Barclays Case Study Essay Example | Topics and Well Written Essays - 2250 words

Barclays Case Study - Essay Example A number of change management theories help explain this shift in the image of the bank. The theory of open systems forms a good starting point. A corporation such as Barclays constitutes a system. Like any other system, the corporation is made of several components that function together as a unit(Kettinger & Grover, 1995). These components take the form of the internal and the external environments. The internal environment refers to those factors that affect the corporation and over which the corporation has considerable control. These factors include the employees of the corporation. The external environment, by contrast, refers to those factors that are external to the corporation in the sense that the corporation has little or no control over them even though they still affect the daily operation of the organization. These include competition and government regulation. An open system is one that exchanges feedback with its external environment on a regular basis. Given that the organization has limited or no control over the external environment, a healthy open system adjusts the internal factors as needed in order to realize the goals of the entire system(Tam, 1999). Several aspects are necessary for a functional open system. These include the external environment, boundaries and equifinality. Of the external environment, government regulation is arguably one of the most important factors in the case of Barclays given that, the world over, governments regulate the banking industry heavily. Every system has boundaries even though these can be difficult to delimit. An open system should have a porous boundary that allows the exchange of information. In the case of Barclays, it is possible that the bank has deliberately made it difficult for the regulator to access information on their activities, thereby creating a conducive environment for busines s malpractice to thrive. The concept of