Dateline: Mon, 04 Jan 2010
freeNewsArticles Story Summary: “LAGUNA BEACH, Calif. (SEND2PRESS NEWSWIRE) — Hardly a week goes by without some sort of unethical behavior making national headlines. Whether it is a media hoax about a boy in a balloon or a Ponzi scheme of the highest caliber, unethical behavior has – sadly – become expected?? Dr. Robert Hoyk, is a Clinical Psychologist and primary author of ‘THE ETHICAL EXECUTIVE: Becoming Aware of the Root Causes of Unethical Behavior: 45 Psychological Traps that Every One of Us Falls Prey To’ (Stanford University Press; ISBN: 978-0804759656).”
A R T I C L E:
Galleon Founder Raj Rajaratnam Trapped!
LAGUNA BEACH, Calif., Jan. 4 (SEND2PRESS NEWSWIRE) — Hardly a week goes by without some sort of unethical behavior making national headlines. Whether it is a media hoax about a boy in a balloon or a Ponzi scheme of the highest caliber, unethical behavior has – sadly – become expected?? Dr. Robert Hoyk, is a Clinical Psychologist and primary author of “THE ETHICAL EXECUTIVE: Becoming Aware of the Root Causes of Unethical Behavior: 45 Psychological Traps that Every One of Us Falls Prey To” (Stanford University Press; ISBN: 978-0804759656, hardcover). Hoyk analyzes treacherous situations from Enron to Jonestown and personal scenarios throughout “The Ethical Executive.”
He is a remarkable source to help others understand the “Why” of these dilemmas and any new ones that are likely to present themselves. Hoyk’s analysis of the recent indictment of Raj Rajaratnam for insider trading explains this further:
Rajaratnam founded the Galleon Group in 1997. Galleon became a success when its analysts were privy to early, selective market information such as corporate earnings. With the new Regulation Fair Disclosure rules of 2000, Galleon could no longer obtain selective market information legally. But getting the banned information remained a prime tactic of Galleon. And pressure was severe on traders to get it. Traders who didn’t make the grade were rebuked or fired.
It’s likely that Galleon was caught in five psychological traps:
Trap 13: “Don’t Make Waves”: Galleon became a success by obtaining early, selective market information. This strategy became a norm of the company and like an automatic pilot led Galleon down the path of corruption.
Trap 11: Conformity: Traders who were against the insider trading or newly hired traders were likely to follow what the group was doing.
Trap 12: Conformity Pressure: Traders who didn’t follow the norm or what the group was doing were rebuked or fired.
Trap 24: Desensitization: The more Rajaratnam and his traders committed insider trading the more their guilt decreased. Over time, with repeated exposure, people emotionally habituate to any type of distress-including guilt. You commit a transgression once, it engenders guilt; you commit the transgression again and again, your guilt is deadened.
Trap 37: Doing Is Believing: Frequently, we observe our own behavior. In so doing, we influence our attitudes about our actions. If we choose to act unethically, the act itself will shape our beliefs and attitudes about our transgression. To some degree we will begin to see the transgression as more acceptable. As Rajaratnam and his traders committed insider trading they automatically began to view their transgressions in a less negative way.
More information, or to contact Dr. Robert Hoyk: www.theethicalexecutive.com.
###
Copyright © 2010 by Robert Hoyk, PhD and Send2Press® Newswire, a service of Neotrope® – all rights reserved. Information believed accurate but not guaranteed. Sourced on: freeNewsArticles.com.
• Web Image (72dpi): https://www.send2press.com/mediaboom/10-0104-Ethical_72dpi.jpg
• Story Title: Dr. Robert Hoyk, Author of 'The Ethical Executive' is Expert Source to Understand 'Why' of Scandals
• REFERENCE KEYWORDS/TERMS: The Ethical Executive, , , Robert Hoyk PhD, Books and Publishing, , , .
IMPORTANT NOTICE: some content which is considered “old” or “archival” may reference an event which has already occurred; some content possibly considered “advertorial” may also reference a promotion or time-limited/sensitive offering, and in all of these instances certain material may no longer be valid. For notably stale content, you should directly contact the company/person mentioned in the text (Robert Hoyk, PhD); this site cannot assist you with information about products/services mentioned in the news article, nor handle any complaints or other issues related to any person/company mentioned or promoted in the above text. Information believed accurate but not guaranteed as of original date of story [Mon, 04 Jan 2010 12:29:36 GMT].
USE THIS CONTENT FOR FREE: To use this content in your newspaper, broadcast outlet, news portal, blog/ezine or similar, free of cost, CLICK HERE to learn how.