Appeared on September 21, 2008
Though ethics will likely get a more thorough going-over in the classroom now, the practices of employers will continue to have a bigger influence on behavior, said Edward Nelling, finance professor at Drexel University’s LeBow College of Business. “If there is a lesson to be learned, it’s ultimately for the leaders, the executives and directors of companies to establish a culture that does not reward unethical behavior,” Nelling said.“Part of the problem now is reward systems were set up for people just based on the volume of business - ‘Let’s get these loans written and approved. We’re not going to worry so much about the underlying risk.’ “Better behavior, he said, “has to start at the top and work its way down the organization.”