Enron: The Smartest Guys in the Room

Enron: The Smartest Guys in the Room

Alex Gibney

This documentary is shocking, showing how wrongdoings are normally happening not because a single person greed, but due to the fact several people inside and outside the company are taking benefits from it.

As said in the documentary, while you are paying everyone is happy and auditors, board, lawyers and other executives are super happy. 

It is true that after the Enron case many things have changed in compliance for corporations, but it is equally true that human nature has not changed and a very low number of people as per today have the courage to stand up against wrong doing.

In a certain point the documentary makes reference to the Milgram experiment, conducted by psychologist Stanley Milgram in the 1960s, demonstrated how ordinary people can commit harmful acts when following orders from an authority figure. Participants were instructed to administer increasingly severe electric shocks to another person (who was actually an actor and not receiving real shocks) whenever they answered questions incorrectly. Despite hearing the actor's simulated cries of pain and pleas to stop, many participants continued to deliver shocks simply because an authoritative experimenter insisted they do so. 

The study revealed that when people perceive harmful actions as "not their responsibility" or believe they are "just following orders," they may abandon personal moral judgment and comply with unethical or even cruel behavior.

In the context of corporate compliance, the Milgram experiment serves as a powerful reminder that blind obedience to authority or rigid adherence to procedures can lead individuals to ignore their moral and ethical responsibilities. Compliance professionals are often tasked with enforcing rules, but they must also be vigilant about the ethical implications of their actions and decisions. Merely following orders or company policy is not enough when those directives conflict with broader legal or ethical standards. True compliance requires the courage to question, speak up against wrongdoing, and ensure that integrity is not sacrificed in the name of efficiency or hierarchy.

Ultimately, the documentary serves as a sobering reminder that systems of corruption often thrive not because of isolated bad actors, but because too many people choose silence, comfort, or personal gain over doing what is right. In an environment where everyone benefits from looking the other way, ethical decay becomes normalized. True compliance, therefore, is not just about ticking boxes or avoiding legal risk — it is about fostering a culture where integrity, accountability, and the courage to act ethically prevail, even when it means standing alone.