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Ethics and Business: Oil and Water?

Posted July 18, 2010 8:12 AM

In many companies around the world, kickbacks, bribes, falsification of information, and other underhanded tactics are considered status quo. Yet if they are exposed, the consequences can range from embarrassment to incarceration. And in this shrinking world, the chances of getting caught are greater than ever before. Some companies avoid the temptation, demonstrating that they can prosper despite this "disadvantage." Is dishonesty really necessary to maximize profits and satisfy shareholders? To what extent do you see shady practices around you? How serious are the infractions? How likely will someone blow the whistle? What happens to the whistleblowers?

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#1

Re: Ethics and Business: Oil and Water?

07/18/2010 2:09 PM

Increased competition "tempts" many businesses to unethical practices. That is why dummy companies are set up. It is getting more difficult to get away with it, but they will always try if the reward is greater than the risk. It sounds like what I'm really saying is: "It's just human nature to try to get away with something for personal gain". We hear things, like "everyone has his price", "a sucker is born every minute" or "never giver a sucker an even break". Many adhere to these phrases and incorporate them into their business practices. Some believe that man is basically good. It is difficult to find anyone who fits this label. You surely won't find him in the religious world or the world of government. How can you expect the business world to behave any differently. There will always exist those who take advantage and those who are taken advantage of. I don't think most of us want to belong to the latter group.

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#2

Re: Ethics and Business: Oil and Water?

07/18/2010 8:56 PM

"In many companies around the world, kickbacks, bribes, falsification of information, and other underhanded tactics are considered status quo."

Whoever wrote this has been watching too many Hollywood movies.

Corporations -- Booo!, Hiss! Baaaad!!!

Intrepid Investigator -- Yaaaa!, Hurraaaay!!!

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#3
In reply to #2

Re: Ethics and Business: Oil and Water?

07/18/2010 10:31 PM

you are not making sense, and the OP speaks of reality.

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#4

Re: Ethics and Business: Oil and Water?

07/19/2010 12:05 AM

Honesty and real un-tweaked figures, results will win in the end. Nothing is spun fine enough to not be caught by the rays of the sun or a diligent observer.

Falsifying whatever will bite one down the track and no cosmetic operation will hide the scars. That's the reason I can't handle stuff that is covered in make up. Give me the thing, warts and all. The same goes for women. I love them if they show true character and are not afraid to have lived. A beautified report is transparent to any experienced handler. Suckers will have to live in fear and that eats at ones soul and cripples any advance, progress from the word go.

Nothing beats honesty, Ky.

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#5

Re: Ethics and Business: Oil and Water?

07/19/2010 3:17 AM

Corruption is very common in my country. In government Dept's,politics, police, judiciary, even in private sectors. About whistle blowers one of the whistle blower, civil engineer from road construction site was murdered. One G.M from banking industry was suspended by Lady Chairman of a public sector bank as he blew whistle against her.

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#6
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Re: Ethics and Business: Oil and Water?

07/19/2010 5:36 AM

I can hear the whistle blowing. Hope your not next one in line, I really do, Ky.

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#7
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Re: Ethics and Business: Oil and Water?

07/19/2010 6:28 AM

I do not care if my whistle is heard by any one who is corrupt. I am already 70 yrs old if I get killed I would be hero.

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#8

Re: Ethics and Business: Oil and Water?

07/19/2010 7:16 AM

Yes, bribe and corruption are too common in our government! Lobbying is a way of life in Washington, DC and "our" representatives now represent the wishes of the lobbyists. But that's a story for another day. I am self-employed and run a chemical consulting /product development company. I build my reputation one project at a time, one client at a time, like bricks in a wall. It only takes one "Oh Crap!" to become a wrecking ball and knock it all down. I don't engage in practices that I would be ashamed for my kids to learn about, or see on the front page or evening news. But, that's just me. My mama raised me right.

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#13
In reply to #8

Re: Ethics and Business: Oil and Water?

07/19/2010 1:36 PM

Well, this has been like that since the beginning of "democracy" during Roman Empire until our days in most of the countries around the world, revised by French Revolution.

Just read the many articles related to this on Mercury News. This is focus in California but you can apply it openly to every congress or senate of the world.

http://www.mercurynews.com/editorials/ci_15452125?source=pkg

Regards,

Rafa :(

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#9

Re: Ethics and Business: Oil and Water?

07/19/2010 7:59 AM

People - in general - want to do the "right thing"; however, how that is defined depends upon the value system learned and developed by the individual. If we are reasonably taught what the right thing is, and we value our integrity we won't try to perform our jobs in an unethical manner. I have continually stressed the importance of NEVER falsifying information and protecting individual integrity to my quality managers. After all, isn't that the only important thing we are eventually judged by our peers? If you lose your integrity or credibility (slightly different), you have lost your ability to be trusted and will not ever hold a position of importance for very long. I believe that ethics training must be an integral part of any educational program - focusing on why it is so important to "do the right thing". Risk management is not intended to include whether or not a person or company should take "unethical" shortcuts to save money or time - but it appears to have become part of the mix.

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#10

Re: Ethics and Business: Oil and Water?

07/19/2010 8:34 AM

The wild gambling by the banks shows a lack of ethics as well.

An excess of ethical people has never been a problem the world has had to contend with. However in the 3rd world corruption is very much worse than in the US and Europe and these countries have exported the ethical problems along with the manpower.

I blame the business school types for much of the problem - they are taught to use the advantage so they go about 'creating' advantages. From them the problem spreads throughout companies.

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#11

Re: Ethics and Business: Oil and Water?

07/19/2010 12:21 PM

How would you define ethics? I man takes home a box of pencils and paper pads for his kids new school year. You "exaggerate" on your income tax. You claim $200 in charitable gifts when you didn't give any at all. Are these acts of unethics or dishonesty? Almost everyone does similar, but they don't consider it wrong, well maybe just a tinny weenie bit. My original statement in #1 still stands; "People are not basically good".

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#12
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Re: Ethics and Business: Oil and Water?

07/19/2010 12:37 PM

Ron, yours is a very depressing world it sounds like! If these minor (to me) points make people basically bad then I guess you are right. İ look at life differently.

A friend once asked me that if I needed help would I go to: 1) a church or 2) a jail. I told him the jail - at least I would know where I stood with people involved. Haven't been inside of a church for maybe 50 years and certainly don't see any reason to start now.

Haven't seen anything to change my mind on that point.

The points you used for examples are commonly abused - just like you said but they affect little.

The guy at Goldmans/AIG/Bear Stearns that was gambling with the futures of 1000's and could care less except for his bonus is a bad guy - and he knows it.

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#16
In reply to #12

Re: Ethics and Business: Oil and Water?

07/22/2010 10:39 PM

That's a foolish thought. True most churches are there to make money and control people etc. However if you are after the truth, don't mix up the Bible with the "churches". We all know about right and wrong. Some of us lie to ourselves.

Amos

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#14

Re: Ethics and Business: Oil and Water?

07/19/2010 3:55 PM

Boy this is such a gray area. Mankind's ethics goes from one extreme to another. Most which we learn as children between right from wrong. Do we all stick with it not all of us. Society sometimes in the circles one travels or is force causes one to make choices. Some of them are not good choices. These are individual choices. So in my mind is not bad Companies, Governments, Lobbies, etc. It's bad individuals whether a CEO, Politician or lobbyist.

But we create what we get. We elect our politicians. We buy the products that these questionable companies produce. I blame bad Lobbyist on the politician we elect. If they didn't take bribes none would be offered.

I do not think the general populous here on earth is bad. What I do believe is that there are a few over achievers that can not handle making it the right way. Which when obtaining a leadership role bring all those around them down. Or bring on board others of like mind.

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#15
In reply to #14

Re: Ethics and Business: Oil and Water?

07/19/2010 5:01 PM

The psychological pressure that can be applied by 'the group' is extremely powerful, and usually only disobeyed by a greater internal vision within the individual.

Chris

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