The case looks at the leadership, governance, board, strategy and other issues that led up to the downfall of Deutsche Bank. It discusses the ideological shift from stakeholder value harmonization to strong shareholder value maximization, which led to a cultural change from valuing reliability, transparency, fairness, solidarity and justice to valuing quick returns that endangered the bank’s future. The changes had a fundamental impact on board dynamics, organizational structure, strategy, risk, compliance, compensation and relationship with key stakeholders. The case looks at various questions such as: What is the purpose of a corporation? What makes a company viable in the long term? How does an ethical board set the purpose of the company? How should a board pick the right leadership? What makes a great leader? How does a leader’s character influence organizational actions? How can toxic leaders walk away with impunity from the damages they cause and go and work elsewhere? How to define shareholder value? What are the pitfalls of shareholder value maximization? What could be the alternatives of shareholder value maximization?
The case aims to teach participants the fundamental aspects of corporate governance:
The ultimate purpose of business
Conflicting interests between stakeholders
The crucial functions of ethical boards
The impact of corporate cultures, leadership succession, and more..
2nd Floor, Toranomon Jitsugyokaikan, 1-1-20 Toranomon, Minato-ku, Tokyo 105-0001 Japan Tel +81 3 3503 6621 Fax +81 3 3501 0550 Email [email protected]
IMD retains all proprietary interests in its case studies and notes. Without prior written permission, IMD cases and notes may not be reproduced, used, translated, included in books or other publications, distributed in any form or by any means, stored in a database or in other retrieval systems. For additional copyright information, please contact IMD's Information Center Copyrights Services.
IMD is a top-ranked business school. According to the Financial Times, IMD ranks first in executive education and in open programs worldwide. We are the experts in developing global leaders through high-impact executive education. IMD provides leadership training such as: Executive MBA (EMBA), Business Development, Executive Coaching, Finance Courses and many more. To find articles related to executive education, please visit one of the following top searches: