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Military Contracting in a War Zone: Bill
This is part of a case series. This case takes two perspectives on the same set of case facts about a military logistics supplier gone wrong: one from the perspective of the Department of Defense contractor ('Bill') and one from the perspective of the Kuwaiti-based supplier ('Rohit'). The case develops fictional characters to help elicit class discussion and teaching opportunities on issues of (1) how difficult it is to manage complicated ethical issues across national and cultural boundaries, and in stressful environments such as regions embroiled in military conflict, (2) how these contexts elicit in-group favouritism and out-group biases, and (3) how overcoming these limitations in global environments requires expanding one's circle of moral regard. The case involves fictional characters but the content of the case is based on publicly available information about Agility Corporation, a Kuwaiti-based supplier of food and transport for the US Department of Defense who has been indicted for fraud. -
Military Contracting in a War Zone: Rohit
Supplement to case LBS190 This is part of a case series. This case takes two perspectives on the same set of case facts about a military logistics supplier gone wrong: one from the perspective of the Department of Defense contractor ('Bill') and one from the perspective of the Kuwaiti-based supplier ('Rohit'). The case develops fictional characters to help elicit class discussion and teaching opportunities on issues of (1) how difficult it is to manage complicated ethical issues across national and cultural boundaries, and in stressful environments such as regions embroiled in military conflict, (2) how these contexts elicit in-group favouritism and out-group biases, and (3) how overcoming these limitations in global environments requires expanding one's circle of moral regard. The case involves fictional characters but the content of the case is based on publicly available information about Agility Corporation, a Kuwaiti-based supplier of food and transport for the US Department of Defense who has been indicted for fraud. -
BP PLC (A): Going "Beyond Petroleum"?
The announcement that BP PLC, the world's third-largest oil firm, was going "beyond petroleum" generated scepticism from news media, indifference from investors, and outraged opposition from environmentalists in 2000. When BP's Alaska employees raised safety and environmental concerns in 2002, stakeholder groups, news media and regulators were drawn into the conflict. -
BP PLC (B): The Long Tail of "Beyond Petroleum"
The announcement that BP PLC, the world's third-largest oil firm, was going "beyond petroleum" generated scepticism from news media, indifference from investors, and outraged opposition from environmentalists in 2000. When BP's Alaska employees raised safety and environmental concerns in 2002, stakeholder groups, news media and regulators were drawn into the conflict. -
Ethical Analysis: Moral Disengagement
Moral disengagement is a process that enables people to engage in negative behaviors, from small misdeeds to great atrocities, without believing that they are causing harm or doing wrong. When Conrad Black, the fallen Canadian mogul convicted of multiple counts of fraud and obstruction of justice, claims that he "would never dream of committing a crime in a thousand years," moral disengagement is what allows him to make that claim and believe it. This note provides an overview of the eight mechanisms of moral disengagement as first described by Albert Bandura, and provides examples of how they operate in our daily lives. -
Shell E&P Ireland Limited (SEPIL) and the Corrib Gas Controversy
This case narrates a complex, long-running, and emotional controversy between Shell Exploration & Production Ireland (SEPIL) and opponents of its planned natural gas pipeline and gas processing facility in County Mayo, Ireland. The Corrib Gas Project is years behind schedule and over budget. SEPIL must not only complete the project, but must do so in a manner consistent with its own principles of corporate social responsibility. This case provides an opportunity to explore the challenges implicit in utilizing stakeholder management approaches. Students must evaluate various options available to SEPIL such as: Should the gas be processed at sea, as the more strident protestors demand? Should the processing facility be relocated to an area of no habitation, as other protestors wish, which would mean writing off a significant investment? For that matter, is this project worth completing at any cost? Finally, despite having all the required statutory approvals, final implementation would probably require utilizing the Garda Siochána (the Irish national police force) and other resources of the Irish State, as well as Shell's own contract security force, to keep protestors at bay. But what are the possible effects of such action on Shell's corporate reputation, and what if something, anything, goes wrong? It is not only which course of action SEPIL chooses to undertake, but how the action is implemented, that matters. This case is most appropriate for use in MBA and upper-level undergraduate courses in Business Ethics, Business and Society, International Business, and Business and the Natural Environment. -
Traction Ventures-Part A
John Beck, CEO of LightSpeed Computers, is seeking $10 million in venture capital financing to get his company off the ground after its initial seed funding. In Parts A through C, John faces a number of challenging scenarios, starting with the request from a prestigious Silicon Valley VC to hold off on closing a deal for four weeks to give him time to conduct due diligence. John later receives term sheets from other, smaller VCs and must decide whether to move forward or stand by his original commitment. Later, he must choose between two attractive but economically different deals. -
Traction Ventures-Part B
John Beck, CEO of LightSpeed Computers, is seeking $10 million in venture capital financing to get his company off the ground after its initial seed funding. In Parts A through C, John faces a number of challenging scenarios, starting with the request from a prestigious Silicon Valley VC to hold off on closing a deal for four weeks to give him time to conduct due diligence. John later receives term sheets from other, smaller VCs and must decide whether to move forward or stand by his original commitment. Later, he must choose between two attractive but economically different deals. -
Traction Ventures-Part C
John Beck, CEO of LightSpeed Computers, is seeking $10 million in venture capital financing to get his company off the ground after its initial seed funding. In Parts A through C, John faces a number of challenging scenarios, starting with the request from a prestigious Silicon Valley VC to hold off on closing a deal for four weeks to give him time to conduct due diligence. John later receives term sheets from other, smaller VCs and must decide whether to move forward or stand by his original commitment. Later, he must choose between two attractive but economically different deals. -
A Global Leader's Guide to Managing Business Conduct
An extensive global survey by three Harvard Business School professors finds that employees agree on core standards of corporate behavior. But meeting those standards will require new approaches to managing business conduct. The compliance and ethics programs of most companies today fall short of addressing multinationals' basic responsibilities, let alone such vexing issues as how to stay competitive in markets where rivals follow different rules. Companies must bring to the management of business conduct the same performance tools and concepts that they use to manage quality, innovation, and financial results. -
Wal-Mart's Sustainable Product Index
As part of an effort to radically transform the company, Wal-Mart's leaders undertake a number of sustainability initiatives, in particular the creation of a sustainable products index. If successful, the index will enable consumers to gauge the environmental impact of the products they decide to buy. -
Kitchen Best: Ethics When Doing Cross-Boundary Business in Southern China
Kitchen Best is a Hong Kong-based electrical-appliance company. The company has a manufacturing facility in China and sells its wares to customers around the world. Henry Chan, the newly appointed CEO, has ambitious plans for the business. However, a series of instances of misconduct and unethical behavior makes him realize that the business is suffering from a lack of internal control. What type of internal control mechanisms should he put in place to ensure the future success of the company? -
Motors for Munchao
The case describes the joint venture negotiation between Mr. Hartmut Holgebretsen, vice president of sales at Euroland Motors, in the English-speaking country of Norland, and Mr. Wu Chang, deputy president at Munchao Motors Import (MMI) in Munchao. It serves as information for a negotiation exercise. The negotiation takes place after the agreement on an initial letter of intent. However, MMI wanted to reopen a few issues before signing a final contract on the import of gas and diesel engines. The case contains "General information" that is available to both negotiation parties. In separate case supplements, Supplement (A): "Negotiation brief for Euroland Motors" and Supplement (B): "Negotiation brief for MMI," the two parties receive confidential information that is exclusively for them and should not be made available to the other party before the negotiation exercise. The case combines three levels of discussion: a) business issues, b) cross-cultural issues, and c) ethical issues (especially "dirty" negotiation tricks, intellectual property rights, confidential information, and corruption). -
Negotiation brief for Euroland Motors
Supplement for ES1221 -
Negotiation brief for Munchao Motors Import
Supplement for ES1221 and ES1222 -
Blind Spots: The Roots of Unethical Behaviour in Life and Work
People are often surprised to hear that most of us overestimate our ethicality at some point. Significant research indicates that we are unaware of the gap between how ethical we think we are and how ethical we truly are. The authors describe the related concepts of bounded awareness and bounded ethicality and discuss the implications of these states for organizations. They then provide three tools for improving our individual ethicality and outline several aspects of organizational life that must be examined more closely to reduce unethical behaviour on a group level, including addressing 'hidden but powerful informal values' and 'ethical sinkholes'. -
Cipla 2011
Dr. Yusuf Hamied, head of the Indian pharma and generics manufacturing company Cipla, is weighing options for how to continue to support the global fight against HIV/AIDS while positioning his company for growth in a changing regulatory landscape. -
Ethical Breakdowns
Companies are spending a great deal of time and money to install codes of ethics, ethics training, compliance programs, and in-house watchdogs. If these efforts worked, the money would be well spent. But unethical behavior appears to be on the rise. The authors observe that even the best-intentioned executives may be unaware of their own or their employees' unethical behavior. Drawing from extensive research on cognitive biases, they offer five reasons for this blindness and suggest what to do about them: (1) Ill-conceived goals may actually encourage negative behavior. Brainstorm unintended consequences when devising them; (2) Motivated blindness makes us overlook unethical behavior when remaining ignorant is in our interest. Root out conflicts of interest; (3) Indirect blindness softens our assessment of unethical behavior when it's carried out by third parties. Take ownership of the implications when you outsource work; (4) The slippery slope mutes our awareness when unethical behavior develops gradually. Be alert for even trivial infractions and investigate them immediately; and (5) Overvaluing outcomes may lead us to give a pass to unethical behavior. Examine good outcomes to ensure they're not driven by unethical tactics. -
Norman Nicholls at Seattle Management Consultants
On October 26, 2004, Norman Nicholls ― partner of the consulting company "Seattle Management Consultants" in London (UK) ― received a phone call from Jesper Lind, board member of Telco-Equipment-Experts. Jesper told Norman: "If you don't change your recommendation on the outsourcing job you are doing for Damotel, our business relationship might suffer in the future." -
Société Générale (A): The Rogue Trader
In January 2008, Société Générale, revealed that trader Jerome Kerviel had exposed the bank to 50 billion euros in apparently unhedged and unauthorized trades, resulting in 4.9 billion euros of losses when his positions were unwound. This case provides an opportunity to explore the motivations underlying Kerviel's conduct and the failure of the bank's internal controls, as well as other organizational and sociological factors in this incident and the broader 2008 financial crisis.