Advertisement

Business Ethics in Brazil: Analyzing Discourse and Practice of the Brazilian Contractors Involved in Operation Lava Jato

  • Flavia CavazotteEmail author
  • Marcos Cohen
  • Mariana Brunelli
Chapter
Part of the CSR, Sustainability, Ethics & Governance book series (CSEG)

Abstract

The Operation Lava Jato (Operation Car Wash), initiated in 2014 by the Ministry of Finance and carried out by the Brazilian Government Agency for Law Enforcement and Prosecution of Crimes, brought to light the unethical practices of several national contractors, despite their declared commitment to social responsibility and ethical management—a corporate conduct epitomized in the popular saying: “Do what I say; don’t do what I do”. In this chapter, we analyze such disconnection between discourse and practice vis-a-vis the literature on leadership and business ethics, Brazilian culture and historical analyses of the Brazilian contractors industry. We examine the official discourse of a Brazilian contractor, as observed in documents retrieved from websites and statements to the press, and its practices, as depicted in the media and documented in testimonies already conducted by the federal courts and attached to the original case-files. Specifically, we aim to contribute to the reflection on management and ethics in Brazil by identifying and discussing the factors that seem to have promoted such disconnection, including aspects of national culture and the institutional environment, together with organizational culture and leadership.

Keywords

Corporate social responsibility Business ethics Ethical leadership Brazilian contractors Operation Lava Jato (car wash) 

References

  1. ABNT. (2010). Brazilian Technical Standards Association. ABNT NBR ISO 26000: 2010 – Diretrizes sobre responsabilidade social (Guidance on social responsibility). (p. 110), Rio de Janeiro: ABNT. Retrieved September 6, 2017, from http://www.pessoacomdeficiencia.gov.br/app/sites/default/files/arquivos/%5Bfield_generico_imagens-filefield-description%5D_65.pdf
  2. Abreu, P. L. (2007). A Epopéia da Petroquímica no Sul: história do pólo de Triunfo. Florianópolis, SC: Expressão.Google Scholar
  3. Alencar, C. H., & Gico, I., Jr. (2011). When crime pays: Measuring judicial performance against corruption in Brazil. Law and Business Review of the Americas, 17, 415–434.Google Scholar
  4. Alessi, G. (2016). Odebrecht pagava até 7 milhões de reais por lei aprovada no Congresso. Retrieved June 23, 2017, from http://brasil.elpais.com/brasil/2016/12/12/politica/1481572367_344629.html?rel=mas
  5. Bansal, P., & Roth, K. (2000). Why companies go green: A model of ecological responsiveness. The Academy of Management Journal, 43(4), 717–736.Google Scholar
  6. Barbosa, L. (1992). O Jeitinho Brasileiro: A Arte de Ser Mais Igual que os Outros (8th ed.). Rio de Janeiro: Editora Campos.Google Scholar
  7. Barnett, M. L. (2007). Stakeholder influence capacity and the variability of financial returns to corporate social responsibility. Academy of Management Review, 32(3), 794–816.CrossRefGoogle Scholar
  8. Bouças, C., & Fontes, S. (2017). Odebrecht: Guerra dos portos foi um dos temas coordenados por Jucá. Retrieved June 24, 2017, from http://www.valor.com.br/politica/4937696/odebrecht-guerra-dos-portos-foi-um-dos-temas-coordenados-por-juca
  9. Brandt, R., Affonso, J., & Macedo, F. (2016). O maior ressarcimento na história mundial, afirma Deltan nas redes. Retrieved June, 22, 2017 from http://politica.estadao.com.br/blogs/fausto-macedo/o-maior-ressarcimento-na-historia-mundial-afirma-deltan-nas-redes/
  10. Brandt, R., Affonso, J., Coutinho, M., & Vassallo, L. (2017). Veja a transcrição do depoimento de delator da Odebrecht ao TSE. Retrieved June 23, 2017, from http://politica.estadao.com.br/blogs/fausto-macedo/veja-a-transcricao-do-depoimento-de-delator-da-odebrecht-ao-tse/
  11. Brenkert, G. G., & Beauchamp, T. L. (2010). The Oxford handbook of business ethics. New York: Oxford University Press.Google Scholar
  12. Brown, M. E., Treviño, L. K., & Harrison, D. A. (2005). Ethical leadership: A social learning perspective for construct development and testing. Organizational behavior and human decision processes, 97(2), 117–134.CrossRefGoogle Scholar
  13. Burns, J. M. (1978). Leadership. New York, NY: Harper & Row.Google Scholar
  14. Campos, P. H. P. (2014). Estranhas Catedrais: As Empreiteiras Brasileiras e a Ditadura Civil-Militar, 1964–1988 (p. 1). Rio de Janeiro: EDUFF. Ed.Google Scholar
  15. Caputo, A. C., & Melo, H. P. (2009). A Industrialização Brasileira nos Anos de 1950: Uma Análise da Instrução 113 da SUMOC. Estudos Econômicos, São Paulo, 39(3), 513–538.CrossRefGoogle Scholar
  16. Carta Capital. (2017a). Brazilian business magazine portal. Por que os partidos querem caixa 2? Retrieved September 7, 2017, from https://www.cartacapital.com.br/politica/por-que-os-partidos-querem-caixa-2
  17. Carta Capital. (2017b). Brazilian Business Magazine portal. Entenda as acusações contra Lula nas delações da Odebrecht. Retrieved June 24, 2017, from https://www.cartacapital.com.br/politica/entenda-as-acusacoes-contra-lula-nas-delacoes-da-odebrecht
  18. Cerqueira, E. D., & Boschi, R. R. (1978). Empresariado Nacional e Estado no Brasil. Rio de Janeiro: Forense Universitária.Google Scholar
  19. Ciulla, J. B. (1995). Leadership ethics: Mapping the territory. Business Ethics Quarterly, 5(1), 5–28.CrossRefGoogle Scholar
  20. Ciulla, J. B. (2003). The ethics of leadership. Belmont, CA: Wadsworth/Thomson Learning.Google Scholar
  21. Ciulla, J. B. (2004). Leadership ethics: Mapping the territory. In J. B. Ciulla (Ed.), Ethics, the heart of leadership (pp. 3–24). Westport, CT: Praeger Publishers.Google Scholar
  22. Commission of the European Communities. (2001). Promoting a European framework for corporate social responsibility—Green paper. Brussels. Retrieved June 22, 2017, from http://www.eldis.org/document/A26409
  23. Comparato, F. K. (2003). Raymundo Faoro historiador. Estudos Avançados, 17(48), 331–337.CrossRefGoogle Scholar
  24. Da Matta, R. (1991). Carnivals, rogues and heroes: Toward a Sociology of the Brazilian Dilemma. Notre Dame: University of Notre Dame Press.Google Scholar
  25. Dantas, R. M. A. (2007). Odebrecht: a Caminho da Longevidade Sustentável? Master thesis, UFRJ, Rio de Janeiro.Google Scholar
  26. Duarte, F. (2006). Exploring the interpersonal transaction of the Brazilian Jeitinho in bureaucratic contexts. Organization, 13(4), 509–527.CrossRefGoogle Scholar
  27. ECI (Ethics & Compliance Initiative). (2016). Global business ethics survey. Retrieved in June 22, 2017, from https://www.ethics.org/research/gbes
  28. Edelman. (2016). 2016 Edelman Trust Barometer [slide presentation]. Retrieved in June 22, 2017, from http://www.edelman.com/insights/intellectual-property/2016-edelman-trust-barometer/global-results/
  29. El País. (2017a). Delação da Odebrecht: tudo o que foi revelado pelos depoimentos dos delatores. Website of newspaper El País. Retrieved June 23, 2017, from https://brasil.elpais.com/brasil/2017/04/14/politica/1492195255_504539.html
  30. El País. (2017b). A Odebrecht abre sua caixa de Pandora na América Latina. El País. Retrieved June 23, 2017, https://brasil.elpais.com/brasil/2016/12/30/politica/1483103066_414575.html
  31. Estadão. (2015). Odebrecht presenteou Gabrielli e Graça com pinturas de ‘alto valor’, diz Lava Jato. Retrieved June 25, 2017, from http://politica.estadao.com.br/blogs/fausto-macedo/assista-a-delacao-premiada-de-emilio-odebrecht/
  32. Estadão. (2016). Grupo Odebrecht multiplicou por seis o faturamento no governo do PT. Retrieved June 28, 2017, from http://politica.estadao.com.br/noticias/geral,grupo-odebrecht-multiplicou-por-seis-o-faturamento-no-governo-do-pt,10000022771
  33. Estadão. (2017). Assista à delação premiada de Emílio Odebrecht. Retrieved June 24, 2017, from http://politica.estadao.com.br/blogs/fausto-macedo/assista-a-delacao-premiada-de-emilio-odebrecht/
  34. Exame.com. (2017). Jamais pagaria propina, disse Marcelo Odebrecht antes da delação. Retrieved June 25, 2017, from http://exame.abril.com.br/brasil/jamais-pagaria-propina-disse-marcelo-odebrecht-antes-da-delacao/
  35. Faoro, R. (2001). Os donos do poder (3rd ed.). Rio de Janeiro: Globo.Google Scholar
  36. Fausto, B. (1998). História do Brasil. São Paulo: Editora USP.Google Scholar
  37. Ferrell, O. C., Fraedrich, J., & Ferrell, L. (2001). Ética Empresarial: dilemas, tomadas de decisões e casos. Rio de Janeiro: Reichmann & Affonso Ed..Google Scholar
  38. Filgueiras, F. (2009). A tolerância à corrupção no Brasil: uma antinomia entre normas morais e prática social. Opinião Pública, 15(2).  https://doi.org/10.1590/S0104-62762009000200005.
  39. Fleischer, D. (1997). Political corruption in Brazil. Crime, Law, & Social Change, 25, 297–321.CrossRefGoogle Scholar
  40. G1 (Globo Organization news portal). (2015). Investigação na Suíça liga Odebrecht a pagamentos de propina no país. Retrieved June 24, 2017, from http://g1.globo.com/pr/parana/noticia/2015/07/investigacao-na-suica-ligaodebrecht-pagamentos-de-propina-no-pais.html
  41. G1 (Globo Organization news portal). (2017a). Linha do tempo da Lava Jato. Retrieved June 23, 2017, from http://especiais.g1.globo.com/politica/2015/lava-jato/linha-do-tempo-da-lava-jato/
  42. G1 (Globo Organization news portal). (2017b). Caixa dois é prática antiga no país. diz Emilio Odebrecht a Sérgio Moro. Retrieved June 24, 2017, from http://g1.globo.com/jornal-nacional/noticia/2017/03/caixa-dois-e-pratica-antiga-no-pais-diz-emilio-odebrecht.html
  43. Galego-Álavarez, I., Formigoni, H., & Antunes, M. T. P. (2014). Corporate social responsibility practices at brazilian firms. Revista de Administração de Empresas, 54(1), 12–27.  https://doi.org/10.1590/S0034-759020140103.CrossRefGoogle Scholar
  44. Gardner, J. W. (1990). On leadership. New York, NY: The Free Press.Google Scholar
  45. Greenleaf, R. K. (2012). Servant leadership: A journey into the nature of legitimate power and greatness. Servant leadership – Anniversary Edition. Mahwah, NJ: Paulist Press TM.Google Scholar
  46. IBGC. (2009). Código das Melhores Práticas de Governança Corporativa. (4th ed., p. 73). São Paulo, SP: IBGC – Instituto Brasileiro de Governança Corporativa. Retrieved September 06, 2017 from http://www.ibgc.org.br/userfiles/Codigo_julho_2010_a4.pdf
  47. Instituto Ethos. (2017). Sobre o Instituto. Retrieved June 03, 2017 from http://www3.ethos.org.br/conteudo/sobre-o-instituto/#.WTTqt5LysdU>
  48. ISO – The International Organization for Standardization. (2010). ISO 26000:2010 (en): Guidance on social responsibility. Retrieved June 24, 2017, from https://www.iso.org/obp/ui/#iso:std:iso:26000:ed-1:v1:en
  49. Justi, A., & Dionísio, B. (2016). Justiça Federal condena Marcelo Odebrecht em ação da Lava Jato. Retrieved June 24, 2017, from http://g1.globo.com/pr/parana/noticia/2016/03/justica-federal-condena-marcelo-odebrecht-em-acao-da-lava-jato.html
  50. Kellerman, B. (2004). Bad leadership: What it is, how it happens, why it matters (leadership for the common good). Boston, MA: Harvard Business Review Press.Google Scholar
  51. Kreitlon, M. P. A (2004). A ética nas relações entre empresas e sociedade: fundamentos teóricos da responsabilidade social corporativa empresarial. Anais do XXVIII Encontro da ANPAD. Curitiba: ANPAD.Google Scholar
  52. Lobato, B. (2017). Valor movimentado na lava jato soma R$ 8 trilhões. Retrieved June, 22, 2017 from http://epoca.globo.com/politica/expresso/noticia/2017/01/valor-movimentado-na-lava-jato-soma-r-8-trilhoes.html
  53. Loudiyi, I. (2010). Brazil announces phase two of the growth acceleration program. In Growth and crisis blog. Retrieved July 05, 2017, from http://blogs.worldbank.org/growth/brazil-announces-phase-two-growth-acceleration-program
  54. Lourenço, A. G., & Schroder, D. S. (2003). Vale investir em responsabilidade social corporativa empresarial?: Stakeholders, ganhos e perdas. In A. G. Lourenço et al. (Eds.), Responsabilidade social corporativa das empresas: a contribuição das universidades (Vol. 2, 2nd ed.). São Paulo: Peirópolis.Google Scholar
  55. Lu, C. S., & Lin, C. C. (2014). The effects of ethical leadership and ethical climate on employee ethical behavior in the international port context. Journal of Business Ethics, 124(2), 209–223.CrossRefGoogle Scholar
  56. Martínez, J. B., Fernández, M. L., & Fernández, P.M. (2016). Corporate social responsibility: Evolution through institutional and stakeholder perspectives. European Journal of Management and Business Economics, Volume 25, Issue 1, p. 8-14. Retrieved September 7, 2017, from doi: https://doi.org/10.1016/j.redee.2015.11.002.
  57. MEC Ministério da Educação e Cultura. (2006). Orientações Curriculares para o Ensino Médio. Ciências humanas e suas tecnologias. Brasília: Ministério da Educação, Secretaria de Educação Básica. Retrieved May 26, 2018, from https://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=2&ved=0ahUKEwiOoq7Nl6TbAhXGW5AKHd92CtQQFggxMAE&url=http%3A%2F%2Fportal.mec.gov.br%2Fseb%2Farquivos%2Fpdf%2Fblegais.pdf&usg=AOvVaw28iRChpE6oNGiDnQhQ3_OQ
  58. MPF. (2017a). Entenda o caso. Retrieved June 10, 2017, from http://lavajato.mpf.mp.br/entenda-o-caso
  59. MPF. (2017b). Atuação na 1ª Instância: Investigação – Histórico. Retrieved June 23, 2017, from http://lavajato.mpf.mp.br/atuacao-na-1a-nstancia/investigacao/historico
  60. Netto, V. (2016). Lava Jato: o juiz Sergio Moro e os bastidores da operação que abalou o Brasil. Rio de Janeiro: Primeira pessoa.Google Scholar
  61. O Globo. (2016). Expressão de Opinião: Desculpe a Odebrecht errou. O Globo, 23–24. Retrieved June 29, 2017, from http://acervo.oglobo.globo.com/consulta-ao-acervo/?navegacaoPorData=201020161202
  62. Odebrecht, S. A. (2016). Policy on compliance with ethical, integrity and transparent acting. Retrieved June 23, 2017 from http://www.odebrecht.com/sites/default/files/politica_sobre_conformidade_eng.pdf
  63. Odebrecht, S. A. (2017a). Annual report 2016. Retrieved June 28, 2017 from http://www.odebrecht.com/en/communication/publi cations/annual-reports
  64. Odebrecht, S. A. (2017b). History. Retrieved July 1, 2017, from http://www.odebrecht.com/en/odebrecht-group/history
  65. Odebrecht, S. A. (2017c). Odebrecht entrepreneurial technology. Retrieved June 23, 2017, from https://www.odebrecht.com/en/odebrecht-group/odebrecht-entrepreneurial-technology
  66. Odebrecht, S. A. (2017d). Odebrecht S.A.’s Board of Directors. Emilio Odebrecht, Chairman of The Board of Directors. Retrieved May 26, 2018, from https://www.odebrecht.com/en/odebrecht-sas-board-directors
  67. OECD. (2003). Recommendation of the council on principles of corporate governance. Retrieved July 1, 2017, from http://acts.oecd.org/Instruments/PrintInstrumentView.aspx?InstrumentID=322&InstrumentPID=0&InstrumentHID=0&Lang=en
  68. Padilla, A., Hogan, R., & Kaiser, R. B. (2007). The toxic triangle: Destructive leaders, susceptible followers, and conducive environments. The Leadership Quarterly, 18(3), 176–194.CrossRefGoogle Scholar
  69. Poder 360. (2017a). [video podcast]. Vídeo do depoimento de Marcelo Odebrecht: STF-MarceloOdebrecht-TC33-RomeroJucá-Inq4382. Retrieved June 24, 2017, from https://www.youtube.com/watch?v=J6NM0-GfTKo
  70. Poder 360. (2017b). [video podcast]. Vídeo do depoimento de Marcelo Odebrecht: STF-MarceloOdebrecht-TC10-JorgeVIana-Inq4393. Retrieved June 24, 2017, from https://www.youtube.com/watch?v=NbPj61C_BHs&feature=youtu.be
  71. Poder 360. (2017c). [video podcast]. Vídeo do depoimento de Marcelo Odebrecht: STF-MarceloOdebrecht-TC41-HumbertoSérgio-Inq4383. Retrieved June 24, 2017, from https://www.youtube.com/watch?v=VRIEoiVyoxE&feature=youtu.be
  72. Ponchirolli, O. (2008). Ética e responsabilidade social empresarial. Curitiba: Juruá.Google Scholar
  73. Power, T. J., & Taylor, M. M. (2011). Introduction. In T. J. Power & M. M. Taylor (Eds.), Corruption and democracy in Brazil: The struggle for accountability (pp. 1–28). Notre Dame: University of Notre Dame Press.Google Scholar
  74. Schaubroeck, J. M., Hannah, S. T., Avolio, B. J., Kozlowski, S. W., Lord, R. G., Treviño, L. K., et al. (2012). Embedding ethical leadership within and across organization levels. Academy of Management Journal, 55(5), 1053–1078.CrossRefGoogle Scholar
  75. Schwartz, M. S., & Carroll, A. B. (2003). Corporate social responsibility: A three-domain approach. Business Ethics Quarterly, 13(4), 503–530.CrossRefGoogle Scholar
  76. Sen, A. (1999). Sobre Ética e Economia. São Paulo: Companhia das Letras.Google Scholar
  77. Srour, R. H. (2013). Ética Empresarial (4th ed.). Rio de Janeiro: Elsevier.Google Scholar
  78. Taia, E. (2017). Veja lista de políticos que teriam recebido caixa 2 da Odebrecht. Retrieved June 23, 2017, from http://www.valor.com.br/politica/4938504/veja-lista-de-politicos-que-teriam-recebido-caixa-2-da-odebrecht
  79. Uol Notícias. (2017a). Antes de delação, Marcelo Odebrecht chegou a criticar “quem dedura”. Retrieved June 24, 2017, from https://noticias.uol.com.br/politica/ultimas-noticias/2017/04/14/antes-de-delacao-marcelo-odebrecht-chegou-a-criticar-quem-dedura.htm?cmpid=copiaecola
  80. Uol Notícias. (2017b). Procuradores da Lava Jato criticam fim de equipe exclusiva na PF do Paraná: “retrocesso”. Retrieved July 5, 2017, from https://noticias.uol.com.br/politica/ultimas-noticias/2017/07/06/fim-de-equipe-para-lava-jato-na-pf-prejudica-investigacao-diz-forca-tarefa-do-mpf.htm.
  81. Valle, S. (2013). Petrobrás corta em 43% contrato de US$ 840 milhões com a Odebrecht. Website of newspaper Estado de São Paulo (Estadão). Retrieved June 28, 2017, from http://economia.estadao.com.br/noticias/geral,petrobras-corta-em-43-contrato-de-us-840-milhoes-com-a-odebrecht-imp-,1038200
  82. Werneck, R. L. F. (2017). A conta da pilhagem do Estado (The state pillage account). Retrieved June 27, 2017, from https://oglobo.globo.com/opiniao/a-conta-da-pilhagem-do-estado-20831867

Copyright information

© Springer International Publishing AG, part of Springer Nature 2019

Authors and Affiliations

  • Flavia Cavazotte
    • 1
    Email author
  • Marcos Cohen
    • 1
  • Mariana Brunelli
    • 1
  1. 1.IAG School of BusinessPontifícia Universidade Católica do Rio de JaneiroRio de JaneiroBrazil

Personalised recommendations