Essays on Evaluation of CIMIC Groups Ethical Standards Case Study

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The paper "Evaluation of CIMIC Group’ s Ethical Standards " is a good example of a business case study.   The organization codes of ethics are guides and principles that an organization is supposed to abide by. Additionally, the organization code of ethics revolves around the organization’ s decisions, programs and policies. Organizations are required to conduct their bottom-line business based on their code of ethics. This clearly shows the importance of the organization code of ethics in organizations and how it fosters their reputation. This paper, therefore, aims to look into the importance of organization code of ethics through reviewing various examples and cases studies. Evaluation of CIMIC Group’ s ethical standards  CIMIC Group, formerly known as Leighton Holdings is involved in an entrenched culture of corruption and cover-up involving the entire organization’ s management.

In this case, the article questions why the Company despite its formidable reputation and success that has earned it a position in the top 100 listed Companies responds to corruption allegation by changing its name (Bachelard and McKenzie 2017, n. d). According to the article, this out rightly appears as a plot by the organization to disguise its initial identity which is associated with the unethical corruption accusations.

Evidently, the company seemingly does not tackle these accusations head-on by carrying out investigations and firing the involved parties or even suing them for bridging the organizations' ethical code of conduct. Rather the company appears to be quick to cover up these accusations by changing its name and changing the managerial team. On the other hand, this move by CIMIC Group appears as a plot to fool the public by making the accusation stories go away as fast as possible by changing the organization identity.

Further, changing the managerial team was a hoodwink tactic meant to make the public believe that it has taken up measures to clean up the rot evident in the organization leadership (Das 2016, p. 101). However, the seriousness the organization has taken in acting upon this accusation suggests that it was initially fully aware of what was going on and in order to remain sustainable and guarantee its future, it has to save its image and hence acted on the unethical behaviour reported extensively. However, the company’ s inability to legal charge its managerial team accused of corruption leaves more questions than answers.

Besides, the organization did not halt Stewarts’ managerial tenure in the organization or taking up investigation of the management team thus leading to a conflict of interest having that the people to be investigated still held managerial positions in the company even after the allegations (Bachelard and McKenzie 2016, n. d). Hence, changing of the name and it's managerial did not solve any problem but rather cover it up, in most cases organizations that fall into such situations hardly admit any wrongdoing but rather employ strong public relation teams, a clear indication that they are only interested in sustaining their businesses and remaining viable in the foreseeable future (Crane and Matten 2016, n. d).

In addition to this, the organization is also not seemingly concerned with publicly addressing this matter as it should be in many cases but rather it is focused on upholding their moral code of conduct to the public as well as to their esteemed customers and shareholders.

This is an indication that the organization is blind to the multiple unethical activities taking place and only the future matters to them (Chen 2010, pp. 3-24). On the other hand, this also shows the rampant cognitive biases within the organization which could be the main cause of poor decision making in the organizations.

References

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Carroll, A.B., 2004. Managing ethically with global stakeholders: A present and future challenge. The Academy of Management Executive, 18(2), pp.114-120.

Cetric, W. 2017. Australia 'failing' to tackle bribery by multinationals. [online] ABC News. Available at: http://www.abc.net.au/news/2014-01-06/australia-accused-of-failing-to-tackle-bribery-among-multinatio/5187070 [Accessed 18 May 2017].

Chen, N. 2010. Securities Laws, Control of Corruption, and Corporate Liquidity: International Evidence. Corporate Governance: An International Review, 191, pp.3-24.

Crane, A. and Matten, D., 2016. Business ethics: Managing corporate citizenship and sustainability in the age of globalization. Oxford University Press.

Das, N. 2016. Corruption and Corporate Corruption. Anveshana: search for Knowledge, 62, p.101.

Garavan, T.N. and McGuire, D., 2010. Human resource development and society: Human resource development’s role in embedding corporate social responsibility, sustainability, and ethics in organizations. Advances in Developing Human Resources, 12(5), pp.487-507.

Knight, E. 2016. Business News, Economy, Finance & ASX Market News. [online] The Sydney Morning Herald. Available at: http://www.smh.com.au/business/comment-and-analysis/major-concerns-over-australian [Accessed 18 May 2017].

Kolk, A. and Van Tulder, R., 2010. International business, corporate social responsibility and sustainable development. International business review, 19(2), pp.119-125.

Liu, X. 2014. Corruption Culture and Corporate Misconduct. SSRN Electronic Journal. p.11- 14

Montera, R., 2016. Sustainable Internationalization of Multinational Corporations: Myth or Reality?. L'industria, 37(1), pp.51-70.

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Thomas, J. 2015. Australia's foreign bribery laws and enforcement 'woeful'. [online] ABC News. Available at: http://www.abc.net.au/news/2015-09-06/lawyers-call-for-changes-to-foreign-bribery-laws,-enforcement/6751160 [Accessed 18 May 2017].

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