Abstract

ABC has commissioned a consultant to create an eventually self-sustaining leadership development program. This paper will also conduct an analysis of a consulting contract for ABC Bank as well as a discussion regarding topics and questions before beginning the project. Lastly, there will be a list of best practice techniques that can be used to build a foundation of trust between the consultant and the client ABC Bank.

Entry and Contracting Analysis of the Sample Consulting Contract

After reading through the ABC contract, there are some areas of clarification I believe should be addressed. I think the issue that stands out the most to me is the question of participation. There is a leadership issue stemming from the top of the hierarchy, however, the consultant within the “Needs from the Client” section of the contract states that management “has agreed to position participation in this project valuable but voluntary” (Capella University, 2023).

If Bob and Pam believe that the whole organization requires a leadership development program, why would this need to be sold as voluntary by the consultant? This also begs the question of how the business objectives within the contract can be met if there are clear compliance issues that need to be addressed. Recently, a manager was fired for poor ethical behavior which sent ripples through the organization. What stands out to me here is the lack of mention of ethics training to prevent what happened with the previous manager regarding the ethics violations.

Topics to Discuss Before the Completion of the Contract Drafting

Mentioning again the part of the contract that mentions that this process is voluntary, the concern I have is the lack of language where it shows the executive team themselves being required to participate in the training; they require it from my observations from the executive team meeting. Within this meeting among executive leadership, there were a few comments and exchanges between the leaders that were alarming; this can become a hindrance to the project if the executive leaders are against it before it even begins. With that said, the first point of clarification I am looking for that I do not see within the contract is this:

Entry and Contracting Will executive leadership be required to first participate in the training so they can understand what it is they are expected to teach the leaders in the organization?

PSY FPX 6730 Assessment 1 Entry and Contracting: Analysis of ABC Bank

My next question involves shades of workplace discriminatory behavior that I have witnessed during the executive team meeting. For context, del Carmen Triana et al. (2019, p. 2424) tell us that “perceived workplace gender discrimination will negatively relate to work outcomes that are advantageous for an employee’s success in the organization.” Understanding this, during the team meeting, Bertha, the manager of compliance mentioned that her team has the plan to implement new regulations but will require a more direct relationship with Paul, the manager of the senior lending division, and his staff. Paul proceeds to diminish Bertha’s comment and “jokes that Bertha is being pushy” while the room began to laugh while Bertha was not amused (Capella University, 2023).

Observing this, one would wonder if diversity training would need to be a part of this upcoming training. To understand the importance of diversity training, and its content, Fujimoto and Härtel (2017, p. 1123) state that “current training programs include training on employees understanding to make use of different perspectives, acquiring cultural competence, knowledge, and communication skills, and diversity specific training (e.g., sexual orientation awareness, gender, disability) as well as knowledge of Equal Employment Opportunity laws and other legislation.” With the previously mentioned situation in mind, some other questions I believe are important to the successful completion of this project.

Entry and Contracting

• Will there be a workplace discrimination training element included in the leadership development project?
• Will there be a compliance training element woven into the leadership development program?
• Will there be a diversity training element included in the leadership development program?

Best Practices for Building Trust While Constructing a Sample Contract

Consultants cannot be successful without building trust with their clients that lasts from the onset to the end of the project and beyond. By forging these bonds of trust can both parties walk away with a complete, proven, and repeatable process, and on the consultant’s side, the potential to be given other projects as well as referrals for more work. It is with it to find best practices on how these channels of trust can be built. This section will explain some of these best practices that can be used to foster trust between client and consultant.

An article by Nikolova and Möllering (2015, p. 233) gives readers the result of a study that articulates “the creation of trust is constituted by three social practices.” To place “trust” into a relative context, Nikolova and Möllering (2015, p. 233) define this as “a psychological state comprising the intention to accept vulnerability based upon positive expectations of the intentions or behavior of another.” These practices regarding the building of trust between client and consultant are as follows:

PSY FPX 6730 Assessment 1 Entry and Contracting: Analysis of ABC Bank

• “Signaling ability and integrity” (2015, p. 233).
• “Demonstrating benevolence” (2015, p. 233).
• “Establishing an emotional connection” (2015, p. 233).

The article goes further to explain how these practices recognize “not just the client’s detached perception but the co-creation of cognitive and affective trust basis for the relationship” (2015, p. 233). Expanding on the above, demonstrating vulnerability on both sides also strengthens these necessary trust bonds. Reinforcing its importance, Nikolova and Möllering (2015, p. 233) also explain further involving vulnerability that a model was developed using “three main antecedents of perceived trustworthiness that enable trust — ability, benevolence and integrity (ABI).” The ABI model unfortunately does not incorporate how trust sometimes requires a leap of faith, but these tenets are a good starting point between both parties to develop long-lasting trust.

Conclusion

The ABC Bank understands that for it to traverse its internal hurdles, it will require some leadership development initiatives among other forms of training. As the bank believes it has reached a crossroads with all that it is facing, the commissioning of an external consultant by Bob the CEO, and Pam the Human Resources Director is vital to the long-term health of the bank. Despite some apprehension and opinions from some of the other executive leadership, I believe the consultant will prevail here.

It seems that no one wants to suffer the same fate as Jerry the previous manager for dodging compliance and demonstrating poor leadership. This is another reason why this program should not be voluntary but mandatory for all leaders on all levels. Hopefully, ABC Bank will benefit from a self-sustaining and repeating leadership development program that leaves room for evolution as the people and business begins to change.

References

Capella University. (2023). ABC Bank Case Study. https://courseroomc.capella.edu/bbcswebdav/institution/PSY-FPX/PSYFPX6730/230100/Course_Files/cf_abc_bank_case_study.pdf

Del Carmen Triana, M., Jayasinghe, M., Pieper, J.R., Delgado, D.M., & Li, M. (2019). Perceived workplace gender discrimination and employee consequences: A meta-analysis and complementary studies considering country context. Journal of Management. 45(6), 2419-2447.

Fujimoto, Y., & EJ Härtel, C., (2017

). Organizational diversity learning framework: going beyond diversity training programs. Personnel Review, 46(6), 1120-1141. https://doi.org/10.1108/PR-09-2015-0254

PSY FPX 6730 Assessment 1 Entry and Contracting: Analysis of ABC Bank

Nikolova, N., & Möllering, G., (2015). Trusting as a ‘leap of faith’: Trust-building practices in client-consultant relationships. Scandinavian Journal of Management. 31(2), 232-245.