Managerial Decision Making - Research Paper Example

Managerial Decision Making of the Management June 6, Managerial Decision Making In the current times ethical conduct in business is really important. This is because pursuing ethical business practices not only pertain to doing the right things, but they also mean well for business. Thereby, in any business organization, ethical conduct in business is the key to a long term success (Kline, 2005). The employees and customers do happen to really respect and trust such business organizations that affiliate to ethical conduct in their day to day business practices (Kline, 2005).

Thereby, the management at Wells Fargo has geared up to recognize the importance of ethical conduct in its regular business practices and has initiated policies to assure that the organization conducts and manages its business in an ethical manner. Right at the start of 2014, the management at Wells Fargo initiated an internal ethical review spanning over the next 2 years (Reckard, 2013). To conduct this internal ethical review the organization did contrive an Ethics Program Office (Reckard, 2013).

The primary objective of this review was envisioned to be to examine in detail the business conduct guidelines underlying Well Fargo’s more than 80 business lines, which pertain to the issues and problems like insider trading, the conflict of interest and receiving and giving gifts. This ethical review is a self initiated effort initiated by the management at Wells Fargo, aimed at suggesting recommendations for bolstering the ethical practices and conduct within the organization. It is a known fact that in the past two years, Wells Fargo has accrued much criticism for subjecting its employees to unreasonable sales pressure that not only makes the employees engage in unethical business practices, but has also accrued much criticism and complaints from the customers and business watch experts (Reckard, 2013).

Many of the former Wells Fargo employees have acknowledged and confessed that the organization does subject them to unethical sales pressure that makes them engage in unethical practices like selling multiple accounts to same customers, and charging the customers for an array of ad on services that they actually do not need. These unethical practices have not only jeopardized the employee morale, but have also led to much harassment and overcharging of the customers. It is a fact that the internal ethical review initiated by Wells Fargo in January 2014 did ensue from such ethics associated complaints and media coverage.

However, the thing is that instead of approaching the issue on a piecemeal basis, the management at Wells Fargo does need to alter and change its overall organization culture and sales practices, which place the front desk employees in engaging in unethical practice to sell the unwanted products to the customers. The management does need to look to it that instead of pursuing a profit driven approach towards sales, it rather encourages an ethics oriented and customer driven sales policy. Yet, the initiation of the internal ethics review is a right step in the sense that it does mark a realization on the part of management with regards to ethics related issues.

The management at Wells Fargo does need to put forth the message that ethics not only means watching the customer interests, but they also translate into good business. ReferencesKline, J.M. (2005). Ethics for International Business. New York: Routledge. Reckard, E.S. (2013, December 21). Wells Fargo’s Pressure Cooker Sales Culture Comes ata Cost. LA Times. Retrieved from http://www.latimes.com/business/la-fi-wells-fargo-sale-pressure-20131222-story.html#page=1