Ethics in the Consulting Industry: Reality or Illusion?

In the years after the 2008 recession, businesses are regaining their momentum, and the economy has begun flourishing again. In the wake of the most ferocious financial earthquake of the past 80 years, society continues to feel its tremors. Is this an indicator of evolvement and growth? Or is it a warning of an even more catastrophic phenomenon on the horizon? Unemployment is down and a lot of economists are optimistic about the future. Organizations are expanding globally, and leaders are striving to install their names with their companies’successes. But is this enough? Is success and welfare the only measures of success? Do leaders of organizations decide in support of the well-being of the enterprises, or do they follow their particular narrow ambitions? The quest for personal interests is the initiator of a capitalist economy, but that will not justify actions that harm organizations, the folks they serve, or society as a whole. And so the “do no harm” business ethics debate rages on, expanding and infecting the “trusted advisers” of the consulting industry
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Consultants Should Do No Harm

In management consulting, executives and consultants are primarily responsible for creating value and safeguarding the interests of the clients, however they ought to also protect society by pursuing their goals in a moral manner. Of course, they focus on the clients’businesses making sound profit, shareholder equity and continuous growth, nonetheless it can be their responsibility to align the interests of these clients with the typical good.

They have an obligation to identify there are multiple stakeholders, customers, employees, society and the environmental surroundings, not only shareholders and management. They should act with the most integrity, and serve the higher good, by having an enhanced sense of joint accountability. It is essential to understand that their actions have profound consequences for all, inside and outside the corporation, now and in the long run. Consulting companies, should focus more on ethical guidance, while they hold significant influence over many companies’strategy and plans.

Consulting companies (strategy, management, accounting, etc.) have an obligation to advise their clients on how best to build their successful enterprises on a solid foundations, and to greatly help them achieve sustainable economic, social, and environmental prosperity. It’s their responsibility to not distort or hide the truth behind facts, but to describe the reality and promote transparency. They have to also demonstrate for their client’s ethical ways to achieve their goals. But is this what’s happening today?

Double-dealing, Fraud, Corruption, Insider trading and that’s just the end of the iceberg

When we have a close look at incidents that have occurred in the recent past, we locate a rotten record of behaviors in the management consulting industry. Numerous examples exist of partners and employees of major management consulting firms being involved with illegal and unethical scandals, in efforts to retain clients and to harvest personal gains. This is a common among people who put their profits before customers.

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