Contents

• Introduction 3
• Part A 4
• Oman Arab Bank 4
• Statement of Issue 5
• Analysis of the Factors leading to the Issue 5
• Poor Growth Strategy 6
• Poor Systems and IT Infrastructure 8
• Inefficient Human Resource Performances 10
• Integrated Solution to the Issue 11
• Part B 15
• Literature Review of methods used for analysis of the Issue 15
• McKinsey’s 7 s Model 17
• Boston Consulting Group (BCG) Matrix 19
• Alderfer’s ERG Theory 22
• Literature Review of theory and frameworks used for providing a solution to the issue 23
• Ansoff’s Growth Matrix 23
• Herzberg’s two-factor theory 25
• Conclusion 26
• Part C 28
• Reflection 28
• References 34

Description

Organizational processes and strategies are highly influenced by internal and external forces, which needs to be regularly analysed to bring effective changes in the organizational components. The structure and system are the main internal elements, which influence strategy formulation and also influence the human resource practices. The elements in the external environment include competition, increasing customer demand, political and social conditions. The organizations have to bring effective changes in the structure, system, human resource practice and strategies to overcome the external forces such as competition and customer demand, which constantly vary. Organizations which fail to respond to the changing environment end up losing business, incur financial losses and lose their reputation in the market. Since the competition is intense the organizations have to be highly responsive to the changing demands and increasing competition.
Oman Arab Bank is one of the established banks is a result of acquisition of Arab Bank Plc operating in Oman. The bank since its establishment in Oman has been focusing on corporate banking and investment banking, which has provided the back with increased returns and hence it has continued to focus on that. The bank has not seen any significant growth in its business and there is increasing dissatisfaction among some of the customer segment as well as the employees due to some internal issues.
A systems approach to problem solving is used to analyse the problems in OAB, which involves problem definition, analysis and identification of ideal systems and choosing the optimal alternative to solve the identified problem. McKinsey’s 7 s model is used to analyse the important internal elements, which focuses mainly on structure, strategy, systems along with human factors. The identified factors are further analysed using other management frameworks. Part A of the report analyses the factors leading to the business issue using various management frameworks and also provides recommendations using the frameworks. Part B critically reviews the management frameworks used to analyse and provide recommendations to the organization to overcome the problems.