http://blogs.wsj.com/dispatch/2010/08/09/ceos-ethical-lapses-put-boards-in-tough-spots/
This article was appealing to me because it focuses on the idea that CEO's put their boards in tough spots, when in reality the CEO should be responsible for the unethical decisions that they make. When referring to putting boards into "tough spots," I disagree. I believe that board members should not feel guilty when questioned and answering to the truth. I believe it is a tough decision to let the CEO of a company go, especially because they are the immediate successor of the business, but if the CEO has been unethical and has gotten caught, chances are there are other spots in the business where he/she has chosen to be unethical as well.
The article moves into different executive ethical lapses including: Steven J. Heyer of Starwood Hotels & Resorts, David Edmondson of RadioShack Corp., Harry Stecipher of Boeing Co., and Thomas M. Coughlin of Walmart Stores Inc. All of these executives that employees look up to have acted unethically and have either stepped down from their position or were replaced.
Board members are facing problems when finding a warning sign because it may later on become a much bigger scandal. I believe by facing the warning sign early on, the chances of avoiding a scandal will become higher. I believe there should be a zero tolerance on unethical behavior in the workplace in order to create a productive and ethical environment of a firm.
Your thoughts? Have you heard of any specific scandals of corporations that could have been avoided due to an early warning sign that was overlooked?
-Lauren Mowers
Good find on the article, however is one unethical lapse enough for a CEO to be fired? I do not believe this is a sure "yes" or "no". Everyone has a lapse in judgment. Yes, CEO's are definitely on a larger scale, but they are human as well. the severity of the incident should determine whether or not they are dismissed. Imagine the pressure a CEO is under to perform, it can make it extremely hard for them to remain ethical even with the company and employee's best interests in mind.
ReplyDelete- Ryan Schaumburg
I am not sure that a zero tolerance on unethical behavior is the solution. Like Ryan wrote, sometimes it could be hard to remain ethical even with the company's best interest in mind. Sometimes can several alternativ be unethical but one of them are less or more. But I agree with I facing the warning sign early on. A warning is a good indication that someting needs to be change.
ReplyDelete- Eva-Lena Juhlin