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Wells Fargo Bank Ethics Paper

1277 Words6 Pages

After the 2008 Financial Crisis, and with the addition of the Wells Fargo Debacle, ethics within Financial Institutions have become a hot topic. Consumers are hesitant to place any trust in the financial sector. This paper defines ethics and what it takes for a financial institution to make ethical decisions. It not only looks at the organization but also looks at management and individual employees. The paper also addresses the ethical issues that can arise within financial institutions. It uses the Mortgage Industry along with a current financial institution, Wells Fargo Bank, as examples of how unethical decisions can cause catastrophic financial results. It proves that properly following ethical guidelines can eventually earn the …show more content…

This may seem too simple, but in the fast-paced world that we live in there really is no other way. Slowing the pace enables a sharpness of awareness; eliminating the knee-jerk reaction. Refocusing can allow the consciousness a chance to connect and be a part of the decision process. Extend Trust. Ethical Leaders know the best way to be trusted is to trust others. They must be honest at all times by not sugar-coating things, respecting others and believing in them. Trusting in your employees allows them to know they can come to you with ethical dilemmas. Have 2-Way Conversations. If a leader says, “It’s my way or the highway!” then they are not respecting their employees. A good leader of a financial institution will engage with employees and customers. If everyone is involved in the decision, then the decision will be understood and respected. Demonstrate Moral Authority. Ethical leaders realize their power isn’t over people, but through people (Siedman, 2016). If a leader can make a change that is morally right, he will earn respect. Leaders can enlist help from others to ensure that there is an understanding by all parties …show more content…

Many financial institutions are making it known in the public that ethics is their number one priority. They are providing ethical training to all staff not just leadership along with policies that specifically state unethical behavior is not tolerated. They have also gone as far as changing their mission to include doing what is right for the customer. However, some financial institutions are so large that ensuring that ethical behavior is part of the culture is difficult. They are now appointing a specific Ethics Officer

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