Blowing the Whistle | What factors can make a whistleblower lose legitimacy in the eyes of viewers?

What factors can make a whistleblower lose legitimacy in the eyes of viewers?

If there is evidence that the employee is motivated by the opportunity for financial gain or media attention, or that the employee is carrying out an individual vendetta against the company, then the legitimacy of the employee's whistle-blowing must be questioned.

Source: Ghillyer_Business Ethics A Real World Approach 2e

Blowing the Whistle | Under what condition could whistle-blowing be considered unethical?

Under what condition could whistle-blowing be considered unethical?

Whistle-blowing can be considered unethical if the employee is motivated by financial gain or media attention, or if they carry a vendetta against the company.  In this case the legitimacy of their whistle-blowing must be questioned.  



Source: Ghillyer_Business Ethics A Real World Approach 2e

Corporate Governance | Case/Opinion | Comply and Explain OR Comply or Else?

Do you think corporate governance should be enforced through the “comply and explain” model or the “comply or else” model? Explain your answer.

Student responses will vary. 


The “comply and explain” model gives corporations the benefit of the doubt and allows them to explain why they are not complying. 


The “comply or else” model is a much stricter model in which corporations are, essentially threatened to comply or face stiff financial penalties for not being in compliance.


Please state your opinion .....



Source: Ghillyer_Business Ethics A Real World Approach 2e

Corporate Governance | Explain the difference between “comply or explain” and “comply or else.”

Explain the difference between “comply or explain” and “comply or else.”

The “comply or explain” method is a set of guidelines that require companies to abide by a set of operating standards or explain why they choose not to. 

The “comply or else” method is a set of guidelines that require companies to abide by a set of operating standards or face stiff financial penalties.



Source: Ghillyer_Business Ethics A Real World Approach 2e

Corporate Governance | Key Terms

Key Terms - Corporate Governance

Audit Committee:  An operating committee staffed by members of the board of directors plus independent or outside directors. The committee is responsible for monitoring the financial policies and procedures of the organization—specifically the accounting policies, internal controls, and the hiring of external auditors.

Board of Directors:  A group of individuals hired to oversee governance of an organization. Elected by vote of shareholders at the annual general meeting (AGM), the true power of the board can vary from institution to institution from a powerful unit that closely monitors the management of the organization, to a body that merely rubber-stamps the decisions of the chief executive officer (CEO) and executive team.

Compensation Committee:  An operating committee staffed by members of the board of directors plus independent or outside directors. The committee is responsible for setting the compensation for the CEO and other senior executives. Typically, this compensation will consist of a base salary, performance bonus, stock options, and other perks.

“Comply or Else”:  A set of guidelines that require companies to abide by a set of operating standards or face stiff financial penalties.

“Comply or Explain”:  A set of guidelines that require companies to abide by a set of operating standards or explain why they choose not to.

Corporate Governance:  The system by which business corporations are directed and controlled.

Source: Ghillyer_Business Ethics A Real World Approach 2e

CSR | Corporate Social Responsibility 4 | Explain the term triple bottom line

Explain the term triple bottom line.

Organizations pursue operational efficiency through detailed monitoring of their bottom line. As a testament to how seriously companies are now taking CSR, many have adapted their annual reports to reflect a triple bottom line approach, where they provide social and environmental updates alongside their primary bottom-line financial performance.


Source: Ghillyer_Business Ethics A Real World Approach 2e

CSR | Corporate Social Responsibility 3 | Explain why organizations are struggling to adopt CSR initiatives

Explain why organizations are struggling to adopt CSR initiatives.

Organizations are struggling to adopt CSR initiatives not because the ethical action itself causes a problem, but how to promote those acts to your stakeholders as proof of your new corporate conscience without appearing to be manipulative or scheming to generate press coverage for policies that could easily be dismissed as feel-good initiatives that are simply chasing customer favor. Also, many CSR initiatives do not generate immediate financial gains to the organization.


Source: Ghillyer_Business Ethics A Real World Approach 2e