This blog post has been moved to the Business Ethics topic in the Library.
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Definition of an Ethical Dilemma
Will Beneficial Ownership Registers Become Global?
Will beneficial ownership registers spread around the World? Governments have become more and more focused on the risks posed by opaque and confidential corporate structures. In particular the ability of a certain type of person to use such structures to hide the true ownership and origin of funds, thereby facilitating tax evasion and money laundering. …
Governing an entrepreneur – a dilemma
Zander has joined the board of a privately owned company that is growing rapidly and has plans to list within the next year or two. He is excited by the prospect of the IPO and determined to do a good job as a director, even though he has no prior board experience. He is finding …
Can there ever be too much transparency?
Can there ever be too much transparency? Transparency has been recognized as a vital attribute for organizational health and performance. Organizations that demonstrate transparency give voice for employee concerns. Leaders that are willing to be vulnerable in sharing even bad news create environments where employees can admit mistakes before crises erupt. So when is too …
Can a director serve two interests? – a dilemma
Xevach is a director on the board of a government trading enterprise. He also chairs the governance committee. The company has a significant geographic monopoly and owns and operates a vital piece of infrastructure in the industry. One of Xevach’s colleagues on the board, Yolanda, is a former director of a larger, competing, government trading …
Directors Dilemma: Ethical Inside Knowledge
Directors Dilemma: Unreported Knowledge Winsome is a director of a large listed company. She has a strong track record in M&A advisory work and is now embarking on a non-executive career. She is finding the ‘hands off’ aspects of the role quite challenging as she is instinctively and by training a detail-focused manager. She has …
Should the MD have a vote? – a dilemma
Victor is a director on a medium sized listed company board. The Chairman has been ill for several months and is not going to get better. He has announced that he wishes to retire. The Managing Director is keen that one of the directors, who had a strong track record as an executive within the …
Association Board Dilemmas: Navigating Conflicts of Interest
Association Boards: Integrity with Conflicts of Interest Ursula is a director of an industry association. Although they use terms such as ‘Councillor’ and ‘council’ it is constituted as a board and the members have the same duties and responsibilities as directors under the Corporations Act. All directors are nominated by companies within the industry and …
Owner Director Dilemmas: Making Tough Choices
Owner Director Dilemmas: Navigating Tough Choices Sam is an experienced manager and has worked for over twenty years in his industry. He has also sat on two not for profit boards and enjoys the governance role. Now he has an opportunity to buy an equity stake in a small business that has a product and …
51% compliance with the UK Corporate Governance Code Review
Grant Thornton have issued their annual Corporate Governance Review for 2012; which is a review of the annual reports of the FTSE 350 to analyse their compliance with the UK Corporate Governance Code. The headline grabbing figure is that full compliance with the Code has hit a plateau, with 51% of the FTSE 350 being …
10 Myths About Boards of Directors
There are numerous myths that seem to persist about Boards of Directors. Here’s a list of 10 of them. Myth –The phrase “corporate Boards” conventionally refers to statutory, for-profit Boards. However, statutory nonprofit Boards are Boards of a corporation, too, so they’re both “corporate Boards.” Myth — A Board of Directors can delegate its fiduciary …
Different “Schools” of Ethics
In an earlier life, I taught business ethics. (Most of my undergraduate college credits are in philosophy.) So here’s a very concise overview of the major “school”s of ethics that are often taught in business ethics programs. Immanuel Kant’s Categorical Imperative (1700s) Kant asserted that a belief is an ethical principle if, and only if, …
Balancing Power: Managing Demands from Influential People
Issue around management of relationship with Government Minister when on a Government sector board.
Will the EU insist on 40% board gender diversity?
Women on boards has been one of the most contentious topics of the last few years. In the UK, we had the Davies Report in February 2011 which set out a series of recommendations with the aim of increasing female representation to 25% on the boards of FTSE 100 companies by 2015. Although this was …
Hopelessly conflicted? – a dilemma
Rina has asked for your advice. She is a long standing director of a holding company for a large group of companies. The holding company Chairman, Quentin, has been a friend and mentor to her over many years. Recently the holding company bought a stake in a small listed company and Rina was appointed to …
The Director Dilemma: How To Overcome the Damage
Peter has asked for your advice. He is a director of a not-for-profit company in the arts sector. A few months ago his organization’s funding was increased by 40%. The board and management were ecstatic. Shortly after the funding was announced the Chairman informed the board that he had authorised a staff member to change …