Problem Solution: Usa World Bank

Problem Solution: USA World Bank

USA World Bank (UWB) is a major international and domestic bank. UWB would like to increase its market share through new products. The majority of new products that have been rolling out have been primarily to the US market. UWB would like to expand its products internationally. It is important for UWB to look at the current issues and opportunities in the company, the stakeholders' ethical dilemmas, and the end vision of the company. From this, UWB needs to create and analyze different solutions to the problems and create an implementation plan to the optimal solution.

Situation Analysis

Issue and Opportunity Identification

There are several current issues within UWB that can lead to future opportunities or success within the company. The first issue is that after Bea looked at the results of the research completed through Best Market Research, she feels the focus group and the research should have been better sampled. She did not feel that the sampling truly represented the customers of the company and prospective customers. She wants the research to be a true simple random sample. "A sample selected so that each item or person in the population has the same chance of being included" (Lind, 2005, p. 252). UWB has the opportunity to sample more people to get more opinions about the different products.

The second is that currently, UWB is gathering new ideas about new products from "hear-say" from bankers and CEO's of other companies. In order to hold validity in meetings, there must be research or statistics to back up what is being said. "The validity and reliability of data should be checked carefully. The data should be classified in ways that assist the researcher in reaching pertinent conclusions and clearly reveal the findings that have led to those conclusions. When statistical methods are used, the probability of error should be estimated and the criteria of statistical significance applied" (Cooper, 2003, p. 17). UWB has the opportunity to create a team in the company that focuses on thinking and researching new product ideas.

The third issue is that the Board of Directors only wants to launch one new product a year because they believe they will not have enough money to fund more than one project a year. "We define business research as a systematic inquiry whose objective is to provide information to solve managerial problems. Business research courses recognize that students preparing to manage business, not-for-profit, and public organizationsÐ'--in all functional areasÐ'--need training in a disciplined process for conducting an inquiry of a management dilemma, the problem or opportunity that requires a management decision" (Cooper, 2003, p. 5). UWB has the opportunity to put together data and statistics to show the profitability of launching two or more products a year.

Stakeholder Perspectives/Ethical Dilemmas

There are three stakeholder groups of UWB. The employees of UWB interests are making the company successful through their own jobs. They are interested in their own compensation and begin recognized as a part of UWB's success. As employees of the company, they have a right to know about any changes the company may do because it may affect their job. They value honesty from their co-workers and management and will continue working hard for UWB as long as everything is fair. The shareholders and investors of UWB are interested in making the company successful with not only customers, but also Wall Street and themselves. They have the right to make changes to the company if it will make the company more successful or more money. They have the right to ask for statistics to back up the research and proof that a product will bring in more money. They value integrity and honesty from their employees that they will help make the company money and successful. The customers of UWB are interested in a company that has many products to choose from. They have the right to voice opinions about new products and give feedback on current products. They value integrity from those they do business with. They also value a company who has a strong track record, which also goes back to integrity.

All the stakeholders value integrity, but in different ways. The employees value integrity with the fact that the company will make sound decisions for their future. The customers' value integrity with the fact that they can trust their bank in offering new products that will meet their needs. The shareholders and investors value integrity with the fact that they trust the employees will make them money and will provide statistics to show new products are worth the risk. The different interpretations of this value can create some ethical dilemmas. For example, the customers may voice concerns about a new product (especially on that replaces an existing one) and the shareholders may decide to leave the new product how it is, even though there is a concern from the customers. This example is not ethical and can create ethical dilemmas to all the stakeholders.

Problem Statement

USA World Bank will enhance the market share value of the company by creating new products for their customers. The new products will focus on international products, as well as domestic products.

End-State Vision

USA World Bank believes in being the top bank domestically and internally. In order to stay on the top, UWB must increase the market share of all the products, introduce one new product every year based on consumers' needs, and have statistics to back up all the product ideas. With these three goals, the company will stay on the top of the banking industry.

Alternative Solutions

It is important for UWB to research new product ideas before presenting them to the Board of Directors. This research will help the Board of Directors decide whether a product will be successful or if it will be a waste of money. In order to do this, UWB must develop a Research and Development team. This team will focus solely on consumers' needs and reactions to these products. UWB will not to create two R & D teams, one for the United States and one internationally. "Only those companies that embrace a global approach to R&D will meet the competitive challenges of the new dynamic. And only those managers who embrace their fundamentally new role as global coordinators and managers of knowledge will be able to tap the full potential of their R & D networks" (Kuemmerle, 1997, p. 70). Some companies that currently have global R & D sites include