Michael McIntyre is a cost analyst with Mid-States Insurance Company. Mid- States is applying standards to its
Question:
To: T. J. Logan, Vice President of Operations
From: Michael McIntyre
Re: Standards in the Claims Processing Department
As you know, Kimberly and I are scheduled to meet with you to discuss our disagreement with respect to the appropriate standards for the Claims Processing Department. I have conducted time and motion studies and have determined that the ideal standard is 36 claims processed per hour. Kimberly argues that 30 claims processed per hour would be more appropriate. I believe she is trying to “pad” the budget with some slack. I’m not sure what she is trying to get away with, but I believe a tight standard will drive efficiency up in her area. I hope you will agree when we meet with you next week.
Discuss the ethical and professional issues in this situation.
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