In a business world where fraud and scams are common, what do business ethics really stand for? In 2001 one of the largest corporate scandals in history occurred, WorldCom the second largest telecom company in the USA used fraudulent accounting measures to cover up their declining financial standing. The company’s asset where bloated by up to 11$ billion. Gladly Cynthia Cooper uncovered this fraud, becoming a leading example of what it really means to show business ethics. In a negative environment in which CFA Scott D. Sullivan tells employees to fake account reports, it really takes a lot of courage to stand up for one’s ethical consciousness and reveal the extends of this scandal. A hostile working environment created by immoral business decisions is contra-productive to a firm’s success. Most businesses are conducted on a common understanding of trust. When our ethical conscience is in par with the corporation’s goals, it is much easier to motivate employees, establish healthy relationships with customers and suppliers. Companies therefore should encourage employees to think critically about decisions made on a daily basis. Clearly then, following moral and ethical principles should be something businesses should strive for.

Sources:

http://www.texasenterprise.utexas.edu/2013/06/12/workplace/truth-and-consequences-lessons-worldcom

http://business-ethics.com/2013/01/10/10545-learning-to-do-the-right-thing-right-here-right-now