Week 6 Team Learining

In: Business and Management

Submitted By rushboys
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Week 6 Learning Team Reflection
MGT521

Week 6 Learning Team Reflection
Question #2
There are various degrees of unethical behavior ranging from stealing office supplies to embezzling money within your organization. Unethical behavior becomes common practice if this is the organizational culture finds this as an acceptable practice. As in the case of Lehman Brothers, the top level executives demonstrated this type of unethical behavior and encouraged the employees to behave in the same way. Employees quickly realized there are no internal controls in place to prevent them from practicing unethical behavior and ultimately spilled over into their business dealings. Why? The reason is less risk of getting caught for this type of behavior.
The company culture at Lehman Brothers was a reward-driven organization, which promoted employees to perform to the highest level and in exchange would be rewarded. One of the risks involved in this approach is that employees will do whatever it takes to continue to perform at that rate for the benefits of reaping the reward. The core values of these employees will eventually reveal themselves and the individual will arrive at a crossroad by either doing what is right or wrong. Moreover, top level management at Lehman Brothers misrepresented information to the stakeholders, such as lying about how much top level management was getting paid, and manipulating the data on reports to hide any wrongdoing of misappropriating funds. In the case of Lehman Brothers, the organization’s culture and value system ultimately led to their downfall. This company lacked the organizational values and ethics necessary to have success; this resulted in Lehman Brothers and affiliates claiming chapter 11 bankruptcy. All of which could have been prevented if the company put in place the proper internal controls and risk management; document the…...

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