Question: answer the question at the bottom with at least one paragraph. refrencing buisness ethics. ignore first image submitted. use the following two. RESOLVING ETHICAL BUSINESS

answer the question at the bottom with at least one paragraph. refrencing buisness ethics. answer the question at the bottom with at least
ignore first image submitted. use the following two. answer the question at the bottom with at least
answer the question at the bottom with at least
RESOLVING ETHICAL BUSINESS CHALLENGES involved as well, especially their customers. Cha interested in assessing the overall corporate calitat the firm Because Charles knew his data analysis mittee of competent coworkers who had been in the were not good, he recommended bringing in a organization for years and knew the system in out. He also developed a list of organizations Batter could hire to verify the results once data was collect and analyzed Charles worked at Butterfly Corporation for two years after graduating from the University of Texas. He liked his job but the firm was going through some rough times. Because the firm was losing money, Douglas. the CEO, set increasingly rigorous performance goals . Charles noticed a lot of employees were grumbling about these unrealistic expectations. He also heard rumors of quality control incidents and other problems. One day Charles was called into Douglas's office. "Hello, Doug You wanted to see me?" Charles asked. "Yes. Charles. Come in." Doug looked grim. After Charles sat down, he began to speak. "Look, you know about the tough times we are in. We are losing money left and right. So far I've been able to keep this company afloat by drastically making cuts and speeding up pro- duction. I guess in all this cost-cutting, there have been problems that have come up. A lot of people have called the hotline to complain about ethical problems, such as employees cutting corners to make their quotas. Now I've got the board on my back." I'm really sorry, Doug. How can I help?" Charles asked "Well, the board requested we perform an ethics audit to make sure everyone is complying with company regulations. As if we don't have enough to worry about This is only going to increase our costs. Anyway, I want you to lead the audit." Charles was stunned. "Me? But Doug, I've only been here for two years. Shouldn't you choose a more experi- enced manager to lead this?" Doug shook his head. "We need all our managers to continue doing their jobs. I don't have the time to pull one of them away from their responsibilities just because the board wants us to do an ethics audit." Charles agreed to lead the audit process. That night he researched how to conduct an ethics audit. He promised to have a rudimentary plan outlining how the ethics audit should be conducted on Doug's desk for approval the next day. As he researched on the Inter- net, he became more excited. He spent hours forming objectives for the audit, determining the audit's scope, and defining what he thought should be the firm's eth- ical priorities. He created a plan for using focus groups of employees to see what the greatest concerns were. If time permitted, he wanted to get other stakeholders The next day, Charles turned in his report and waited while Doug read through it. When finished te looked up at Charles and frowned. "Charles. I can see you put a lot of work into this However, what you have recommended is not going to suit our needs." "What do you mean?" Charles asked. "First off, I already told you. I don't want to remote people from their jobs to work on this. We're behind schedule as it is. Also, focus groups of employees and customer feedback? That's going to take up time and resources we can't afford to lose. You also propose hir- ing an independent third party? We're supposed to be cutting costs, not throwing money at some organization simply to check our results." "So what would you like me to do then?" Charles asked. Doug sighed. "That's why I made you the person in charge of the project. You make the decisions. Just make sure it's something that won't cost a lot of money. I want this process to go as quickly as possible so we satisfy the board and get back to work. Maybe you could survey a few employees and get it over with. Just remember to make us look good." Doug handed back Charles's proposal. "Revise this and bring it back to me tomorrow," he said. QUESTIONS EXERCISES 1. What is a key component of a successful auditing process missing from this situation? 2. How would you describe the corporate culture of Butterfly? 3. What steps would you recommend Charles take? *This case is strictly hypothetical, any resemblance to real persons companies, or situations is coincidental AN ETHICAL DILEMMA Dund Ready (O&RI Company is a tal firm that started value. It giving Mall Deyments is the only way to things the United Kingdom It recently expanded into done quickly, then that's what we have to do exco DR management is excited about the expansion Raul agreed and paid Pedro the money. The permis because they anticipate a large market for the goods were approved, and the first one was built. The success tin America. They hired Raul to negotiate contracts of the store convinced the company to expand to mo wing the necessary permissions to begin building locations in the area. Unfortunately, Raul ran into the stores in Mexico City Although Raul graduated same problem Management at D&R wanted the Jom Cornell University, he spent his childhood in Mexico building permits to be approved in a reasonable time new the country will Raul's manager, tan Menkin, period. Raul explained that gaining approval could be a pested to Raul the importance of getting the new long process in Mexico, but D&R assumed since he had batons approved as soon as possible so the company gotten approval quickly ance before, he could do it again muld begin building their stores Raul was in a bind. So whenever Pedro offered to speed Unfortunately, Raul ran into some difficulties receiving up the process in exchange for a small amount of money, permissions in the required time frame. Due to unforeseen Raul agreed circumstances, the permissions process took longer than As a result of Raul's success, he was promoted and onany thought. When Raul explained to lan that the relocated to the United Kingdom to the corporate offices building process would likely be delayed due to these His pay tripled since from when he had first started. Raul problems, lan was not pleased "Look, Raul We have a enjoyed London and loved his new job responsibilities schedule to keep. The people here at headquarters will not Everything seemed to be going well take kindly to any delays." Then one day Raul pot a frantic call from an "We "But what should I do, lan?" Raul asked have a problem. Somehow someone figured out about the "Just do whatever it takes to get those permits payments made to secure building permits in Mexico. They approved," lan said before hanging up the phone are launching an investigation Raul called up Pedro, his main government contact Although Raul was nervous, he could not understand that worked on approving zoning permits Raul explained tan's panic. But the payments we made were not the situation, but Pedro would not budge densive. It's just the way things work in Mexico. You said "I'm sorry, Raul. But I can't make the process go any everything would be fine. faster lan's voice was sharp. "You follit doesn't matter Raul, knowing his job could be on the line bewed whether the payments were small Any type of bribery can Pedro to reconsider. Finally, Pedro agreed to meet with Rail De prosecuted under the UK Bribery Act. It doesn't matter to talk things through whether the bribery took place in Mexico -any company Later that day, the two men met. Raul again presented with operations in the UK can be held liable. his case. Pedro listened and finally spoke. "I understand Raul Swallowed "So what do we do?" he asked your predicament. And although it's against policy. I believe "Listen carefully to what I'm telling you," lan said can help you get those permits approved. However, I'm "I want you to find any documentation that might be going to need 6,000 pesos to complete the job." incriminating and destroy it. If anyone comes asking, deny Raul was uncomfortable with the idea. Again, he any payments. Also, contact the person you made the called up lan in London. Raul explained the situation payments to Do what it takes to make sure he denies that "Unfortunately, this is really going to be the only way to get D&R made any improper payments to him." Raul hung this process done quickly," lan was quiet for a little while up the phone. He knew if found out the company could Then he spoke. "The money isn't that important. It amounts face massive fines. Perhaps he and lan could get into legal to less than 300. Go ahead and pay him." But lan, what if anyone at the company finds out?" lan replied, "It's our policy to respect the different cultures in which we do business. It is one of our core The typical any resemblance to compe no situation is concidental trouble. However, he also knew covering up the bribery would make it worse for everyone if discovered. On the other hand, Raul thought there was a good probability that the payments would not be noticed. He knew that almost all companies have to make these payments to get transactions done in different countries, and many have not been caught QUESTIONS EXERCISES 1. What are the ethical issues in this situation? 2. Identify the pressures that caused the ethical issues to develop 3. Discuss the advantages and disadvantages of each decision Raul could make

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