Module Two Reaction Paper

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Southern New Hampshire University *

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MBA 699

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Psychology

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Feb 20, 2024

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2-2 Module Two: The Peoples Bank of Bradbury PSY-614 Psychology of Leadership Southern New Hampshire University Ariana Carter Professor Irina Zlatogorova

In 2001, Henry Kepple as the president of the People Bank of Bradbury. He originally came from a large nationally known banking system and as the former president he was very successful. When Henry Kepple first began at the bank there were many issue that he noticed throughout. He came to learn that the bank was facing large financial troubles, as well as the customers of the bank were not happy, the bills were not being paid, and the employees were not being paid correctly. The bank was struggling to meet the payroll. Before Kepple was hired he was under the impression that the board members were in alignment and in agreement with the changes that he wanted to make but come to find out they were not in agreement with his plan to grow the bank. Despite the challenge Henery Kepple still accepted the leadership position and many of the board members began to leave with the end result being Five board members who were in alignment with Henry Kepples vision. Over time, the banks number of accounts increased tremendously and it was proven that the new customer service initiative was successful. Henry presents a authoritarian, take-charge leadership style. Henry Kepple had a mixture of authoritarian and democratic leadership style as he does take charge with no questions asked but still makes efforts to value the input of his employees. Leaders with styles like Henry's may be hired to end differences of opinions, address specific problems, or present a strong front for the company. Henry Kepple was not very liked but was credited for the success of the bank. Henry even got to the point, 5 years later that he had a board of directors that was fully standing behind him and his vision. Because of his success and with the approval of the board henry was able to open branch locations in three countries. At this point, problems started to emerge. Because Mr. Kepple did not believe in micromanagement, his leadership team was responsible with seeing that his vision was carried out. Another problem was that Mr. Kepple intended to resign from his position, but the board encouraged him not to

because they did not believe they could find another leader who could be as effective as him. Because of this reason, he did not resign. Encouraging employees to step up and take the lead as delegation of power and the breaking up of critical roles and processes will be important as the current leadership cannot be there forever. The organization should be examining and implementing long-term solutions such as training policies and standards. An internal survey designed to gauge employee happiness, contentment, and potential could also act as a tool to use for what needs to change. Based on this information the hiring of a new leader, one with a different leadership style that works better with a customer-facing organization, will be important. Cultural change is led from the top down, and finding a person with the knowledge, skills, and ability to come in and make major changes will be a crucial step towards long-term organizational growth. Many of the employees wanted to criticize Kepples leadership style while he was still president of the company, but they kept silent while the bank grew. “Because narcissists are fundamentally driven by their own self - interest, lack empathy, and are less constrained by ethical standards, they can cause tremendous harm once in power and can even put the organizations they lead at risk” (( How Narcissistic Leaders Destroy From Within , 2023). Last but not least, the vice president of the bank was accused of fraud, the bank was fined millions of dollars, and the board fired Mr. Kepple a year later in the hopes that their problems would be resolved. Henry did not know of the fraud being committed because he took a hands-off approach and did not micromanage his employees. Being a intimate leader and regularly checking in with his vice president and managers would have been one way to address this problem. This led to the bank's closure. Despite the bank's original success, Mr. Kepple's management approach caused it to get out of control and shut down within a few years. Henry

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Kepple's leadership style was narcissistic and could have been different had the employees spoke out against his leadership style and were not moving in fear.

References How Narcissistic Leaders Destroy from Within . (2023, December 15). Stanford Graduate School of Business. https://www.gsb.stanford.edu/insights/how-narcissistic-leaders-destroy- within

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