Boeing CEO Canned for Ethics Violation

That's right, in spite of him having signed his "Code of Conduct" which states that he understands and will adhere to Boeing's highest ethical standards, Harry was still doing a female executive. The following is from the e-mail I just received...

Over the weekend, the Board of Directors asked for and received Harry Stonecipher’s resignation as President and Chief Executive Officer.

Events that led to this action began 10 days ago, when General Counsel, Vice President of Ethics and I received anonymous information regarding a personal relationship between Harry and a female executive of the company. The board took this matter seriously and immediately instructed the General Counsel’s office to bring in outside counsel and lead a thorough inquiry into the facts. All parties cooperated fully and candidly with the inquiry, which determined that there is, in fact, such a relationship.

...the board holds the CEO to the highest of professional and personal standards. We concluded that the facts reflected poorly on Harry’s judgment and would impair his ability to lead the company forward. Finally, Harry’s actions were inconsistent with the Boeing Code of Conduct—specifically, the portion that states “Employees will not engage in conduct or activity that may raise questions as to the company’s honesty, impartiality, reputation or otherwise cause embarrassment to the company.”

The Code of Conduct system was supposed to be the be-all and end-all of Boeing's ethical violations; from the Lockheed proprietary data woes to the Mike Sears/Darleen Druyun scandal. I guess it wasn't such a great system after all. But then again, I could've told you that. In fact, I think I did. Let's see...where are the comments I submitted to my supervisor along with that Code of Conduct form I was forced into signing. Ah yes, here it is...

I would like to note that I am fully in support of adherence to ethical conduct by all employees, at every level of employment within the company. I believe it to be good not just for Boeing, but for the industry and country as well. Too many examples of unethical corporate conduct have come to light in the past several years throughout the nation for the issue to be ignored. (I was referring here to the Enron, Tyco, WorldComm, etc. scandals for which the heads responsible have yet to roll...I doubt they ever will). Having said that, I would like to point out the following:

An ethical employee will adhere to the best ethical practices of a company, which will likely coincide with their own moral guiding, regardless of any formal certification indicating so. Likewise, an unethical employee will sign the Code of Conduct but continue to engage in unethical practices just the same. There is no way to discern the ethical from the unethical based on a signature. Therefore, it proves little – aside from the fact that Boeing senior management is capable of forcing its subordinates into signing, under threat of corrective action and possible termination of employment -- to have employees sign a certification indicating their adherence to Boeing’s Code of Conduct; especially when considering the fact that policies and procedures currently exist which address issues of company ethics. It would seem to be a more genuine indicator, not to mention more “positive, caring, and personal” (I was quoting from paperwork which accompanied "the Code"), to have each employee certify their commitment to ethics voluntarily and not under threat of punishment.

The thrust of the matter is that talking the talk won’t get the job done. Stacks upon stacks of signed Code of Conduct Certification forms will not necessarily make Boeing an ethical company. Boeing will have to walk the walk, perhaps for quite a while, before customer confidence can be regained and the company can again be viewed as trustworthy and ethical. A pattern of ethical behavior is the only indicator of an
ethical company. The coming months, or years, will likely be a painful period of growth during which many may doubt, based on past performance, Boeing’s dedication to ethics. However, it will be necessary, and no amount of signed codes of conduct can change that fact.

In spite of my misgivings as to the benefit of the certification process or to the oppressive manner in which it was carried out, the following is my certification that I have read and understand the Boeing Code of Conduct, that to the best of my knowledge, I am in compliance with the Boeing Code of conduct, and that I will continue to comply with the Boeing Code of Conduct.

Turns out I was right in feeling that us being forced to sign this redundant piece of paper was a complete waste of time and money. (By accepting employment here, we default to accepting the terms of employment, which include an ethical code, the violation of which could result in termination...so what was the point of yearly renewal other than a transparent song and dance?) Harry signed the same damned form we all did...two years in a row. And still, he conducted himself in an unethical manner. Gee, who woulda thought? At the risk of sounding way full of myself, I just have to say, "Damn, it feels great to be right". Now we just need for the Bush maladministration to implode and for everyone to finally see them for the self-serving, manipulative cabal of criminals that they are.