Week 9 Discussion
The Principle-Agent Problem, To Manage Incentive You Have to Understand Motivation. What Is the Principle-Agent Problem? Here is some help. https://www.youtube.com/watch?v=cpu0dw9VY2E This week we look at the principle-agent problem and
what when wrong at Wells Fargo. On March 28, 2019 Tim Sloan the CEO of
Wells Fargo, who was suppose to restore the bank’s reputation, stepped
down. After a very poor showing by Sloan in testimony about the bank
before Congress and with long-standing restrictions by the Federal
Reserve still in place, the bank seems unable to overcome the crisis
created by a whole collection of deceptive practices which rose to the
level of fraud. See https://www.americanbanker.com/news/fed-wont-lift-wells-fargo-cap-until-deficiencies-are-fixed-powell. On
October 21, 2019 Charles Scharf officially assumed the role of CEO. Can
he succeed in restoring the reputation of Wells Fargo as the bank that
always does the right thing? You
are going to advise Mr Scharf on a key issue. What about the incentive
system employed by Well Fargo resulted in massive creation of fake
accounts by the retail operation and why did it only get worse from
there? As you dig into this remember Froeb’s rule from Chapter 1″Avoid
the temptation to think about the problem from the employee’s point of
view…{and ask} how does the organization give employees enough
information to make good decisions and the incentives to do so?” page 8 PLEASE DO NOT RELY ON WIKIPEDIA, INVESTOPEDIA OR ANY OTHER PEDIA AS A REFERENCE AT ANYTIME IN THIS COURSE.
Why Choose Us
- 100% non-plagiarized Papers
- 24/7 /365 Service Available
- Affordable Prices
- Any Paper, Urgency, and Subject
- Will complete your papers in 6 hours
- On-time Delivery
- Money-back and Privacy guarantees
- Unlimited Amendments upon request
- Satisfaction guarantee
How it Works
- Click on the “Place Order” tab at the top menu or “Order Now” icon at the bottom and a new page will appear with an order form to be filled.
- Fill in your paper’s requirements in the "PAPER DETAILS" section.
- Fill in your paper’s academic level, deadline, and the required number of pages from the drop-down menus.
- Click “CREATE ACCOUNT & SIGN IN” to enter your registration details and get an account with us for record-keeping and then, click on “PROCEED TO CHECKOUT” at the bottom of the page.
- From there, the payment sections will show, follow the guided payment process and your order will be available for our writing team to work on it.