Transformational leadership and key performance indicators in retail banking: The role of team and organizational-level mediators

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Why I hate feedback: Anchoring effective feedback within organizations

© 2017 Kelley School of Business, Indiana University More than ever, business practitioners perceive feedback as a vital tool for increasing sustainable business competitiveness; however, research on feedback shows mixed results in terms of its effectiveness. Three problems underlie the paradox of feedback. First, the word ‘feedback’ lacks definition. Both scholars and practitioners have different understandings of what feedback means. This lack of clarity hampers successful implementation of feedback as a corporate reflex. Second, feedback can be destructive. In fact, toxic feedback might disengage employees from their jobs. Third, giving and receiving feedback is more difficult than we sometimes like to think. The mantra “our organization has an open feedback culture” does not alone suffice to support effective feedback behavior. This Executive Digest addresses these issues and introduces the feedback ecosystem: a four-step process (receive, reflect, plan, act) bridging theory and practice to anchor effective feedback within organizations. In addition, evidence-based advice is offered on how to implement each step of the feedback ecosystem.status: publishe

A Better Approach to Avoiding Misconduct:Use nudges to complement traditional methods of risk management

Despite substantial regulatory reform following the 2008 financial crisis, financial firms are still suffering from fraud and other forms of ethical misconduct. As a result, they have collectively paid out more than $400 billion in fines over the past 12 years. A 2019 Harvard Business School study found that among a sample of Fortune 500 companies, more than two instances of internally substantiated misconduct occur each week, on average. It’s becoming increasingly clear that the traditional approach to financial regulation—imposing formal rules and investing in a strong compliance function to ensure that institutions, managers, and employees comply with those rules—cannot protect firms against excessive risk-taking and financial misconduct. The authors of this article draw on their experience advising some of Europe’s largest financial institutions to present an alternative approach to compliance that is based on the principles and discoveries of behavioral psychology. It involves understanding the contextual drivers of human behaviors and introducing small changes, or “nudges,” to eliminate misconduct at the source.</p

Generatieconflicten bij vermogende families

status: publishe

A Better Approach to Avoiding Misconduct:Use nudges to complement traditional methods of risk management

Despite substantial regulatory reform following the 2008 financial crisis, financial firms are still suffering from fraud and other forms of ethical misconduct. As a result, they have collectively paid out more than $400 billion in fines over the past 12 years. A 2019 Harvard Business School study found that among a sample of Fortune 500 companies, more than two instances of internally substantiated misconduct occur each week, on average. It’s becoming increasingly clear that the traditional approach to financial regulation—imposing formal rules and investing in a strong compliance function to ensure that institutions, managers, and employees comply with those rules—cannot protect firms against excessive risk-taking and financial misconduct. The authors of this article draw on their experience advising some of Europe’s largest financial institutions to present an alternative approach to compliance that is based on the principles and discoveries of behavioral psychology. It involves understanding the contextual drivers of human behaviors and introducing small changes, or “nudges,” to eliminate misconduct at the source.</p