Monday, October 1, 2007

Enron Question #5- Andrew J. Gordoin

Asking if someone acted ethically in the business world is like asking if you like making money. Of course you like making money, and of course people do not always act ethically. At the end of the day though, it is necessary for success and prosperity. What Arthur Anderson did, I would not consider ethically wrong. Morally wrong it may be, but in the world of business it was wrong. Mr. Anderson was hired as a Consulting/Auditing firm to do an analysis of the company as it was. Now i am basing my answer on what i have been told and not all the facts. The primary job of a consulting firm, is to analyze the problems of the company and or task of which is in question. They are to analyze and indicate weaknesses in the managerial system and or to her problems within the company. It is not the job of a consulting firm to implement any of these changes, and the analysis is confidential to purchaser unless allowed to be distributor by its owner. Mr. Anderson, from what it reads, located numerous problems, as it mentions about him shredding multiple documents around the time of Enron's implosion. While yes, what Mr. Anderson may have discovered was not proper business practices, it was not his job to change and alert authorities. his job was to notify Enron Superior's to the potential risks, which he did. What Enron executives choose to do with this information is their choice and not he choice of Mr. Anderson's team, unless directed to implement changes by Enron Executives. In conclusion, Arthur Anderson is not acting against ethical principals of the business world. He is just doing his job. It was Enron executives acting unethical.

1 comment:

mallory said...

Enron Question #5- Mallory Clynes

I agree with Andrew's answer and have to say that what Arthur Anderson did was not ethically wrong. In the business world everyone has to base what they do in their business on how important their job is to either him or her. For example Wal~Mart is a well-known company who has also had unethical situations as well. It is however, in the long-run, the company as a whole's fault to the unethical behavior that has happened in the past as well as right now.