Page 30 - Wells Fargo Bank (C) Teaching Note

What Went Wrong

What went

wrong?

The Wells Fargo story is not a

unique one but it is a
despicable one, encompassing

immense proportion. Many organisations, not least the

banks, have succumbed to corporate malfeasance
through the hubris and greed of senior management.

The Wells Fargo story is a narrative that has ensnared

many CEOs and their strategic leaderships and one

where courage to take responsibility for ones’ actions are

sadly in short supply.

For Wells Fargo management expressed dismay over the

lapses, and investigations ended up blaming the

employees and company “culture” for the situation.

“Many of Wells Fargo's problems in the past few

years have been over fraudulent practices in its retail

banking segment, whether through credit cards,

insurance, checking and savings accounts, or asset

management.” (4)

The question is how such a toxic culture developed in

Wells Fargo. How was it diametrically opposed to

everything leaders said and stood for and articulated in