Organizational Behavior, Culture and Operations - Case Study Example

Name Tutor Course Date Organizational behavior, Culture and Operations The organization that will be tackled in this assignment is Barclays bank which has its headquarters in London, in United Kingdom. It is a bank that has an international reputation and has many branches allover the world including in Asia. Mission Barclays bank mission statement is to be a group that is customer focused, innovative, and delivers high quality services and products, maintain excellent careers for people and positively contribute to communities in which it perform its functions. SWOT Analysis Strengths Barclays Bank brand is well established basing on history and its promotion has been sustained through sponsorship of the Premier League. The sponsorship of the league by the bank provides assured advertising for the company (Walter 141). The reputation of the bank is known allover and it has established a good rapport with the community allover the world. Barclays Premier League is very popular and known allover the world. Barclays has global presence that is widespread making it enjoy economies of scale and spread. The business enterprise has spread its risk in many countries and there is no fear of losing business due to a catastrophe in one country. Profits from other countries will sustain the growth of the bank (Parker 78). Banks which have their businesses concentrated in one country face the risk of losing all of their business in case of an economic crisis. Barclays bank is highly associated with innovation. Barclays was the first bank to come up with a credit card in the year 1966, and it has persisted to produce cards. In the recent years it has produced OnePulse card which combines cashless, Oyster, and credit functions for customers who are based in London. Creativity and innovation sustain the growth of Barclays bank. Commencement of several new flagship branches together with a refurbishment program is an attempt of refocusing on the demands of the customer for a strong presence on the high street (Walter 141). Barclays bank is known as a high quality service delivery bank and this gives it an edge over the other players in the industry. Weaknesses Services offered in Zimbabwe to individuals connected with Zanu PF have precipitated controversy and raised issues of ethics of Barclays bank in the country. Investors have raised concern in regard the ethics of Barclays bank in Zimbabwe. Zanu PF has been accused with adverse violation of human rights. This issue has tainted the reputation of Barclays as far its perception globally is concerned. With such ethical issues some investment has been cut from the bank. The support of the bank to the Zimbabwe regime has been highly criticized. Huge bonuses allocated to Directors have attracted unwanted concern from commentators. There is a speculation that the reluctance of the bank to take financing from the United Kingdom government that it would interfere with its autonomy as far as bonuses are concerned. The plan to expand the Barclays bank to Asia was thwarted when the bank was outbid for ABN Amro in the year 2006 (Keller & Price, 112). The bank had to look for alternative expansion plans. The bank has also overstayed with dividend without paying a lot time. Investors have lost a lot of interest in the bank due to this trend of holding for long on the dividend. Investors opt for other banks. The bank has also been accused for supporting the apartheid rule in South Africa during the 1980s. A drop in share was witnessed in the UK following demonstration against the bank in South Africa. This tainted reputation in some of these countries affect investment activities leading to a drop in the market share. Opportunities Barclays bank was very keen to attain or acquire some assets of Lehman before its collapse. After its collapse, the bank was able to negotiate better deals with liquidators which permitted them to be selective in the parts of business that they had acquired. The strategy of the bank is to provide a full portfolio of services allover the world; offering a huge range of cross-selling opportunities. Asia still provides a good chance of Barclays bank expansion and operations have been initiated in several locations (Parker 105). Welfare provision has subsided in many countries because of the cost levied by the government, and Barclays bank views self-provision as a mounting trend that the bank can use. In the recent years the court established that banking charges of Barclays, which had hitherto been challenged legally, they were found to be found to be enforceable. Consequently the bank does not have to repay to clients and the charges can be enforced as before. Threats The economic meltdown that has been witnessed globally has affected the bank adversely particularly the acquisition of Lehman’s assets and it would turn out to be a big mistake. This economic crisis may force the bank to back off from many deals it had got involved in. Barclays bank has been accused of removing investments that are making losses in the sub-prime market from its accounts to other investors. The bank faces the challenge of being sued. Whereas providing a huge range of services offer opportunities, there is the threat of customers preferring to suppliers who focus on specialized services (Parker 77). The expansion into Asia is viewed as risky given that Barclays bank is in a disadvantaged position that other leaders in the banking industry in regard to capitalization and this may derail investors from investing in bank. Increased competition in the banking industry increases the cost of doing business since the bank is forced to spend a lot on creativity and innovation. The bank has to spend a lot of many on technological innovation (Dawson 17). Coming up of small players in the banking industry with less charges provides a challenge of reduced earning for the Barclays bank. In the year 2009, Barclays bank was accused of going against laws of anti-money laundering. These accusations threaten the expansion and growth of the bank as investors keep away from investing. Impact of the internet and advanced technology on organizational culture and operations Barclays bank has a rich history that stretches back from three hundred year ago. Barclays has grown tremendously to become one international bank in the world providing a range of services. Advanced technology and the internet have had a great impact on the operations and culture of Barclays bank. Provision of services to clients has changed tremendously as efficiency and effectiveness have ensured quick delivery of services. The bank has automated most of its function making clients to experience ultimate convenience in their planning. ATMs have decongested the banking halls and made self service a priority for clients. Technology is an integral part Barclays services and products (Parker 106). The IT team is engaged in developing and maintaining new forms of technology that enhances service delivery at Barclays bank. Technology and the internet has increased customer base and encouraged the use of automated services that are faster. Increased technological development has created expanded. E-banking and mobile banking has attracted many customers to the company. Application of technology and the internet in the processes and functions of Barclays is a source of opening up new markets, liberating talent, and increasing productivity. Incorporation of technology has led to advancement of business in Barclays bank. Differentiation in services provided ensures that many clients are reached and customer base increases. Barclays has expanded its branches worldwide to many countries (Dawson 17). The management of these numerous branches is made possible through advancement of technology. Communication has been enhanced and it is easy to organize meeting for top international managers without people travelling. Telephone conferencing has opened another means where people can attend a meeting and participate from different places. The pace of international expansion has been dictated by the advancement of technology and the internet. Increased globalization and interconnectivity ensures that the bank can keep trade of events at all branches. Integration of the functions and processes of the bank has been enhanced by growth in technology and the internet. Decentralization of the processes of the bank has led to growth and expansion of the bank. Human resource management has been enhanced with the development of technology. Technology centers are located all around the world and the company works at attracting and retaining team players that are talented (Keller & Price, 112). The company offer training that is industry-recognized to make sure technical experts of the bank are the most skilled in the banking sector. Human resource is highly treasured in Barclays. Owing to the bank growth and stability, it is uniquely positioned to invest in the right technology for delivery of the demanded service by the customers. Technology has increased the pace of operation at Barclays bank and hence increased integration. Team work has been enhanced due to increased consultation as far as technological functions are concerned. Strong or weak organizational culture Capital culture of Barclays bank focuses on a collaborated approach and teamwork. Being a meritocracy, Barclays bank rewards and recognizes innovation and talent as opposed to tenure and position. At the same time training and development is encouraged among the members of staff. Barclays bank applies an intellectual rigor to its strategy and every day management; probing every decision on the basis of its value to shareholders and clients. Consequently, Barclays bank has a strong culture that is emphasized in its processes and operations. The approach to any strategy is systematic and follows a well known predictable pattern. The culture of any company is embedded in the way it performs its functions (Walter 141). The culture of the firm is depicted in various functions. The bank has a culture of winning together. The bank operates seamlessly across geographies and operates as a single firm. Opportunities of helping others are provided to members to assist them accomplish organizational goals and contribute to the success of the firm. There very little tolerance for politics and bureaucracy, and open discussion is invited. The bank is client focused. The interest of the client comes before anything else. The bank is committed to flawless provision of services for clients. The bank ensures that it keeps promises and deliver on time but does not try to promise what it cannot deliver. Creativity, innovation, dedication, and quality are stressed as a way of providing solutions to challenges. The company hires, develops, and retain the best professionals in the business. Merit is recognized, fostered, and rewarded, while at the same time encouraging development and training to enhance and maintain professional expertise. The bank is committed to diversity which is demonstrated in the way the firm support networks of employees (Keller & Price, 113). The networks work together with the firm to foster an environment that is inclusive and enhance awareness of diversity in Barclays Capital. Senior managers in the firm are at the forefront at making sure diversity is integral to the bank business strategy via membership of regional and global diversity committees and support action plans that that demonstrates strategic diversity. The company ensures that the greatest ethical standards are maintained and there is compliance with laws and regulations. Mistakes are acknowledged and disagreements that are constructive are encouraged. There is focus on controls and processes geared towards protecting Barclays brand and the shareholders. The pioneering spirit in the firm provides superior solution to clients. The culture of delivering high quality products makes Barclays bank to stand out as a force to reckon with in the banking industry (Punnett 219). The symbol of spread eagle identifies Barclays and makes employees and clients to be connected to it. A strong culture is identified through the daily operation activities which are carried out in the company. They way functions are carried out with a particular pattern indicates a unique culture that identifies the organization from others. Creating the future of Barclays bank Creating the future of Barclays bank means making sure the bank continues to grow steadily and secure its future expansion. The bank has to increase its level of customer service delivery by offering customized or personalized services. Treatment that is right for customers will increase business for the bank and increase profitability. The company has to remain a leader in terms of service delivery. The culture of quality delivery has to be maintained or improved upon. Customers will be happy to stick around if they are being served well (Dawson 17). The future of Barclays bank is anticipated to expand if a culture of perfect delivery and flexibility is extended to the clients. The future of the bank can be secured when there is continuous differentiation of services and products of the organization. Increasing the level of operation of the organization is important at ensuring that any customer can seek what she or he wants in the bank and find it. The future of Barclays bank can be sustained if there is continuous growth and expansion of service delivery of the bank. Increased profitability and enhancing customer base expansion will make sure that the firm is a market leader in the banking industry. Changes in Barclays Bank There some changes that will improve the performance of Barclays bank in the international banking industry. Barclays bank has largely focused on private and corporate clients for quite a long time. This trend could be changed to make it concentrate on other small scale clients who bring in a lot of cash due to their concentration in the global market (Morgan 212). The bank can change the means of recruitment to include online recruitment through online databases. It would be also sensible to withdraw investment from hostile countries where market penetration is hard. Workers also have to be prepared to work in shifts to cover even the weekends including Saturday and Sunday. Having virtual offices that are managed from decentralized location allover the world. There will be need to have rotation of managers regardless of their countries of residence. The sponsorship of Barclays bank of English Premier League could be extended to other areas of games and sport such as motor sport. The corporate blue color could require an additional compliment to bring in some balance. The bank charges have been an issue of a lot of controversy in the case of Barclays bank (Dawson 17). The charges need to be cut down to an affordable level to encourage many clients to invest in the bank. The huge bonuses of directors have been an issue of contention and consequently it would be good if the bonuses are reduced to a manageable level. Of course it is anticipated that there might be a lot of resistance following the proposed changes. To overcome this kind of resistance, there is need to engage members of staff in internal workshops to ensure that they are fully informed on the benefit of the changes to the entire survival of the company. The directors have to be made to learn how to put the organizational goals before their personal interests. There should some kind of rewards to workers who successfully adapts the new changes. The workers have to be taken through training to make them appreciate the need to change the prevailing culture of the organization for better delivery of services (Keller & Price, 112). Overcoming resistance has to commence with identification of change leaders who will be used to convince the rest of the team to change. The agents of change have to understand fully what their role is the process of initiating the change. Some of the people that adamantly refuse or resist the change will have to be sacked or given other new responsibilities. Work cited Keller, Scott. & Price, Colin. Beyond Performance: How Great Organizations Build Ultimate Competitive. London: John Wiley & Sons, 2011. Dawson Christopher, S. Leading Culture Change: What Every CEO Needs to Know. Stanford: Stanford University Press, 2010. Parker Marty, Culture Connection: How Developing a Winning Culture Will Give Your Organization a Competitive Advantage, New York: McGraw-Hill, 2011. Punnett, Betty, J. International Perspectives on Organizational Behavior and Human Resource Management. London: M.E. Sharpe, 2009. Morgan, Stephen, J. The Human Side of Outsourcing: Psychological Theory and Management Practice. John Wiley & Sons, 2012. Walter, Ingo “Mergers and Acquisitions In Banking and Finance – What Works, What Fails, and Why”, Chapter 5, Page 141. Read More