special projects department of American Conductor, Inc., a large manufacturing
company. The president, William Brown, asks you on very short notice to prepare
some sales and income projections covering the next 2 years of the company’s
much heralded new product lines. He wants these projections for a series of
speeches he is making while on a 2-week trip to eight East Coast brokerage
firms. The president hopes to bolster American’s stock sales and price.
You work 23 hours in 2 days to compile the projections, hand
deliver them to the president, and are swiftly but graciously thanked as he
departs. A week later you find time to go over some of your computations and
discover a miscalculation that makes the projections grossly overstated. You
quickly inquire about the president’s itinerary and learn that he has made half
of his speeches and has half yet to make. You are in a quandary as to what to
do.
Address the following questions:
1. Please define the word ‘ethics’ and summarize what issues/ramifications might apply to this example.
2. What are the consequences of telling the president of your gross miscalculation, both ethical and non-ethical?
3. What are the consequences of not telling the president of our gross miscalculations, both ethical and non-ethical?
4. Are there other ethical implications or issues that you and the president need to consider in this situation?
