Whistleblowing an Advantage to the Organization

Topics: Morality, Business ethics, Ethics Pages: 6 (2080 words) Published: June 12, 2011
MBA Programme



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Abstract. This paper studies the topic the advantages of whistle blowing to an organization. Generally when there is whistle blowing in the external environment of a company its causes all kinds of negative publicity. However, there are some effects of the whistle blowing which can provide certain advantage to a particular organization. This advantage is possible majorly if there is internal exposure providing competitive advantages to an organization. Also included are the methods which can be used as procedures for a successful internal whistle blowing.

Keywords: Whistle Blowing; Internal Exposure; Competitive Advantage


There are various cases of whistle blowing in the history and the past the most recent one being the whistle blowing of Glaxosmithkline company. Whistle blowing can be defined as an exposure of any activity labeled as illegal or unethical for a particular person. In other famous twisted cases of whistle blowing include the cases of Mr. Douglas blowing whistle on the company TAP. This case provides the exact picture of whistle blowing. Mr. Dougles did believe that there were certain things happening within the company which were wrong. So he blew the whistle externally causing lot of damage to the company but after the damages were paid the authorities found out that nothing was wrong in the company and evidence Mr douglas provided were presented in a different view.

The internal exposure could have a comparatively less harm done to the society. Internal exposure has certain advantages over the external environment. Firstly the company can rectify its mistake or error before any external exposure is done. Which can lead to advantage of the company’s goodwill brand image is still the same in minds of customers. Even the population is unaffected of the major effects of things possible from the continuation of the unethical or illegal acts being carried around in the company. When the whistle blowing is done internally the chances of a cleaning up the act within the organization without suffering negative publicity is very high compared to whistle blown externally. When a person exposes certain acts labelled unethical or illegal to a superior and the person in charge does his job of correcting them this correcting activity can prove to be a competitive advantage to the company. The trust worthy ethical staff can be the competitive advantage a firm needs. Internal reporting do offers certain benefits to the employers, workers and general public and the organization is given a opportunity to deal with the problem without the outside interruptions, pressure and publicity.

Literature Review

The literature review on whistle blowing has placed a major amount of efforts on identifying the definition of whistle blowing and exploring the motives as well as the usage of strategy in the event of exposing an illegal or unethical activity.

Definitions of Whistle Blowing

There is no universal concept or definition of whistle blowing written and circulated around in the books. But it can be defined as exposure done by an employee or a former employee of any professional misconduct happening in the work environment. Whistle blowing is an act used for centuries, an act used for exposing any information that a worker believes is the evidence of violating any law or regulation, mismanagement and also a threat to public safety and health in or near the work zone. Whistle blowing is stated by many to be a complex procedure having it effect on the person and his career. Hence, a good procedure is required for a good whistle blowing to take place and the company and the environment should be open to accusations about the illegal or unethical act. An unethical act can also be a person stealing stationary from the office to selling or...
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