be ran by machines because technological innovation will always continue to grow. By coupling the storage blades with the processing blades, Wachovia was able to be more efficient at reading and writing temporary files. By using new technology, they were able to process capacity at 1/3 of the normal cost. New ideas and programs will always be changing but they will continue to make work more efficient. The co-location of servers created a faster time for information to be transferred and allowed for more monetary gain in just milliseconds. Since it’s not the speed of the servers that is a problem, only distance, it will stay constant unless they find a way to work right on top of the servers. 2. Coming up with new products or features can enable companies to be successful. The customer’s value, along with the right price, can give a competitive advantage. It is not all about the...
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...he industry environment that Wells Fargo is a part of is made up of threats of new entrants, supplier power, buyer power, and substitute products. When it comes to the threat of new entrants in the financial industry there is no threat for Wells Fargo. The financial industry requires a lot of capital and trust. Currently none of the industry has a lot of trust but they do have capital to make investments and decisions that a new entrant to the industry does not have. There is an extremely high entry barrier in the financial industry. When it comes to supplier power, the supplier concentration is mainly related to capital in the financial industry. With capital being difficult to obtain, the suppliers do hold a lot of power over the financial industry. One of Wells Fargo’s advantages is that that they hold a large amount of capital and have the ability to invest and keep mortgages on their own portfolio. Buyer power is high in the financial industry. The financial services industry is a service based industry, meaning if they do not please the consumer then they lose the customer. The products available by the financial industry are very similar. Although Wells Fargo puts a lot of effort into differentiating their product, the customer will go elsewhere if they feel as though they are not treated right. . Rivalry among existing firms exists between Wells Fargo, and the three following competitors: US Bancorp, Bank of America and Citigroup, this being said there is a high...
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...valued over $100 million, each filled with 5.7 tons of cocaine. The biggest shock was the paper trail they discovered involving the purchase of the jet by the cartel (Vulliamy, 2011). A 22 month investigation lead by the IRS, Drug Enforcement Administration, and others showed that cocaine smugglers purchased the jet using money laundered through a large US bank, Wachovia, now known as Wells Fargo. During the investigation, authorities discovered billions in cash shipments, wire transfers, and traveler’s checks that went into Wachovia accounts through Mexican exchanges. Upon this discovery, Wachovia was put under investigation for failure to sustain a successful anti-laundering program. A lot of concern was when it all began, which happened to coincide with the very first growth of violence on the US-Mexico border which provoked the drug war (Sullivan, Cromwell, King, & Spalding LLP,...
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...Too Big To Fail Chapter 19 Setting This chapter starts with Lloyd Blankfein, CEO of Goldman Sachs (GS), thinking about his company’s future. Stock market is dropping and the regulators still haven’t decided on what, when and how to fix the financial system. Henry “Hank Paulson” the US Treasury Secretary at the time, strongly believes the only way to build confidence in the market place was to have the government pass the Trouble Asset Relief Program (TARP). He had a big task ahead of him because it would be difficult to get lawmakers to agree his plan. Currently Wachovia another well known bank is in crisis. Its two month old CEO, Bob Steel, is trying desperately to broker a deal without government intervention, with either Citibank or Wells Fargo and Company (WFC) to save his bank. In the meantime, investors’ confidence in Morgan Stanley is waning and the company is urgently trying to close a deal with the Japanese company Mitsubishi to get more capital on the books. Companies across the board are trying to become more liquid in the tight credit market. Major Players Hank Paulson is trying his best to reach an agreement with Congress, so he can get TARP passed as quickly as possible. He dislikes politics but knows he has to work with the politicians or his bill would die. His solution to the financial crisis is TARP and working with lawmakers would be the only way to get this done. To get Congress on board, he would also have to work with the chairwoman of the Federal...
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...Effects of Quality Management on Domestic and Global Competition Paper MGT/449 Wells Fargo versus Wachovia From the beginning in 1852, then titled Wells, Fargo & Co., the new banking and express delivery company became a well-known and trusted place to buy gold, bank, and sell paper drafts (which were as good as gold) (Wells Fargo, 1999). Since then, Wells Fargo has moved East through the United States, and has globalized. In 1929, Wachovia was incorporated as South Carolina National Bank. While the history of the banks founders date back to the late 1790’s Wachovia gained its reputation as a trustworthy Southern bank that handled all forms of banking needs including but not limited to checking, mortgage loans, securities, and insurance (The Gale Group, Inc., 2006). It was not until the 1990’s that Wachovia branched out of the South, and tailored to London, and Japan customers with that limit, the bank remained primarily domesticated. While Wells Fargo is a domestic bank their lending and financial practices have primarily become global. This paper will discuss the difference between the companies’ different versions of strategy, and customer service. Focusing on globalization and domestication, how quality management affects the position of the companies in the domestic and global market. Community Banking Versus Global Banking When guiding your business toward success, you may come across many different aspects where a decision is needed. In the banking...
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