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Scenario two: responding to wrongdoing
Margaret Goodearl works in a supervisory position in the environmental testing group at Hughes Aircraft. Her supervisor, Donald LaRue, is also the current supervisor for environmental testing. The group that LaRue and Goodearl together oversee test the chips that Hughes makes in order to determine that they would survive under the drastic environmental conditions they will likely face.
Rigorous testing of the chips is the ideal, but some chips (the hot chips) get in line ahead of others. Goodearl has found out that over the last several months, many of these tests are being skipped. The reason: Hughes has fallen behind in the production schedule and Hughes upper management and Hughes customers have been applying pressure to get chip production and testing back on schedule. Moreover, LaRue and others feel that skipping certain tests doesn’t matter, since many of these chips are being used in systems that are in the testing phase, rather than ones that will be put into active use.A few months after Margaret Goodearl started her new position, she was presented with a difficult problem. One of the “girls” (the women and men in Environmental Testing at Hughes), Lisa Lightner, came to her desk crying. She was in tears and trembling because Donald LaRue had forcefully insisted that she pass a chip that she was sure had failed the test she was running.
Lightner ran the hermeticity test on the chips. The chips are enclosed in a metal container, and one of the questions is whether the seal to that container leaks. From her test, she is sure that the chip is a “leaker”—the seal is not airtight so that water and corrosion will seep in over time and damage the chip. She has come to Goodearl for advice. Should she do what LaRue wants and pass a chip she knows is a leaker?
Alternatives
- Goodearl should advise Lightner to go along with LaRue. He is her supervisor. If he orders to pass the chip, then she should do so.
- Goodearl should go to Human Resources with Lightner and file a harassment complaint against LaRue. Skipping tests is clearly illegal and ordering an employee to commit an illegal act is harassment.
- Goodearl and Lightner should blow the whistle. They should go to the U.S. defense department and inform them of the fact that Hughes Aircraft is delivering chips that have either failed tests or have not been tested.
- Your solution….
Scenario 3: goodearl, ibarra, and the amraam incident
Now that Goodearl had few sympathizers among upper management, she increasingly turned to Ruth Ibarra in Quality assurance for support in her concerns about test skipping and the falsification of paperwork.
One day, Goodearl noticed that some AMRAAM chips with leak stickers were left on her project desk in the environmental testing area. The leak stickers meant that the seal on the chips' supposedly airtight enclosure had failed a test to see if they leaked. AMRAAM meant that the chips were destined to be a part of an Advanced Medium Range Air-to-Air Missile. Goodearl knew that these parts could not be retested and needed to be simply thrown away. So why was someone keeping them? She also knew that these were officially "hot parts" and that the company was behind schedule in shipping these parts.After consulting with Ruth Ibarra, the two of them decided to do some sleuthing. They took the chips and their lot travelers to a photocopy machine and made copies of the travelers with "failed" noted on the leak test. They then replaced the chips and their travelers on the desk. Later that day, as Don LaRue passed the desk, Goodearl asked Don LaRue if he knew anything about the chips. "None of your business," he replied. The chips disappeared, and later the travelers showed up in company files with the "failed" altered to "passed." So, Goodearl and Ibarra had clear evidence (in their photocopy of the "failed" on the traveler) that someone was passing off failed chips to their customers. And these were important chips, part of the guidance system of an air-to-air missile.
Source:
OpenStax, Corporate governance. OpenStax CNX. Aug 20, 2007 Download for free at http://legacy.cnx.org/content/col10396/1.10
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