Tuesday, May 15, 2007

When Cleaning House Isn't Reform

The New York Times article about executives being fired for outrageous behavior may seem like the beginning of a new responsibility in corporations, but I don't think that it is. If it were, you'd see more executives sent packing when their bahavior came to light internally. But these are always high-profile scandals - that is to say, the corporations are always in reaction to public rebuke. Individuals are, of course, to blame for their own actions, but what sort of business culture permits or even, at times, encourages such behavior? Boards of directors should be setting the tone, instilling values, and insisting on them, even if no one else is looking.

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