Literature Review of Westpac Corporate Social Responsibility

Running head: LITERATURE REVIEW
Policy and structure of Westpac Banking
Name of the student:
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1LITERATURE REVIEW
Table of Contents
Literature review of Westpac Corporate Social Responsibility.................................................2
First statement of Corporate Social Responsibility:...............................................................2
Positive customer influences of CSR policies:.......................................................................2
Second statement of Corporate Social Responsibility:..........................................................3
Student analysis:.....................................................................................................................3
Literature review on Westpac’s Organizational Structure:........................................................4
First statement of evidence:....................................................................................................4
Organisational structure of Westpac:.....................................................................................5
Second statement of evidence:...............................................................................................5
Student analysis:.....................................................................................................................6
Literature review of Westpac’s organizational technologies:....................................................6
Importance of technology in banking:....................................................................................6
First statement of evidence:....................................................................................................7
Second statement of evidence:...............................................................................................7
Student analysis:.....................................................................................................................8
Reference:..................................................................................................................................9

2LITERATURE REVIEW
Literature review of Westpac Corporate Social Responsibility
The topic sentence regarding this literature review is to find out the social
responsibilities performed by Westpac Banking. Corporate social responsibility is an
essential part in corporate fabric. It helps to obtain the goodwill of the stakeholders and the
market value of the corporation is depending on a good policy regarding CSR (Tai &
Chuang, 2014). The global banks are concentrating on these policies to gain reputation on
worldwide basis and these policies are helpful to strengthen the relationship with the
stakeholders. Westpac banking is popularly known regarding their CSR policies and they
have made a firm commitment regarding the policies (Suliman, Al-Khatib & Thomas, 2016).
First statement of Corporate Social Responsibility:
The term CSR denotes certain societal obligations. The policies regarding CSR are
a matter of controversy. According to Craig Smith (2016), a company should only be
responsible to its shareholders and not to anyone else (Smith & Rönnegard, 2016). Therefore,
policies should be implemented for the interest of the stakeholders. On the other hand, Kotler
and Lee (2005) accept the societal role of the company and support the CSR policy of a
company. Carroll generated the notion on CSR model in the year 1991 and it has been stated
by him that the company should be focussed on the ethical and philanthropic responsibilities
along with the economic obligations (Lin et al., 2017).
Positive customer influences of CSR policies:
Maignan and Ferrell (2004) has pointed out certain positive impacts of the CSR
policies on the customers and stated that the policies help to build a loyal relationship with
the customers. In banking sector, loyalty and trust are important and in the words of Barone
(2000), the environment friendly policies of bank will help to gain support from the
customers (Homburg, Stierl & Bornemann, 2013). According to Murray and Vogel, an

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effective CSR policy reflects the company’s attitude and honesty. Westpac has taken certain
measures regarding the sustainable enhancement and focussed on the value of the
shareholders. The customer policy of CSR is based on fair dealing and social legitimacy.
Fred Chaney (2002) has mentioned that economic development can be possible by
implementing the social responsibility. Westpac has initiated certain steps regarding the
improvement of the rural towns and able to gain the trust of the customers (Dell'Atti et al.,
2017).
Second statement of Corporate Social Responsibility:
Luo (2006) has been pointed out that the CSR policies create a link between the
CSR policies and customer satisfaction. An effective CSR policy helps the bank to increase
its market value and the customer satisfaction is depending on the rate of market value.
Westpac is one of the ancient banks in the history of Australia and it has been observed that
the bank has taken many initiatives to increase their market value and it becomes a globally
recognised bank now (Klettner, Clarke & Boersma, 2014). The bank has able to gain the
customer satisfaction with the help of their simple commitment and customer oriented
policies (Moreno et al., 2014). The efforts made by the bank in the rural areas have attracted
the concentration of the customers. However, Pomering (2006) had raised his voice for the
customer centric policies in lieu of customer satisfaction policies.
Student analysis:
It has been clear from the record of the company that this leading banking authority
of Australia has taken certain social policies with the intention to eradicate the malnutrition
and implemented certain health care policies for the minority group of the society. The
policies of the bank ensure environmental sustainability and adopted policies for the
protection of the ecological substances. It works for the socio-economic development of the
backward classes and war widows.

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Literature review on Westpac’s Organizational Structure:
The topic sentence of the literature review is to identify the organisational anatomy
of Westpac bank. An organisational structure is an anatomy of an organisation and denotes a
foundation regarding the functional area of the organisation. According Hall, organisational
structure is affecting the behaviour of the members. James and Jones had conceptualised the
organisational structure and behaviour of the individual and tried to make a relationship in
between them. An effective organisational structure has focussed on the supportive attitude of
corporation to the customers (Boersma, 2015).
First statement of evidence:
The structural segment of Westpac has been designed to focus on the customer
satisfaction. Certain strategies have been adopted to earn the support of the customers and
ease the corporate function. There are number of sections structured under the Westpac bank
and each of these sections has separate corporate functions and liabilities to the customers.
The retail and business banking of Westpac is responsible for the marketing and sales and
services are provided to the commercial customers. The system regarding the third party
retail is also being governed by this section (Huang, Pepper & Bowrey, 2014). The BT
Financial group regulates the wealth management section of the bank. The main objective of
this branch is to provide maximum protection to the wealth of the customers. The
institutional banking service of Westpac is dealing with the corporate or government-based
customers. The specialists of this section are expertise in market banking and provide online
broking service to the customers.

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Organisational structure of Westpac:
Second statement of evidence:
According to Armstrong and Stephen (2008), the purpose of the organisation is to
do a thing in a proper way. The structure of an organisation is composed of such persons by
whom such purpose can be achieved. The people are required to work cooperatively within
an organisation. The organisational structure of Westpac has been designed on this
framework and they are concentrating on the human elements required for the development
of the bank (Löfsten & Löfsten, 2016). The nature of the organisational structure of Westpac
is unitary. In this system, all the employees are working under the umbrella of common
purpose and separate units do the works. However, the above-mentioned structure describes
the posts of specialised officers who are responsible for the performance of the bank. There is
a change happened regarding the post-holders and new peoples have appointed in the posts.

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Student analysis:
It can state that the future of a company depends on the organisational structure
and it is important to divide the work for the easy flow of work. A neat organisational
framework can be helpful in this case.
Literature review of Westpac’s organizational technologies:
The topic sentence of this literature review is to identify the importance of the
technologies in the banking sectors and role of the same in the Westpac banking.
Technologies play an important role in banking sector as the major part of modern banking is
based on online. The ramification of information technology is considered as critical business
resource. In the words of Castells (2001), the banking industry has developed drastically with
the help of technologies. There are certain examples such as the online money transaction;
mobile banking and electronics banking have classified the significant role of the
technologies in banking sector (Abbas et al., 2014). Except these online transactions, the
database regarding the banking service and the cash reserve portfolio are maintained through
computer. Worldwide network system is necessary for the overall development of the bank
and identifies the global nature of the bank. Technologies help to ease the demanding
expectation of the customers.
Importance of technology in banking:
According to Saeid Khajeh, the technologies are playing important role and it
increases the rate of competition within the banking sector. It helps to make the financial
products more transparent and deconstruction of marketing environment become easier by
the help of technologies (Tai & Chuang, 2014). According to Adesina and Ayo (2010), the
mentality of banking authority has been changed and economy of scale has been processed in
the bank to protect the business structure.

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First statement of evidence:
The vision of the company is based on the advanced technology and many fellow
researchers on the information technologies are appointed to regulate the works of the bank.
The motto of the bank is to manage the customer’s demand systematically and implement the
policies to secure the financial sectors of Westpac. Westpac is a leading banking authority of
Australia as well as in New Zealand. The bank has been gaining the trust of the people since
its incorporation. Millions of people holding their account in the bank and therefore, there is a
need of proper servicing criteria for the bank (Homburg, Stierl & Bornemann, 2013). The
Westpac group is concentrating on the three bases to deal with the situation such as
innovation, drive and talent. The technical department of the bank is not only deals with the
emerging demand of the customers, but also monitoring the potential threat regarding the
cyber security.
Second statement of evidence:
The technicians play an important role in the Westpac and with a view to manage
the situation systematically, certain layers can be found regarding their working criteria. The
first step is based on skills and experience on particular project. The second step is dealing
with planning and implementation of certain policies. The next step deals with the analysis of
business process. The last step deals with the communication and programming of the
process. Skilled workers are always on demand in the bank and by their extensive efforts; the
bank has been recognised internationally (Klettner, Clarke & Boersma, 2014). In the words of
Brian Hartzer, MD & CEO of Westpac, the technicians are playing an important role
regarding the proper management of the banking sector to ensure the financial securities to
the customers.

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Student analysis:
It can be argued that major parts of modern banking is depended on the technology
and in case of global companies like Westpac, it is obvious. All the transactions of the bank is
depending on online base and the database of the company is stored or captured in
computerised way. Therefore, it can be stated that the organisational technology helps the
bank to retain its position in the international banking sector.

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Reference:
Abbas, J., Muzaffar, A., Mahmood, H. K., Ramzan, M. A., & Rizvi, S. S. U. H. (2014).
Impact of technology on performance of employees (a case study on Allied Bank
Ltd, Pakistan). World Applied Sciences Journal, 29(2), 271-276.
Boersma, M. (2015). How Does Sustainable Banking Add Up?.
Dell'Atti, S., Trotta, A., Iannuzzi, A. P., & Demaria, F. (2017). Corporate Social
Responsibility Engagement as a Determinant of Bank Reputation: An Empirical
Analysis. Corporate Social Responsibility and Environmental Management.
Homburg, C., Stierl, M., & Bornemann, T. (2013). Corporate social responsibility in
business-to-business markets: how organizational customers account for supplier
corporate social responsibility engagement. Journal of Marketing, 77(6), 54-72.
Huang, T., Pepper, M., & Bowrey, G. (2014). Implementing a sustainability balanced
scorecard to contribute to the process of organisational legitimacy
assessment. Australasian Accounting Business & Finance Journal, 8(2), 15.
Klettner, A., Clarke, T., & Boersma, M. (2014). The governance of corporate sustainability:
Empirical insights into the development, leadership and implementation of
responsible business strategy. Journal of Business Ethics, 122(1), 145-165.
Lin, W. L., Ho, J. A., Ng, S. I., & Lee, C. (2017). Impact of Positive and Negative Corporate
Social Responsibility on Corporate Financial Performance and Idiosyncratic Risk.
Löfsten, H., & Löfsten, H. (2016). Organisational capabilities and the long-term survival of
new technology-based firms. European Business Review, 28(3), 312-332.

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Moreno, D. P., Hernandez, A. A., Yang, M. C., Otto, K. N., Hölttä-Otto, K., Linsey, J. S., ...
& Linden, A. (2014). Fundamental studies in Design-by-Analogy: A focus on
domain-knowledge experts and applications to transactional design
problems. Design Studies, 35(3), 232-272.
Smith, N. C., & Rönnegard, D. (2016). Shareholder primacy, corporate social responsibility,
and the role of business schools. Journal of Business Ethics, 134(3), 463-478.
Suliman, A. M., Al-Khatib, H. T., & Thomas, S. E. (2016). Corporate Social
Responsibility. Corporate Social Performance: Reflecting on the Past and Investing
in the Future, 15.
Tai, F. M., & Chuang, S. H. (2014). Corporate social responsibility. Ibusiness, 6(03), 117.