Diversity and Inclusion Issue and SLEPT Analysis on Bank of America

LED 560 Case 2
Student Name
Institutional Affiliation
Date
LED 560 Case 2
Introduction
This memo focuses on Bank of America, a banking and financial industry business. It seeks to demonstrate how the bank can ensure the inclusion of the black workforce. The memo starts by providing an overview of the bank. It then proceeds to analyze the diversity and inclusion issue of blacks. It highlights the current strategies the business has made toward diversity and inclusion. A SLEPT analysis is done to determine the threats and opportunities for the bank concerning the topic. Moreover, alternative strategies and their outcomes are discussed. Lastly, recommendations are made regarding the changes in procedures needed to implement the suggested alternative.
Organization Overview
Provide the name
Bank of America
Show the website address of your chosen organization.
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Describe the industry.
Banking
Provide examples of the services of products.
The bank offers checking, savings, credit cards, lending, and investing.
Describe current market position and financial position.
As of December 31, 2021, the market capitalization of the Bank of America was $359.38 billion, making it the second-largest bank after JPMorgan Chase. Between 2009 and 2021, the bank saw an increase in net income to about $31.98 billion in 2021 (Statista, 2022).
What is the mission?
Connecting people to what matters most through lending, investing, and giving
What is the vision?
We’re here to build meaningful connections that help make your financial life better
Diversity & Inclusion Issue for Analysis
The representation of African Americans in Bank of America is relatively low at 13.3% as of 2021. Whites are the majority constituting 51.3% of the workforce. Hispanic, Latino, Asian, and others constitute 18.5%, 13.9%, and 3.0%, respectively. In 2013, the US Department of Labor fined the Bank of America $2.2 million because of discrimination against black job applicants. Between 1993 and 2005, more than 1100 African American job seekers faced discrimination at the company’s offices (Petroff, 2013). Since then, the bank has made efforts to increase the number of black employees. While the Bank of America has improved the representation of blacks over the years, it still falls behind. The current 13.3% of African American employees is relatively low compared to the other leading banks. For instance, JPMorgan Chase has 14% of the employees as black. Truist Financial in 2021 had 18.7% of the staff as black. There is a need for the bank to strive for more than 20% representation of the black population.
Current Strategies
The Bank of America has implemented various strategies to address the inclusion of black employees. Firstly, in 2020, the bank announced an increase in its $1 billion, four-year commitment to ensure racial equality and economic opportunity (Bank of America, 2020). The bank further increased the amount to $1.25 billion in March 2021. The commitment ensures that the bank accelerates its efforts to address the existing racial inequality. The fund will assist people of color in accessing opportunities in the bank. The bank hopes to scale its advocacy of the people of color to ensure t...