Change Management Report: Multinational Bank, Ethical, Cultural, CSR

This report provides an in-depth analysis of change management within a multinational banking and finance organization. It explores the ethical, cultural, and corporate social responsibility (CSR) issues arising from outsourcing technical support and helpdesk functions. The report details the company's history, location, staff characteristics, and strategic goals, highlighting cultural challenges such as communication difficulties and differing opinions among employees. It further examines ethical concerns, including technology and privacy issues related to outsourcing and potential employee favoritism. CSR issues, such as layoffs and a lack of sustainability, are also discussed. The report concludes by analyzing the negative implications of these issues on HR practices, including employee relationships, discrimination, and morale, emphasizing the impact on recruitment, selection, and overall productivity. The report uses relevant references to support its findings.

Running head: CHANGE MANAGEMENT
Change Management
Name of the Student
Name of the University
Author note

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Executive Summary
The report has thrown light on the different kinds of ethical, cultural and corporate social
responsibility issues which are being faced by the organization in a negative manner.
Furthermore, the different implications of the issues on the HR practices and the employees
are required to be identified in a negative manner which will be affecting the overall
profitability of the organization.

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Table of Contents
Description of Chosen Scenario.................................................................................................3
Overview of Company...........................................................................................................3
History and Location..............................................................................................................3
Staff Characteristics and Strategic Goals...............................................................................3
Cultural Issues............................................................................................................................4
Ethical Issues..............................................................................................................................5
CSR Issues.................................................................................................................................5
HR Implications.........................................................................................................................6
References..................................................................................................................................9

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Description of Chosen Scenario
The main scenario is relating to the large multinational banking and finance
organization which is trying to outsource the different technical support along with the
helpdesk functions by eliminating the different internal departments in order to handle the
functions in a positive manner. On the other hand, at the same point of time, the company is
trying to hire outside vendor who will be responsible for developing online portal of service
wherein the staffs can explore and can receive access to the different questions which are
being answered by them.
Overview of Company
The banking and finance multinational bank are situated in Canada which was
founded in the year 1992. The bank has their business across different countries and this
provides various kinds of financial services which is inclusive of business and institutional
banking. The number of locations in which the respective bank is operating is more than 1100
branches and the areas served them is entire world.
History and Location
The company was founded 26 years ago and the bank is performing in a well-
organized manner in comparison to the other competitors in the market. The headquarter of
the company is situated in Canada and there are more than 51000 employees working all over
the different branches of the bank.
Staff Characteristics and Strategic Goals
The major characteristics of the staffs of the bank are that they are passionate about
achieving the goals and detail focused. The communication skills of the employees are
powerful and they are adaptable to various kinds of situations. The employees are goal

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oriented who are ready to take up various challenges and tries to solve them efficiently as
well.
 The strategic goals of the organization are redesign and enhance the digital
experience.
 Furthermore, the bank is planning to recruit and retain the employees in accordance to
the changing demands of the market as well.
 The company is trying to improve the different components related to authentication
and security
Cultural Issues
There are various kinds of cultural related issues which are being faced by the
respective multinational bank in the entire competitive work environment. The cultural issues
are as follows:
The company is having huge difficulty in the communication as there can be
difference in the work culture of the organization and the employees who are being recruited
in the organization as well. This is one of the major issues which can affect the overall culture
of the organization. The difference in the opinion of the inside employees along with the
outside recruited candidates can be the main cause of cultural barrier (Alvesson and
Sveningsson 2015).
Moreover, the employees might feel that their opinions are not being valued and this
will decrease the morale of the employees in a negative manner. The main reason of the
above issue can create negative impact on the trust of the employees working in the
organization which will be negative aspect for the overall productivity of the company
(Helmreich and Merritt 2017). As there will be recruitment of the different employees, there

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can be differences in opinions and the upper level management may feel that their opinions
are not efficient in comparison to the others.
Ethical Issues
On the other hand, there are various ethical issues which are being faced by the bank
and this is affecting the overall reputation of the organization in a negative manner. The
different issues are being discussed as follows:
Firstly, there can be technology or privacy concerns which can be faced by the bank
as this has been noticed that the company is outsourcing their employees for helpdesk
functions and technical support which can lead to leak of the different valuable information
of the organization (Alvesson 2016). In the present scenario, the employees can easily
monitor the use of the technology through emails and other website history which can create
negative impact on the organization (Kangas et al. 2017).
Furthermore, there can be employee favouritism in the organization which can lead to
unethical behaviour in the organization. There can be different employees who have been
recruited in the organization can receive employee favouritism and this can affect the morale
of the employees who were present in the organization and this can lead to lose the valuable
employees in the organization (Tyagi, Kumar and Kumar 2015).
CSR Issues
On the other hand, there are different corporate social responsibility issues which can
be faced by the organization in a negative manner are as follows:
Firstly, laying off the internal employees is one of the major CSR issues which can
be faced by the organization as the company is trying outsource the internal department

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employees in order to eliminate the helpdesk and other technical functions which can lead to
lay off in the future scenario (Patterson, Wilkins and Painter 2018). There is no such presence
of sustainability in the market which can affect the overall efficiency of the firm as reducing
the number of employees will be creating negative impact on the organization.
Furthermore, the reputation of the bank will take a hit as the different activities
related to corporate social responsibility policies, the company needs to disclose the different
kinds of shortcomings of their own products and services which can lead to violation of the
CSR policies and programs in a negative manner (Kumar et al. 2014). By outsourcing the
employees, the production cost of the company can be reduced, however there is elimination
of the department which can affect the overall reputation of the organization in the market.
HR Implications
From the above, this can be analysed that there are different kinds of cultural, ethical
along with corporate social responsibility related issues which are being faced by the bank.
On the basis of these, this can affect the overall HR implications of the company in a negative
manner.
Firstly, the cultural related issues can affect the staffs and the HR department and
activities in a negative manner. Firstly, the employee relationships will be affected as there
will be lack of communication and communication related issues which can affect the
interactions between the organizations (Martin 2015).
Furthermore, there will be discrimination among the employees working in the
organization as the individuals who have been hired can feel that they are not being treated
equally like the other employees already working in the company (Barbera, 2014).

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On the other hand, the cultural issues can affect the HR department of the
organization as the local culture can affect the communication style of the organization and
this will be creating ineffectiveness in the different operations which are being established by
the HR department.
Secondly, the ethical issues can affect the morale of the staffs and the this will be
creating negative implications on the HR department as well. As there will be inclusion of
hiring of the different employees in the organization, there can be inclusion of the labour
costs as the HR department has to require to deal with conflicting needs in order to keep
labour costs as low as possible (Mason 2017).
On the other hand, the ethical issues can affect the employees in a negative manner as
favouritism among the employees can decrease the morale of the employees in performing
the different activities. In the present scenario, this has been noticed that there are different
employees hired in the organization can feel demotivated as there can be sense of non-
belongingness among them as they might feel that the company is focusing mainly on the
existing employees working in the organization (Khara, Lund-Thomsen and Jamali, 2017).
Moreover, the ethical issues can create a negative impact on the HR department along
with the employees of the organization. This can be noticed that due to the bad reputation of
the organization, there can be issues related to the recruitment and selection of the employees
from different portals as the candidates will never be ready to work with such kind of
inflexible environment. Furthermore, this can be seen that the employment access of the
respective bank will be ineffective in nature which can affect the overall condition of the HR
department as the entire work environment is inflexible and the reputation is at stake.
On the other hand, this kind of CSR related activities and issues can affect the morale
of the employees presently working in the organization. The employees might be scared of

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their survival in the organization which can lead to demotivation and the performance will be
affected as well. Due to the elimination of the few departments in the organization, there will
be decrease in the morale of the employees that can impact the work culture and the overall
positive aspects of the organization as well.
Therefore, this can be concluded that these are the different kinds of HR implications
of the issues for the staff and the HR function of the organization as well in a negative
manner. Due to the inflexibility in the working environment, this will be affecting the overall
productivity of the organization in a negative manner.

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References
Alvesson, M. and Sveningsson, S., 2015. Changing organizational culture: Cultural change
work in progress. Routledge.
Alvesson, M. ed., 2016. Organizational culture. Sage.
Barbera, K.M., 2014. The Oxford handbook of organizational climate and culture. Oxford
University Press.
Helmreich, R.L. and Merritt, A.C., 2017. Culture at work in aviation and medicine: National,
organizational and professional influences. Routledge.
Kangas, M., Muotka, J., Huhtala, M., Mäkikangas, A. and Feldt, T., 2017. Is the ethical
culture of the organization associated with sickness absence? A multilevel analysis in a
public sector organization. Journal of business ethics, 140(1), pp.131-145.
Khara, N., Lund-Thomsen, P. and Jamali, D., 2017. CSR Institutionalized Myths in
Developing Countries: An Imminent Threat of Selective Decoupling.
Khara, N., Lund-Thomsen, P. and Jamali, D., 2017. CSR Institutionalized Myths in
Developing Countries: An Imminent Threat of Selective Decoupling.
Kumar, D.T., Palaniappan, M., Kannan, D. and Shankar, K.M., 2014. Analyzing the CSR
issues behind the supplier selection process using ISM approach. Resources, Conservation
and Recycling, 92, pp.268-278.
Martin, K.E., 2015. Ethical issues in the big data industry.
Mason, R.O., 2017. Four ethical issues of the information age. In Computer Ethics (pp. 41-
48). Routledge.

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Patterson, P., Wilkins, L. and Painter, C., 2018. Media ethics: Issues and cases. Rowman &
Littlefield.
Tyagi, M., Kumar, P. and Kumar, D., 2015. Analyzing CSR issues for supply chain
performance system using preference rating approach. Journal of Manufacturing Technology
Management, 26(6), pp.830-852.