Essays on Evaluating the CIMIC Groups Ethical Standards Case Study

Download full paperFile format: .doc, available for editing

The paper 'Evaluating the CIMIC Group’ s Ethical Standards" is a good example of a business case study.   Ethical standards help in defining the values and principles that an organization should portray. Organizational management is supposed to operate all the firms’ practices and activities using an ethical framework. Consequently, corruption and bribery portray a negative image of the firm. This paper would focus on evaluating the ethical standard of an Australian firm CIMIC Group, the possible ethical action the CIMIC Group should take to restore its reputation and finally the Australian anti-corruption law and multinational corporation ethical responsibilities.

Therefore, the study focuses on the ethical standards in an organization and how it contributes to fighting corruption and bribery practices. Evaluating the CIMIC Group’ s Ethical Standards Bachelard and McKenzie (2016) article reveal the corruption culture that has developed over a period of years and the cover-up scheme to launder the millions from the company. Corruption history in the organization has persisted even after changing the firm’ s management. Widespread corruption within the top management officials has made the firm to have a great background of corruption culture.

Commissioning of different projects and contracts with the intention to obtain huge among of the money has been presented with evidence. This shows that the ethical standard of the firm has been violated as the top-ranking management are dishonest and untrustworthy (Hoy, 2014, para 7). According to the article, the Leighton Offshore management was engaged in the huge payments to the Iraq officials that led to laundering $5.6 million for paying bribes (Bachelard, and McKenzie, 2016, para. 4). Furthermore, in the covering up the issue, they decided to backdate the invoice.

In addition, corruption, bribing and backdating invoices are some of the practices that show the company lack ethical standards. The ethical standard ensures moral and ethical practices guide the management in undertaking the firm's operations. The cover-up of the bribing, corruption and backdating the financial records to achieve personal interest shows a lack of moral values and good managerial, cultural practices. The company experienced the transition of the management and changing its identity from Leighton Offshore to CIMIC Group. Change of the management and the brand name did not influence the culture of the firm.

Corruption and bribery culture persisted even with the new management. Ghost contracts such as paying $15 million to be guaranteed of the steel supply to the Indian company that laundered the Iraq money. Furthermore, no steel was delivered, and the money had already been paid out for the supply. In another instance, the $6.8 billion coal deal by the Thiess company subsidiary of Leighton was initiated (Bachelard, and McKenzie, 2016, para. 5). The company management focused on paying $16 million bribes to in the tender (Bachelard, and McKenzie, 2016, para.

6). The series of events shows that the management of the CIMIC Group lacked moral values and ethical standards concerning their leadership skills and qualities. The whistleblower who inquired about the corruption and bribery issues in the organization was sacked after burying the inquiry (Knight, 2016, para. 2). This shows the top management was not willing to deal with the issue of corruption and bribery as it would show their unprofessional conduct.


Baboš, P. (2015). Corruption Experience, Perception and Anti-Corruption Trust: Different Effects in Various Post-Communist States. Romanian Journal of Political Science. Vol. 15 Issue 1, 107-128.

Bachelard, M. and McKenzie, N. (2016). Leighton: an entrenched culture of corruption?, The Sydney Morning Herald, 14th May (Available at

BANDSUCH, M., PATE, L., & THIES, J. (2008). Rebuilding Stakeholder Trust in Business: An Examination of Principle-Centered Leadership and Organizational Transparency in Corporate Governance. Business & Society Review. Vol. 113 Issue 1, 99-127.

Cheng, M.-Y., & Wang, L. (2015). The Mediating Effect of Ethical Climate on the Relationship Between Paternalistic Leadership and Team Identification: A Team-Level Analysis in the Chinese Context. Journal of Business Ethics. Vol. 129 Issue 3, 639-654.

Goel, R., Budak, J., & Rajh, E. (l2015). Private sector bribery and effectiveness of anti-corruption policies. Applied Economics Letters. Vol. 22 Issue 10, 759-766.

Gray, A. (2014). Donation and Spending Limits in Political Finance Law and their Compatibility with the Australian Constitution. Australian Journal of Politics & History. Vol. 60 Issue 4, 592-605.

Groves, K., & LaRocca, M. (2011). An Empirical Study of Leader Ethical Values, Transformational and Transactional Leadership, and Follower Attitudes Toward Corporate Social Responsibility. Journal of Business Ethics. Vol. 103 Issue 4, 511-528.

Hoy, G. (2014). Australia 'failing' to tackle bribery by multinational companies: OECD - ABC News (Australian Broadcasting Corporation). Retrieved from

Keong, T. (2015). THE ETHICS OF TEACHING ANTI-CORRUPTION AND INTEGRITY. Organization & Management Quarterly. Vol. 32 Issue 4, 125-143.

Kim, C.-K. (2014). Anti-Corruption Initiatives and E-Government: A Cross-National Study. Public Organization Review. Vol. 14 Issue 3, 385-396.

Knight, E. (2016). Major concerns over Australian corporate corruption, but convictions few. Retrieved from

Mendonca, M. (2001). Preparing for Ethical Leadership in Organizations. Canadian Journal of Administrative Sciences (Canadian Journal of Administrative Sciences). Vol. 18 Issue 4, 266-266.

ODRAKIEWICZ, P., & ODRAKIEWICZ, D. (2014). Integrity Management and Anti-Corruption Actions in an Organizational Context. Global Management Journal. Vol. 6 Issue 1/2, 65-73.

Download full paperFile format: .doc, available for editing
Contact Us