Ethics and Financial Services Assignment
13 Pages2946 Words73 Views
Added on 2020-05-28
Ethics and Financial Services Assignment
Added on 2020-05-28
ShareRelated Documents
Ethics and Financial Services 1ETHICS AND FINANCIAL SERVCIESBy (Student’s Name)Professor’s NameCollegeCourseDate
Ethics and Financial Services 2ETHICS AND FINANCIAL SERVCIESPart B: Commonwealth Bank Stakeholder Analysis1. Stake of Stakeholders’ Contribution and Expectation: Directors and ManagementContribution: The directors contribute to the CBA by making the policies and strategiesthat are implemented by the management of the Bank. The directors ensure that the affairs andstrategy of the CBA are undertaken completely, in the interest of the public, and ethically,according to the law alongside policies of Board of Governors. The directors must be responsiveto public needs. The management works on behalf of the shareholders and owners of the bank toensure that they oversee running of the branches and being responsible for meeting hard salestarget as well as keeping staff completely trained and motivated. Expectation:Directors expect that the management will adhere to the policies set bythem while the management expects better pay and growth of the business.ShareholdersContribution: The shareholders meaningfully contribute to the effective bank governance. For example those with seats on board have positions and incentives to provide certain checks and balances important to governance. Expectation: Shareholders expect better dividends growth and better share prices and dividend payout ratio. CustomersContribution: The customers are the main drivers of banks success. They providedeposits that runs the bank payment system. They also buy bank products and services which
Ethics and Financial Services 3ensure banks can survive the competitive market. The customers also acts as marketers for banksat no charge by bringing their relatives, families and friends to open bank accounts and deposit. Expectation:Better and qualities services affordable to them and satisfaction andefficiency of services. EmployeesContribution: The employees have the key role of making customers increasingly loyal.By offering efficient and customer satisfaction through the creation of good feelings towardsbank, and moving towards satisfied and eventually appreciative clients. Expectation:The employees expect better remuneration, leaves, promotions, rewardsand valued and engagement in decision making.Government/RegulatorsContribution: The regulators contribute to the bank by ensuring there regulations and laws that safeguard the banks from engaging in criminal activities or suffering at the hand of the criminals. Expectation:The regulators expect total compliance with the laws and regulations and ethical conduct by the bank.2. Stakeholders Behavior based on Models Ethical Decision-Making Model Ethical decision making remains an integral share of social work practice. Each day,banking workplace is faced with ethical dilemma which calls for thoughtful reflection alongsidecritical thinking. The directors and management for example, are always faced with dilemma of achoice between 2 actions anchored on opposing professional values; each might be correctmorally and grounded professionally. Thus ethical decision model remains an important model
Ethics and Financial Services 4for the CBA as they are encouraged to use it because it promotes critical thinking and reflection.Each stakeholder might have a different behavior and hence leading to ethical dilemma. Forexample, customers of the bank will require low rates of interests for the bank loans whilemanagement may see this as a loss to them hence charge higher interest. Thus, the ethicaldecision model will help the management to solve this dilemmatic situation in a manner thatleads to a win-win situation. Another ethical dilemma might be between the shareholders andthe management or directors. For example, while the shareholders might need to be paid muchdividend, the management might prefer to remit bank’s profit to the business to trigger expansion(Lehnert, Park and Singh 2015). In this case, the ethical decision-making model will help both shareholders andmanagement to reach an amicable solution that creates a balance between the two opposingparties in the interests of the bank, the public and the shareholders by upholding the core valuesin the bank. Such core values could include respect for inherent dignity and worth of individuals,pursuit of social justice, and service to humanity, integrity in professional practice,confidentiality in professional practice as well as competence in professional practice (Kocet andHerlihy 2014). Stakeholders Theory/Normative Theory/Descriptive Theory Stakeholder theory is a model of managing organization and business ethics. It tackles themoral as well as values in the organizational management. This theory is helpful in the case ofCBA as it provides effective means through which CBA can show regard to each interest groupincluding customers and shareholders and management/directors themselves by attempting totackle the “principle of who/what actually counts”. Unlike traditional view of the firm,shareholder perspective, solely the shareholders/owners of organization stay significant, and the
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
Project Report: Ethical and Financial Serviceslg...
|11
|2587
|28
Stakeholders Assignment | Ethical Responsibilitieslg...
|12
|2624
|61
Ethics and Financial Services in Commonwealth Banklg...
|9
|2222
|90
Student Name:. Institutional Affiliation(S):. Course tilg...
|3
|337
|29
Assignment On Advance Financial Managementlg...
|25
|5687
|22
MAA250 Ethical and Financial Serviceslg...
|7
|1192
|110