Competitors
○ Number of Competitors dec.
○ comp. inc. mkt share through consolidation
The Parables of the Sadhu ○ Questioning the applicability of Jesus in an interpersonal society
• Prof. on 6 month sabatical ○ Everyone did their bit
• went trecking in Nepal ○ Counter- Westerners approach to problem solving- throw material goods at the problem
• Study of how groups respond • No one wanted to exert themselves beyond certain self-imposed limits
• Fulfilment only when
• Companion: Anthropologist to shed light on people ○ Sadhu dies in care
• 18000 ft. pass to reach Mulkinath ○ Sadhu demonstrates he can walk down two days to the village
• 6yrs prior-pulmonary edema @16500 ft ○ Persuade someone to take care of Sadhu in village_ impractical; villagers uncaring
• Concerned for 18000 ft • Throwing rocks, in sun-obj 1&2
• Wettest Spring in 20 yrs • Excuses for high stakes moral dilemma- high adrenaline, superordinate goal and once in a lifetime
• Camped in hut-14500ft opportunity
• Group: • Resentment towards people who bring up dilemma and the actions
○ 4 New Zealand • It is difficult to emerge from such dilemmas
○ 2 Swiss Couples • Stress-The real test for individual and corporate values and ethics
○ Japanese hiking club • Business context-managers should agree for dealing with dilemmas
• Order-New Zealanders-Americans_Swiss-Jap • Parallel with business situation- Immediate action was needed
• Stephen-Altitude Sickness • No-one realized the magnitude of the decision
• Pasang- Sirdar • No process for consensus
• New Zealander dumped body ○ Group did not have preconditions on how to act
• Stephen and Swiss gave clothing ○ So they acted as individuals
• Cowen-concerned about withstanding the height-wanted to get across ○ Croos-culturalism added more complexity
• Swiss told that the Sadhu was fine • Some org have values exceeding those of its managers
• 1 hour delay for Stephen • May be ambiguous
• Stephen guilt tripping Cowen over death(?) of Sadhu • Org with strong shared value weather the storms and come out fine
• Japanese refused use of horse to transport the Sadhu • Need of guidelines of an agreed upon process
• Pasang pressed Stephen to carry on
○ Couldn't carry Sadhu down 1000 ft and make it back in time
○ Carried him 500 ft and pointed out the hut
○ Gave food and drink
• Ambiguity in deadness
• Example of breakdown between Corporate and individual ethics
○ Not one person took responsibility for the Sadhu
○ Not to inconvenience oneself
Jai Jaikumar
• Characters:
○ Stumpf-Prev CEO
○ Sloan-New CEO
○ $185 mn to CPFB
heart: Sales practices
Focus on cross-selling financial solutions
□ Pressure to sell(to meet performance goals) caused illegal practices
5300 employees fired
• Wells Fargo History:
○ founder 1852- Caalifornia
○ Takeovers, m&A- nation's largest commercial bank
○ Stumph- CEO(2007), chairman (2010)
Stumph values- Solidarity and togetherness
Led Community banking after WF and Northwest bank merger
○ Better position after 2008 crisis
○ Benefited from low cost funds, diversity of revenue sources, and refusal to sell complex
synthetic investment vehicles and no-document loan
○ Discriminatory lending practices- $175 mn settlement
○ 2008- Wachovia acquisition- 12.5bn-failure of similar banks
Coast to coast banking soln
○ Vote of confidence from Warren Buffet
○ Berkshire Hathway had 9.5% stake in WF
○ Stellar reputation, viewed as neighborhood oriented
○ modest aspirations in wall street investment banking
○ 2015- World's most respectable bank
○ $22 bn in profits from $85bn in revenue
○ 1/3 households
○ Stress on importance of team members(want to keep them long term)
○ Six priorities- Put customer first, grow revenue, manage expenses, living vision and
values,conneccting with communities and stakeholders and managng risk
○ People as a competitive advantage, Ethics,, What's right for customers, diversity and
inclusion and Leadershiip
○ Stress on Values
Fix:
Broader metrics
explore motivation of sale rather than the number
cchange culture to remove pressure on sales
Changing rewards from number to quality
Frame in terms of productivity vs efficiency
Leaders: Evaluate performance, not adherence to ideal worker
negative effets of individually negotiated accomodations
Policies on the books but not accepted-frustration
Instead of unlimited vacation have rqd time off
Recogni