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ORGANIZATION CULTURE AT WOORI BANK.

Course: Management of Organizations (W 501)

Prepared for: Neaz Ahmed


Professor

Institute of Business Administration (IBA) University of Dhaka.

Index: Executive SummaryPage 3 Introduction.Page 4-5 Profile..Page 6 Organization Culture at Woori Bank...Page 7 Organization Structure of Woori BankPage 7 Table of Org. Structure of Woori bankPage8 Linear Organ gram of Woori Bank..Page 9 Behavior at work..Page 10 Steps to Improve Organization CulturePage 10 Conclusion.Page 11

Executive Summary:
Woori Bank is a South Korean bank operating in Bangladesh from 1996.In this paper Organization culture at Woori Woori Bank different aspect of this bank was described. As its an authorized Bank different sensitive issue like their Financial information, Employment policy, HR policy ,Client list are consciously excluded in this paper. Woori bank has a strong background in their home country South Korea .To expand its horizon they open their offices in 14 different country. Bangladesh is one of them. Although they relatively started in very small scale now they are relatively strong in their Offshore Banking sector in Bangladesh and recently re launch their retail banking with various new products. After looking at Woori banks history it can be said that it had a long journey of 112 years to come to its esteemed position .Although in Bangladesh it had relatively a smaller journey of 15 years .By looking at history it can also said without a strong Organizational Culture Woori Bank cannot completed this path. In Woori Bank Dhaka branch Omni potent View of Management was practiced which is managers are directly responsible for all the job done which is related to organizations success or failure. South Korean people think very differently from other foreigner or Bangladeshi. Their thinking process also effected how they run their business. They are more comfortable to work with elder employees because they think wisdom makes a person more responsible and loyal. Organization cultures of Woori bank effected by Top management behavior, socialization and employment policy. In case of Organization structure Woori bank use ethnocentric attitude in their management which is best work approach and ideas are of home countries. In here two tables describes Woori Banks Organization structure and Linear Organ gram of Woori Bank. Woori Bank like other company has a ground set of rules both for behavior at office and dress code. To give best services to the customers employees must be efficient, professional and responsible. To improve Organization culture at Woori bank different activities organized by banks management which keeps employees informed about banks Vision, Mission and Achievements. Organization culture at Woori bank is strong and it helps employees to improve their productivity which not only help them but also keep a very vital role in Woori banks brighter future in Bangladesh.

INTRODUCTION:
Organization culture is the shared values, principles, traditions and ways of doing things that influence the way of organizational members act. In general, we can say that Organization culture is a common perception held by the organizations members that distinguish the organizations from other organization. i.e. personality. Because Organization Culture represents common perception shared by the organization members, though individuals may have different back ground in an organization they will tend to describe in similar term the organizations dominant culture shared by the majority of the organizations members.

Woori Bank is a Korean multinational Bank that is going through major Changes in its organizational culture and its organizational structure due to several events of the past few years. This bank that grew in this position gradually in long time, that their management make some ground rule to keep their operations and finances under control. Woori Bank has been evaluated their principles and revaluate and redesign its organizational culture and organizational structure to become Koreas No. 1 Bank.

The organizational culture of Woori Bank is one of evolve; with the drive to Out-perform and succeed as their major objectives. The organizational structure of Woori Bank also transformed to be more competitive to become the best. Woori Bank has made some unbreakable ground rules to stay competitive on the global market. This paper will describe the organizational culture of Woori Bank. Vision: Wooris vision is to be the leading financial group with global capabilities. Woori Financial Group promotes competitiveness on the basis of One-Firm Approach. Wooris management strategy is to become the best Korean bank in four areas: financial services, asset quality and profitability, management support and manpower.

Strategies: Increase business portfolio profitability:

Epochal improvement of competitiveness by mixing organic growth in the banking operations and M&A in the non-banking sector.

Foster and reinforce corporate / investment banking sector, card division, wealth management. 4

Maximize Network Leverage:


Generate and maximize profit synergy by strengthening network between affiliates in joint sale efforts Increase efficiency and application of shared services by integrating IT service and operational process.

Systemize Risk Management:

Minimize bad loans and establish an effective system to manage various risks that entail from entering new markets and financial instruments.

Creating brand image:

To increase its brand value, the Bank proactively participated in numerous public relations events, including as an Official Sponsor of the 2002 Asian Games.

In Bangladesh the vision is to emerge as the dominant banking institution in Bangladesh having a fast & visible presence in the region in the days to come. The branch plays a leading role in Bangladesh's financial industry in terms of customer service, high speed operation, systematic loan procedure and the cutting edge superior IT platform to provide information & services to the customers. In Bangladesh Woori bank offers a wide range of cash financing, working capital, short and medium term loans & guarantee facilities. Woori bank has been providing both Domestic and Offshore banking service since 1996. The Offshore banking unit provides US Dollar denominated working capital as well as short term and medium term financing to eligible business. The mission of this branch is to deliver optimum values to the customer, employees and to the nation The principal activities of Woori bank Dhaka branch are: To provide all kinds of commercial banking services to its customers authorized by Bangladesh Bank. The Offshore banking operations.

PROFILE

Woori Bank (Previously known as Hanil & Hanvit Bank was incorporated in 1899 in the republic of Korea.Woori Bank is a leading commercial bank in Korea and the flagship company of Woori Financial Group formed in 2001 as Koreas first financial holding company.The bank changed its name to Woori fron Hanvit in 2002 to bring branding strategy in line with that of the Woori Group. Woori Financial Group is listed in the New York Stock Exchange and Korea Stock Exchange.The Korean Government owns 73% stake of Woori Bank. In the graph below place of Woori bank is shown in Woori Finacial Group.

Woori Bank Dhaka Branch has commenced its operation as Schedule Bank since 21 st September in 1996.Hanil Bank become Hanvit Bank in Bangladesh following a merger between Commercial Bank of Korea and Hanil Bank as on 1 st January 1999.As an inevitable consequence of the ongoing reconstruction process in the economy of South Korea, hanvit Bank turned into Woori bank which has taken over the operations of Kwangju Bank and Kyungnam Bankas on October 07,2002. Woori Bank has the strongest and most extensive branch network with 896 Domestic Branches (South Korea),43 Overseas Branches in 14 different countries serving15 million customers and employing a total of 15,959 employees globally. Woori Bank is selected as Bank of the Year in South Korea for two consecutive year in 2007 &2008.Also Woori Financial Group ranked 65th in the World Based on Tier I capital in 2008. Woori Bank has planned to open 200 Overseas branches within 2015 to strengthen it presence in global trade and business.

Organizational Culture at Woori Bank:

The culture of Woori Bank was based on idea that self-motivated individuals will work hard under a boss who look after every action. Its because Woori Bank believe in Omni potent View of Management that Managers are directly responsible for an Organizations success or failure. The reason for this is, its easier to control managers because they are more loyal to management because of their job responsibility and job length in the Bank. As a Korean Bank their thinking approach is different from Bangladeshi or other Foreign Bank. As they give special respect to their elders they are more comfortable to work with managers then junior employees. But if the Manager is incapable to do a job then they ask him who can be best alternative and job is given to that person. To get an approval in new project is complicated because it will go different desk in Bangladesh after approval it will be sent to Head Office in Korea for approval which take a long time.

Woori Bank initially grew fast in Korea, because decisions were made at the lowest possible level. In case of Bangladesh Corporate headquarters made policy and oversaw all activities, but they did not give local employees made the day-to-day decisions on the ground. Thats why growth of this bank in last 15 year is very minimal in contrast to other foreign Bank. In 2011 after a long assessment they changed their Office premises to a better, convenient location than before. As their premises change they also launch various new products for fund collection and re-launch their retail banking to attract new customers. Now their main focus is to grow at least 40% more than last year profit. To create a strong Organization culture few steps are taken in Woori Bank : Top management hire and keep only employees who think and feel the same way Top management do. They indoctrinate and socialize these employees to their way of thinking and feeling. Top management own behavior acts as a role model that encourages employees to identify with them and there by internalize their beliefs, values and atmosphere.

Organizational Structure of Woori Bank:

The organizational structure of Woori Bank was built on Ethnocentric attitude that best work approaches and practices are those of home country in here( South Korea).Woori Bank Dhaka controlled by guideline and rules by Woori Bank head office. There are two Korean person designated as Genera Manager and Deputy General Manger who are responsible for Woori bank Dhaka branch operation. In here two table are shown first one is a simple table of Organization structure of Woori Bank and the second one is Linear Organ gram of Woori bank Dhaka branch.

ORGANIZATIONAL STRUCTURE OF WOORI BANK DHAKA BRANCH

Country Manager & GM

Head of Operation & DGM

Trade & Finance (DBU) Domestic Banking Unit

Trade & Finance (OBU) Offshore Banking Unit

Management Support Department

Customer Service Department


1Chief Manager
2 Officers, 1 senior officer

Credit & Planing Department


1Chief Manager
2 Senior Officers, 1 principal officers

1Chief Manager

1Chief Manager

1Chief Manager

3 Officers

5 Officers

1 Assistant Manager, 2 Officers, 1Receptionist

DEPUTY GENERAL MANAGER

SENIOR MANAGER

MANAGER

DEPUTY MANAGER

ASSISTANT MANAGER

PRINCIPAL OFFICER

SENIOR OFFICER

OFFICER

PROBATIONARY OFFICER

LINEAR ORGANOGRAM OF WOORI BANK, DHAKA BRANCH 9

Behavior at work (personality traits):

As like any other company Woori bank also follow a guideline for behavior at work and dress code. South Koreans are very professional in their work place .In Woori Bank management wants their employee to be professional, efficient and responsible. To acknowledge the new employee about the Banks Organizational culture and work environment and Job responsibility, every one has to go through an Orientation program after joining this bank. In this program new employees go through different department of the bank which enlightens them about the Organization culture of this bank. Some time Top Management share different experience, stories to new and existing employees.

In Woori Bank there is a special guideline for all the employees Customer comes first. As it is relatively small in their operation from other bank they want to provide their customer service with personal touch. For that they give special instruction to all their employees that whatever the situation is one should handle a customer with respect and give their best service.

Steps to Improve Organization Culture:


It can be said that many steps are taken to improve employees behavior and their way of thinking to fit in this banks Organization culture.

Top Management Behavior: The way top managers behave in the office premises and their way to handle their work pressure shows employees how to manage their work in a respectable way. Socialization: Different type of program like training, workshop take place in order to familiarize employees with organization culture. Also different type of social activities like picnic, relief work, sight seeing,Woori Bank night organized by management to give employees a comfortable zone to have fun outside their regular job in which they can communicate employees informally. Philosophy and Company Jargon: Top management also give knowledge about companys philosophy to employees and familiarize them with company jargon which was common to other branches in all over the world. This help employees to communicate and understand different requirements by Head office and other branches of Woori Bank. Employee Policy: As discussed before Woori bank higher and keep only those employees who will be perfect in their respective environment. Employees work legth in this bank taken as a vital role in assessing a employees work. They think a moderate employee having long service period is better than a top employee with short service period because moderate employee is more loyal to the bank who would not harm the bank.

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Conclusion:

Organizations like Woori Bank are the dominant cultural foundation of our times. Many of our daily activities are regulated by our Organizations and most adults spend the better part of their lives working in Organizations like Woori Bank. Given the widespread of organizational influence, there are many reasons to be concerned about how and why Organizations function. The value of organizational behavior is that it isolates important aspects of our daily interactions with people and offers specific perspectives on interrelation of the human context: people as Woori bank.

In conclusion all these lead to an ultimate goal of improved productivity; have people perform at full potential, and reward workers for performance. Environmental factors are increasing the need for effective leadership in todays Organizations like Woori Bank. In order to better motivate, guide, and direct employee teams, leaders require specific skills and expertise in behavioral studies to change their environment. At last it can be said that Organization culture at Woori bank is relatively strong and it helps employees to improve their productivity which not only help them but also keep a very vital role in Woori banks brighter future in Bangladesh.

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