The article under analysis by Daves Michael (2022) deals with an issue of the breach of corporate ethics. Specifically, the report describes the egregious breach of ethical standards in relation to audits conducted at Ernst & Young. Michael (2022) makes it abundantly obvious that the described violation of ethical corporate standards is unforgivable.
Relevancy
The article by Michael (2022) bears notable relevance to the core concepts covered in class since the problem of managing ethical dilemmas in the workplace is a notably common issue that occurs frequently and requires substantial flexibility and resourcefulness to be solved. Specifically, the case under analysis is linked directly to the concept of professional integrity and the significance of developing a system of ethical standards relevant to the target setting (Byars & Stanberry, 2022). Namely, the fact that the organization cheated its way into passing its ethic exams indicates that the value system within the organization, as well as the appropriate code, were not developed or deployed properly.
In addition, the article is emblematic of the failure to introduce the principles of Corporate Social Responsibility (CSR) into the workplace setting and ensure that the core decision-making processes, as well as managers’ behaviors and perspectives, meet the set legal standards (Byars & Stanberry, 2022). Specifically, the ethical approach that the organization has been seeking to implement in its environment has proven to be unsustainable (Byars & Stanberry, 2022). The observed outcome is a direct effect of the discrepancy between the company’s approach to its stakeholder orientation and its understanding of the legal framework.
Indeed, on closer inspection of the case, the fact that Ernst & young launched its own investigation without adhering to the established legal standards rigidly indicates the lack of understanding of the corporate law and its implementation in the organizational setting. Finally, there is an obvious misalignment between the business ethics approach within Ernst & young and its corporate culture. Namely, the cultural framework that encourages excessive flexibility in addressing the associated concerns indicates that the enculturation process involving the acceptance of the set legal standards by all staff members has been skewed at Ernst & young. Therefore, further changes must be made to its organizational setting and its framework for approaching ethical and legal issues in order to connect the two and enforce compliance with rigid ethical and legal principles.
Reaction
I strongly believe that alignment with the corporate standards and ethical norms, particularly, the ones related to fairness and legality, is indispensable for any organization and its members. Therefore, the article evokes a sense of righteous disdain for Ernst & Young, who have betrayed the trust of their partners and stakeholders in such a careless and uncalled for manner. Overall, the organization appears to be lacking the presence of a strong ethical framework and the tools for controlling alignment with the established ethical principles. Therefore, it is strongly advised that the current approach to corporate ethics and the promotion of corporate social responsibility should be revisited. Specifically, the company could improve its approach to the management of ethical decision-making by establishing a rigid and clearly delineated corporate policy regarding decision-making and the management of ethical dilemmas. Furthermore, Ernst & Young must introduce a link between ethics and legal standards to ensure that the set ethical framework is effective and sustainable. Thus, the concepts of CSR can be implanted into the target corporate setting successfully.
Reference
Byars, S. M., & Stanberry, K. (2022). Business ethics. OpenStax.