Statement of Topic:
To determine, how employees can be motivated in US Bancorp, Finance & Insurance Industry.
This research is focusing on employees in US Bancorp, one of the fifth leading commercial banks in United States, accredited with a high rank based on its deposits. US Bancorp has over the years been associated with consumer complaints largely because of its poor customer services. The consumer complaints are partly attributed to the fact that employees are lowly motivated hence, the more likely they are to provide poor services. The study project is further outlining on ways in which employees can be motivated in an industry that deals with a large pool of clientele.
This is a real problem, and it is indicated from the following data. The cost of turn over within finance and insurance industry is $30,000 month or calculated as $1,000 in every employee on a daily basis. This will total to $360,000 per annum. Most of the actual costs in most companies are usually higher than the estimated cost. The cost of turn over within this industry may be unnecessary and avoidable. However, for this to happen in a company that employs 63,000 employees, their satisfaction requires to be increased from 4.0% to 10% for a more productive workforce.
Purpose for the Action Research:
This study is giving an outline to reasons of high-employee turnover which is directly related to a work force that is not motivated. The purpose of this research is to identify why the employees need to be motivated and how this motivation can be carried out. Through the profit and loss reports, the employees’ turnover in US Bancorp will be established.
US Bancorp has over the years been gaining a reputation that may drive away the potential employees. This is a problem that is widely known and publicized in different articles, newspapers, magazines and journals such as the Inner City Press or the Fair Finance Watch and from links such as https://dukeemployees.com/newsseptember2001.html. This problem does not only exist in this company only, but also in other companies all over the globe, where most employees feel neglected or overworked (Michael & Anderson, 2000).
According to Frederick W. Taylor in theories of motivation, workers are significantly motivated by pay. This theory is likely to work in US Bancorp, which delays its employees’ pay for their extra time of working. Taylor’s theory of scientific management argued that the employees do not enjoy their work naturally, so most of them require supervision and motivation. Workers have to be compensated for their overtime shifts and payment made according to their produce.
The audiences that will benefit from this research are the businesses of all sizes, individuals, municipalities and other financial institutions. Through this research, these parties will be able to establish, if in the future, they will conduct their financial affairs with the bank.
Justification of Problem Statement:
In recent publications in the global news and Internet, the bank has been ranked among the lowest reputable banks in the banking field. Demographic information will be collected to give a detailed report on the employees’ grievances and ways in which employees can be motivated. This problem started in year 2001 to 2002 as evident on this link; https://dukeemployees.com/newsseptember2001.html. This is a problem that affects the public but more so, the consumers who have their deposits or investments in this bank. From the different sources of this information, this problem is relevant as the fraud cases made against the tellers all inter-relate with a work force that is not motivated. People ought to be concerned since this is not just any other bank, but one which offers services to businesses and individuals all over the world, it also makes delivery payment solutions the institutions and individuals. The employee confidence issues within US Bancorp in Minneapolis and Minnesota.
According to US bank.com, (2011) US Bancorp has experienced a net income of 3.3 billion, revenue of 18.1 billion and an increase in total assets of 320.8 billion (US bank.com, 2011). With this data, this shows that employee satisfaction is not attributed by lack of funds in the company. Rather, the contributing factor of a work force that is not motivated is delayed payments, discrimination of female employees and uncompensated work-force for an extra shift (Mulligan, September 13, 2001). For the unsettled employee grievances, their frustrations are directed toward the customers who get their accounts mishandled and cases of fraud going to a rise. The credit rating of US Bancorp among its competitors, gives a result of $260M and a TARP funding of $6.6 B. Its competitors range from $379M to $ 1.8 B in results. This shows that the competitors are excellent performers are compared to US Bancorp. This is evident in the financial and market statement data which is provided by BATS Exchange, NASDAQ, SEC and Xignite Inc. Industry.