- Goldman Sachs is a global investment banking, securities and investment management firm founded in 1869. It offers a range of financial services including asset management, commercial banking, commodities, investment banking, investment management, mutual funds and prime brokerage. - A S.W.O.T. analysis identifies threats such as financial market volatility and consolidations, while opportunities include focusing on investment banking in Southeast Asia and private equity. Strengths are high profitability and brand equity, and weaknesses include negative cash flows and interest income instability. - Goldman Sachs aims to be a global leader in investment banking, securities and investment management. It employs a decentralized, management-by-objective style without a clear mission statement.

1. Presentation for PPM
By ASGAR HUSSAIN INAMDAR

2. Company Brief
 Founded in 1869 by Marcus Goldman and
Sameul Sachs
 Worldwide offices
 Investment Services Industry

3.  Goldman entered the IPO market in 1906
when it took Sears, Roebuck and
Company public.
 The deal occurred due to Henry Goldman's
personal friendship with the owner of
Sears, Julius Rosenwald.

4. Products OR Services
 Asset management
 Commercial banking
 Commodities
 Investment banking
 Investment management
 Mutual Funds
 Prime brokerage

5. Internal
Analysis

6. S.W.O.T. Analysis
Threats
 Financial Market Volatility
 Consolidations
 Conflicts of interest
Opportunities
 Focus on investment banking in
the US & Southeast Asia
 Private equity account generation
Weaknesses
 Negative cash flow from operations
 Interest income instability
Strengths
 High profitability and margins
 Investment banking leader
 High brand equity
 Recruitment & retention of talent

7. Business
Definition/Mission
 Definition
 Global Investment banking, securities, and
investment management firm.
 Mission
 As far as our group could discern, Goldman does
not have a mission statement.

8. Firm’s
Management Style
 Style - Management by objective
 Employee’s are given control over goal setting.
 Management only intervenes when something is
not going right.

9. Organizational Structure
 Flat
 Minimum chain of command
 Efficiency is key
 Decentralized
 Authority is delegated to divisions, functions and
employees at lower levels.

10. Organizational Controls
 Output Controls
 Flat and decentralized = focus on divisional and individual
goals
 Behavior Controls
 Incentives such as pay raises and bonuses
 Clients come first
 Fiduciary responsibility

11. Organizational Values
 Creativity and Imagination
 Ability to avoid pitfalls others could not because
employee’s are challenged to “think out side of the box.”
 Integrity and Honesty
 Trust is key in financial industry

12. Competitive Advantage
Quality Focuses on having the greatest
product lines and managing affairs
in all aspects of business
Innovation Leader in new products and
processes
Efficiency Focuses on streamlining processes,
large investments in technology
innovations
Customer
Responsiveness
Small number of clientele allows for
more focused customer service

13. 3-year est.
growth(sales)
Net Profit
Margin
Return on
Equity
Goldman
Sachs
43.2% 13.58% 18.75%
Merrill Lynch 34.9% 10.74% 14.62%
Morgan
Stanley
30.1% 10.32% 16.50%
Industry 20.7% 10.08% 15.32%
Financials

14. Critical Issues
Current events & concerns

15. Critical Issues
 Volatility of Financial Markets
 Drastic stock changes
 Harmonizing
 Client requirements
 Profitable market returns
 Balancing Secrecy and Transparency
 SEC reporting

16. Questions
Final thoughts?