My Two Cents: Living With Corporate Falsehood
By Dom Serafini
Can TV executives admit
mistakes? I mean, can someone an-nounce to the world that a particular decision
was an unfortu-nate one and still have a job? The answer is a definite no,
since our business, like many others, rewards falsehoods, not sincer-ity.
According to Brad Blanton, psychotherapist and author of Radical Honesty:
How to Transform your Life by Telling the Truth (Dell, 1996), Most
people dont speak the truth for fear of the consequences. Plus,
the business environment encourages insincerity. Indeed, when an executive
lies nowadays, its called strategy.
We too, in the press, are often accused of insincerity. As the expression
goes, news
is not the truth and the truth is not news. But, in my view, the advertising
sector is, in general, more prone to deceit than the press, thus mitigating our
degree of insincerity since, at this point, we can only talk about degrees.
In a recent interview promoting his new movie Pinocchio, Oscar winner
Roberto Benigni stated that only children and fools tell the truth, which
brings us to the realization that lies in the business world are as old as the Emperors
New Clothes fable.
But thats not all. Nobel Prize co-winner for Economics, Daniel Kahneman,
observed that it is better to criticize than to compliment an achievement, since
a compliment could result in a diminished performance. This creates a perpetual
impetus for the executive to lie to subordinates. According to Prof. Stephen
Leeder, Dean of the School of Medicine, University of Sydney, Lying diminishes
the autonomy of the other.
To Paul LaFontaine, a former Bertelsmann Music Group project manager, There
are as many lies in business as there are people in business. Indeed, in
a survey of 40,000 Americans, 93 percent admitted to lying regularly and
habitually in the workplace.
In effect, sincerity in business is a paradox because business is an activity
regulated by a Catch-22 law: If one claims to be honest, he has to
cleanse his past by demonstrating that he was dishonest. But, in doing so, he
proves that hes basically dishonest. And, as in Joseph Hellers novel,
when a business nears the numbers, these stakes are raised.
The 17th century philosopher John Locke argued that the laws of nature
mandate that we should not harm anyones life, health, liberty
or possessions. But, if we were to practice this, most health care,
oil and transportation companies would not be in business. Plus, the
idea of individual liberty and possession goes against the founding
principle of every large conglomerate: achieving financial success.
The whole structure of a typical multinational is built on layers designed
for creating lies: accounting to mask financial improprieties, insurance
to protect against harm done, research studies and consultants to protect
against bad decisions, lobbies to assure higher costs or build traps,
corporate-shared responsibilities to dilute accountability, and lawyers
to defend mistakes. The clear impression exists that there is nothing
that the legal department cant fix, by first
negating, later explaining and, finally, justifying.
Now the U.S. Congress is even calling for the repeal of the Private
Securities Litigation Reform Act (PSLRA), aka the give corporations a license to lie act
passed in 1995 (which made it harder to sue companies for stock fraud). And MPAA
president Jack Valenti has been quoted as saying that we need to put in
speed bumps to keep people honest if only it was related to the
rampant piracy of movies and TV.
Finally, the fine line between truth and the unethical helps make lying
easier. As explained by President George W. Bush, the line between
corrupt and legal isnt always black and white.
Dom
Serafini