Jonathan Peck
The Bookbuilders West April dinner meeting featured a panel discussion entitled Business Ethics: There's no right way to do the wrong thing. Led by moderator Bernie Scheier, the four panelists were Karen Judd of McGraw Hill, Sybella Solt of Quebecor, Gloria Fontana of GTS Graphics, and Curt Cowan of The Cowans. Panelists were selected to represent various aspects of the publishing community and, together, brought a combined total of over 100 years of experience to the discussion.
Bernie, initiating the discussion by saying that good business ethics lead to business excellence, led with the question "Is it ethical to print overseas?" Sybella Solt responded that this was more an economically driven business question than one of ethics.
"Is it appropriate for a sales representative to drop in without an appointment?" was fielded by Karen Judd, who replied that her office structured limited times during the week for suppliers to visit and that during those times people might expect to see suppliers. Karen was resolute in seeing this as a question of time management.
Sandy Ryan asked how much notice should be given when leaving a job. Gloria Fontana's response was both broad and eloquent: Ethics are not what you have the right to do, but doing the right thing. She recommended consulting an employee handbook, but, in the absence of guidelines, the standard seemed to be two weeks. When the question expanded to include what was appropriate when leaving a job to work for a competitor, Karen Judd asserted that, although notice should be offered, loyalty should shift immediately to the new employer and that, most likely, any notice given under such circumstances would be shortened by the soon-to-be-ex-employer. Elliott Brand asked what could be taken from one job to the next. Karen answered that it's probably OK to take copies of things to which you normally have access, particularly contact lists and sales information, but leave the company secrets behind.
Publisher/Vendor Relationships. The role of friendships between buyers and suppliers was broached by Karen Marquardt. Curt Cowan responded by saying that friendships among those who work together are fine. Gloria Fontana concurred. Karen Judd said that friendship could add depth to a working relationship, but that it required balance (she buys lunch for supplier friends) and that no one should take advantage of a supposed friendship in a business relationship. All panelists agreed that friendship has value in providing greater opportunities for communication within working relationships.
Dick Greenberg posed this question to suppliers in general: Do you ever overbook your facilities? Sybella Solt responded that Quebecor does not, but that the flow of work sometimes varies from original schedules such that work-in-process exceeds capacity. Dick pursued the question by asking whether Quebecor ever turned work away based on being too busy. Sybella replied that they do not take on work (even from their best customers) when they know with certainty that they cannot complete the work on schedule.
This question was directed back to publishers by asking what suppliers could expect from them as fair conduct. Karen replied that she works closely with her suppliers to solve schedule problems as they arise. She looks for fair and innovative solutions to time crunches, sometimes skipping or combining production stages.
Doing Business Overseas. Additional questions were asked about doing business overseas, where publishers can gain substantial cost savings. Gloria noted that she was uncomfortable with the possibility that, at least in educational publishing, this practice resulted in tax dollars ending up overseas. Bob Pirrung of Color Associates made the observation that many publishers are now foreign owned so where tax dollars go is not simply a matter of where production dollars are spent. Bernie simplified the discussion by noting that the larger issue is whether substandard pay or working conditions prevail in the plants publishers are using.
Paying Freelancers. "Should freelancers be paid on shorter terms than larger vendors?" Curt Cowan was first to respond by saying that freelancers should be, and in his experience are, paid within 30 days. Leslie Austin of Papier-Mache Press stated (from the audience) that their policy is to pay freelance invoices within 15 days. Nods from around the room indicated prompt payment to freelancers is a widespread practice. Gloria Fontana put an opposite spin on the question by asking whether it was appropriate for publishers to utilize vendors as "bankers," noting that larger publishers were increasingly extending payment terms unilaterally. Karen noted that the large publishers she has worked for do not honor late charge assessments on overdue payments and that attempting to collect would likely fail.
David Gilmore brought a design question to the mix by asking whether a designer should sell a "style" to more than one client. Response to this question came down to two basic issues: intent (primarily the intent of the buyer) and copyright-ability based on specific features (photographs, icons and other graphic devices) that might be sold to a client seeking to imitate a competitor. Panelists agreed that a designer's general style could be sold to more than one client but designers should be cautious when selling a specific look. Also, work-for-hire agreements may constrain designers from repeating a "look" for more than one client.
Vivian Tobias asked whether it was appropriate for publishers to insist on the identification of one's other clients. Fontana noted that its essentially a request for professional references, and both Cowan and Judd added that no one is obliged to provide more than a list of satisfied clients.
Downsizing and Cost Cutting. Bernie Scheier then asked the panel whether it was ethical for companies to lay off staff and then immediately outsource the work to independent contractors. Sybella Solt was first to respond by saying that this business decision needs to reflect companies' responsibility to their shareholders and to ensuring their viability in a competitive arena. She added that companies should avoid being short-sighted in laying off staff as a cost-cutting measure. Cowan encouraged individuals to see the potential upside of being laid off, that the life of an independent contractor can be both stimulating and lucrative. Karen Judd noted that it is both unethical and illegal to use so-called cost-cutting layoffs as a means of disposing of older (and presumably more expensive) employees.
Bernie Scheier closed the discussion by articulating a few simple and reliable guidelines. One can keep an ethical compass at hand by subjecting behavior to the following questions:
1. Is it legal? 
2. Is it fair and balanced? Does it promote a win/win situation?
3. How does it make you feel about yourself? Would you feel comfortable if
your colleagues, friends, and family knew about your conduct?