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Scott Thompson Case

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1.Identify and clearly describe the facts.
Scott Thompson, was hired by Yahoo as a new CEO in early 2012, in an attempt to reverse the company's struggling fortunes. In May 2012, a shareholder activist group alleged that Thompson had embellished his resume by claiming he had a degree in computer science, along with an accounting degree. He has only an accounting degree. His bios have included the computer science degree, listed for years on websites where he has worked; even though he mentioned he never noticed the error.
2.Define the conflict or dilemma and identify the higher-order values involved.
Yahoo just completed search for a CEO after poorly firing Carol Bartz. In fact, the company has a history of CEO problems and it needs a stability at the top. This puts the board fall on the hard time because while the typical rule is to terminate a CEO who falsifies his or her background. At Yahoo, Thomson signed a regulatory filing that included the degree as part of his bio, raising questions at a minimum of how carefully he read the filing. When someone lies about their background especially the top, it is hard to clean up that record even when their job history becomes more important than their education. It effects with a brand reputation. Yahoo will not be able to survive more disorder. Moreover, given how hard it was to get Thompson, getting another, even qualified CEO rapidly may be practically impossible. …show more content…
The executive member chairing both the nominating, Search Committee and the Corporate Governance Committee is also alleged to have falsified his education record, suggesting an endemic problem with the Yahoo leadership. There are two significant point of the deception, which Thompson characterized as inattention. First, it means the board did not fully screen him before hiring. Moreover, the company and Thompson may encounter legal action or disciplinary because the wrong information appeared in SEC

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