1. Personal ethical perspectives:
1.1. One of the most important fraud case in USA was The Enron case because of his criminal activity which involved a big part of USA.
Let me give a short introduce about it, “In 1974, Kenneth Lay joined the Florida Gas Company, eventually serving as president of its successor company, Continental Resources Company. In 1981, he left Continental to join Transco Energy Company in Houston, Texas. Three years later, Lay joined Houston Natural Gas Co. as chairman and CEO. The company merged with InterNorth in 1985, and was later renamed Enron Corp. In 1986, Kenneth Lay was appointed chairman and chief executive officer of Enron.” (Bio.)
Kenneth got an executive team who did not have a properly accounting system …show more content…
In Enron’s case is evident three important aspects of transformation in action, for example, transcend fear, embody a vision of common good and entice through moral power. They can be explained in a better way as a: Transcend fear, it means that Enron’s administrators they kept doing the fraud without taking into account the consequences, they thought of short- term and they did not think that everything was going to be out of control. The clear example is when USA government discovered that they had more debts and profits and Enron went bankrupt. The second one is, embody a vision of common good, in spite of they thought of their own interest like getting as much profits as possible without thinking ethically: when they realized they were doing something wrong, they kept doing and they were closer than ever, so, they chose collectives interest over personal preferences. Ken used to listen to other and try to keep the lie about the financial reports. And finally, entice through moral power, Ken pursued excellence and he built strong relationships with each administrator in his company, for him it was really important to satisfy them because everyone was getting the same goal which was to maximize profits. It is important to know that he did not care about values and the consequences he could create because of the fraud and fake financial …show more content…
According to Kidder who developed nine stages for making good decisions; there are nine steps that can be evidenced in the Enron’s case. The first one is to recognize that there is a moral issue; he identified from his customs and own values that he was doing something wrong because he showed fake reports and he took advantage of it to generate more money and get a good reputation internationally. Despite that he did not think of the consequences he could get from that. The next step is to determine the actor, it seemed that Ken and his staff were sure about the difference between involvement and responsibility, because according to Kidder, it is important to make a distinction because we are responsible only for dealing with problems that we can do something and in this case, Ken was sure that he was doing fraud and the consequences that this could have it, however, he did not expect to be discovered and assume the legal matters, he thought that he could have everything under the control; he was responsible for each act that he
1.1. One of the most important fraud case in USA was The Enron case because of his criminal activity which involved a big part of USA.
Let me give a short introduce about it, “In 1974, Kenneth Lay joined the Florida Gas Company, eventually serving as president of its successor company, Continental Resources Company. In 1981, he left Continental to join Transco Energy Company in Houston, Texas. Three years later, Lay joined Houston Natural Gas Co. as chairman and CEO. The company merged with InterNorth in 1985, and was later renamed Enron Corp. In 1986, Kenneth Lay was appointed chairman and chief executive officer of Enron.” (Bio.)
Kenneth got an executive team who did not have a properly accounting system …show more content…
In Enron’s case is evident three important aspects of transformation in action, for example, transcend fear, embody a vision of common good and entice through moral power. They can be explained in a better way as a: Transcend fear, it means that Enron’s administrators they kept doing the fraud without taking into account the consequences, they thought of short- term and they did not think that everything was going to be out of control. The clear example is when USA government discovered that they had more debts and profits and Enron went bankrupt. The second one is, embody a vision of common good, in spite of they thought of their own interest like getting as much profits as possible without thinking ethically: when they realized they were doing something wrong, they kept doing and they were closer than ever, so, they chose collectives interest over personal preferences. Ken used to listen to other and try to keep the lie about the financial reports. And finally, entice through moral power, Ken pursued excellence and he built strong relationships with each administrator in his company, for him it was really important to satisfy them because everyone was getting the same goal which was to maximize profits. It is important to know that he did not care about values and the consequences he could create because of the fraud and fake financial …show more content…
According to Kidder who developed nine stages for making good decisions; there are nine steps that can be evidenced in the Enron’s case. The first one is to recognize that there is a moral issue; he identified from his customs and own values that he was doing something wrong because he showed fake reports and he took advantage of it to generate more money and get a good reputation internationally. Despite that he did not think of the consequences he could get from that. The next step is to determine the actor, it seemed that Ken and his staff were sure about the difference between involvement and responsibility, because according to Kidder, it is important to make a distinction because we are responsible only for dealing with problems that we can do something and in this case, Ken was sure that he was doing fraud and the consequences that this could have it, however, he did not expect to be discovered and assume the legal matters, he thought that he could have everything under the control; he was responsible for each act that he