Presentation on theme: "The Ethical Organization Dan Warmenhoven. NetApp Today Current as of February 2005 $ Millions 50% CAGR 1,170 Founded in 1992 Headquarters: Sunnyvale,"— Presentation transcript:
The Ethical Organization Dan Warmenhoven
NetApp Today Current as of February 2005 $ Millions 50% CAGR 1,170 Founded in 1992 Headquarters: Sunnyvale, CA FY2004 Revenue: $1.17B 3,500+ employees Distribution in 120 countries Over 56,000 installed systems $2.2 B balance sheet; $1.1 B in cash & investments No long-term debt S&P 500 and NASDAQ 100
What is Business Ethics? Business ethics is an opportunity to differentiate yourself and your company
Can Ethics be Legislated? Sarbanes-Oxley Act, SOX –Section 404 –Public Company Accounting Oversight Board, PCAOB SEC 17 a - 4 NASD Conduct Rules Health Insurance Portability & Accountability Act, HIPAA Graham-Leach-Bliley Act California Senate Bill 1386 Patriot Act GxP Data Protection Act GoBS Basel II
Ethics Start with Values Corporate Policy Law VALUES Ethical Behavior
The Stakeholders Customers PartnersNeighbors EmployeesShareholders
Create a Model Company by: Driving customers’ success and earning their loyalty through products, services, knowledge sharing and other solutions that further the appliance concept, delivering unparalleled value, Providing our shareholders with exceptional value through predictable performance and significant growth in revenues and profits, Attracting and retaining performance oriented employees who thrive in a challenging and supportive environment, and are recognized and rewarded for their achievements and contributions, Developing and nourishing partnerships to deliver superior solutions for our customers, and Maintaining good relationships with neighbors and communities where we work.
Create a Model Company Trust and Integrity Leadership Teamwork and Synergy Simplicity Go Beyond Get Things Done! Network Appliance is committed to achieving market leadership through living its values and embracing these principles.
Ethical Dilemmas Outsourcing jobs to lower income regions How to treat whistleblowers Tax minimization strategies Preferential hiring of women and minorities Employment of (illegal) migrant workers Corporate donations to non profit organizations Business practices in China and Indonesia
Business Ethics Applied Business Results Law Values
An Ethical Foundation “While I am grateful for the education that the School provided me, I am more grateful for the sense of ethics, morality, and social compassion that you impressed upon a very impressionable person…These lessons and values come back to me on a daily basis, and are even more valuable in this increasingly moral-less society fixated on financial and material wealth. In the business world, it never ceases to amaze me that the subject of ethics and social responsibility are devoid in almost every discussion and decision. While I work with some very bright and highly educated people, it amazes me how many of these people have seemingly not developed any moralistic or ethical foundation…” Joseph P. Brunetti Bellarmine College Prep, Class of 1983
Leaders Must “Walk the Talk” Define and communicate the values that guide the organization’s decisions and actions Build a shared understanding of what the organization is about and how it should operate Build and maintain the organization’s culture Model the behavior you expect from the organization –“Catch someone doing something right” Remember that with rights, you also have responsibility
The Ethical Corporation The behavior cannot be legislated Must be evaluated for 5 constituent groups Is a combination of strong values and leadership by example