INDIVIDUAL AND GROUP DYNAMICS

Managing Diversity at Cityside Financial Services

Submission (9) by C8

Aashish Gupta – 1911002

Akashdeep Katiyar – 1911014
B. V. N. Meghana – 1911052
Lakshmi Narayana – 1911128
Udit Airen - 1911278
 City Side Financial Services – The History
• 1930- Founded, bank serving Predominantly white, Upper Middle Class
people
1930-1970
• 1970- People moved out to suburbs, Business closed, Bank put up for
sale, Purchased by a racially diverse group, included Ron Wilkins

• Two Pronged Strategy – Reinvesting into neighbourhood businesses,

housing development, Attracting investments from wealthier clients
nation wide
1970-1999
• Retail operations (Personal Savings, Small Business Loans, home and real
estate mortgages) External deposits (Portfolios, IRAs, CDs)

• Servicing 100s of clients under, External deposits, contributing to 52% of

Early 2000s
the total deposits
 Initial Success of Cityside
• Striving for diversity in workforce keeping in mind the client demographic i.e., more
working class African American families moving into the neighbourhood, and increasing
number of women’s personal accounts
• Female employees – Increased to almost half of the employees
African-American Employees - 53% of Middle Managers
- 42% of Senior Managers
- 25% of Executives
- 90% of Cityside’s support staff
• Equal numbers of Managerial positions for Blacks and Whites
• Retail operations – Mostly black and External Deposits – Mostly Whites
 Mid 2004 – The Schism
Black people – Suitable for Retail
operations
White people – Suitable for
External Deposits
Other Issues :-
• Lack of proper, timely Communication
and Feedback mechanism with their
customers
• No communication and coordination
within the organization, among the
two departments
• Races were being used as a tool for the
promotion of the bank
• Stereotyping, about what works
each race can do better than the other
Theories that can be Implied
 What can they do ?
• Delegating jobs based on their capabilities rather than delegating jobs on
basis of their race