Problem Solution: Usa World Bank

Running head: PROBLEM SOLUTION: USA WORLD BANK

Problem Solution: USA World Bank

Tish Preston-Stubbs

University of Phoenix

Problem Solution: USA World Bank

In today’s global marketplace, an organization must be able to progress using a change management process to meet the changing needs of the various customers of the company. For an organization, change management means defining and implementing procedures and or steps to deal with changes in the business environment and to profit from changing opportunities. The change process is a necessary aspect of business survival for an organization similar to that of the human population. USA World Bank has been slow to provide new products for customers and embrace a change management initiative for the company consequently the financial performance is showing the impact of this. Therefore, USA World Bank is a banking financial services company striving to survive in a competitive industry. The purpose of this paper is to use steps in the problem solving process to build a foundation for a profitable change management plan for this company.

Situation Analysis

Issue and Opportunity Identification

The situation is USA World Bank needs to handle successfully organizational change, competitive pressures, and increase profitability as well as building trust with customers while reducing the costs of doing business. USA World Bank needs to become an agile and premier financial organization by revolutionizing the products. USA World Bank has decided to introduce a broad set of new products to consumer and small business customers using an innovative credit card process while anticipating customer needs for a more profitable future. This initiative is designed to build long term relationships based on value to the customers. The change management model will create an improved relationship with customers, Board members and put in place a process of ongoing change using a “continuous improvement process.” The leadership needs to learn how to read and interpret statistical data.

The President of New Product Development, Brian Allen shared his vision of the future for USAWB to the Board of Directors without understanding the statistics, verifying the reliability of the data, a lack of a plan for the change and accurate statistics. While B. Allen has expressed his ideas, the Board members are not completely aligned with this vision due to inaccurate demographic data, a lack of understanding the data and poor decision making skills. An opportunity exist for him to provide a detailed organizational change model to the Board of Directors, leaders and employees which inspires the employees to support the change and make the change process successful. The company needs to use reliable research data from Best Market and create a matrix approach to the change process. This means combining the benefits of two change process to achieve the Brian’s vision and regain customer loyalty. Therefore, using “a systems model of change offers managers a framework to understand the broad complexities of organizational change” (Kreitner & Kinicki, 2004, p. 679 while providing employees with the necessary information to begin to understand the urgency for the changes that needs to take place at USA World Bank to ensure the company’s viability. The systems change model should establish a sense of urgency, identify a strong coalition for leaders for the change, effectively communicate the vision, remove obstacles that impede success, and recognize the importance of anchoring the change success when achieved by the employees according to John Kotter an expert on leadership and management. This model could be used in conjunction with Kurt Lewin’s change model that has three stage model of planned change which explains how to initiate, manage and stabilize the change process through unfreezing, changing and refreezing.” (Kreitner & Kinicki, 2003, p. 677)

USAWB is properly positioning itself to be a stronger competitor in the domestic and international marketplace by offering new innovative products and services. The issue for the company is communicating this message effectively to the employees so that the employees embrace the concept and apply the concepts consistently with each customer interaction. This is an excellent opportunity for a transactional leader Mary Monroe to create a process that would be a win-win for the employees, customers and company. The transactional leader could easily create procedures for the new process that allow target customer goals be met while introducing the new products to the customer. Transactional leadership “helps organizations achieve their current objectives more efficiently, such as linking job performance to valued rewards and ensuring that employees have the resources needed to get the job done.” (McShane & Von Glinow, 2004, p. 428) This leader could introduce a reward program for the credit card program that helps to sustain the planned changes.

Stakeholder Perspectives/Ethical Dilemmas

There are different stakeholders involved with the USAWB financial company. The stakeholders are the Board of Directors, leadership, employees and customers. Each group is looking for ways to look out for the best interest of the company and the perspective of each group. This could present some potential conflicts among the various stakeholder groups.

The Board of this world banking company is looking for profitability and respect on Wall Street. The leadership also wants to see the company maintain or increase profitability and positive recognition in the banking and financial industry. Employees want leadership that communicates an effective vision (the why of change), fair wages, job security, realistic performance expectations, an opportunity to participate in the change process along with a safe work environment. The employees know that when the company is profitable this means potential salary increases, bonuses, and dividends for success. The Board can realize capital gains and a return on investment in the company. The customer is looking for a company that provides new products, services and user friendly access to the banking industry. The customers want knowledgeable employees about the new products and services.

The potential conflict with the stakeholders is in the area of money and how the money is distributed

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