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Management Communication Level 5 Unit Tutor: Dominic Walters Collective Bank Report Ioana Ruxandra Mindruta Public relations and communication Southampton Solent University

Women's motivation in banking

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A report which aims to investigate the reasons why women in banking are not motivated enough to apply for higher positions in management

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Page 1: Women's motivation in banking

Management Communication

Level 5

Unit Tutor: Dominic Walters

Collective Bank

Report

Ioana Ruxandra Mindruta

Public relations and communication

Southampton Solent University

Page 2: Women's motivation in banking

Abstract

This report aims to investigate different ways of motivating female employees to apply for

higher positions in management, inside the Collective Bank, which faces a tough time be-

cause of the low number of women working as senior managers. A variety of theories are

going to be explored, primary research is to be analysed and finally, the most appropriate

solutions for improvement and development are going to be suggested, regarding profes-

sional preparation, flexible working hours, mentoring, feedback, empowering employees,

goal setting or financial rewards.

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Page 3: Women's motivation in banking

Contents

Introduction.......................................................................................................................4

Terms of reference............................................................................................................5

Literature review................................................................................................................6

Methodology......................................................................................................................9

Results............................................................................................................................10

Discussions.....................................................................................................................13

Conclusions.....................................................................................................................16

Recommendations..........................................................................................................17

References......................................................................................................................18

Appendix.........................................................................................................................19

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Introduction

The Collective Bank, a medium sized retail bank widely known for its services throughout

UK, differentiates itself from the other banks by the fact that it puts ethical trading practices

and investments at the core of its activities. Its Corporate Social Responsibility policy em-

phasised on equality of opportunity, fair and ethical trading and promotion diversity. How-

ever, in contradiction to all these values, it has emerged that the Collective Bank does not

have enough female employees in senior management.

The purpose of this report is to examine the problems that prevent women from putting

themselves forward for a higher position in management in the Collective Bank and to de-

vise an effective communication plan which will suggest various strategies to help increase

motivation among female employees. Issues regarding motivation will be widely explored

as, according to Vroom & Deci: “The problem of how to motivate employees has puzzled

and frustrated managers for generations. One reason the problem has seemed difficult, if

not mysterious, is that motivation ultimately comes from within the individual and therefore

cannot be observed directly” (1992, 198).

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Page 5: Women's motivation in banking

Terms of reference

This report aims:

•To review existing thinking regarding women working in banking

•To analyse the primary market research that will lead to an effective communication plan

•To explore the reasons why women do not apply for senior management positions in the

Collective Bank

•To critically examine the possible strategies that could encourage women to aim for higher

positions

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Literature review

The management role

Manager-watching studies have revealed that, on average, managers “they spend over

60 per cent of their working time in scheduled and unscheduled meetings with others,

about 25 per cent doing desk-based work, some 7 per cent on the telephone and 3 per

cent walking the job” (Hargie, Dickson & Tourish, 2004:1). Furthermore, Vroom& Deci claim

that an ideal definition of a good manager should include characteristics such as ‘ providing

support for its subordinates and rewarding them according to their work performance,

keeping them informed, fostering a strong sense of team spirit and making them feel proud

to belong to that specific company’ (1992).

Above all these skills, managers at all levels engage in four main types of activity: planning

(‘decisions, setting objectives and targets, creating strategies and action plans’); organising

(‘co-ordination, allocation of tasks’); leading (‘motivation, allocating rewards and sanctions,

maintaining a good working environment’); evaluating ( ‘measuring work performance, set

targets, implement corrective action, devise new plans’)- Hargie, Dickson & Tourish, 2004

Motivation

Valas and Sletta pointed out that “the motivation of subordinates is probably the biggest

challenge for managers”(1999:20). Motivation can be extrinsic (meaning everything that

comes from the outside: rewards, promotion, bonuses) or intrinsic (inside the person, its

own feelings, expectations and attitudes towards work. Previous research has shown that

“intrinsic motivation is encouraged by managers who take an interest in employees and

who listen to their ideas and concerns”.(Hargie, Dickson& Tourish, 2004:20)

Judging critically, which could be the most effective tool for motivating employees? The

researchers writing about this issue have different perspectives and ideas, and come up

with different solutions. On one hand, Vroom & Deci believe in goal setting and sees it as

“a simple, straightforward, and highly effective technique for motivating employee perform-

ance”. (1992:205). On the other hand, Hargie, Dickson& Tourish (2004) discuss factors

‘which were considered to be most de-motivating, such as lack of communication from

managers, no interaction, lack of information coming from their employers and a general

lack of feedback’. Another view on this issue belongs to Smith, who emphasises on the

importance of feedback, and underlines all its positive out comings: ‘it allows employees

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to acknowledge their strengths but also the areas they should work more on, it contributes

to people’s self-awareness, it tells them about their personal development and the progress

they are making towards achieving their personal aims’. (2000)

Apart from widely known academics, surveys contribute significantly to the general findings

regarding motivation. The UK@work report (2003) revealed that, in order to keep the staff

satisfied and ready to work, the following aspects of work should be in place: “safety and

security (continuity of employment); reward (suitably paid); affiliation (with pleasant col-

leagues); growth (personal development and developing organisations); work/life balance

(with time to lead a personal life)” (Weightman:2004:158)

Gender issues

All the factors that contributed to gender segregation, in Britain, originate from the nine-

teenth century and include: ‘some jobs were designated as “women’s work” and they were

paid less, in order to fulfil the need of some employers who wanted cheap labour; women’s

domestic responsibilities; men’s will to save the best jobs for themselves; the division of

jobs in two categories: suitable for men and appropriate for women; and workers’ prefer-

ences for working in groups with persons of the same sex (Bradley, 1989).

Specifically analysing, the higher percentage of men in better paid posts can be traced

back to ‘to the old two-tier system in banking, in which men used to study more and be

preoccupied of an academic lifestyle, while women acted as a “white-collar proletariat” fill-

ing subsidiary positions with no chances of promotion (Crompton and Jones, 1984).

Gherardi (1996) creates an indestructible barrier between male and women by claiming

that ‘women who work in a field which had always been categorised as manly, are no more

that outsiders entering an alien culture. Gherardi’s vision is further supported by Marshall

(1984), who uses a different phrase for stressing the same issue, describing women as

“travellers in a male world”.

‘Women have been regarded as less suitable managers because they lack “male” qualities’

(Marshall,1995). However, according to Powell “being a good manager is less about com-

petitiveness, aggression, and task orientation and more about good communication,

coaching and people skills, and being intuitive and flexible, all more typically or at least

stereotypically associated with women”. (1999:41)

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Critically examining all the gender differences in career paths, the disparity between men

and women has most frequently been attributed to the glass ceiling, ‘which restricts women

from attaining the highest positions in corporations, compared with men with similar back-

grounds and education (Brett & Stroh, 1997). Explanations for the glass ceiling reference

‘career interruptions (women have more than men) or industry differences (men are more

likely than women to be promoted to executive positions in manufacturing companies)’

(Powell:1999:310)

In addition, Bartol (1978) suggested that filtering points at different career stages keep

women from progressing up organisational hierarchies. For example, women may be fil-

tered out of managerial careers at the pre-organisational-entry stage by socialisation for

traditional female roles, at the organisational-entry stage by selection discrimination, at

the first-assignment stage by unchallenging work assignments, and at the promotion of

levelling-off stage by promotion discrimination.

Motherhood

One of the most debated factors that might prevent women from putting themselves for-

ward for senior management positions is motherhood. According to Halford, Savage& Witz,

”the incompatibility of motherhood being combined with a ‘career’ orientation showed little

sign of being challenged. The only significant change is the fact that a number of mothers

now do come back to the bank in part-time capacities, and later as full timers, and are

keen to resume their employment, and no one has any desire to be promoted into a senior

post” (1997:204)

An interesting view on the issue is further explored by Mills (1989), who argues that: “Do-

mestic location and biological reproductive capacity are reference points that are constantly

drawn upon to restrict/throw doubts on women’s ability to be organisationally effective”

(1989:35). Due to the fact that women are the childbearing sex, they ‘are assumed to carry

potential problems with them, either because pregnancy may be a possibility or because

dependent children may make incompatible demands’ (1997:213)

All the different views on theory discussed in this literature review represent the foundation

on which all the ideas and suggestions will be implemented in order to achieve a highly

effective communication plan.

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Methodology

In the preparation stage, there was established an overall view over the issue, general in-

formation gathered from discussions with peers, television, internet, followed by some per-

sonal reflections which helped building a personal view over the development of the report.

The second stage, primary market research, was conducted by producing questionnaires,

which were shared among the Barclays Bank’s employees (5 women aged between 27-

52).This facilitated a deeper understanding and lead to the third phase, the analysis which

consisted of an attempt to apply theory on facts regarding employee motivation and to

suggest some appropriate solutions for increasing the number of females to consider a

career in senior management.

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Results

The questionnaire completed by 5 females working in the banking sector, aged 27-52 has

revealed that:

The management role

•The main factors that would prevent women-

from applying for senior management posi-

tions are: they do not feel prepared enough

from a professional point of view (40%) and

the fact that family is more important to them

and a higher position could diminish the time

they spend with the beloved ones.20% of the

them claimed that stressful work conditions is

also a barrier.

•Regarding the awareness of the careers

available in the banking sector and the higher

positions they could apply for in the near fu-

ture, the percentages were split in the follow-

ing way: 50% outlined that they have no

information in this field, 30% have a vague

idea, while only 20% were actually aware of

their possibilities of promotion.

•When asked if they see themselves having a

senior management role in the sector they are

working in, the majority of women (40%) were

undecided and they answered with “I do not

know”; in addition, there was an equal per-

centage between those who said “Yes” and

those who answered negatively (30%).

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Motivation

•In terms of motivation strategies, free training

provided by the company seems to be the

most effective solution, as it was chosen by

40% of the participants. This is followed by:

better pay (20%), flexible working hours (20%)

and part-time working (20%).

Gender issues

•The last question was about their opinion re-

garding the existence of any

discriminations/differences between the way

men and women are treated/rewarded/pro-

moted. An overwhelming 60% did not have any

knowledge about this issue which proves that

they had never encountered such a situation,

30% firmly answered with “No”, while only 10%

believe that discrimination between sexes ac-

tually exists in the working environment.

Motherhood

•In order to observe their priority in life, all the

female employees were asked about what is

the most important thing for them: 50% empha-

sised that both family and career are equally

important, showing that they are looking for a

well-balanced lifestyle, 30% opted for family

and only 20% proved to be keenly focused on

career.

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•Most of the female employees (60%) claimed

that they do not know whether motherhood is

compatible with a successful career in bank-

ing or not, as they have not got any children

yet. Furthermore, 20% answered with “Yes”,

while the same percentage was achieved by

the number of employees who said “No”.

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Discussion

After analysing the results obtained through the questionnaires, a strategy plan is going to

be devised in order to help The Collective Bank motivate its female employees to put them-

selves forward for senior management positions. The initial tactic was to recruit more

women from a diverse range of backgrounds, having the necessary skills to apply for higher

positions in the company. Furthermore, this first step will be supported by several additional

suggestions, ideas and pieces of advice, which are going to help the Collective Bank

achieve its goal.

To begin with, as 40% of the interviewed women claimed that they do not feel prepared

enough from a professional point of view, the first suggestion would be that the Collective

Bank should provide free trainings inside the company, to make the female employees feel

more capable and confident in their own strengths.

As the same proportion of women (40%) feel that they do not want to leave their families

in order to spend more time working, the company is advised make all the necessary

arrangements so that all female employees will be able to work part time or have the

chance to work from home. Theory also confirms the validity of this initiative: ‘Virtual or-

ganisations (working from home) will provide greater flexibility for combining work and fam-

ily, and have a liberating effect for men as well as women, allowing more time for family’

(Dooley,1996).This change could have several benefits including: increased employee mo-

tivation and less women leaving their job after giving birth.

Considering the fact that 20% of the interviewed women claimed that a better pay would

motivate them, maybe the corporation should consider the benefits of several rewards and

bonuses being put forward. It is also very important to create a balance between the

amount of work an individual produces and what he/she gets back. People may get de-

motivated by receiving too much/ not enough in comparison to their efforts.

Furthermore, if a company wants to increase its number of employees applying for higher

positions, what should it do first? Well, there is a simple and effective rule: provide your fe-

male employees with all the information they need (what positions are available, what skills

are required, which are the benefits) and make them feel a part of the organisation. The-

oretically supporting this suggestion, Hargie, Dickson& Tourish (2004) claim that ‘lack of

communication from managers, no interaction, lack of information coming from their em-

ployers and a general lack of feedback’ are the main reasons why employees feel de-mo-

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tivated’.

The primary research conducted in this report revealed the shocking fact that 50% of the

interviewed people had no idea about their possibilities of promotion. So, in this case, how

could they ever apply for senior management if the company was not communicating prop-

erly with them?

An efficient way to motivate employees is to treat them fairly and in the same way. 10% of

the female participants claimed they believe there are some differences between the way

male and female are rewarded or promoted. Even though this is a small percentage, it is

absolutely vital to always be aware of what your employees are thinking. This is why an-

other solution for improvement is providing feedback sessions which should be face to

face; start using feedback as a way of communicating both good and bad things, not only

areas of improvement.

To feel motivated, people need to know that they are on the right way. One of the biggest

advantages of these feedback sessions, would be the chance to actually listen to the em-

ployee, finding out her problems and difficulties and trying to solve them. Furthermore, by

listening to the employee you can also help grow her intrinsic motivation as Hargie, Dick-

son& Tourish (2004:20) suggest that “intrinsic motivation is encouraged by managers who

take an interest in employees and who listen to their ideas and concerns”.

In addition, 50% of the participants disclosed that family and career are both equally im-

portant for them. But what can be harder to achieve than keeping both your spouse/children

and your employer happy? As this can become tough and stressful, one key strategy for

the Collective Bank is to employ mentors, with experience in the psychology field, who

should always be there and help women overcome the obstacles and difficulties they face.

This initiative will be extremely beneficial, as women might see in a mentor a close friend

(who is not related to her job, it is not her boss or manager), so they could be completely

transparent and would benefit from receiving valuable pieces of advice. This idea is also

supported by Powell (1999), who says that: “Mentors significantly contribute to their pro-

tégés career success and satisfaction” (338).

As Vroom & Deci believe in goal setting and see it as “a simple, straightforward, and highly

effective technique for motivating employee performance” (1992:205), another appropriate

suggestion would be use it as a tactic for motivating women. Employers should give them

clear, challenging but achievable goals, to make them feel that their work is valued and it

actually counts for something.

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Empowering people, “encouraging them to become more involved in the decisions and

activities that affect their jobs” (Smith:2000:1) is a good idea because, if applying it, women

could become more conscious of their working environment, they could develop a deeper

sense of belonging to the Collective Bank and therefore they would become more involved

in decision-making.

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Conclusions

To conclude, this report aimed to identify the obstacles that women face when deciding on

whether to apply or not for a higher position in senior management, inside the Collective

Bank and to explore the possible solutions and strategies in order to determine female

employees to take action and actually and put themselves forward for those positions.

Different perspectives on theory regarding management & motivation, motherhood or gen-

der issues management, coming from experienced writers such as Powell, Mills, Bartol,

Vroom or Deci helped shaping an overall view over the strategy. Their views also con-

tributed to the actual suggestions of improvement, fact that adds value and proves that

the communication strategy has significant chances of being successful.

The actual measurement and evaluation process should be conducted 3 months after im-

plementing these changes. The main channel for evaluation is going to be the actual num-

ber of female employees applying for a higher position. If a significant increase will be

noticed, this will surely prove that the strategy plan was extremely adequate and led to a

successful outcome. In order to be able to adjust or change some of the measures taken,

The Collective Bank should permanently communicate with its female employees, asking

for feedback on how they have perceived all these changes.

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Recommendations

The communication strategy plan, designed to motivate women to put themselves forward

for position in senior management inside the Collective Bank, consisted of the following

main suggestions and ideas:

•The Collective Bank should provide free management trainings

•All female employees should be entitled to maternity leave and career breaks and they

ought to have the chance to return at work at a level commensurate with their leaving

grade

•Make part-time arrangements

•Provide bonuses and financial rewards

•Arrange face-to-face feedback sessions

•Keep all the employees informed at all times

•Employ mentors

•Empower employees, give them the chance to make decisions

•Motivate them through goal setting

•Treat employees in the same way

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References

Bradley, H., 1999, Gender & Power in the workplace, Basingstoke: Macmillan Press LTD

Hargie, O& Dickson, D.& Tourish, D., 2004, Communication Skills for Effective Manage-

ment, New York: Palgrave Macmillan

Halford, S. & Savage, M., Witz, A., 1997, Gender, Careers and Organisations, London:

Macmillan Press

Powell, G., 1999, Handbook of Gender & Work, London: Sage Publications

Smith, J., 2000, Empowering People, London: Kogan Page Limited

Vroom, V.& Deci, E., 1992, Management and Motivation, Selected Readings, London: The

Penguin Group

Weightman, J., 2004, Managing people, London: Chartered Institute of Personnel and De-

velopment

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Appendix

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Q u e s t i o n n a i r eQ u e s t i o n n a i r e

Age:

Years of experience in the banking sector:

1. What factor would determine you not to consider a career in senior management?

A. Too much work/ stressful work conditions

B. You are not prepared enough from a professional point of view

C. Family is more important

D. The environment you work in does not encourage you to do that

2. What would motivate you to apply for a better position inside the company you work for?

A. Better pay

B. Flexible working hours

C. Free training provided

D. Working part-time

E. Being helped in family issues management

3. Do you think that motherhood is compatible with a successful career in banking?

A. Yes

B. No

C. I don’t know

4. Are you aware of the careers available in the banking sector and the higher positions you

could apply for in the near future?

A. Yes

B. No

C. I have a vague idea

5. Do you see yourself having a senior management role in the sector you are working in?

A. Yes

B. No

C. I do not know

6. What is more important to you?

A. Family

B. Career

C. Both equally

7. Do you believe that in the sector you work in, banking, are there any discriminations/ dif-

ferences between the way men and women are treated/rewarded/promoted?

A. Yes

B. No

C. I do not know

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