Enron Project
Businesses and people care about ethics in the society, therefore being socially responsible, ethical, and a good corporate citizen, is important to meet and exceed the expectations of any organization's stakeholders. Today's organizations recognize the importance of developing and sustaining a reputation that is built on doing the right things and doing things right as viewed by their key stakeholders, as has been the case with Enron. The issues surrounding business ethics, corporate social responsibility, and stakeholder management are treated at diverse points in this work. Special treatment is given to associated organizational missteps at Enron to increase insight into why such social irresponsible and unethical behavior occurs. This work suggests that organizations like Enron take ethical falls because of failed leadership, an unethically oriented culture, socially irresponsible behavior and operational activities that lead to unethical employee practices.
Enron, one of the seven largest American corporations, is about to earn the uncertain division of being the largest bankruptcy in business history. Despite the formation of Enron in 1985 from the union of Houston Natural Gas and Omaha-based InterNorth, it’s true culture did not actually emerge until 1988, when it went from a “stodgy but safe gas pipeline company” to the “World's Leading Company, ” capitalizing on the deregulation of both gas and energy and pioneering the swapping of natural gas (CNN.com). The new culture at Enron, headed by founder Lay, started out as a culture of challenge and confrontation. When Skilling and Fastow joined the company in 1990, the culture quickly evolved into one of arrogance, aggressiveness, greed, cockiness, secretiveness, and ruthlessness.
Enron’s co ...