CEO Today Magazine September 2018 Edition

www.ceotodaymagazine.com 22 SPECIAL FEATURES Nepotism, in practice, has its ups and downs— most likely, when you hear the word, a negative association naturally comes with it. Is it all bad, or should hiring within the family be kept to a minimum? We hear from Jean-Luc Castro, Professor of Business Ethics, Organizational Behavior & Human Resource Management at Audencia Business School as well as Linda Sage, MA, BAEd(Hons), DTM, Keynote Speaker &Author who give their views on the matter. The Good, Bad and Ugly of Nepotism Jean-Luc Castro, Professor of Business Ethics, Organizational Behavior & Human Resource Management at Audencia Business School & Linda Sage, MA, BA Ed(Hons), DTM, Keynote Speaker & Author Jean-Luc comments: “Hiring friends and family on grounds other than their skills or job performance is nepotism. From an ethical point of view, it ticks many deviant behavioural boxes: corruption, preferential discrimination, favouritism. Although corruption is commonly thought of as the misuse of entrusted powers for private gain (McDonald 2015), it has received larger meanings including nepotism. However, it is too wide a notion to grasp the essence of the latter. Preferential discrimination turns its back to the premise of any fair selection process: treating all applicants equally on a base of rational criteria. Favouritism has a similar meaning but is even more explicit. Resorting to nepotism breaks the trust placed in managers and deteriorates the ethical climate of the corporation. However, this conclusion should be moderated by the customary practice of businesses. For instance, what is rejected by most Western cultures can be accepted in Morocco or China. These local norms are acceptable as long as they are bound by limiting