Volkswagen Emissions Scandal Flashcards
(11 cards)
What was the Volkswagen Emissions Scandal about?
VW installed ‘defeat devices’ in diesel cars to cheat emissions tests, making cars appear environmentally friendly while emitting up to 40x more pollutants during real-world driving.
What type of evidence did VW ignore or manipulate in this case?
Scientific evidence from emissions testing, organizational knowledge of software manipulation, and practitioner warnings from engineers.
Why did VW choose to cheat on emissions rather than solve the problem ethically?
To save time and money, avoid delays in launching vehicles, and stay competitive in the U.S. market without investing in more expensive emission control technologies.
How did internal culture contribute to the scandal?
A toxic culture with high pressure, fear of dissent, and organizational silence prevented ethical decision-making and discouraged speaking up.
What is ‘organizational silence,’ and how did it apply to VW?
Organizational silence is when employees withhold concerns or ideas due to fear or futility. At VW, engineers didn’t feel safe to challenge unethical directives.
What were the consequences VW faced after the scandal?
Over $35 billion in fines and legal settlements, arrests of executives, massive brand damage, and a shift away from diesel toward electric vehicles.
What EBMgt lesson can be learned from the VW scandal?
Evidence must be used honestly. Ignoring or distorting evidence—especially under ethical pressure—can lead to massive long-term consequences.
Which stakeholders were harmed by VW’s actions?
Customers, regulators, the public (due to air pollution), investors, and employees — all experienced loss of trust or direct harm.
What role did external pressures play in VW’s decision-making?
Intense market competition and the pressure to meet strict U.S. emission standards without sacrificing performance drove unethical shortcuts.
How does this case relate to practitioner evidence in EBMgt?
Practitioners (engineers) identified problems but were ignored. This shows the importance of listening to front-line expertise in decision-making.
How to cite
(BBC, 2012).
