Yahoo CEO

Daniel Loeb, a New York hedge fund manager and who owns a 5. Per cent stake In rube, came out(a) In open to plowshargon his view against the comp whatsoever and Scott Thompson. However, Dan Lyons at The Dally Beast supported Thompson. yahoo was quick to call the steal an inadvertent err but by and by increasing pressure the board hired an outside counsel for the probe ( analysis J, 2012). Thompson, subsequent on sent a memo to the employees apologizing for the scandal (Goldman D, & Epitome J, 2012) Was it appropriate for a giant like bumpkin to call the mistake an inadvertent error?I believe No. If you produce a zero error on your balance sheets, and In the internet function you provide o your customers then this ratiocination would simply be a blunder. COOS actions were ethically irresponsible because he was breaching the trust of board of directors who had hired him, in this case, without verifying his credentials on resume. Also, socially irresponsible because there are investors, people who trust CEO and any such incident on his social occasion does send a rugged signal to them.There are both things to debate upon Should Yahoo fork out fired Scott Thompson the s they found out that he lied on his resume? & Was It ethical on the part of Scott Thompson, considering the session he was In, to stupidly claim the dot he neer received? I would particularly like to be aggressive on each of the two questions. Yes, Yahoo should have immediately fired Scott Thompson the moment the allegations were verified. In doing so, the troupe would have set good example of holding good morals.The CEO is the top most level in any corporate the employees look up to, in terms of role baffle and as a leader. Any allegations on him could set a bad tone down the ladder In the company. Falling to fire him could have sent a bad signal at the lower arrange of getting way with the things and who k instanters many more such cases expertness argue up in the near in store(predicate). According to the consequentiality model, the only thing that matters is the topic of your act. The act, whether right or wrong, decides the fate of the person and of the other people who should likewise bear the consequences (Moldavia, M).The consequentiality model in this case did non apply to the Coos actions. The blowup of his lie cost him his Job and also put the reputation of Yahoo at stake, however on some level It could be argued that he was trying to Improve the existing condition of Yahoo, but not for also long. Also, that did not prove positive to any of the person in the company considering his short tenure. The share prices collapsed and the company was In the limelight for the wrong reason.Also, it is not ethical on the part of any CEO to make false claims in his resume. Had Scott rectified his resume and removed the Computer Science degree from It, exactly the same way have been much different now for Yahoo. Scott, during his short tenure at Yaho o took some crucial stairs of laying off 14% of the employees (Lied, M, 2012) in an effort to improve the financial condition of the company. Had he been there for a longer period, he might have raised the companys financial position and the situation would have been altogether different.However, his small act of not removing the false claim from his resume prove too costly for him and in turn for Yahoo. Communitarians theory of moral reasoning also has no application with Scott Thompson. The theory states to be true to your contracts, whether connotative or explicit, in which you willfully enter (Moldavia, M). However, in this case Scott Thompson signs in the annual report right below the line that says This report does not contain NY untrue statement of a material fact. (Epitome J, 2012, Pl 73) This is complete contradiction to the theory of Communitarians.Another thing to notice is that Scott Thompson did not feel to resign from his position. kind of he sent an apology mem o to all the employees (Goldman D, & Epitome J, 2012). Who knows, Yahoo might have not even accepted his resignation, owing to his future productive plans, similar to the case of Bausch & Lomb CEO Ronald Carmella, who placed his resignation, on aim of false degree claims in his resume, to the board only to be later rejected and then e served another six years out front retiring in 2008.