Discussion Essay Example
Commonwealth Bank Scandal Analysis
The Commonwealth Bank scandal occurred as a result of the popular bank culture that allows the executive to have access and store personal customer’s information in confidence. Customers’ deposits and various financial products cannot be accessed by an external party since they do not hold such important private information as signatures. However, the major perpetrators of the scandal exploited this fundamental aspect and privilege held by the banks to their respective major advantages (Yeates, 2016). The company’s financial planner is seen to have liaised with other staff to forge customers’ signatures on application forms and other important documents in order to prevent claims by possible customers through minimising them to a significantly lower level. The Australian Securities and Investment Commission notes that the there were a substantial number of forgery that resulted to customers’ unable to access their claims in due time.
To successfully eliminate the possibility of this scandal from ever happening again, I think it will be fair that in the course of recruitment; organisations embark on ensuring to incorporate a culture of honesty and trust amongst its potential recruits before being assigned tasks. A firm should incorporate their rather firm beliefs and values in the course of recruitment, interviewing and on-boarding processess as well as in relation to management of internal affairs of a company. Efficient and effective corporate governance mechanism should be put in place to foster aspects related to visible and measurable changes within recruit behaviors; policies; processess and practices to comprehend that banks are mandated to protect the customers’ interest as major stakeholder as opposed to exploiting them.
Yeates, C. (2016). Commonwealth Bank whistleblower says he went to wealth Boss Annabel Spring. The Sydney Morning Herald, Retrieved from http://www.smh.com.au/business/banking-and-finance/commonwealth-bank-whistleblower-says-he-went-to-wealth-boss-annabel-spring-20160428-gogwif.html
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