Stages of Deviance
Purdue Pharma singled out executives in their legal battles. What stage of Deviance is this in? (Hints: Initiating deviance, Institutionalization, Reactions)
Reactions to Deviance
Give an example of how “Organizations Influence Thought and Actions” leads to organizational deviance
Company policy led sales representatives to lie about the qualities of their products and led to misrepresentation of Oxycontin
Purdue leadership knowingly pushed deceptive research and marketing claims, such as the false notion that OxyContin was less addictive. What is the origin of this deviance? (Hints: Indirectly/Directly Traceable to Organizational Elites, Limited information and responsibility)
Directly Traceable to Organizational Elites
What are the EXTERNAL reactions to Purdue’s deviant behavior
Lawsuits, Media Scrutiny, Settlements
What was the outcome of the settlement in the McKinsey and Opana case?
McKinsey agreed to settle and blamed certain consultants
Purdue Pharma initially promoted OxyContin for moderate pain, despite its original approval for severe, chronic pain. What stage of Deviance is this? (Hints: Initiating deviance, Institutionalization, Reactions)
Initiating Deviance
What is one reason why organizations are capable of deviance (out of 3)
Positions as building blocks, people are replaceable, and organizations influence thoughts and actions
Purdue leadership knowingly pushed deceptive research and marketing claims, such as the false notion that OxyContin was less addictive. What is the origin of this deviance?
(Hints: Indirectly/Directly Traceable to Organizational Elites, Limited information and responsibility)
Directly Traceable to Organizational Elites
What are the INTERNAL reactions to Purdue’s deviant behavior
Blame Shifting within the Organization
What was McKinsey’s reaction to their large legal settlement?
Denied fault, later accepted that they contributed
The company encouraged aggressive sales strategies, pressuring representatives to push OxyContin on doctors. What stage of Deviance is this? (Hints: Initiating deviance, Institutionalization, Reactions)
Initiating Deviance
Why did the various organizations blame different individuals or groups in association with them? What was the goal?
They wanted to remove blame from the main company responsible and shift public opinion to a more positive response.
Focused on quotas and their lack of training, Sales representatives didn't report abuses of prescriptions for oxycontin. What is the origin of this deviance? (Hints: Indirectly/Directly Traceable to Organizational Elites, Limited information and responsibility)
Limited information and responsibility
How does Purdue Pharma utilize the tactic of Alternative Accounts in its response to exposure of Deviant behavior
Blame the drug addicts, “Bad Apples”
Why was Opana even more dangerous than OxyContin?
Opana is twice as strong and easy to dissolve and inject
Karen White was labeled as a whistleblower and marginalized/downplayed because of it. What stage of Deviance is this? (Hints: Initiating deviance, Institutionalization, Reactions)
Institutionalization
How does Friedman, Udell, and Goldenheim “taking the fall” for the Sacklers and Purdue despite being high-ranking advisers illustrate how organizational structures allow large organizations to become acting units capable of deviant behavior?
In organizations, people are replaceable. Even those seen as integral to the company can be replaced for the continued prosperity of the organization.
Purdue executives approved settlements with no-fault settlements, avoiding formal admissions of wrongdoing, allowing them to keep selling oxycontin. (Hints: Indirectly/Directly Traceable to Organizational Elites, Limited information and responsibility)
Limited information and responsibility
In the Brownlee case against Purdue, how were individuals punished? How were organizations punished?
Udell, Goldenheim, and Friedman were charged with misdemeanor and banned from doing healthcare business for 25 years. Purdue was fined $600 million. But ultimately, Purdue Frederick, and the representatives took the fall so that Purdue Pharma and the Sacklers are unscathed.
What was the cost of the McKinsey settlement and how many documents were collected?
$600 million and over 100,000 documents
Purdue Pharma’s executives publicly downplayed opioid risks, using research they funded to create this type of justification. What stage of Deviance is this? (Hints: Initiating deviance, Institutionalization, Reactions)
Institutionalization
In honor of Lundman: “Please list three crimes you think are serious, troublesome, and worth doing trying to do something about” — committed by Organizations
Fraud, monopoly, employment discrimination. NOT embezzlement
Sales representatives promoted oxycontin, partly due to how Purdue executives incentivized sales representatives with bonuses. What is the origin of this deviance? (Hints: Indirectly/Directly Traceable to Organizational Elites, Limited information and responsibility)
Indirectly Traceable to Organizational Elites
How does Purdue and the Sacklers build up goodwill / or fail to build up goodwill?
Positive: Sacklers were known for philanthropy, Purdue emphasizes the good they do to the pain community
OR Negative: Purdue refuses to help abuse victims of Oxycontin
What were some of McKinsey’s proposed “offensive” strategies?
Get physicians more comfortable prescribing OxyContin and targeting the physicians that would give the greatest return (in prescribing the drugs)