HBO Presentation (Graft & Corruption)

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ORGANIZATIONAL SYSTEMS Reporter: Ms. Pearl Justo / Mr. Marlon D. Jaranilla 1. Formal and Informal Organization 2. Models of Organization Behavior a. Autocratic b. Custodial c. Supportive d. Collegial e. Hybrid (Type Z) 3. Graft & Corruption

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Report on HBO (Organizational Systems & Graft & Corruption)

Transcript of HBO Presentation (Graft & Corruption)

ORGANIZATIONAL SYSTEMS

Reporter: Ms. Pearl Justo / Mr. Marlon D. Jaranilla

1. Formal and Informal Organization

2. Models of Organization Behavior

a. Autocratic

b. Custodial

c. Supportive

d. Collegial

e. Hybrid (Type Z)

3. Graft & Corruption

Organization achieve their goals bycreating, operating andcommunicating an organizationalbehavior system. These systemsexist in every organization, althoughthey have a greater chance of beingsuccessful if they have beenconsciously created by drawing uponthe constantly growing behavioralscience base of knowledge.

GRAFT and CORRUPTION Definition:

CORRUPTION

An act done with an intent to give some advantage inconsistentwith official duty and the rights of others. It includes bribery, butis more comprehensive; because an act may be corruptly done,though the advantage to be derived from it be not offered byanother.

Is the violation of norms of duty and responsibility for personalgain. This includes embezzlement, where public funds are used forone’s own benefit’s; nepotism, where friends, relatives andassociates are appointed to public office on the basis personalrelationship rather than merit.

To misuse of a position of trust for personal gain. Even thoughcorruption can be present in any sphere of life, it usually refers topolitical corruption. By political corruption, we mean the illegitimateuse of government powers by the officials for their personalpurposes. Political corruption influences the state or country inmany ways and hinders the overall development of the region.

GRAFT and CORRUPTION GRAFT

The acquisition of money, power, etc., by dishonest orunfair means, especially by taking advantage of a positionof trust.

TYPES OF CORRUPTION

BriberyRequires two participants: one to give the bribe, and oneto take it.

Bribery produces cynicism and a general distrust ofinstitutions.

Trading in influencerefers to the situation where a person is selling his/herinfluence over the decision process involving a third party(person or institution)

GRAFT and CORRUPTION Graft

While bribery includes an intent to influence or be influencedby another for personal gain, which is often difficult to prove,graft only requires that the official gains something ofvalue, not part of his official pay, when doing his work.

Patronage

Refers to favoring supporters. It can be seen as corruptionif this means that incompetent persons, as a payment forsupporting the regime, are selected before more ableones.

Nepotism and cronyism

Favoring relatives (nepotism) or personal friends (cronyism)of an official is a form of illegitimate private gain.

GRAFT and CORRUPTION Electoral fraud

is illegal interference with the process of an election.Acts of fraud affect vote counts to bring about a electionresult, whether by increasing the vote share of the favoredcandidate, depressing the vote share of the rival candidates orboth. Also called voter fraud, the mechanisms involvedinclude illegal voter registration, intimidation at polls andimproper vote counting.

Embezzlement

is outright theft of entrusted funds. It is amisappropriation of property.

Kickbacks

A kickback is an official's share of misappropriated fundsallocated from his or her organization to an organizationinvolved in corrupt bidding.

GRAFT and CORRUPTION Unholy alliance

coalition among seemingly antagonistic groups, especiallyif one is religious, for ad hoc or hidden gain. Likepatronage, unholy alliances are not necessarily illegal, butunlike patronage, by its deceptive in nature and often withgreat financial resources, an unholy alliance can be muchmore dangerous to the public interest.

Corruption exists only when there is an opportunity.

The removal of the opportunity therefore tends to stopcorruption.People behave and continue to be honest and efficientwhen they know they will be checked at anytime.

When does business gift become a bribe?

Business gift giving has always been common andcontentious at the same time. Business gifts are usuallyseen as an ‘advertising, sales promotion and marketingcommunication medium’. Usually there are three (3)reasons why business practiced gift giving: (a) inappreciation for past client relationships, placing a neworder, referrals to other clients, etc.; (b) in the hopes ofcreating a positive, first impression which might help toestablish an initial business relationship; and (c) givingmay be perceived as a quid Pro quo (meaning: returning afavour or expecting a favour in return for something).

Most observers agree that there is a very fine linebetween business gift giving and bribing, and it isseldom clear when the line is crossed.

However, the implications of getting it wrong can havesignificant impact on the company’s performance, andcreate a number of legal, ethical and brand-relatedissues.

Contents

Context

Culture

Conclusion

Graft and corruption, admittedly is difficult to probe or either tostop. Written policy and in-acted laws is good only as deterrent tools incombating illegal practices both in government and private businesssector of our society. On the hand, no amount of written policy, laws thatcan stop a more determine person to commit such illegal practices. Thisis a complex area of policy-making, but as the discussion aboveillustrate, businesses must engage in defining and maintaining a clear andconsistent policy towards gifts. Given the convention, and the beneficialeffects of gifts on business, they can not be ruled out altogether. Butextreme care must be taken – as improper gifting can create legal issues,affect the morale, corrupt the employees and destroy the brand.Discretionary gift giving appears to be the key. The difficult partactually remains in creating a robust company culture, and avalue system which rejects bribing in any form. With keenerregulators and invasive media, it is increasingly clear that businessesmust operate with a high ethical standard to survive. One may hope,therefore, that executive intent will not be in short supply.

The three Dimensions of business gift vs. bribe