Anz Culture Study: Management Principles

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The ANZ bank wanted to change its public image and increase its staff morale, but obviously still maintain high profits. The CEO of ANZ, John McFarlane decided a change in its companies culture was required and went about implementing a change that could, like any change, make or break the organisation Question 1) Explain the term ‘corporate (or organizational) culture’, and discuss its importance to the operational success, or failure, or organisations. Corporate culture, also known as organisational culture is ‘the system of shared values and beliefs that develops within an organisation and guides the behaviour of its members’ (Schermerhorn,et al, pg 45, 2004). Robbins, et al, pg 70, 2003, explain that culture is a perception, and…show more content…
It is quite likely that more than one leadership style or a combination of styles was used by ANZ to initiate its change in organisational culture. One particular style that may have been used is the path-goal theory. ‘A leadership theory that says it is the leaders job to assist their followers in attaining their goals and to provide the direction or support needed to ensure that their goals are compatible with the overall objectives of the groups or organisation’ (Robbins, et al, pg 577, 2006). At the ANZ bank staff morale was low and its public image poor, and to change that McFarlane used the path-goal leadership style to attempt to increase morale, which would also lead to enhancing its public image. The path-goal theory discusses input from staff, this was done by taking information from the staff survey, and gaining an understanding of what is important to staff. Change was then implemented so staff could start working in an environment which they feel much more comfortable, more likely to succeed and have higher job and customer satisfaction. The staff were given direction (path) and could see the rewards or goals, the leader helps facilitate this transition. Mcfarlane changed his leadership style, to give staff more involvement by conducting staff surveys, then implementing change due to results of the survey, this is further evidence to using
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