Friday, April 19, 2013



What Ethics?  

An eccentric philosophy professor gave a one-question final exam after a semester dealing with a broad array of topics.  The class was already seated and ready to go when the professor picked up his chair, plopped it on his desk, and wrote on the board: "Using everything we have learned this semester, prove that this chair does not exist."

Fingers flew, erasers erased, and notebooks were filled in furious fashion. Some students wrote over 30 pages in one hour attempting to refute the existence of the chair. One member of the class, however, was up and finished in less than a minute.

Weeks later when the grades were posted, the rest of the group wondered how he could have gotten an "A" when he had barely written anything at all. His answer consisted of two words:
"What chair?"

It’s human nature I suppose.  Or it just may be that most are inclined to be negative, doubtful to the extreme, or simply not trusting.  And some of us as CPAs or lawyers were trained professionally to be skeptics…”cut the cards” kind of people.   Even the most recent indices of trust (Booth/Kellogg and Edelman) continue to reflect that five years removed from the trust crisis of 2008 we still have only slightly increased our confidence in our financial and corporate institutions.

“What ethics?” is still the predominant response I get when talking to groups and to many individuals about the vast majority of folk and companies who conduct themselves rightly.  And the responses follow a predictable pattern.

“What about that Madoff guy?”

“Yeah, that Walmart is bribing their way to business.”

“The Scooter Store (“Always do the right thing”) is selling electronic aids to people who don’t need them just to get the insurance payments.”

And on and on it goes.

And to be fair and discerning, we need to at least investigate and certainly determine what’s behind bribes, some scooter sales and determine if the entire company and all its employees should be disenfranchised and be held up as examples of cheats.

“What ethics?” is a fair question but one that should be posed ideally without the cynicism, “mind-made-up” attitude, and predisposition of guilt.

Let me tell you about an organization that responds well to “What ethics?”  Composed of hundreds of university students, on campus chapters of the Center for the Public Trust (www.centerforpublictrust) throughout the country study, search for, and seek to exemplify ethics, integrity and trust-enriching activities.

The student CPT organization includes  the following chapters:  Baruch College (NY, NY); Birmingham Southern College (Birmingham Southern (Birmingham, AL); Colorado State (Fort Collins, CO); Lipscomb University (Nashville, TN); Middle Tennessee State University (Murfreesboro, TN); New Mexico State University (Las Cruces, NM); Ohio University (Athens, OH); Rutgers University (Newark, NJ); University of Colorado (Colorado Springs, CO); University of Kentucky (Lexington, KY); University of New Mexico (Albuquerque, NM); University of Northern Colorado (Greeley, CO); University of Tennessee (Knoxville, TN); University of Utah (Salt Lake City, UT); University of Wyoming, Laramie, WY).  At this writing several other universities are nearing completion of procedures for student chapters.**

Each of these chapters has a common mission:  to promote ethical thinking in the developing character and conscience of students.  

The chapters compete against each other in such activities as an annual “ethics in action” video where original ethics themes and situations are developed, taped and presented.  The students meet on a regular basis, hear outside speakers encourage them, and join in other activities to keep them focused on sustaining a bedrock of integrity.

And that’s not all.  In the works is a national ethics certification course and examination which when completed by the students will evidence their unique achievement in an appropriate focus that responds most favorably to “what ethics?”  When you hire someone, wouldn’t it be a plus that the graduate not only had done well in her studies but also could demonstrate that he realizes the importance, the morality of telling the truth, being transparent, and being trustworthy?

University chapters of CPT will soon expand to 25, then 50, a hundred and beyond.  National ethics certification will one day be recognized as a significant and expected entry on an applicant’s resume.  After all, business folk and employers can assess fairly quickly one’s technical competency or at least his high likelihood of being proficient on the job.  But to have an applicant not only aver but in some measure evidence her focus on integrity is a meaningful differentiator.

Yes, we can keep our attention fixated on the scandals, the cheats, the liars and continue to wonder what happened to integrity and truth telling.  Or we could follow the example of some university students who positively march into the future taking integrity with them into the marketplace and “what ethics?” begins to transform to “what ethics!!”

David Costello
Ad astra per aspera

**If you, your company/firm or group of colleagues would like to sponsor a student chapter at your university of choice, contact Alfonso Alexander at NASBA (aalexander@nasba.org), President of the Center for the Public Trust for further information and details.

Friday, February 15, 2013



Just Do It…RIGHT!  



You can hardly buy it now.  It’s a rare 2001 poster print ad for Nike depicting Lance Armstrong on his racing bike with the headline quote:  “This is my body.  And I can do whatever I want to it.  I can push it.  Study it.  Tweak it.  Listen to it.  Everybody wants to know what I’m on.  What am I on?  I’m on my bike busting my ass six hours a day.  What are you on?”  And then of course, that memorable Nike swoosh with that line, “Just Do It.”

It’s tempting to pile on the criticism, the bashing, the scorn, the cynicism, the outright disgust over the now defamed seven time “winner” of the Tour de France.  Now some twelve years later having admitted to Oprah Winfrey that he was in fact on performance enhancing protocols, Lance Armstrong has become the latest face of lying, cheating, and unethical behavior.

But I’m not into bashing and piling on and using too much of my time pointing to examples of ugly, disreputable and dishonest conduct.  You can find that in newsprint, hear it on radio and see all you want on network and cable news.  

But there are many people, companies and firms—most in my opinion—who wisely see Nike’s tag line ”Just Do It” as insufficient and wholly inadequate.  These, by their involvement in communities, churches, temples, and leadership in their respective entities, might suggest to Nike that the tag line would be improved to read, “Just Do It RIGHT!”

One could compellingly argue that Kenneth Lay (Enron), Bernie Ebbers (WorldCom), and Bernie Madoff “did it” and prospered not only themselves but hundreds and thousands doing it with them.  Of course the significant omission in all of what they did was a lack of integrity and callousness and insensitivity toward their investors’, employees’ and the general public’s well-being.  “Just doing it” was all about them, their insatiable appetites, their greed, their power, and in short, their well being.

CH2M HILL is a $6 billion plus design, construction and engineering firm based in Englewood Colorado doing business in over 50 countries.  The company’s founders and current leadership recognize the threats and temptations in their industry and have committed since inception to operate CH2M HILL with integrity, social responsibility, environmental sensitivity and yes profitably for all its stakeholders. 

The company’s commitment to management responsibility and integrity dates back to its co-founder, Jim Howland, who in 1982 authored ethical concepts in Little Yellow Book which is complemented by the company’s Employee Ethics & Business Conduct Principles.  Some excerpts from Little Yellow Book reflect the company’s intention to operate ethically:



  • Excessive perks trap the receiver.
  • Let’s everybody be generous.
  • Let us be flamboyant when it comes to dreaming and thinking
  • Integrity is the all-important prerequisite to employment.  The person must be honest with himself and others or we have no foundation on which to build.
  • The person closest to the action has the best chance of making the right decision
  • Rules are for everyone.
CH2M HILL is no perfect company and yes, they’ve had some problems over the years with ethics failures.  But they work at doing it right!  The company’s leadership is committed and they seek the commitment of employees and suppliers and all stakeholders to the course of integrity and fair dealing.

I am convinced that ethical behavior is not accidental or genetic but moreover is a choice.  Appropriate conduct in the marketplace is purposeful and intentional.  “Just do it right” eschews short-cuts, abhors self-dealing, frowns on few winners and many losers, but revels and glories in a community of leaders, employees, suppliers and investors whose commitment to integrity is the most profitable and satisfying course of all.

“Just Do It.”?  Yes, but do it right!

Ad astra
Per aspera

David A. Costello, CPA
Chairman, Center for the Public Trust