Decision Point: (3Pts} Shel-run Watkins Sherron Watkins, a VP at Enron, sent a memo to CED Ken Lay expressing concerns about the company's questionable accotmting practices. She was hoping to turn things around in order to right the wrongs before they were exposed to the public. She brought to his attention the fact that many people knew about. or were suspicious about, the inappropriate behavior occurring at the rm and that they would not be able to hide it much longer. She also voiced her concern for the investors as well as for the Enron employees that she lenew were aware of the notation and were almost desperate for the company to get caught. Watkins was featured on the cover of Ions magazine after Enron's collapse and honored as a cta'porate whistleblower. although she never shared her concerns with anyone other than Ken Lay before \"blowing the whistle." Was Watkins an ethical hero in talcing these steps? Should she have gone further in reporting potential wrongdoing to outside authorities? As in the case of Aaron Feuerstein. This can be another opportunity to raise the distinction between ethically obligatory acts and heroic acts [ethically praiseworthy, but not required}. Students are asked to consider the following questions in determining whether Watkins was an ethical hero: 1. What facts would you want to know before making a judgment about Watkins? What ethical issues does this situation raise? (dpts) 2. Besides Kennett: Lay. who else might have had an interest in hearing from Watkins? Who else might have had a right to be informed? Did Watkins have a responsibility to anyone other than Lay? {Spts} 3. Elmer than informing Lay. what other alternatives might have been open to Watkins? {ths} 4. What might the consequences ofeach ofthese alternatives had been? {Sptsj 5. From this section of the memo. how would you characterize Wattdnsl motivation? What factors seem to have motivated her to act? {Spts} ti. If you were Ken Lay and had received the memo. what options for neat steps might you have perceived? Why might you have chosen one option over anott.ie:I"'.t [5pm] ?. Do you think Watkins should have taken her concerns beyond Kenneth Lay to outside legal authorities? {Spts}