Daily Bulletin

The Conversation

  • Written by Jenni Henderson, Editor, Business and Economy, The Conversation

Australian banks have been under intense scrutiny this year after various scandals called into question the culture of the industry. But it seems there’s no easy answer to improving culture.

Professor Paul Kofman from Melbourne University was a panellist at an event discussing this exact issue. He says the heart of the problem is the lack of evidence for what types of cultural interventions translate into good business outcomes.

Kofman says bank executives can’t ignore culture anymore because their jobs are on the line, but he also notes they aren’t trained sociologists, so they might not notice problems in culture when they occur.

Instead of looking at the conduct of employees when trying to improve culture, the focus should instead be on the customer and if they are being best served, most of the panellists at the event agreed.

In an industry that has changed a lot over time, Kofman isn’t convinced “big data” on its own will necessarily provide deeper insights into bank culture. He says as long as we’re not sure how to measure culture, having more observations won’t help. Kofman notes much of the exciting data analytics are in fact generated by new financial operators (for example in financial technology and offshore operators) that are currently outside the scope of our regulators.

Also on the podcast this week, Richard Holden tackles a question about how low borrowing rates affect demand and investment for Ask an Economist.

Authors: Jenni Henderson, Editor, Business and Economy, The Conversation

Read more http://theconversation.com/business-briefing-fixing-culture-in-banking-and-finance-69220

Writers Wanted

The Mitchells vs The Machines shows 'smart' tech might be less of a threat to family bonds than we fear


The Essentials of DIY Home Repairs: What You'll Need


The Conversation


Prime Minister interview with Karl Stefanovic and Allison Langdon

Karl Stefanovic: PM, good morning to you. Do you have blood on your hands?   PRIME MINISTER: No, it's obviously absurd. What we're doing here is we've got a temporary pause in place because we'v...

Karl Stefanovic and Allison Langdon - avatar Karl Stefanovic and Allison Langdon

Prime Minister Scott Morrison delivered Keynote Address at AFR Business Summit

Well, thank you all for the opportunity to come and be with you here today. Can I also acknowledge the Gadigal people, the Eora Nation, the elders past and present and future. Can I also acknowled...

Scott Morrison - avatar Scott Morrison

Morrison Government commits record $9B to social security safety net

The Morrison Government is enhancing our social security safety net by increasing support for unemployed Australians while strengthening their obligations to search for work.   From March the ...

Scott Morrison - avatar Scott Morrison

Business News

The logistics behind setting up massive vaccination hubs in South Australia

To scale up the South Australian vaccination rollout, Portable Partitions Australia were approached by SA Health to urgently provide 78 vaccinations booths across the Northern and Central mass vac...

NewsCo - avatar NewsCo

The Age Of Advertising: The Importance of Online Business Advertisements

The language of advertising had long grown since its modern beginning in the 15th century when printing was all the jazz. Nowadays, it continues to flourish and adapt as new mediums are created, a...

NewsCo - avatar NewsCo

What is Hampering Your Good Sleep? 7 Things to Check

A good sleep is the pillar of a healthy body and a strong mind. Countless studies have proven how a good night’s sleep goes hand in hand with good health and a productive day ahead. Sleep has an i...

NewsCo - avatar NewsCo