Best Buy, Nike Make List Of 99 Top Ethical Companies. Wait, What?
A business ethics institute named Ethisphere has released its annual list of the 99 "World's Most Ethical Companies." We have to take exception to some of their choices.
We're sort of stunned that some companies made this list, considering how many times they've been the subject of horror stories on Consumerist. In fact, 8 of the companies on Ethisphere's list made our Worst Company in America bracket: Target, American Express, HP, T-Mobile, Best Buy, General Electric, Dell, and Starbucks. Time Warner, which until recently owned another WCIA company, Time Warner Cable, also made the list.
According to Ethisphere, the process for getting included on their list of ethical companies includes the companies applying for inclusion and filling out a survey of their ethical practices. These are reviewed by Ethisphere and the companies are judged in the following categories: "Corporate Citizenship and Responsibility; Corporate Governance; Innovation that Contributes to the Public Well Being; Industry leadership; Executive Leadership and Tone from the Top; Legal, Regulatory and Reputation Track Record; and Internal Systems and Ethics/Compliance Program."
Not included as a category: Whether the Company Steals Your Porn When You Bring in Your Computer for Service.
2009 World's Most Ethical Companies [Ethisphere]
(Photo: lupzdut)
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Comments:
Hmmm - it seems this list is compiled on the merits of the companys' procedure manuals, documentation, contributions to charity, etc. and not the huge pile of anecdotal evidence of weirdness and wrongdoing by individual frontline employees. They might as well just automatically include any company that passes any ISO standard.
Consumer complaints rarely get counted in any of those categories. Maybe "Regulatory and Reputation Track Record" but the average complaint wouldn't register there. The vast majority of Fortune 500 companies have official policies in all of those categories. At one point those might have been good indicators, now they are just one more category on which most companies have some lip-service-y policy.
So the companies fill the surveys out on their own behalf. I guess they accidentally forgot to include all their bad business and unethical practices at the store level.
Just because they have manuals, procedures and specific duties to follow in accordance with whatever they must follow certainly does not mean they follow them.
This list is bogus.
@Applekid:
Say what you will about their business practices, Puppy Kicking, LLC are refreshing straightforward in this age of marketing speak and corporate lies.
This is no different from JD Power inventing a million award categories so every possible angle is covered and then awarding them to paying companies.
"Best mid-sized all-wheel-drive import sedan in initial quality"
Schools do this too. A school in my district was bragging about receiving some award and I found out all they had to pay a fee and get a testimonial from ONE family.
@stephenwdaries: Hear, hear!
Ethisphere deals with internal ethical issues in businesses, not how the business deals with their clients.
Ignore this rabble and move on.
@deadandy: And every student in that family is listed in Who's Who Among Students and they own multiple copies of the book.
@nataku83: Not only that, they're basically self-nominated -- the companies themselves apply to be on the list.
@Belabras Ate My Baby!: No they're not, they kicked my baby instead of my puppy! When I demanded my money back they said I'd have to take it up with their boot suppliers!
Obviously this magazine is bought by and paid for by these companies. Nike owns sweatshops still, Best Buy fixes your computer problem by replacing parts until it starts working again and general electric is in the business of buying and selling entire countries electric supply just so they can raise it's price. Almost none of the companies in that list are ethical, you'd find more ethics in a huge pile of shit.
@magic8ball: Based on the reading I have done here, I sometimes think that "Ethical Corporation" is an oxy moron.
@Canino: Exactly. This is all related to compliance type ethics such GAAP, Sarbanes Oxley, Foreign Corrupt Practices Act, etc. It has very little to do with whether you're an "ethical" company in the sense of treating employees well, having good customer service, exploiting suppliers, environmental policies, etc.
@Applekid: To be fair, with the reorganization that Best Buy is doing, they're treating their employees remarkably well.
Quite frankly, The Consumerist approach to selecting the worst company in America is pretty stupid. It's a self-selecting bunch (Consumerist readers and submitters), and it focuses on popular sentiment based on a relatively few bad examples rather than any substantial data. It's a mistake to believe that a few bad experiences are indicative of those of the public at large.
I'm not saying Consumerist is bad or doesn't work. It's profile is relatively high, and it gets results most of the time for people's complaints. I'm here, and I enjoy it. But it has absolutely *zero* credibility when it comes to picking "The Worse Company in America."
@ARP: Or in Nike's case "look! We developed an eco friendly shoe that's made entirely of cabbage and walnut shells, please ignore the fact that it's made in a sweatshop.."























You gotta wonder what companies they're competing against in this category.
Best Buy v Puppy Kicking, LLC.