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Describes the purpose and nature of industry self-regulation and outlines the factors self-regulatory groups must consider to avoid infringing U.S. antitrust laws. Several examples of industry self-regulation are discussed.

Describes the compensation system implemented for Wetherill Associates employees as of January 1995 and reports the company's financial results for 1994.

The Privacy Review Committee of Avalon Information Services must decide how to deal with concerns voiced by its retail supermarket customers about the privacy of consumer data collected through Avalon's point-of-sale data collection program. One customer is proposing that Avalon adopt a system requiring consumers to affirmatively consent to participate in the program in place of the "opt-out" system used to date.

Describes the actions taken by AES management.

Senior managers of the AES Corp., an independent power producer, must decide whether to drop the company's emphasis on corporate values and revamp organizational controls as advised by investment analysts and outside counsel. The company is recovering from an incident of environmental fraud at one of its plants where an innovative decentralized "honeycomb" structure has been put in place. Some believe the structure is too decentralized and that lack of controls contributed to the incident.

Allows students to record their personal evaluations of the communications which gave rise to the controversy detailed in Prodigy Services Co. (A).

In 1993, senior managers at Levi Strauss & Co., the world's largest brand-name apparel manufacturer, were deciding whether the company should have a business presence in China, given the human rights and other problems there. The China Policy Group has been asked to use the company's "principled reasoning approach" to make a recommendation based on the company's ethical values and newly-adopted global sourcing guidelines.

Describes the decision taken by Levi Strauss & Co.'s CEO.

Describes Salomon Brothers' recovery from the August 1991 Treasury auction scandal. Details the impact of the firm's disclosure of bidding improprieties and describes how the new management team, led by Warren Buffett and Deryck Maughan, guided the company through the ensuing crisis. The impact of the crisis is followed through the end of 1992.

Deryck Maughan, a vice chairman and co-head of investment banking at Salomon Brothers, learns that his superiors have been less than candid about their knowledge of bidding improprieties by the firm's government trading desk. He must decide what, if anything, he should do.

Supplements the (A) case.

Provides a management retrospective.

Ethics is as much an organizational as a personal issue. Managers who fail to provide leadership and institute systems that facilitate ethical conduct share responsibility with those who knowingly benefit from corporate misdeeds. Executives who ignore ethics run the risk of personal and corporate liability. In addition, they deprive their organizations of the benefits available under new federal guidelines that recognize for the first time the organizational and managerial roots of unlawful conduct and base fines partly on the extent to which companies have taken steps to prevent that misconduct. An integrity-based approach to ethics management combines a concern for the law with an emphasis on managerial responsibility for ethical behavior. When integrated into the day-to-day operations of a company, such strategies can help prevent damaging ethical lapses, while tapping into powerful human impulses for moral thought and action.

Officials at United Technologies Corp. (UTC) must decide on an ethics policy to govern competitive intelligence gathering. The flow of competitor information into the Pratt & Whitney division has declined sharply since adoption of UTC's code of ethics. A rewritten version of an earlier case.

Manville Corp.'s senior managers are surprised when Japanese government officials advise them not to go forward with their plan to add a cancer warning label to diatomaceous earth (DE) products sold in Japan. The International Agency for Research on Cancer has ruled that a component of DE is probably carcinogenic, and Manville has prepared to modify its labels and material safety data sheets and to mount a communications effort to inform customers of the cancer warning. Now, Manville's senior managers are being told that it is "culturally inappropriate" to proceed with this plan in Japan.

Outlines several differing conceptions of corporate purpose and responsibility that emerged in the 1970s and 1980s.

InSpeech, Inc., the largest U.S. provider of speech, occupational, and physical therapists to nursing homes and hospitals, is faltering badly. The company is having trouble retaining its frontline employees--the clinicians who deliver its services--and its customers. Senior managers must assess the problem and devise a turnaround strategy.

NovaCare's CEO is considering how further to institutionalize the company's espoused values and beliefs. One challenge is integrating two newly acquired businesses; another is better aligning the values of the company's managers with those of its front-line employees--the health care providers who deliver rehabilitative services to patients in nursing homes and hospitals.

Prosecutors in the U.S. Justice Department's Office of Consumer Litigation reflect on their case against the Beech-Nut Nutrition Corp.

Top managers of Wetherill Associates, Inc., a small, privately held distributor of electrical parts to the automotive aftermarket, are considering whether to modify the company's compensation system for its salesforce. The management wants a compensation system that reinforces the company's right-action policy and its team approach to customer service. The case describes the right-action ethic and its application throughout the business.