Explain the relationship between an employee’s position and the level
of theft (according to Hollinger and Clark’s research).
3-8
Describe corporate governance breakdowns in the facilitation of
Enron’s fraudulent acts.
3-9
Identify ethical issues, conflicts of interest, and noncompliance with
corporate policies and procedures in the Enron case.
Part 2:
Short Case: Respond to the questions asked at the conclusion of the
following case:
Sarah Ferguson worked for Hawks Consulting Group (HCG) as the
executive secretary in the administrative department for nearly 10
years. Her apparent integrity and dedication to her work earned her a
reputation as an outstanding employee and resulted in increased
responsibilities. Her present responsibilities include making
arrangements for outside feasibility studies, maintaining client files,
working with outside marketing consultants, initiating the payment
processes, and notifying the accounting department of all openings or
closings of vendor accounts.
During Sarah’s first five years of employment, HCG subcontracted all of
its feasibility and marketing studies through Cambridge and Company.
This relationship was subsequently terminated because Cambridge and
Company merged with a larger, more expensive consulting group. At
the time of termination, Sarah and her supervisor were forced to select