New research, focusing on accounting ethics and using a carefully controlled experiment, reveals the power of social influence on the ethical standards of managers. After seeing honest budget reporting from another manager — a peer — a manager is more likely to be honest: despite an incentive to inflate costs to secure a bigger budget, […]
Read More… from How Peers Influence Ethics: Good Eggs and Bad Apples
In recent years, the trust afforded to senior management has eroded significantly, particularly for those executives in finance-related positions. The demise of certain companies sent shockwaves across industries; successful covering up of the actual financial situation a company was in meant regulators, employees and the general public remained unaware till it was too late. Going […]
Read More… from How to Recognize Managements With Something to Hide
