Management: Analysis of Enron and Ethical Considerations

This article provides an analysis of Enron and its ethical considerations, highlighting the importance of ethical leadership in organizations. It discusses the factors that led to Enron's downfall and suggests recommendations for improvement. The article also explores the author's personal thoughts and feelings about the experience.

Running head: MANAGEMENT
Management
Name of the student
Name of the university
Author’s note

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Table of Contents
Description of the experience.....................................................................................................2
Feelings and thoughts about the experience...............................................................................2
Evaluation of the experience......................................................................................................3
Analysis to make sense of the situation.....................................................................................4
Conclusion..................................................................................................................................5
Action plan.................................................................................................................................6
Bibliography...............................................................................................................................7

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Description of the experience
The description of the experience from the analysis of the article written by Gini
(2004) has helped me to understand that whatever is considered is old can be considered as
new again. The field related to business ethics is taken into consideration with emphasis on
recent corporate examples. The focus is on the post Enron era and the manner in which Enron
have managed to transform itself to a chief pariah in the society.
The experience gathered from the analysis of the article is that legal guidelines and
requirements need to be met so that ethical considerations in the business can be taken into
account. As stated by Klenke (2016) the codes related to the ethical standards need to be
understood that can help in understanding the manner in which issues within business can be
considered. In this regard, it can be said that the analysis have provided a simple analysis to
the possibilities of the change in the behaviour of Enron.
The experience can be connected with the issue that leads to greed and the challenges
brought about in the application of Enron. The success achieved by Enron is in the middle of
the boom days and the market euphoria can help in the money making activity of the
organisations.
Therefore, it can be said that the culture related to moral leadership need to be
considered for the development of organisational success. It has been seen that the ethical
values, ideas and standards may have its origin within an organisational structure.
Feelings and thoughts about the experience
Based on the experience received after the analysis of the article, I have to ensure that
I limit my remarks to the moral dimension that exists among leadership. The fact that the

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performance of every individual leader needs to be accounted with the ethical policies that
exist in the organisation is one of the gains, which have been received from the experience.
However, the challenge that I faced was the fact that I do not belong to the field of
management and so understanding the message and conveying it was considered as critical
for success. I have also developed a thought that states that leaders and leadership are not
synonymous but cannot be separated based on the job profile of the leadership.
I have also made arguments about the fact that leadership is mainly value and vision
laden and thus, belief over the leadership techniques are made irrespective of the
consequence as well as the results. I have also developed feelings and thoughts about the
normative standards, demands and expectations which are usual or unusual in business.
The fact that ethics begins with the recognition that we are not alone provides for the
thoughts related to ethical consequences as well as the rights and obligations that can be
shared with one another (Pianpeng & Koraneekij, 2016). Therefore, it can be said that a
climate of trust need to be maintained so that direct connection can be made between the
ethical integrity of leadership as well as the leadership styles.
Evaluation of the experience
Based on the analysis of the experience, an evaluation can be made that can help to
understand the strengths and weakness, rights and wrongs undertaken in the analysis of the
article. The experience have led to the rise of issue related to greed and the fact that
eliminating the greed from the society can be considered as an advantage for the development
of the topics.
Furthermore, it can be said that another good experience that has been gained from
the analysis is the fact that ethical leadership tends to have a positive impact on the

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development of an organisation. The analysis of the Enron and the fact that greed within the
organisation has been existent in the past sheds light to the fact that money making in a legal
manner can lead to success in the organisation.
On the other hand, the bad experience that is gained from the analysis of the article is
that only the example of Enron has been provided and the culture related to moral leadership
have not been understood in a proper manner. I have limited knowledge about management
and due to being an amateur in the field I failed to conduct effective analysis of the article.
Gaining a climate of trust proved as a challenge and I had to ensure that research is
made on the analysis of the trust factors affecting the leadership profiles. The effectiveness of
trust has not been capitalised properly in the analysis that has been made.
Analysis to make sense of the situation
An analysis can be made to ensure that the situation faced by Enron can be used to
understand the development needed for maintaining ethical consideration. A simple response
that can be provided to the behaviour of Enron is the fact that it was all about money for the
company. As stated by Ebenhöh and Spelberg (2018) this can be considered as a novel thesis
based on which the collective ethical consideration of Enron can be kept in mind and the
success that the company have managed to achieve.
The full extent of the capability of Enron can be understood easily to determine the
greed and arrogance shown by the company and its partners. At the same time, from the
analysis I have been able to see that factors like hubris, money, greed and arrogance are only
the partial causes for the downfall of Enron. Thus, the analysis provides evidence to the fact
that lack of proper corporate structure along with corporate culture is the reason for the
downfall of Enron.

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In this regard, I can talk about the manner in which ethical leadership can help in
bringing about a reprieve to the work performance of Enron and thus, ensure that overall
vision, mission as well as the tone for the day can be taken into account for the development
of the objectives of Enron. Thus, effective leadership need to be created with emphasis on the
communication of the organisation.
Conclusion
Hence, a conclusion can be made about the learning derived from the experience. It
can be said that the position of Enron can be considered as a recent example that may lead to
ethics, trust as well as leadership issue within the organisation. The magnitude and the
dissolving of Enron can highlight the importance of ethical consideration and the manner in
which Enron can try to salvage the pride that it possesses.
In my opinion, I have found that the reasons for the failure of Enron can be attributed
to improper management, mistakes and malevolence. It has already been stated that money is
only the partial reason for the failure of Enron and that leadership ethics and trust exist as a
body of knowledge. My contribution to the article is that I have been able to find out these
reasons and the ultimate factors that have led to the failure of the company.
However, I failed to provide proper recommended actions that could have helped
Enron to rebuilt their reputation in the market and ensure that evil such as greed is cursed
away from existence in the market operated by Enron. With another chance to re-examine the
article, I could have been noted down ways to improve the organisation.
For my personal achievement I would want to enhance my knowledge on
management namely, the concept of leadership, ethics and the manner in which both the

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concepts can be linked to understand the obvious and simplest response about the failure of
Enron.
Action plan
In the future, if similar situation is provided to me I would like to enhance my
knowledge about management. This can help me to conduct proper research about the topic
and make analysis based specifically on the concerned topic. I would like to ensure that
proper recommendation is provided to Enron in the hopes that I can help other companies
with similar problems to overcome any possible flaws in the business.
I would take a look at the economic development of the country as well as conduct a
budgetary analysis of Enron so that I can understand the reason behind the greed in a proper
manner. Along with this, changes that I would like to make to the company are based on the
recommendations provided for improving its leadership skills. It is clear that mismanagement
along with other factors have brought about downfall of Enron. I would use my knowledge as
a leader and try to fix the problems in the company.
At the same time, I need to undertake more examples that can help me to continue
with my work and ensure that I gain the maximum result which can help Enron and for the
success of my research. I would also maintain changes that help in highlighting the financial
position of Enron and the manner in which the company can contribute for the beginning of a
proper management system. The application of these changes will be implemented in the
organisation.

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Gini, A. (2004). Business, ethics, and leadership in a post Enron era. Journal of Leadership &
Organizational Studies, 11(1), 9-15.
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Leadership, 3.
Klenke, K. (2016). Qualitative research in the study of leadership. Emerald Group Publishing
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Tonni, I., Mora, L., & Oliver, R. G. (2016). Postgraduate orthodontics students’ and mentors’
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