148 Part 3: The Decision-Making Process RESOLVING ETHICAL BUSINESS CHALLENGES CrudeOil, a subsidiary of a major energy multinational Madison, who hired in as a salesperson a few that manufactures oil drilling parts around the world, months before Jim took control of the company, was experienced a lag in sales. The board of directors brought continuously in Jim's crosshairs. He told her even though in a new manager to revamp the company. They recom- she made her sales quota, it was not satisfactory. Fur- mended Jim Stone as the new manager because he had thermore, he took credit for her performance at meet- an impeccable reputation for achieving results, and top ings. When her numbers exceeded the quota, he spread managers in the industry liked him because of his west rumors suggesting she wasn't meeting her goals because Texas demeanor. After 18 months, Jim was successful in of problems in her personal life. increasing the company's sales and profits. He began his One day Peter, another salesperson, approached tenure as manager by laying off several salespeople who Madison and asked her how she was doing. Madison had not performed according to his high standards. This looked at him confusedly, and responded, "I'm as fine as made those who stayed with the company uneasy and anyone else here. Why?" they responded in different ways. Some tried to get on Peter answered, "Jim told me you had been in the Jim's good side, while others focused on achieving their hospital lately and you might be suffering from a seri- sales goals and avoiding any type of interaction with him. ous illness." Madison was taken aback. "Peter, Jim is just The problem was Jim's managing style was harsh and saying that because my sales numbers were low this last unpredictable. For example, when a mistake was made, quarter. Believe me, I am fine." Madison sat there infuri- he blamed salespeople he disliked even if it was not their ated that Jim would be spreading rumors about her. fault. On one occasion, Marjorie, one of the newest sales- Madison knew initiating a conversation with Jim people, brought in an unusually big sale. Rather than giv- would not be the way to resolve this issue. She felt she ing her positive feedback, Jim acted like it was a normal would be fired if she confronted him about his behavior occurrence. What was ironic was the company's most or demoted like the other employee. She tried talking to important value was to treat everyone with respect. It others Jim had bullied, but many feared for their jobs and was considered so significant it was printed on a banner preferred to remain silent. She also considered speaking and hung at the front of the office for all to see. When with the board of directors, but she did not know any Jim lost his temper, it often happened while he stood in one of them well and she knew they had a good rela- front of all the employees underneath the banner. tionship with Jim. Some kind of action had to take place His personality really came out when he got angry. because Madison could not work in an environment like At several meetings he would randomly pick out sales- that much longer. Besides, other employees' tolerance people and engage in intimidating behaviors such as would wear out soon and the company as a whole could staring at them for long periods of time, discounting suffer lasting consequences. As Madison walked toward their ideas, or simply ignoring them. Jim treated all of the front door at the end of the day, she avoided looking the employees with intimidating behavior, even the ones at the banner featuring CrudeOil's most important value. he claimed to like. Every so often Jim picked out an employee and make snide comments over the course of several days. He made no excuses about it. QUESTIONS | EXERCISES One day, when one of the employees finally 1. Describe the organizational culture at CrudeOil. How broached Jim about the matter, Jim announced to the does it contribute to the current situation? entire office, "I pick out the employees who are under- 2. How is CrudeOil violating its core value of treating oth- performing. I am the boss, and I need to make sure you ers with respect? What are some ways it could reincor- people make as many sales as possible." He paused and porate this core value into its organizational culture? looked at the expressions on the employees' faces. He 3. If Madison cannot report her problems to her imme- then continued, "Actually, you should make more sales diate supervisor, what are some other ways she can than that!" Jim turned toward his office, laughing as he handle the situation? shut the door. The employee who spoke up was given the "This case is strictly hypothetical; any resemblance to real persons, subsidiary's lesser sales accounts. companies, or situations is coincidental