Abstract This case study is about a 54 years old Phoenix branch manager of Stuart & co. named Philip Anderson. He is a hardworking, loyal, good manager and an ethical businessman. However, there are many problems that he has faced while working in that company as the objective and culture of the company has changed. The problems that arise in the case of Philip were whether he is right in allowing his clients’ financial goals to take precedence over his own family’s financial security, could he find another job and find an employer that share his philosophy if he resigned or should he just stay in the company? This report further explains some alternatives that can Philip choose as the best alternative to solve the problem which are stay or find another job or start his own business and the best alternative is to stay in the company.
IntroductionPhilip Anderson is the Phoenix branch manager of Stuart & Co, which is a superior brokerage company in US.
Philip is an experienced and talented manager in this industry especially in financial matters. Philip has started his career in the sales area right after he finished studying as an interior salesman for a cereal producer. He switched to the brokerage companies after about 2 years working as an interior salesman, because of the direct contact with customers and higher income that he can receive from the brokerage companies. It is already thirty years Philip has working at the brokerage industry and has been working in Stuart & co for 21 years. He is a hardworking, loyal, good manager and an ethical businessman. Philip was almost 54 years old and was the sole provider for his family. His wife is already retired a year before from her teaching job to take care of their three teenage sons. Although he likes working with his team and working as a manager.While working at the brokerage business, instead of meeting clients’ financial needs, Philip was just being paid to sell products and services. However, Stuart & Co. seemed to be different. As a professional brokerage company, Stuart & Co.’s primary objective is to obtain more profits. It has a good company mission. Its main strategy is to emphasize the development of long-term client relationships based upon rendering expert independent financial advice and its investment advisors were to be trusted councilors to their clients on all financial matters. However, things had changed since he joined the company. After the expansion of investment and analysis units, the company’s objective has changed to meet certain products sales targets to be incorporate into their annual sales budgets. When the culture and objective of the company changed, it created ethical dilemma to Philip and the employees. They risked the many long-term relationships with their clients that he has been worked so hard to develop. He felt that pursuing some of the new budget goals could result in future financial losses for some of their clients. Besides, Philip felt that it could result in the future financial losses for some of his clients, if they are pursuing some of the new budget goals. However, it may be dangerous to openly express those concerns to his boss. After the company’s objective has changed, they confused whether to focus on their client’s need or to focus on corporate target and they never achieved their company sales target. Even though his branch was one of the largest on the firm in terms of sales volume, net profit and clients, but his bonus was lagged behind the other managers at Stuart & Co. He felt that it was unfair to him in his current situation. Philip had many questions and doubt because he had faced many problems while working at Stuart & Co. He worries that if he fails to meet specific product sales targets that has been given to him. At the same time, Philip worry about his family because he was the sole provider for his family.ProblemBased on the case, Philip Anderson as the Phoenix branch manager of Stuart & Co, and his team failed to achieve the targets of the specific product sales on the sales budget. They have been failed to increase the insurance product offerings and mutual funds. Other than that, they also unsuccessful to achieve the level goals of equity issues syndicated or the underwritten by their parent firm and their overall balance of the margin account not rise on the target. The problem that Philip Anderson and his team are facing on is they fail to meet the specific target that given by his branch, although the margin account, the number of new client and overall branch revenue have been increase.According on the case, he confuse on his right weather he has to allow his clients’ financial goals to take the precedence over his own family’s financial security. It is because he had a responsibility for his own family, which he is a sole provider of his family since his wife have been retired, he had just recently bought a home in an exclusive neighbourhood of Scottsdale and he also have been buy a brand new red Corvette for himself to fulfilled a college dream. But, at the same time he has to meet the clients’ needs with the little regard for corporate targets.To consider the decision he have to make, he very concern if his action will be unreasonable, nave or impractical. It is because he thinks that his action will give a big impact or risk either to his family or his company. So, he think there must be another way that he can do or somewhere that a proper balance to solve his problem.Besides that, he has to think that if his action or decision is too ethical when his family’s future should be his primary concern. He as an ethical businessman confuse because he knows that he has to priories his responsibility on his job, but as a father or sole provider of his family, they also his primary concern. So, he has to consider on the various perspectives which call win-win situation that most important thing will give a good impact to the other group of people too.On the other side, he considers maybe it is time for him to find another employer, which he can share his philosophy if one existed in the brokerage industry. It is because he felt that the changes of specific product to be in-corporate into their sales budget had compromised his ability to deliver investment options that suited to his clients’ financial situations. But he knew that it will give a bad impact which it is very dangerous to openly express those concerns to his boss, which they maybe will have to face the future financial losses for some of his clients if he pursues some of the new budget. This situation makes him troubled the scandals in the industry that object them the low level employees as the criminal prosecution. After considering all the situation that he have been facing, he thinks that if he resign from his company on his age now, either he able to find another good job or not. It is because so many young managers out there that might be competes him on getting the job that he wants to be. From the case, prove that he is an experience employee in the brokerage industry and with Stuart & Co. But, the jobs he wants to apply maybe consider on the age of new employee and based on the financial of the company can pay to their worker.Moreover, he thinks that if he can even bother the situation that he and his team are facing on, because their job is only to develop and nurture profitable relationship with as many clients as possible and the specific products and services that sold to the clients which it should be dictated by the clients’ needs. If they do the compromised over than their ability, Philip may bring himself to push his team to adhere to the firm directives, which that can give a negative impact to his total compensation that happen in the last few years.Then, he has been consider giving his job to some of younger manager to champion the cause of service to clients and continue the battle, since he had done his part based on his job requirements. He thinks that the younger manager maybe has a fresh or new idea how to face this situation, although he is an experience person on that job.To conclude, Philip Anderson has to consider on several perspectives before he has to make an important decision. The problem that he facing on is either he has to consider his family or company or he can to make the win-win situation that can give a good impact of those two groups. Other than that, he also facing on the problem about he and his team only have to fulfil the requirement job on only the clients’ needs or they have to do what their boss ask them to do. Lastly, he confuse that either he give the younger manager his job, but he concern about himself too because he think that it will be difficult to find another good job on his age.