Assignment 1: Leading And Managing Interrelated Business Fun

Assignment 1 Leading And Managing Interrelated Business Functionsahme

Ahmed Kasadi, the Afghanistan in-country manager for a large US-based corporation, faces several ethical dilemmas related to alleged bribery activities connected to a significant contractual deal. The ethical issues in this scenario revolve around corporate misconduct, such as engaging in illegal bribery to secure business, and the ethical conflict Ahmed faces in reporting or addressing this misconduct. Additionally, there's a dispute between legal obligations under the Foreign Corrupt Practices Act (FCPA) and internal company policies that emphasize confidentiality and internal dispute resolution. The company's prior history of bribery, coupled with cultural norms allowing commissions or consulting fees as part of doing business, complicates the ethical landscape. Ahmed’s concerns about the company's potential legal and reputational risks, and the possibility of financial losses due to exposed bribery, highlight issues of corporate integrity, transparency, and compliance with anti-corruption laws (Johnston, 2010).

Ahmed’s handling of the situation demonstrates a mix of appropriate ethical stance and flawed decision-making within organizational channels. Initially, he tries to uphold ethical standards by reporting concerns and seeking management guidance. However, when advised to ignore the issue and handle disputes internally, he faces a moral conflict. Instead of accepting this directive, Ahmed continues to voice his concerns, which eventually leads to negative repercussions, including poor performance reviews and termination after the contract award. His persistent efforts to disclose unethical practices align with ethical leadership principles, emphasizing integrity and accountability (Brown & Treviño, 2006). Nonetheless, he arguably did not navigate the chain of command optimally since he bypassed internal dispute procedures and directly involved law enforcement through the FCPA, risking retaliation. From a management perspective, the scenario demonstrates the leading function—setting ethical standards—and the controlling function—monitoring compliance and addressing misconduct. The failure to enforce ethical compliance effectively indicates weaknesses in the organization’s control mechanisms (Friedman & Miles, 2011).

From personal experience, I recall a colleague who discovered unethical financial practices within our department. Despite the potential for professional backlash, she chose to report the misconduct to senior management, adhering to ethical standards and her own integrity. Her actions ultimately led to positive changes in departmental oversight and reinforced a culture of transparency, illustrating how acting with integrity, despite personal risk, can promote ethical organizational behavior (Trevino & Nelson, 2017).

Paper For Above instruction

The scenario involving Ahmed Kasadi underscores complex ethical issues faced by managers operating in environments where cultural norms, legal standards, and organizational policies intersect often contentiously. The primary ethical dilemma pertains to the conflict between adhering to US anti-corruption laws, specifically the Foreign Corrupt Practices Act (FCPA), and the local business practices that tolerate or even expect such payments ('Bribery and Corruption,' 2012). The company's prior history of bribery and recent activities involving potential misconduct illuminate the challenge of maintaining corporate integrity while operating in regions where corrupt practices are culturally ingrained or normalized.

At the core of this dilemma is the question of ethical responsibility. Ahmed's initial attempt to report his concerns aligns with principles of ethical leadership and corporate social responsibility (CSR). Ethical leadership emphasizes the importance of fostering a culture of integrity, transparency, and compliance, especially concerning legal standards like the FCPA, which aims to prevent corrupt practices that distort fair competition and undermine governance (Brown & Treviño, 2006). By retraining employees, holding ethics meetings, and raising concerns with management, Ahmed demonstrates commitment to these principles. However, the company's response—advising him to keep issues internal and ignoring his concerns—reflects organizational failure to uphold ethical standards and enforce compliance.

In terms of management functions, this scenario highlights both leading and controlling aspects. The leading function involves setting ethical standards and shaping organizational culture. Ahmed, as a leader in his region, attempts to influence others toward ethical behavior. Conversely, the controlling function involves monitoring compliance through policies, audits, and oversight mechanisms to prevent misconduct. The organization's failure to enforce anti-bribery policies and to act decisively against unethical behavior constitutes a lapse in control measures. This can embolden employees or managers to engage in misconduct, believing that ethical breaches can be overlooked or are culturally acceptable (Friedman & Miles, 2011).

Ahmed's persistence in raising concerns, despite overt resistance and eventual retaliation, exemplifies ethical integrity. His decision to contact authorities under the FCPA—even at significant personal risk—aligns with the principle of acting morally despite potential negative consequences. This echoes Kohlberg's moral development stages, where individuals reach a level of moral reasoning emphasizing universal ethical principles over personal safety (Kohlberg, 1984). A personal example of acting with integrity occurred when I observed a colleague manipulating financial data for personal gain. Despite fears of repercussions, I chose to report the misconduct anonymously to safeguard organizational integrity. My actions contributed to corrective measures, aligning with the ethical values of honesty and accountability (Trevino & Nelson, 2017).

In sum, this case study underscores the importance of ethical leadership, proper controls, and a culture that encourages whistleblowing and transparency. Organizations must foster environments where employees feel safe and supported when raising concerns, and management must enforce compliance consistently. Otherwise, ethical breaches may not only damage reputation and finances but also erode organizational integrity, which is vital for sustainable success in global markets.

References

• Bribery and Corruption. (2012). OECD Anti-Bribery Convention. Organisation for Economic Co-operation and Development.
• Brown, M. E., & Treviño, L. K. (2006). Ethical Leadership: A Review and Future Directions. The Leadership Quarterly, 17(6), 595-616.
• Friedman, A. L., & Miles, S. (2011). Stakeholders: Theory and Practice. Oxford University Press.
• Johnston, M. (2010). Corporate Governance and Ethics. Routledge.
• Kohlberg, L. (1984). Essays on Moral Development, Volume 2: The Psychology of Moral Development. Harper & Row.
• Treviño, L. K., & Nelson, K. A. (2017). Managing Business Ethics. Wiley.
• Friedman, A. L., & Miles, S. (2011). Stakeholders: Theory and Practice. Oxford University Press.
• Johnson, C. E. (2010). Meeting the Ethical Challenges of Leadership. Sage Publications.
• Schwartz, M. S. (2013). Developing and Implementing Codes of Ethical Conduct. Business Horizons, 56(1), 87-96.
• Valentine, S., & Rittenburg, T. (2007). Ethical Context, Organizational Code of Ethics, and the Ethical Culture: An Empirical Examination. Journal of Business Ethics, 71(2), 173-194.