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Johnson, Organizational Ethics 3e, © 2015 – Instructor Resources
Case Study 7.1
The HealthCare.gov Rescue Squad
Case Synopsis and Analysis
The Affordable Care Act (Obamacare) was in trouble when millions of Americans were unable to
sign up on the HealthCare.gov website. White House staffers assembled a team of technology
experts to address the site’s many “bugs.” Team members worked virtually nonstop until they
fixed the problems. Not only did they sacrifice sleep, family time and money, they focused on
problem solving, not on assigning blame, and met twice a day to discuss their progress.
The rescue squad succeeded in large part because it fostered a collaborative climate. Members
committed themselves to fixing the site and sacrificed to achieve the goal. They communicated
regularly and kept the focus on resolving issues. Team members report that serving on the team
was one of the most rewarding experiences of their lives.
Learning Objectives
*Students will identify the factors that made the team so successful and transfer those
insights to their own team experiences.
*Students will identify the strategies that the team leader used to foster collaboration.
Discussion Guide
Case Study 7.2
Groupthink in the Sweat Lodge
Case Synopsis and Analysis
In 2009 a group of spiritual seekers, led by James Arthur Ray, participated in a retreat near
Sedona Arizona. The event culminated in cleansing ceremony held in a poorly constructed sweat
lodge, which soon became a “human cooking pot.” Three people died and 19 others received
emergency medical treatment. Ray (who contends that what happened was a tragic accident)
was convicted of manslaughter and served two years in prison.
Johnson, Organizational Ethics 3e, © 2015 – Instructor Resources
The case centers on this question: Why didn’t participants leave the lodge when they began to
cook to death? Escalation of commitment contributed but groupthink is the more likely answer.
The retreat experience, and the cleansing ceremony in particular, trapped seekers in the enclosure
as the temperature soared.
Learning Objectives
*Students will identify groupthink symptoms in the case.
*Students will identify other ethical danger signs present during the retreat.
*Students will generate action steps that can help prevent them from becoming victims
of groupthink.
Discussion Guide
Case Study 7.3
To Loan or Not to Loan?
Case Synopsis and Analysis
Bank loan officer Harry Edwards must decide whether to loan an additional $100,000 to a local
grocery store for a renovation. The storeowners, who are behind on their payments on the initial
$300,000 loan, are convinced that the additional money will ensure completion of the project and
generate much higher sales. (This will enable them to repay the bank.) However, a new
superstore is opening in a nearby town. Complicating the decision is the fact the bank promotes
relational banking based on establishing close bonds with customers. Students are to make a
recommendation to Harry.
Edwards and the bank are in danger of following victim to the escalation of commitment. Bank
officers will lose their initial investment if the store doesn’t finish its renovation. They are
tempted to take on more risk in hopes of recouping their losses and maintaining a relationship
with the storeowners. Yet there is no guarantee that the renovation will generate enough money
to repay the loan. A larger loan could mean greater losses.
Learning Objectives
*Students will identify factors leading to escalation of commitment.
Johnson, Organizational Ethics 3e, © 2015 – Instructor Resources
*Students will determine if additional funding is justified and defend their stance.
Discussion Guide
