Tuesday, October 25, 2011

The Office - Business Ethics



Topic - Business Ethics
TV show - The Office, Season 5, Episode 3 "Business Ethics"

Scene Summary - Holly, the HR rep, is conducting an ethics seminar. Michael promises the entire office they can reveal anything they want. They have immunity. The confessions include: stealing company time, downloading pirated music, and finally the trouble comes in with Meredith. She admits to sleeping with a client in exchange for lower prices on supplies and Outback steakhouse coupons. Holly, considers the charges serious. But Michael brushes it off.


Concepts - Managers and employees face a mired of decisions daily that involve ethics. It can extend to something big like forging accounting numbers to simply taking one too many office supplies home.

Many companies have corporate business ethic guidelines that are clear and communicated to all employees. However, something goes wrong, and they ignore the guidelines and conduct business the way they think they should without regard for the rules.

Just as people prefer to deal with others who don’t cheat, lie, or steal or other ethically challenged behaviors. This also applies to organizations who conduct businesses with other partners or to customers. Professional ethics is key because companies more likely to do business with company they trust. They know that they will not cheat lie, steal from their partners or shareholders or employees. Therefore it is vital to conduct business ethically as it affects an organization’s reputation.

Ideally, to create a culture where ethics are important, it must start at the top. Management can’t have one set of rules while the employees have another. Strong leadership is needed to ensure everyone is adhering to company guidelines on ethical behavior.

1 comment:

Nish said...

The Enron scandal of 2001 which lead to the bankruptcy of the American energy company ‘Enron’ and also led to the dissolution of the accounting firm ‘Arthur Andersen’ is a classic example of failure of business ethics. The primary reason for such a huge failure was the audit failure of the company. The company CEO and the executives in charge used false accounting practices and hid billion dollars in debt from the accounting books. Good business ethics is crucial for any business .

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