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Harvard Case - Following Lance Armstrong: Excellence Corrupted

"Following Lance Armstrong: Excellence Corrupted" Harvard business case study is written by Clayton Rose, Noah Fisher. It deals with the challenges in the field of Business Ethics. The case study is 21 page(s) long and it was first published on : Jul 10, 2013

At Fern Fort University, we recommend a comprehensive approach to address the ethical lapses and cultural issues exposed by the Lance Armstrong case. This includes implementing robust ethical leadership programs, strengthening corporate governance, and fostering a culture of transparency and accountability within the organization. This will involve a multi-faceted strategy encompassing ethical decision-making frameworks, whistleblower protection, and a commitment to ethical sourcing and sustainability.

2. Background

The case study 'Following Lance Armstrong: Excellence Corrupted' focuses on the downfall of cyclist Lance Armstrong, who achieved unparalleled success in the sport while engaging in systematic doping and deception. The case highlights the dangers of unchecked ambition, the role of leadership in fostering ethical behavior, and the consequences of prioritizing winning at all costs.

The main protagonists are Lance Armstrong, the cyclist at the center of the controversy, and the various stakeholders involved, including his team, sponsors, and the cycling community.

3. Analysis of the Case Study

The case study exemplifies the failure of ethical leadership and corporate governance. Armstrong's actions, fueled by a desire for success and driven by a culture of winning at all costs, led to a systematic cover-up involving multiple stakeholders. This highlights the importance of:

Ethical Leadership: Armstrong's leadership style emphasized winning above all else, creating a culture where ethical considerations were secondary. This lack of ethical leadership allowed doping and deception to flourish.

Stakeholder Theory: The case demonstrates the interconnectedness of stakeholders and the impact of unethical actions on them. Sponsors, fans, and the cycling community were all negatively affected by Armstrong's actions.

Corporate Governance: The case highlights the importance of robust corporate governance structures to prevent unethical behavior. The lack of transparency and accountability within Armstrong's team allowed the doping program to operate unchecked.

Transparency and Accountability: The case underscores the critical role of transparency and accountability in maintaining ethical business practices. Armstrong's actions were enabled by a culture of secrecy and a lack of accountability.

Whistleblowing: The case highlights the importance of creating a safe environment for whistleblowers to come forward without fear of retaliation. The lack of a robust whistleblower system within Armstrong's team allowed the doping program to continue for years.

4. Recommendations

To address the ethical issues raised in the case, Fern Fort University should implement the following recommendations:

1. Ethical Leadership Development:

  • Develop a comprehensive ethical leadership program: This program should focus on fostering ethical decision-making, promoting a culture of integrity, and emphasizing the importance of ethical behavior at all levels of the organization.
  • Promote ethical leadership through training and mentorship: Provide training on ethical decision-making frameworks, such as the 'Four-Way Test' and the 'Golden Rule,' and encourage mentorship programs where senior leaders can guide and support junior employees.

2. Strengthen Corporate Governance:

  • Implement a robust code of conduct: The code of conduct should clearly define ethical expectations for all employees and provide guidance on navigating ethical dilemmas.
  • Establish an independent ethics committee: This committee should be responsible for investigating ethical complaints, providing guidance on ethical issues, and ensuring compliance with the code of conduct.
  • Implement a whistleblower protection program: This program should encourage employees to report ethical concerns without fear of retaliation and provide a safe and confidential channel for reporting.

3. Foster a Culture of Transparency and Accountability:

  • Promote open communication and transparency: Encourage open dialogue about ethical issues and create a culture where employees feel comfortable raising concerns.
  • Implement a system of accountability: Hold employees accountable for their actions, including disciplinary measures for ethical violations.
  • Regularly review and update ethical policies and procedures: Ensure that policies and procedures are up-to-date and reflect the evolving ethical landscape.

4. Embrace Ethical Sourcing and Sustainability:

  • Implement a comprehensive ethical sourcing policy: Ensure that all suppliers adhere to ethical labor practices, environmental standards, and fair trade principles.
  • Promote sustainable business practices: Implement green business practices to minimize environmental impact and promote sustainability throughout the organization.

5. Basis of Recommendations

These recommendations are based on the following considerations:

  • Core competencies and consistency with mission: The recommendations align with Fern Fort University's mission to promote ethical behavior and responsible leadership.
  • External customers and internal clients: The recommendations aim to protect the interests of all stakeholders, including students, faculty, staff, and the broader community.
  • Competitors: By embracing ethical practices, Fern Fort University can differentiate itself from competitors and attract students and faculty who value ethical leadership.
  • Attractiveness ' quantitative measures if applicable: Implementing these recommendations can enhance the university's reputation, attract top talent, and improve its financial performance in the long run.

6. Conclusion

The Lance Armstrong case serves as a stark reminder of the importance of ethical leadership and corporate governance. By implementing the recommendations outlined above, Fern Fort University can create a culture of integrity, accountability, and transparency, ensuring that ethical considerations are at the forefront of all decision-making.

7. Discussion

Alternatives Not Selected:

  • Ignoring the issue: This would be a significant risk, as it would send a message that ethical behavior is not a priority.
  • Implementing a superficial ethics program: A superficial program would not be effective in addressing the root causes of ethical lapses.

Risks and Key Assumptions:

  • Resistance to change: Some individuals may resist the implementation of these recommendations.
  • Cost of implementation: Implementing these recommendations will require investment in training, resources, and infrastructure.
  • Assumption of commitment: The success of these recommendations depends on the commitment of leadership and all stakeholders.

8. Next Steps

  • Develop a detailed implementation plan: This plan should outline the specific steps, timelines, and resources required to implement the recommendations.
  • Communicate the plan to stakeholders: Ensure that all stakeholders are informed about the plan and its rationale.
  • Monitor progress and make adjustments: Regularly monitor the progress of implementation and make adjustments as needed.

By taking these steps, Fern Fort University can learn from the mistakes of Lance Armstrong and create a culture of ethical leadership and responsible behavior.

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Case Description

After years of vigorous denials, on January 14, 2013 Lance Armstrong admitted in a television interview with Oprah Winfrey that he "doped" in each of his record seven consecutive Tour de France victories, confirming the findings a few months earlier by the US Anti-Doping Agency that he had orchestrated "a massive team doping scheme, more extensive than any previously revealed in professional sports history." Until that moment with Oprah, Armstrong had consistently and strenuously denied using performance-enhancing drugs (PEDs), blood transfusions, or other artificial enhancers to compete in the grueling, three-week race throughout France. He verbally thrashed, bullied and threatened legal action against riders, journalists, race officials, and anyone else who had suggested he had cheated. This case explores Armstrong's leadership of a corrupt culture, the extensive nature of the cheating scandal among elite athletes, the decisions taken by other riders to both support Armstrong and his scheme and ultimately to admit to cheating, and the costs borne by those associated with Armstrong. It allows for discussion of the responsibilities that leaders have to followers, and that followers have to themselves and to others.

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