Leadership Using the Hedgehog Concept Collins was not incorrect in the way he described the leadership at Wells Fargo. When Collins and his research team were carrying out the research, the relied on interviews and newspaper articles plus the performance of the company on the stock market. All this combined resulted in their assumption that the leadership and change in strategy by Wells Fargo was resulting in the increase in stock price. It is true that for a company to become a great company it needs to identify the three things pointed out by Collins (2001) namely what is the company good at, what drives the company, and what are employees passionate about? Wells Fargo managed to identify all these three things and discovered that in order for it to increase investor profits it needs to change its business strategy. Changing the business strategy did have the expected results, and the company experienced superior profits. However, all this was based on the performance of the company on the stock exchange. There was no tangible evidence that showed the company stock rose because of the changes implemented. In the book, there is no demonstration anywhere that the authors carried out any empirical research or capture any data directly related to the company's performance. All the information is based on published newspaper, and magazine articles and interviews conducted. This resulted in the bias of information collected since most of the interviews would paint the company is good light and the articles were all showing the improvements made at the company. Collins did the best he could to explain the situation at Wells Fargo and his findings at that time looked accurate. The measure employed by Collins to determine a company's greatness was stock market return....
This measure could be influenced by numerous factors and assuming that the measure was because of the transition only was wrong.
SWOT Analysis: Its Uses for Wells Fargo As noted by Giesen (et al., 2010), one of the most difficult things for any business to know is when and how to alter its core business model. Technology businesses such as IBM have been forced to do this, as the physical product lines on which they based their successes have become obsolete. The consequences of failing to innovate are dire, as seen when
Wells Fargo Scandal The Wells Fargo Collateral Protection Insurance (CPI) Scandal occurred as a result of the banking firm placing CPI on accounts even though the account holders did not ask for it or want it. It resulted in customers paying unnecessary and higher fees over a period of time. Wells Fargo was sued and agreed to settle the case out of court for approximately $400 million without admitting fault (Top
Wells Fargo Fake Account Crisis A crisis is defined as the perception of an unprecedented event/incident that threatens shareholders’ valuable expectations in relation to economic, health, environmental, and safety issues (Coombs, 2014). Since organizations operate in a challenging and highly competitive environment, they are likely to undergo crises. An example of an organization that has experienced a crisis in the recent past is Wells Fargo. The company recently experienced a scandal
Successful and Unsuccessful Leaders Coach K. and John Stumpf are leaders that have used differing styles of leadership. On one hand, Coach K. uses a transformational leadership style whilst Stumpf uses an authoritative style of leadership. Stumpf employed a controlling and intimidating technique whilst Coach K. uses a more interactive and relational approach. Coach K. has been a successful mentor and coach over the years by having good and healthy
Safeway and Wells Fargo Company analysis Safeway Company remains a private company, which is listed on the New York stock Exchange being an American food and drug retailer. The firm is among the biggest supermarket chain retailers found in North America. The company has a solid supply chain of network partners, which facilitates manufacturing as well as distribution facilities. Presently the company seems to be operating under almost 13 unique brands found
Write a -4-page academic paper in which you describe a business situation, apply a critical thinking framework to the situation, and recommend evidence-based solutions to the situation. Explain how the concepts of VUCA (volatility, uncertainty, complexity, and ambiguity) could affect both the situation and the solutionIntroductionThe banking business is currently undergoing fundamental change. Since the financial crisis, a litany of new rules, regulations, and procedures have been imposed on the
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