Read the case Enron, Ethics, and Organizational Culture located in the text and answer the following questions at the end of the case:
- Based on what you read in the chapter, how would you explain Enron’s ethical meltdown?
- It is said that when one securities analyst tried to confront Enron’s CEO about the firm’s unusual accounting statements, the CEO publically used vulgar language to describe the analyst, and that Enron employees subsequently thought doing so was humorous. If true, what does that say about Enron’s ethical culture?
- What role do you think culture played at Enron? Give specific examples of things Enron’s CEO could have done to create a healthy ethical culture.
- Compare your organization’s ethical culture to that of Enron’s.
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Read the case Enron, Ethics, and Organizational Culture