Diploma of Business: Strategic Decision Making Case Study on BNZ Bank

This case study analyzes the Bank of New Zealand (BNZ) and its strategic decision-making processes, organizational functions, and corporate governance practices. The analysis covers how BNZ utilizes various functions like management planning and control to achieve its business strategies, focusing on empowering women and contributing to economic growth. It explores BNZ's strategic actions, including the launch of financial literacy programs and support for female employees, and how these actions contribute to its competitive advantage within the New Zealand banking sector. The study further delves into BNZ's approach to corporate governance, ethical issues, and its commitment to diversity and social responsibility, including its efforts to promote gender balance and address ethical challenges. Finally, the case study outlines the relationship between strategic decision-making and entrepreneurship, offering insights into how BNZ integrates these aspects into its business operations to achieve its goals. The assignment is structured around key areas such as organizational functions, strategic actions, corporate governance, and ethical considerations, providing a comprehensive overview of BNZ's business strategies and their impact.

Strategic decision making

Contents
Answer 1.....................................................................................................................................................2
A. Organizational functions.....................................................................................................................2
B. Strategic actions..................................................................................................................................3
C. Strategic actions contribution to its competitive advantage...............................................................4
Answer 2.....................................................................................................................................................5
A. Corporate governance.........................................................................................................................5
B. Ethical issues.......................................................................................................................................6
Answer 3.....................................................................................................................................................8
Entrepreneurship and strategic decision making....................................................................................8
Reference..................................................................................................................................................10

Answer 1.
A. Organizational functions
BNZ bank deals in banking and financial services. It was founded in 1861 and it’s headquartered
is in Auckland, New Zealand. It provides banking, financial and saving services to the customers
and investors. The numbers of employees with the bank are more than 5000. BNZ includes the
management planning function which includes the process of planning for designing the
organizational goals and establishing the strategies for achieving the goals with the help of
integrating and coordinating the work of the organization. Strategic planning can be for the long
term and short term which helps in determining the response of the environment for contributing
to the strategies (Brieger, et al., 2019).
The management control function of BNZ plays a major role in controlling the activities in an
effective manner which helps in accomplishing the planning and deviations. Controlling is done
for gathering the information which ensures to control the functions. Control function helps the
managers of the bank in delegating the authority and empowering the employees so that the
employees do the right things. It is analyzed in the case that in order to empower the women they
had considered the program for providing the training to women (Ball, et al., 2019).
Organizational planning is considered for developing and supporting leadership.
BNZ bank has considered the control function in making the diversity in case of financial
literacy for targeting the community. The different functions of the BNZ are essential for the
business strategy s decision making is essential for collecting the information. In order to achieve
the goals and the business strategy of the BNZ bank as the strategy for retaining and satisfying
the customers required the feedback control will help in providing the information to the
managers (Browder, 2019). To achieve the objectives of BNZ bank is required to maintain the
same level of services and their qualities in all the branches.
B. Strategic actions
BNZ is offering the various services and efforts for empowering women as it helps in
contributing to the success of the business strategy. In New Zealand, ASB bank is also delivering
the similar services like BNZ but the strategic actions are different of both the organization as

ASB does not take the initiative to empower women. BNZ bank is supporting the female
employees with the help of business education program. The clubs are launched by the bank
(Haque and Shahid, 2016). ASB bank consider the creative strategy as their action includes the
direction for sustainability and stability. BNZ bank strategic action is considering the diversity
for delivering the distinct competitive advantages. They consider that women are powerful
drivers for the economic growth. By empowering women and contributing customers, BNZ bank
is able to make the direction of the business for achieving the goals as they had provided the
education workshops. For the networking and supporting, the opportunities are created for
running the plans by building the new networks and inspiring the customers. The environmental
factors are require to be considered by the bank. BNZ bank is making the business strategies to
grow and run the business successfully by introducing the new financial literacy program by
generating the retirement income (Hacklin and Wallnofer, 2012).
BNZ is involved in ensuring to provide financial education and supporting the ambassadors
within New Zealand. The strategic analysis is required to be considered for influencing the
external environment like political, social, economic, technological and legal factors. Leadership
is followed by the BNZ bank within the organization and employees are considered for making
effective decisions. The range of decisions is included in making the decisions at various levels.
Planning is considered essential for utilizing the resources in an effective manner for providing
benefits to the organization. the wide range of decisions is taken by the BNZ bank for the success
of the organization which includes the strategic, tactical and operational decisions (Kuratko,
2011). For the strategic decision, the long term decisions are taken by the management for
empowering women and providing support to the female employees. It helps the business in
strengthening their commitments. The organization is also involved in the economic as well as
the consumer power of the women. The strategic direction of the organization is included for
targeting the products and services which helps them in observing the private health and retailing
the services with the affluent segment of strategies. For the successful business strategy the bank
is required to face the challenges in satisfying the customers requirement with the products and
services which are required to be delivered to them (Mishra, et al., 2019).

C. Strategic actions contribution to its competitive advantage
The strategic actions which are taken by the BNZ bank for the functional strategies like
marketing, operational and financial strategies which help the organization to achieve the goals
and objectives. In marketing strategies, BNZ take the action by launching the financial education
program which helps in promoting the services of the bank. For gaining the competitive
advantages, the organization launched the operational strategy which include the process of
providing the effective services to the customers. The adoption of latest technology helps the
BNZ bank in contributing the competitive advantages. The strategy which they had adopted the
utilizing the resources in an effective manner. The effective financial services are provided to
customers for their satisfaction. In marketing function, BNZ has adopted the strategies for
promoting the organization and focus on promotional techniques. They had focused on
providing the wide range of optimization which are considered for achieving the market position.
The managers of the branches are promoting the sales and determined the budgets for advertising
the managing the welfare programs (Musso and Francioni, 2012). The public policies are
developed by the BNZ bank for dealing the customers and they had eliminated the legal, cultural
and organizational obstacles. The effective marketing structure has been adopted by the
organization which helps to deal with the public in large area. The organization is able to gain
the competitive advantages by organizing and introducing the financial literacy program and they
reach the business goals by meeting the growth objectives and bringing the innovation in the
business. Specialists are included for originating, structuring and executing the financial
transactions of the business (Nooraie, 2012). Operational strategies of bank help in simplifying
the process and procedure in the organization. they had provided the support and network for the
business strategy which includes to bring the opportunities for the women.
The bank has proactively adopted measures such as commercial markets, identity verification,
and government services, bank assurance and wealth. The commercial market aims to expand
banks' existing propositions by providing customers with foreign exchange transactions and
SME loan services. Authentication and government services are designed to provide ID
verification and application processing through businesses (Aimer, 2011). The various factors
are considered by the organization for gaining a competitive advantage with the help of business
functions as customer satisfaction is the major factor for improving banking services. The latest
software and technology are required to be adopted by the organization to gain competitive

advantages. They continue to focus on the customers as their requirement the easy banking
services required from us to reduce the number of products and simplifying the fees for the
customers. They provide the fast services to the customers for the competitive advantages in the
market of New Zealand (Farrar, 2018).
Answer 2.
A. Corporate governance
The approach of BNZ towards corporate governance is directed for internal strategies, making a
decision and operational management. It includes the framework which is effective for the
organization to make effective decisions. they are committed to the customers and shareholders.
They operate the business in a highly regulated financial environment. BNZ follows the various
laws and regulations which help them in protecting the customers and effectively running the
business across the world. For effective decision making and strategies, BNZ has adopted the
solutions for the ethical issues which are related to the strategies for the employees, structure,
and processes of the business. Ethical aspects are required to be considered by the organization
which requires taking the initiative for corporate social responsibility (De Haan and Vlahu,
2016). The codes of banking practices are adopted which requires setting the principles for
effective banking practices. Diversity governance is considered by the organization which helps
them in considering the issues which affect the customers and employees and ensure aligning to
people and strategies of the business. Council members are senior leaders from the entire
company, also set the tone for diverse values and principles, and actually, this actually means to
BNZ Board meets regularly to attract a wider BNZ audience and help maintain the momentum of
the motion (Gary, et al., 2012).
Pan-bank diversification strategy includes gender balance and other priorities area. In addition,
each business unit promotes its own diversification strategy. These are compliance with specific
business strategies and needs and will be in each challenge for business units. Diversity develops
a strategy once a year, then advice and support from an administrative staff team, go to the board
to consider and recognition (Gray, 2019).
It is analyzed in the case that for corporate governance, BNZ bank is looking for the private
wealth and retail affluent segment strategies. With the help of education workshops, the

organization adopts the effective strategies. They review the employer value Propositions to
determine whether they can be attractive as an employer various talent pools including women.
They had also watched recruiting practices, including requires at least one woman on the
shortlist for all senior candidates Role and there will be a woman Interview group. Support to
gender-balanced agenda, banks also demand all characters will be advertised as "Providing
flexible work habits (Mehran et al., 2011)." They believe this is a driving force agile and
efficient workforce as support for work/life balance. They continue to succeed in processes such
as reviewing the air and equitable performance remuneration. BNZ Pay Parity review check male
and female pay levels. The analysis shows that the gap between pay has reduced men and
women in the past five years, most notably the senior year management category (Obah and
Ajibolde, 2017).
They take the initiative of raising awareness regarding the workshop by highlighting the case of
the business for diversity. It helps them in reaching the goals by providing the training for
leading the workshops of women. In the workshop, the opportunity is also provided to people to
provide suggestions and sharing the views regarding the strategy of the bank. BNZ is also
engaged in the external bodies of the diversity as well as gender issues which requires
maintaining the relationship for involving and representing the Ministry of Women’s affairs and
FINSIA’s NZ Women. They are unbias while taking the decisions for the employees
(Rawhouser, et al., 2019).
B. Ethical issues
In New Zealand banks, BNZ considers and supports the female employees as empowering
women to participate more fully in the economy can empowered entrepreneurs to work at the
local community level to increase opportunities for the middle class managing the large
enterprises and assume corporate leadership roles. These all pose various challenges. Each does
not only provide economic opportunities but also ensures that talent can realize its full potential
(Rodgers, et al., 2009).
BNZ bank makes the continuous efforts for making the legislative requirements at the workplace
for health and safety. It is analyzed in the case that the BNZ workplace diversity study reveals

that the women are under-represented on the board directors of the New Zealand banks and it is
an ethical issue in corporate governance as gender balance approach must be adopted by the
banks in the New Zealand (Sperandio and Girard, 2010). As the NBZ took the initiative by the
workshops and programs, the other organization is also required to consider the women at the
workplace and provide equal rights to them for making the strategic decision. Policies and
processes are required to be reviewed, rewritten and even changed for supporting the diversity
strategy at the workplace for the gender balance. Champion for change is required to be
considered by the organization in the public and private sectors in which commitment is required
for raising the values for the diversity and inclusiveness for the business community (Yasar, et
al., 2014).
It requires the organization to consider the Global Women's Organization which is a
collaboration of more than 300 of the most influential organizations in New Zealand Female
leaders working with 44 of the most visionary in New Zealand Organizations work together to
promote inclusiveness and diversity to improve society and Economic Growth. Global Women,
founded in 2009, is seen as a catalyst for transforming leadership Women's representation in
New Zealand. It actively builds capacity and Quality Leadership Breakthrough Leadership
Program and activates the series and uses its current membership to cultivate a great future
(Borquist and de Bruim, 2019).
In order to change the situation, it is required to adopt the strategy and gender balance in the
workplace. The priority to women must be given for representing the departments.
It must be an industry approach, as BNZ is proud in supporting female employee and equal
importance must be given to women for managing the work with the responsibilities and
authority. For the effective corporate governance, it is required to preset the women to the board
of directors for providing the substantial oversight in the procedures and practices of the
organizations. Oversight must be considered in encompassing the issues for the board and
creating awareness for managing the operating of the company in order to achieve the objective
of the company (Borquist and de Bruin, 2019). Accountability is required to be considered by the
organization for effective corporate governance. The diversity council is required to be linked
with the specialized business units. The board is responsible for providing the opportunity to the
female employee for the growth and performing the activities. Training to the employees must be

provided for introducing the diversity performance metrics in the banking industry. Board
director is responsible for monitoring the performance which aims in strengthening the fitness
for the future performance (Schmidt and Carrasco, 2016).
Answer 3.
Entrepreneurship and strategic decision making
Entrepreneurship and strategic decision making are related to each other. Entrepreneurship
includes the process to design, launch and runs the new business and strategic decision making
includes the process for designing the things for long term goals with the short term goals.
The strategic making decisions are considered by every organization like BNZ to adopt the
various strategic decision making for making the business effective and satisfying the customers.
It plays a major role in the organization for strategic decisions which helps the company in
moving towards the goals. It includes the three things which are long term way forwards,
selecting the proper method and products and tactics in the target market (Schmidt and Carrasco,
2016).
Effective strategic decisions significantly improve the performance, success rate and survival
rate of small and small companies. Therefore, insight into the strategic decision-making process
of small companies is an important professional experience and literature. Compared with the
strategic decision-making process of large enterprises, the topics it proposes do not attract
enough attention.
The strategic decisions of small companies are seriously complicated by the limited resources
provided by their organizational structure. These organizational structures represent a small
number of employees, few or no long-term employees, limited capital assets, simple technology
and processes, and they are not capable of using Economies of scale, they suffer from how to
obtain financial resources and how to survive in the competition of large enterprises (Schmidt
and Carrasco, 2016). Entrepreneurship includes the ability for developing and organizing the
services with the new innovative idea requires
Talley’s group In New Zealand adopt the strategic decision making for making the business as
well as the warehouse group which is dealing in retail stores is considered as entrepreneurship
which was started by considering the entrepreneurial opportunities in the market by developing

the plan, human resources, financial and material resources, leadership is required to be provided
and risk aversion is included. Strategic decision making does not consider the risk where
entrepreneurship requires to consider the risk of running the business successfully. Strategic
analysis is involved in the strategic decision making by gathering the information, analyzing the
problem and decision is taken for solving the problem.
For success in entrepreneurship, the theories are required to be considered to effectively
implementing the business in the market (Reit and Halevy, 2019). Strategic decision making is
considered for providing the solutions to the problems which are faced in the existing business.
Managers are required to consider strategic decision making to provide the effectiveness in the
organization (Saura, et al., 2019). BNZ bank is considering the strategic decision making for
empowering the customers and women in the community.

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