Case for Teamwork
 

Case: 4A TEAMWORK Scenario: 1st National Piggy Bank

First National Piggy Bank was established in 1930 and experienced some difficulties during the Great Depression when it was
just getting started. However, the name gave customers a sense of confidence and trust in the bank. It portrayed a level of trust
and security that other bank names didn't since piggy banks were thought to be safe and secure. In subsequent years, the
success of the bank was monumental. In 1980, its market share was over thirty percent of the Baltimore region and
competitors such as NationsBank and Signet were becoming concerned that First Piggy would eventually dominate the region
when interstate banking became a reality.

In order to maintain its competitive advantage, FNPB acquired several other banks in the region. As a result, management was
able to outsize about 20% of its workforce, most of whom were VPs and mid-level managers. Before the end of 1997, they
will have 150 branches within the Baltimore, Washington region.

The corporate management team is now interested in decentralizing control and has committed to restructuring in order to
implement total quality measures. Each branch will develop a team approach to customer service. The principal jobs involved at
each branch are: Branch Manager, assistant manager, Customer Service representative, tellers, loan officers, electronics
technicians who handle the ATM machines, and other technical aspects of the branch computer systems.

Each branch is expected to increase quarterly sales for FNPB products and attract new customers as well. FNPB has a wide
variety of products such as the traditional checking /savings accounts, CDs, mortgage loans, mortgage re-financing, student
loans, electronic home banking, commercial loans, small business, and home equity loans. Each branch is also expected to
develop good relations with the comity in which they are located. For instance, if the branch is in an urban area with a high
concentration of an African American population, they would be sensitive to insuring that they do not discriminate in home
mortgage loans. If their clientele is extremely affluent, they would be expected to provide financial consulting services.

Therefore, to better serve their customers, the management at FNPB will implement a team structure which departs from the
typical branch bank organization. To accomplish this, Ms. Be Hog, the president and CEO of FNPB has asked Anitta Ham,
the HR director, to develop a realistic plan for implementation. Anitta, recognizing that she herself knows nothing about teams,
has asked you, their HR specialist, to come up with the plan. She has given you the following assignment:

1. Draft a plan to implement a team structure at the branch level of the organization.

2. Make sure the plan specifies the type(s) of teams, how they would operate, and what their functions would be.

3. Include in the plan:

a. A rationale for restructuring to a team environment

b. A description of how the teams will work, and a specific example of the composition of one type of team and a
    procedure to be used to select team members in order to insure group cohesiveness.

c. A brief training component which includes the major elements of the training content.

d. A description of anticipated problems such as intergroup relations, (intra and inter-group conflict, cooperation,
    other group dynamics), and a means for handling them.

e. An assessment component to evaluate the effectiveness of the team initiative over the next two to three years.
    Be sure to specify a method for assessment and identify criteria (at least one) that can be used as a measure. (See
    Beehr, Chap 8)

4. Provide a five page report by the deadline specified.