Category Archives: coruption

Three reputation management reasons explain why Penn State and the NCAA settled so quickly

In the United States, the Jerry Sandusky scandal has gripped college sports unlike any scandal it has ever faced. The story centres on his criminal convictions for sexually assaulting young boys when he was a coach at Penn State and … Continue reading

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The Bureaucrat and the Banker: Bob Diamond’s downfall

Bob Diamond is a shrewd, powerful, deal maker who does not understand bureaucratic politics. On Wall Street, or in the City, your word is your bond. If you cannot keep your word, you cannot do business. Lehman Brothers collapsed in … Continue reading

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Thoughts on Barclays, Diamond, and a corporate culture in crisis

As I read the report published by the Financial Services Authority (FSA) for the fine of £59 million against Barclays Bank for the recent LIBOR fixing scandal, I was struck by how Bob Diamond’s letter to Andrew Tyrie seemed to … Continue reading

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RBS vs. Lehman Brothers failures in leadership, culture, and regulators.

In January 2012, the Financial Services Authority published its report on the Royal Bank of Scotland’s (RBS) failure. The report is surprisingly candid. It is also a rarity.  The FSA does not usually publish its regulatory reports. However, the size … Continue reading

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Good Corporate Citizen or Good Person: check your ethics at the door?

With the recent financial crisis hitting the world, there have been a several attempts to understand what went wrong with the system.  A financial and economic system that delivered staggeringly good results and provided economic benefits to billions of people … Continue reading

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Risk cannot be conquered: Has Wall Street forgotten Machiavelli’s lessons?

In chapter 25 of Machiavelli’s Prince, we see the problem of fortune and the challenge it presents to a prince.  In this instance, we are using fortune to refer to risk.  The two are not exactly the same so one … Continue reading

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Tax Avoidance: Barclays and the death of Corporate Social Responsibility?

Tax Avoidance: Barclays and the death of Corporate Social Responsibility? Why do we pay taxes? Everyone grumbles about having to pay taxes and worries about paying too much, but how many of us worry about paying enough?  How many of … Continue reading

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Why do companies obey the law? Compliance in a self-regulated business is habit that needs to be nurtured.

One of the challenges faced by businesses is how sustain compliance with corporate governance rules.  The recent corporate scandals such as Enron, WorldCom and others shows what happens when the internal corporate culture diverges from corporate governance.  The challenge is … Continue reading

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The myth of the rogue employee: rotten barrels create rotten apples

Often people will say that a problem has happened because of one “rogue” employee (reporter, cop, trader, or whatever). This is a myth, a dangerous myth. Why is this a myth? All employees work and operate within an organisational context. … Continue reading

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