The Investment Banking Industry Is A Global Multibillion Dollar Business

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The investment banking industry is a global multibillion-dollar business that acts as an intermediary between the issuers of securities and investors, such as financial institutions, corporate businesses, high net worth individuals and governments. Campbell and Bailyn (C&B) is rated as one of the top five investment banks in the world. However, a significant change in the economic and regulatory environment may put their success in jeopardy. As detailed in the Issue Tree and the SWOT, issues facing the firm are: (1) Lack of leadership preparedness in anticipating and preparing for change. (2) Lack of organisation wide discourse on the urgency for change. (3) Structure and Processes not aligned towards a homogenisation of a one organisation…show more content…
However, though Winston realised the need for change the survival anxiety did not create an urgency to change as evidenced by his lack of effort, to buy in and build confidence within the Boston Business Unit. Further, though Winston’s direct report Callahan is supportive of his change strategy he lacks belief in the intervention itself. Aptly, pointed out by Callahan that forcing generalists to take on specialist roles created uncertainty and disruption to the point that customers were divided on the benefits of the new structure. Generalists whose earnings earlier depended largely on sales commissions were now concerned over the loss of revenue and loss of importance and power within the firm. Moreover, employees like John Oates considered the change a threat to their job security and future career prospects. As experienced by Callahan the new structure was gradually impacting existing customer networks that were person driven, a loss that could prove detrimental in the current and future business environment. Hence, the forces restraining the change were the change agent Winston himself, Callahan and the Generalists. The six-box model is influenced by two underlying principles employee goal clarity and goal agreement, reflected in: (1) Strategy: C&B is among the top five
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