Building Cultural Capital in the Financial Services Industry:
Emerging Practices, Risks and Opportunities

This conference continued the discussion of reforming culture in the financial services industry. Building on previous conferences, most recently in 2018, this event provided a multi-disciplinary view on persistent misconduct in the financial industry and highlighted the effects of societal changes and new technologies on culture within firms.

Key Themes

Here are the key themes discussed at the conference:

  • Organizational culture is not the sole province of just CEOs or boards of directors. Instead, an optimal approach is both “bottom-up” and “top-down” and must involve influencing the social dynamics within a workplace.
  • Human beings often behave based on subjective perceptions, personal motivations, and blindness to objective consequences. One recurring “blind spot” is the failure to consider the ethical dimensions of decisions. These oversights may have more to do with automatic responses than morality—reactions rather than choices. Organizations need to take account of behavioral phenomena when creating systems to generate reliable outcomes.
  • New technologies, especially social media, contribute to a workforce with different ethical values and experiences, as well as new ethical challenges. While technology can potentially be useful in ascertaining misconduct, organizations must avoid overreliance on technology as a convenient way to avoid questions of ethics.

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Event Details
Date and Time
Tuesday, June 4, 2019
Location
Federal Reserve Bank of New York
33 Liberty Street
Conference Center, 12th Floor
New York, NY 10045

Audience
By invitation only.
Download the attendee list.
Contact
Please address any questions to NY.FRB.Culture.Events@ny.frb.org.
Agenda
8:30am Opening Remarks

John Williams, President and Chief Executive Officer, Federal Reserve Bank of New York | Remarks
8:50am Persistent Cultural Capital Breakdowns – Misconduct Case Studies

Moderator:
Richard Lyons, Former Dean, Haas School of Business, University of California, Berkeley

Session One: Ireland and Australia – Supervisory and Industry Responses
Gráinne McEvoy, Director of Consumer Protection, Central Bank of Ireland
Stuart Bingham, General Manager, Governance, Operational & Insurance Risk, Australian Prudential Regulation Authority (APRA)
9:45am Break
10:00am Session Two: Persistent Misconduct – Beyond Traditional Approaches

Ann Tenbrunsel, David E. Gallo, Professor of Business Ethics, University of Notre Dame
Celia Moore, Associate Professor, Department of Management and Technology, Bocconi University
Todd Haugh, Assistant Professor of Business Law and Ethics, Kelley School of Business, Indiana University
11:15am Table Discussions | Case Study
11:45am Audience Readout/Facilitated Discussion
12:15pm Lunch
1:30pm Building Cultural Capital – Addressing New Challenges

Moderator:
Jonathan Haidt, Professor of Ethical Leadership, New York University-Stern School of Business; Founder, Ethical Systems

Session Three: Impact of New Technologies and the 21st Century Workforce on Culture
Damon Horowitz, Philosophy Professor, Columbia University
Vanessa Colella, Chief Innovation Officer and Head of Citi Ventures, Citigroup
Stephen Scott, Founder and CEO, Starling Trust Sciences
3:15pm Break
3:30pm Fireside Chat

Paul Volcker, Former Chairman of the Federal Reserve

Interviewed by Jack Gutt, Executive Vice President, Federal Reserve Bank of New York
4:00pm Closing

Michael Strine, First Vice President, Federal Reserve Bank of New York
4:15pm Reception

Download the agenda.

Video: Comments from Paul Volcker
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