Performance management ; Organisational culture

In August 2002 Matthew Thompson, head of the structured finance division at Rand Merchant Bank (RMB) faced an unusual dilemma. One of the top performers in his unit, Bruce Clarke, appeared to pose a significant threat to the team spirit of his division. While a remarkably talented individual, Clarke was difficult to get along with and was eccentric in his ways. RMB's dictum was 'traditional values, innovative ideas'. Clarke subscribed to the 'innovative ideas' part, but seemed to fall short when it came to 'traditional values'. The ability to bring in big revenue was obviously high on the list of criteria for a good dealmaker, and in this respect Thompson had indeed recruited the ideal candidate. Clarke had a remarkable talent for securing even the most difficult deals. However, at the same time RMB prided itself on having an unusually high regard for employee satisfaction, and had always advocated excellent team spirit and sportsmanship as prerequisites for a truly successful company. Before making a rash decision, Thompson felt compelled to consider other factors such as irrational jealousies and rivalries that may be masking an otherwise benign situation. The situation was also complicated by the fact that during the recruitment process he had implicitly promised to promote Clarke once on board. Dismissing Clarke could have severe consequences for his division's earnings, yet would the structured finance division be able to continue successfully with him as part of the team?