An ethics professor from Arizona State University named Marianne Jennings wrote a book called "The Seven Signs of Ethical Collapse" which I read. The author of this book was advising Boeing before the CEO got sacked for adultery, and I'm wondering if she might not be behind some recent high-profile firings for adultery.
Here are two excerpts from page 134 and page 135 of the book:
"Adultery also matters as a workplace issue because those who seek respect from employees must earn it. The rush of forbidden lust is short-term pleasure. We like to think that those who establish and enforce the rules have progressed beyond addictions and indiscretions. We particularly like to think so when they are preaching ethics ot us as employees. Those who would lead should assume the mantle of role model. The corporate disasters outlined earlier tell us that the captains of industry were busily involved in activities that not only distracted from the intense focus demanded at these high levels of business but served as a risk to the company itself when exposure inevitably came. If the review of the collapsed companies is a representative set, checking the personal lives -- and in particular, the adultery of the CEO and/or CFO - may be a formula for saving the company...Adultery matters because it is a measure of character. But it matters also because of old-fashioned risk. There's a fine line between an office romance and sexual harassment, and there seems to be somewhat of a direct line between executive adultery and executive-induced accounting fraud. The Nashville folks don't refer to adultery as "your cheatin' heart" without good reason. Most are loath to admit it, but sexual toomfoolery reveals a character flaw that serves those who would perpetuate corporate shenanigans....When officers are dishonest with the single most important person in their lives, i.e., their spoues, it is not a stretch to conclude that they are capable of beind dishonest with those with whom they do not share a day-to-day relationship: investors, suppliers, customers."
"Over the past few years as I have struggled to help students formulate their own ethical standards, I have come to realise that there is no such thing as "business ethics". There are personal ethics that are applied in every setting, from marriage to the executive suite. If such is the case, than the moral fiber of an individual matters if the company is to have an ethical culture."
The book is very interesting and disturbing. It provides insight into how people can look the other way or even participate in unethical behavior, and much of this acceptance comes from an environment that is established by the executives. An environment of fraud and deception is often correlated with infidelity in the executive suite.
