Study Case: Boeing gets a second chance, and a third
1) Which organizational stakeholders were affected by ethical or unethical behavior at Boeing? Give specific example.
Boeing is a worldwide known firm. Being one of the largest corporations in the world, Boeing is also very visible and studied.
An examination of five years reveals unethical, immoral and illegal behavior inside the company, which affected organizational stakeholders. In 2002, the CEO Philip Condit afflicted an accumulate loss of $92 billion to the company to settle a shareholders lawsuit “without admit misconduct”, which is disclosed an unethical behavior. Then, in 2003, an illegal behavior regarding governmental contract appear. Indeed, the CFO Michael Sears was fired because of the detention of illegal documents by managers and the inappropriate hiring of Darleen Druyun, which cost to the company $1 billion in sales but also, affected investors and employees within the company. Moreover, Boeing is concerned by an other lawsuit with his own female employees, this time regarding sex discrimination, and has to settle in 2005 $73 million without assume its fault. This examination disclosed, the same year, the actual CEO Harry Stonecipher has violated the company’s code of conduct in having a relationship with an employee of the firm, which is very embarrassing, and affected employees. Finally, the firm has changed very frequently of CEO, which is probably affected the financial result of the company.
To conclude, we can say, through these years, Boeing’s unethical behavior has been highlight and the most affected by all this scandals were the Shareholders and the employees of the company.
2) What organizational approach to social responsibility did Boeing appear to use under the leadership of Condit and Stonecipher ? How do you think the approach changed under McNerney’s leadership?
Under the leadership of Condit and Stoneciper, Boeing used...
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