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Solutions to Wells Fargo Ethical Dilemma Essay

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Introduction

The Wells Fargo financial fraud attracted the attention of federal regulators to monitor the firm’s leadership and the operations in every department. Obtaining first-hand information regarding the ethical dilemma of mistrust between customers and the bank was key in determining the fate of the organization in the banking industry. Wells Fargo yearned to continue its operations despite being shortlisted as a fraudulent company. However, the consumers of the business could not enjoy Wells Fargo services based on the ethical challenges it has experienced since 2011. Implementing a non-toxic working culture, setting consistent principles in the workplace, and training employees on the importance of autonomy and accountability provide solutions to the mistrust identified at Wells Fargo.

Non-Toxic Working Cultures

The toxic cultures that affected consumers at Well Fargo can be sorted through a revised managerial framework. Utilitarianism theory provides comprehensible principles in the description of clear guidance for the benefit of the greater majority. Similarly, the millions of unauthorized savings and credit accounts opened by the bank would have been prevented by incorporating contemporary technology and innovation in business activities. Non-toxic culture focuses on the happiness of consumers based on the preference actions of the firm’s leadership skills and styles. Veetikazhi and Krishnan (2018) suggested that the owners of Wells Fargo would have detected fraud across multiple channels by implementing analytics software, artificial intelligence, and data monitoring programs. The data analysis approach would have exposed the unusual customer account behaviors and transactions, while the culture of data monitoring and artificial intelligence learning would aid the automatic identification of anomalies on consumer profiles. Data monitoring, fraud analytics, and artificial intelligence culture enhance the consistency of information formatting; thus, it can solve the ethical dilemma.

Consistent Principles in the Workplace

Employees at Wells Fargo would have limited the chances of the fraud scandal if consistent principles were utilized in the running of the business. Utilitarians emphasize the outcomes of an action; as a result, consistent principles at the workplace could only be good if they benefited the customers, who are the major stakeholders of the business. Komu (2020) elaborates that the employees at Wells Fargo would have distanced themselves from the mistrust issue if the firm merged competency, goodwill, and integrity as key principles in business management. The inconsistency of the principles jeopardized success because the employees accepted the manipulation from employers to keep their jobs contrary to the will of utilitarians. Consistent principles would have created a positive impact among employees by enhancing trustworthiness. The employee turnover would have also been reduced through integrity since workers would have stood for what was right, irrespective of the consequences.

Autonomy and Accountability

Training employers and leaders of Wells Fargo on the significance of accountability and autonomy can solve the ethical dilemma at Wells Fargo. Utilitarianism attempts to create ideal societies by supporting acts based on the consequences of every choice. Leaders act like role models to their juniors; therefore, embracing workshops and training focused on accountability can help Wells Fargo to seek alternatives for the existing mistrust between the consumers and the bank. Utilitarians treat everybody equally and do not undermine a single group’s values. Autonomy impacts the development of resilient leaders in workplaces; thus, Mumley (2019) argued that training employers on autonomy increases the chances of building effective and competent leaders. Mistrust originated in Wells Fargo because the organization lacked self-reliant leaders. However, merging autonomy and accountability improves the outcomes of producing skilled and respectable leaders.

Conclusion

Introducing non-toxic working cultures at Wells Fargo is the best solution for the existing mistrust. The process will adequately work because it commemorates the policies and principles of utilitarianism. Protecting the customers’ data at Wells Fargo will impact consumers directly, unopposed to accountability and consistent principles that focus on the firm’s internal leadership. The bank’s operations lean on customer loyalty, while the consumer data’s safety brings happiness to most affected account owners. Therefore, Wells Fargo must implement artificial intelligence, data monitoring, and analytics software to manage accounts.

References

Komu, S. S. C. (2020). . Al-Milla: Journal of Religion and Thought, 2(1), 37-56. Web.

Mumley, W. (2019). Organizational culture and ethical decision-making during major crises. Journal of Values-Based Leadership, 3(1), 56–78. Web.

Veetikazhi, R., & Krishnan, G. (2018). . South Asian Journal of Business and Management Cases, 8(1), 88–99. Web.

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IvyPanda. (2024, May 19). Solutions to Wells Fargo Ethical Dilemma. https://ivypanda.com/essays/solutions-to-wells-fargo-ethical-dilemma/

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IvyPanda. (2024) 'Solutions to Wells Fargo Ethical Dilemma'. 19 May.

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IvyPanda. 2024. "Solutions to Wells Fargo Ethical Dilemma." May 19, 2024. https://ivypanda.com/essays/solutions-to-wells-fargo-ethical-dilemma/.

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IvyPanda. "Solutions to Wells Fargo Ethical Dilemma." May 19, 2024. https://ivypanda.com/essays/solutions-to-wells-fargo-ethical-dilemma/.

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