Business management Essay Example | Topics and Well Written Essays - 750 words

Business management - Essay Example The implication of this approach and changes made on the part of RBS are also provided. Keywords: Royal Bank of Scotland, changes, complexities, leadership, success Table of Content Page Executive Summary 2 Introduction 4 RBS Approach 4 Evaluating RBS success with emancipated changes 5 Conclusion 5 References 6 Introduction The Royal Bank of Scotland (RBS) leads in providing financial services in Europe since 1727. With that, it has pioneered major leading moves to sustain its competitive advantage in its industry. The bank for such a long period of time has managed complexities, but recently it also needs to cope with change. This means the bank needs not only to develop elemental management approaches, but including leadership innovations in its industry to ensure emancipation of change. As part of its ability to take the lead in its industry, there were various essential moves RBS attempted to initiate in order to promote high level of achievement for its set goals and in order to achieve the required change for it to be able to be on top in its industry. Therefore there is no other definite move that RBS should demonstrate than to ensure emancipation of change as it tries to formulate actual effort to address the changing needs in the industry for financial services. After all, to ensure high level of leadership, coping with change is necessary (Kotter, 1998). No one could contest the fact that major organizations providing financial services have to initiate change, and not doing so would only lead to their detriment in the future. The RBS has undertaken a series of changes in recent years. In this report, the proponent tries to describe the approach that the bank has taken to manage change. The proponent also assesses the success of these changes. Part of this report is an explanation on why RBS finally made the kind of approach it has undertaken recently. RBS Approach As a leading financial service provider, RBS does not only ensure the achievement of hi gher revenue for its offered services, but above everything, profitability. To guarantee certain level of profitability, there were important trends RBS initiated for years. These include the following: Differentiated offerings through diversified customer segments. High level in coping with change and complexities through creation of management roles and organizational structures. Strong support for the human resource. Quick adoption to external changes. Market segmentation strategy is made possible through segmenting customers into retail, commercial and corporate. The good thing about this strategy is to make sure of maximizing opportunity for RBS by providing to various needs of its target customers to end up with sustainable operation. As a result, RBS has finally succeeded today in providing personal, private, business and corporate banking experience for diverse customer segments particularly in the UK, leading to a programme of raising capital around ?20 billion in 2008 (The Royal Bank of Scotland, 2012). RBS is also known for its ability to create management roles and organization structures. In fact, it has become one major component of its expansion. RBS was remarkable in its acquisition strategy especially in the nineteenth and twentieth century (House of Commons Treasury Committee, 2009, p.18). By then, RBS was already renowned a â€Å"a leading banking partner to major corporations and financial institutions around the world, providing an extensive range of