JustAnswer
|Page 22 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 2,675 (out of 5,000) |
|To: | |
|Maemae | |
| | |
| | |
|Avoiding an Orange Jumpsuit | |
The reason for putting you through this drill is to make sure that you never have to wear an orange jumpsuit because of an action you took as an employee of G-BioSport. So, here’s the bottom line . . .
You chose the following option:
Disseminate information broadly about increased risk for specific groups. Offer to replace tainted product or to refund purchase price.
On a scale of 0 to 5, from low to high risk, your decision rates a 1. It represents very low risk.
• Once the product has been sold to consumers, there is no way to entirely eliminate the possibility of a lawsuit. The goal at this point is to reduce the risk.
• Giving consumers information upon which to base informed choices about continued use of the product reduces both the risk of a lawsuit and the risk of adverse publicity.
• Quality and breadth of dissemination of information are the keys to reducing risk.
• The cost of replacing product and/or refunding the purchase price to any consumer who wants to return their product is an expense that is likely to have a direct trade-off in increased consumer good will.
Settled Law
Products liability is a broad legal category covering everything from exploding gas tanks to flammable baby clothes to lead paint toys to poisoned toothpaste and dog food. Legal risk for defective products can attach to manufacturers, assemblers, wholesalers, and retail distributors, depending on where in the chain of production and distribution a problem occurred that led to a consumer being harmed. Liability varies greatly by state and there is no federal or uniform law governing products liability. International standards also vary greatly.
Legal claims for damages from defective products were originally based primarily on theories of negligence or breach of warranty. Increasingly, however, successful claims are made on the basis of strict liability. This means that liability is increasing. Where a strict liability theory is used, the injured consumer does not need to demonstrate that the manufacturer or some other person was negligent or that the product was unfit for the purpose for which it was sold. All the injured consumer in such cases needs to prove is that he or she was injured by the product. The seminal case is Greenman v. Yuba Power Products, Inc., 59 Cal.2d 57, 377 P.2d 897, 27 Cal.Rptr. 697 (1963), in which the Court stated that the 'purpose of such liability is to insure that the costs of injuries resulting from defective products are borne by the manufacturers that put such products on the market rather than by the injured persons who are powerless to protect themselves.'
The care taken by the manufacturer can impact the outcome of the case, as evidence of reasonable care is a defense to negligence. Some products are unavoidably dangerous, but serve some beneficial purpose, such as live polio vaccine. The live vaccine has been used almost exclusively in the United States since the 1960s, although there is a very small risk that some who are vaccinated or those who come in close contact with them will contract 'paralytic disease.' The vaccine can not be made completely safe, however, it is considered far superior in combating polio than vaccines made with an inactivated or dead strain of the polio virus. In such cases, the key to liability is often the adequacy of warnings. Adequate warnings can reduce or eliminate manufacturer liability even in cases of consumer products that do not serve a beneficial purpose.
Emerging Law
A spate of consumer product recalls in 2007, in combination with a number of deaths due to contaminated food products, resulted in a variety of legislative proposals to reduce consumer risk. One such proposal was the Food and Product Responsibility Act of 2007, proposed by U.S. senators from Pennsylvania and Ohio. The proposed Act would 'require distributors of food and consumer products demonstrate the financial capacity to cover risks associated with recalls and product safety.' Press Release of Senator Casey, September 20, 2007. Such legislation is an extreme reaction to a growing combination of an increasingly litigious U.S. society and increased risk of harm posed by mass manufacturing and distribution. Less extreme reactions include voluntary measures by some manufacturers to provide more informative product labels or to engage in third-party testing to assure product safety. The U.S. Food and Drug Administration is charged with regulations affecting food, supplements, and drugs (three distinct regulatory categories), although not exclusively so, and without sufficient funding or independence to fulfil its regulatory mandate. Some other efforts to respond to growing consumer fears include proposals for streamlined regulations and better funding and/or increased authority for the FDA.
Beyond Complaince
Many parts of U.S. culture contribute to the growing problem of legal liability. Lack of personal responsibility as well as collusive industry and government practices all contribute to an environment in which even the most egregious and obvious harm is disclaimed by those clearly responsible. At the same time, the news is also full of accounts in which those who have failed absolutely to take personal responsibility for their behavior are desperate to blame someone else for the natural - albeit devastating - consequences of that behavior. Insurance costs skyrocket at the same time that coverage is minimized. The public increasingly bears the burden of caring for those injured by both defective products and personal irresponsibility. Government regulations vacillate between paternalistic and buyer-beware depending on the political winds of the moment or the clout of an industry.
Cynicism cripples an effective response to the problem of how to both reduce and respond to the risk of harm from defective or unavoidably dangerous products. While transparency of motive and adequate warning will not eliminate legal liability for manufacturers, they can go a long way toward fostering the environment of cooperation among manufacturers, consumers, lawyers, and legislators that could contribute to solutions. Public confidence in both corporate responsibility and the legal system could be vastly improved as well.
Top of Form
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|[pic] |
|Page 23 of 44 |
| |G-BioSport Bonus |
| | |
| | Total: 3,425 (out of 6,000) |
| | |
|And finally, a break from decision-making . . . |
| |
|You were digesting the implications of Rian’s conversation about the “orange jumpsuit” over your morning cappuccino. You |
|never want to experience anything remotely like the inside of a county jail or see your picture on the front page of the |
|business section of the paper facing a local judge. |
| |
|In the middle of the second sip, the computer alerts you to a new message in your in-box. |
|From: |
|Carson Nelson |
| |
|To: |
|Maemae |
| |
| |
| |
|Bonus |
| |
| |
|Rian forwarded me the memo you wrote, which evidenced good leadership in this difficult situation. |
| |
|You have already received bonuses of 2,675 points because of the decision-making skills that you've shown in handling this particular problem. I am |
|pleased to award you an additional 750 points because your final decision reduced the risk to the company. |
| |
|You are clearly on your way toward meeting your annual performance goals as well as demonstrating senior leadership capabilities. |
| |
|Again, congratulations on a job well done, |
| |
|Carson |
With a sense of satisfaction you lean back in your chair and gaze out the window, marveling at what you had learned.
End of Dilemma One
You have reached the end of the first dilemma. You will now be presented with a new case which will require you to use the other two lenses: the Relationships Lens and the Reputation Lens.
Top of Form
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|[pic] |
|Page 24 of 44 |
| |G-BioSport Bonus |
| | |
| | Total: 3,425 (out of 6,000) |
| | |
|And so the challenge continues with the next problem. . . |
| |
|The glow had not even faded from the news of your bonus when your computer alterted you to some new emails in your inbox. |
|Just when you thought you were going to have smooth sailing, another ethical dilemma raises its ugly head. |
Top of Form
[pic][pic]
In-Box of Maemae
|From |Subject |
|Elaine Shields |FDA Regulations Changes |
|Paul Marconi |An Opportunity |
As you reflect on the situation, you realize that it's all a pretty sticky mess. However you don't have to face the problems alone... once again, you have Rian Brown, the company's Ethics Officer, to assist. The time seems right to contact the Ethics Coach.
|[pic] |
|Page 25 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 3,425 (out of 6,000) |
|To: | |
|Maemae | |
| | |
| | |
|Issues in your Dilemma | |
Wow! I didn’t think I’d see you again so soon. However, we know that you can sort your way through this second problem, although it is more complex than your last problem.
As you remember, the first step is to figure out exactly what the problem is . . . what is the issue that you are facing. By breaking the problem into small parts, you can get to the core of the problem. Don’t forget to check the Ethics Coach on every page for a refresher and more information whenever you need it.
Now, based on our conversation, here is a list of possible issues for this problem.
• Check the one that you think applies to this situation.
• Then, submit your answer.
• I’ll let you know whether or not you hit the mark.
Top of Form
[pic][pic][pic][pic][pic][pic]
|Which issue applies to this problem? |
| |[pic] Whether to sell a product that does not meet U.S. safety requirements in a foreign market that has lower safety restrictions. |
| | |
| |[pic] Whether U.S. regulations are unreasonably high because of out of control legal costs. |
| | |
| |[pic] Whether you can avoid bad publicity if a non-U.S. consumer has a problem with the tainted supplement. |
| | |
| |[pic] Whether the level of contaminant is high enough to make the product unreasonably dangerous. |
|[pic] |
|Page 26 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 3,875 (out of 7,000) |
|To: | |
|Maemae | |
| | |
| | |
|re: Issues in your Dilemma | |
Thank you for your reply. When analyzing a complex problem, I find it critical that the issues be identified and clearly understood.
Here's how to read the chart:
• A [pic]appears before the issue you selected as applying to the situation.
• An [pic]appears before those issues that you did not select.
• If I disagree with your choice, these symbols are marked as [pic]and [pic].
• For answers on which we agree, the text is highlighted in blue.
• For answers on which we disagree, the text is highlighted in yellow.
Let’s see how you did.
Top of Form
[pic][pic]
|Which issue applies to this problem? |
| | |
|[pic] | |
|Whether to sell a product that does not meet U.S. safety requirements in a foreign market that has lower safety restrictions. | |
| | |
| | |
| | |
| | |
|(Correct) This is the primary issue you must consider. There are several factors to consider in making the decision, but this is the ethical issue | |
|you must resolve. | |
| | |
| | |
|[pic] | |
|Whether U.S. regulations are unreasonably high because of out of control legal costs. | |
| | |
| | |
| | |
| | |
|(Incorrect) This subject would make an interesting discussion, but it is not the primary issue you need to resolve. | |
| | |
| | |
|[pic] | |
|Whether you can avoid bad publicity if a non-U.S. consumer has a problem with the tainted supplement. | |
| | |
| | |
| | |
| | |
|(Incorrect) How such an action would impact public perception of the company is indeed a factor to consider in deciding whether selling the product | |
|outside the U.S. is an ethical business option. This factor is not the only factor to be considered, however, and it is not the primary issue. | |
| | |
| | |
|[pic] | |
|Whether the level of contaminant is high enough to make the product unreasonably dangerous. | |
| | |
| | |
| | |
| | |
|(Incorrect) This is the second issue you will have to deal with, if you decide that selling the product outside the U.S. is a viable option. First, | |
|though, you must determine whether it is acceptable to sell the product if it does not meet U.S. safety restrictions. | |
| | |
Not a bad start! Based on your efforts, I am pleased to award you 450 points. While you did not get the core issue, you correctly identified the underlying problem and are therefore aware that the company may be at some risk.
|[pic] |
|Page 28 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 4,175 (out of 8,000) |
|To: | |
|Maemae | |
| | |
| | |
|re: Stakeholders in your Dilemma | |
Thank you for working with me on this matter. As I'm sure you'll agree . . . before making a decision, understanding who will be directly affected by your action is critical.
Below, you will find my analysis of the stakeholders. As before:
• A [pic]appears before any stakeholder you selected as being directly involved.
• An [pic]appears before those stakeholders that you did not select.
• If I disagree with your choice, these symbols are marked as [pic]and [pic].
• For answers on which we agree, the text is highlighted in blue.
• For answers on which we disagree, the text is highlighted in yellow.
Let’s see how you did.
Top of Form
[pic][pic]
|Who are the primary stakeholders in this problem? |
| | |
|[pic] | |
|The Shareholders | |
| | |
| | |
| | |
| | |
|(Correct) The stakeholder theory acknowledges the importance of shareholders and that maximizing shareholder value is one of the company’s primary | |
|purposes. However, shareholders are no longer considered the only stakeholders of any consequence. | |
| | |
| | |
|[pic] | |
|The Board of Directors | |
| | |
| | |
| | |
| | |
|(Incorrect) Once again, the Board of Directors have delegated the responsibility for managing the company to the CEO and other officers. Therefore, | |
|they are not directly involved. | |
| | |
| | |
|[pic] | |
|Carson Nelson, Chief Executive Officer | |
| | |
| | |
| | |
| | |
|(Correct) Often the CEO is excluded because he has delegated his authority - and responsibility - to others. In this case, however, the dilemma poses| |
|implications for the reputation of the company, as well as the need to explain the decision to the Board of Directors. | |
| | |
| | |
|[pic] | |
|Cary Bryant, Chief Legal Officer | |
| | |
| | |
| | |
| | |
|(Incorrect) Because the risk of harm from the contaminant is so low, any decision involves only a hypothetical risk of litigation at this point. | |
|Thus, he is not a primary stakeholder in this situation. | |
| | |
| | |
|[pic] | |
|Maemae, Quality Control Manager | |
| | |
| | |
| | |
| | |
|(Correct) You are always a stakeholder in decisions you make, since your actions as a leader put your professional integrity on the line. | |
| | |
| | |
|[pic] | |
|Elaine Shields, Operations Director | |
| | |
| | |
| | |
| | |
|(Correct) Because she is responsible for your professional life, your decisions and their consequences impact her job as well. | |
| | |
| | |
|[pic] | |
|Judy Birch, Director of Public Relations | |
| | |
| | |
| | |
| | |
|(Correct) She will be responsible for dealing with media fallout if public opinion deems the company's action an inappropriate solution to the | |
|inability to sell the product in the U.S. Her job will be directly impacted by your decision. | |
| | |
| | |
|[pic] | |
|G-BioSport's international consumers | |
| | |
| | |
| | |
| | |
|(Correct) Both their access to your product and their safety are at issue in this decision, therefore they are stakeholders regardless of how you | |
|resolve the ethical dilemma. | |
| | |
I am awarding you 300 points for your analysis of the problem. While you had a difficult time identifying the stakeholders, your attempt should still be rewarded. Before continuing, please review the list to see where you missed the central concept. If my explanation doesn’t make sense, check the notes posted on my Ethics Coach page.
|[pic] |
|Page 29 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 4,175 (out of 8,000) |
|To: | |
|Maemae | |
| | |
| | |
|Relationships Lens | |
You are about to look at the third lens, the Relationships Lens, which focuses on the processes—the systems—needed for an ethical organization. The first two lenses, the Rights/Responsibilities Lens (which focused on duties) and the Results Lens (which focused on happiness), had the individual as the primary concern. The Relationships Lens focuses instead on the community.
The first concern of this lens is protection of the basic liberties of all people:
• Each of us is entitled to a limited number of rights, regardless of wealth or status.
• The rights are procedural: we have a right to a fair process.
• The emphasis is on protecting those without power, the least advantaged.
The list is as follows:
1. Right to notice:
to know what the rules are and what process is to be used to enforce the rules.
2. Right to voice, not a veto:
to share concerns and critiques about the rules and the process. Each stakeholder is entitled to a seat at the table where decisions are being made.
3. Right to have contracts honored:
once an agreement has been made, to have the terms of that contract honored and not changed on a whim.
The list is pretty abstract. Given the problem you have to solve, let’s see if you can identify which of the following list of rights is covered under the category of basic liberties. Half of the items on the list are basic liberties.
Top of Form
[pic][pic][pic][pic][pic][pic]
|Which of the following rights represent basic liberties? |
| |[pic] Right to know what the safety standards are for a product. |
| | |
| |[pic] Right to have industry-wide safety standards be based on input from members of the industry. |
| | |
| |[pic] Right to a product that meets its stated purpose. |
| | |
| |[pic] Right to market access for the company's products. |
| | |
| |[pic] Right not to have one's career put at risk by a single bad decision. |
| | |
| |[pic] Right to act contrary to government regulations with which you don't agree. |
|[pic] |
|Page 30 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 5,175 (out of 9,000) |
|To: | |
|Maemae | |
| | |
| | |
|re: Relationships Lens | |
Once again, let me thank you for the time you're investing. Examining a problem from multiple viewpoints does take time. However the rewards can be significant in the form of highly effective decision-making.
Here's how I marked up your answers:
• A [pic]appears before any right you selected as representing a basic liberty.
• An [pic]appears before those rights that you did not select.
• If I disagree with your choice, these symbols are marked as [pic]and [pic].
• For answers on which we agree, the text is highlighted in blue.
• For answers on which we disagree, the text is highlighted in yellow.
Let’s review this exercise.
Top of Form
[pic][pic]
|Which of the following rights represent basic liberties? |
| | |
|[pic] | |
|Right to know what the safety standards are for a product. | |
| | |
| | |
| | |
| | |
|(Correct) The right to due process includes the right to information necessary to make informed choices about how to conduct our lives and what risks| |
|to assume. | |
| | |
| | |
|[pic] | |
|Right to have industry-wide safety standards be based on input from members of the industry. | |
| | |
| | |
| | |
| | |
|(Correct) All have a right to the same process and to participate in the development of the process, this is the core of the right to voice: to | |
|participate in the process. | |
| | |
| | |
|[pic] | |
|Right to a product that meets its stated purpose. | |
| | |
| | |
| | |
| | |
|(Correct) This is a matter of honoring contracts. Products are designed for specific purposes: if the product does not meet the purpose, the | |
|manufacturer has not honored the implicit contract. A supplement that harms you does not meet its purpose. | |
| | |
| | |
|[pic] | |
|Right to market access for the company's products. | |
| | |
| | |
| | |
| | |
|(Incorrect) We have the right to be treated as all other market participants: to enter on the same terms and be subject to the same rules. Our actual| |
|access to the market depends primarily on our own activities and efforts. | |
| | |
| | |
|[pic] | |
|Right not to have one's career put at risk by a single bad decision. | |
| | |
| | |
| | |
| | |
|(Incorrect) We have a right to a fair process for addressing performance issues, but we don’t have a right to guaranteed outcomes. It may be that | |
|some decisions have consequences so severe that even the most deliberative system will result in an immediate termination. | |
| | |
| | |
|[pic] | |
|Right to act contrary to government regulations with which you don't agree. | |
| | |
| | |
| | |
| | |
|(Incorrect) The clue that this statement is too broad is the word 'agree.' One may disagree with regulations for reasons that have nothing to do with| |
|justice or ethics. Disagreement alone does not justify legal disobedience. | |
| | |
Excellent work! You understand very well what is a basic liberty. For your efforts, I am pleased to award you 1,000 points. Now, let’s see how the liberties play out in organizational choices. Let's continue to the next step.
|[pic] |
|Page 31 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 5,175 (out of 9,000) |
|To: | |
|Maemae | |
| | |
| | |
|Relationships Lens | |
People become confused about basic liberties—those rights of which we all have an equal amount—and other rights of which people get various amounts, like education or health care. The interesting feature of considering basic liberties is that we can take an option for action which is not ethical and by adding a process for guaranteeing basic liberties make the option perfectly ethical.
In the previous screen you identified the following basic liberties:
• Right to know what the safety standards are for a product.
• Right to have industry-wide safety standards be based on input from members of the industry.
• Right to a product that meets its stated purpose.
Below is a list of actions that you could take in this situation. Check those actions that would meet the requirements of adding basic liberties to the process.
Top of Form
[pic][pic][pic][pic][pic][pic]
|Which actions add a process for guaranteeing basic liberties? |
| |[pic] |
| |Don't include safety information on product label. Instead, provide the company's 800 number on the label for those who want information. |
| | |
| |[pic] |
| |Post FDA and internal quality control standards on company website. |
| | |
| |[pic] |
| |Maintain confidentiality of internal quality standards so that competitors don't find out. |
| | |
| |[pic] |
| |Support development with other manufacturers of industry-wide standards and make recommendations to the FDA. |
| | |
| |[pic] |
| |Create an internal task force to annually review and recommend modifications to internal quality standards. Include Quality Control Managers from |
| |each division as well as the Director of Quality Assurance and Senior Clinical Researchers. |
| | |
| |[pic] |
| |Identify on product label all potential benefits of product, so long as the standard FDA disclaimer is also on the label. |
| | |
|[pic] |
|Page 32 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 5,775 (out of 10,000) |
|To: | |
|Maemae | |
| | |
| | |
|re: Relationships Lens | |
I hope that as we get deeper into the analysis of your dilemma, that elements actually become clearer and the decision-making easier.
I'll continue to use the mark-up that we've employed before:
• A [pic]appears before any action you selected as supporting the basic liberties.
• An [pic]appears before those actions that you did not select.
• If I disagree with your choice, these symbols are marked as [pic]and [pic].
• For answers on which we agree, the text is highlighted in blue.
• For answers on which we disagree, the text is highlighted in yellow.
Now, let’s examine the results.
Top of Form
[pic][pic]
|Which actions add a process for guaranteeing basic liberties? |
| | |
|[pic] | |
|Don't include safety information on product label. Instead, provide the company's 800 number on the label for those who want information. | |
| | |
| | |
| | |
| | |
|(Incorrect) Most product labels already have contact information. This does not provide consumers with adequate notice about internal or external | |
|quality control standards. | |
| | |
| | |
|[pic] | |
|Post FDA and internal quality control standards on company website. | |
| | |
| | |
| | |
| | |
|(Correct) By posting information on the company website so that consumers can easily locate it, you have assured that consumers are able to determine| |
|the industry and company standards. | |
| | |
| | |
|[pic] | |
|Maintain confidentiality of internal quality standards so that competitors don't find out. | |
| | |
| | |
| | |
| | |
|(Incorrect) Revealing internal quality control information does not put the company at a competitive disadvantage - in fact it may very well increase| |
|sales as consumers feel the company can be trusted. Maintaining secrecy deprives consumers of adequate notice. | |
| | |
| | |
|[pic] | |
|Support development with other manufacturers of industry-wide standards and make recommendations to the FDA. | |
| | |
| | |
| | |
| | |
|(Correct) This action extends the right to voice beyond the company. Such coordination of information benefits consumers by tending to raise the | |
|overall standards. Ideally, it also results in robust self-policing by industry members. | |
| | |
| | |
|[pic] | |
|Create an internal task force to annually review and recommend modifications to internal quality standards. Include Quality Control Managers from | |
|each division as well as the Director of Quality Assurance and Senior Clinical Researchers. | |
| | |
| | |
| | |
| | |
|(Correct) This action gives voice to those who are charged in the company with ensuring quality standards. In addition, this committee has the | |
|expertise to set in place protocols for dealing with product that contains contaminant levels in excess of company standards. | |
| | |
| | |
|[pic] | |
|Identify on product label all potential benefits of product, so long as the standard FDA disclaimer is also on the label. | |
| | |
| | |
| | |
| | |
|(Incorrect) The company is required by the FDA to provide certain disclaimers. Doing so does not excuse the inclusion of unsupported health claims. | |
|Such misleading violates the consumer's right to have contracts honored. | |
| | |
Your efforts at identifying those actions that support the basic liberties were quite near the mark. As a result, I'm pleased to award you 600! Please review my explanations where we differed. If you need additional information, visit the Ethics Coach page. Once you're done, let’s move to the next step.
|[pic] |
|Page 35 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 5,775 (out of 10,000) |
|To: | |
|Maemae | |
| | |
| | |
|Reputation Lens | |
We're almost done! The final lens we are going to examine is the Reputation Lens, which explores the virtues that are important for leadership.
The first concern of this lens is identifying the core competencies of your role—Quality Control Manager. Each leadership position in an organization has a responsibility for moving ahead the goals of the organization as well as a gatekeeper function . . . making sure that individuals and the company do not violate ethical norms.
The list of core competencies is personal. Each of us sees ourselves fulfilling the role in a somewhat different fashion, bringing together a unique blend of skill and abilities to the organization. Nonetheless, there are certain competencies that must be fulfilled in order that we meet the ethical requirements of our job.
In the list below, choose seven to nine competencies that you believe are important for the role you have in G-BioSport. See if you can identify the ethical requirements of your job.
Top of Form
[pic][pic][pic][pic][pic][pic][pic]
|What are the core competencies of your role? |
| |[pic] Adaptability |
| |[pic] Decision-making |
| | |
| |[pic] Business acumen |
| |[pic] Political savvy |
| | |
| |[pic] Career ambitions |
| |[pic] Provide accurate safety information |
| | |
| |[pic] Customer focus |
| |[pic] Manage through systems |
| | |
| |[pic] Embody company values |
| |[pic] Sizing up people |
| | |
| |[pic] Drive for results |
| |[pic] Fairness to consumers |
| | |
| |[pic] Creativity |
| |[pic] Flexibility |
| | |
| |[pic] Priority setting |
| |[pic] Self-knowledge |
| | |
| |[pic] Planning |
| |[pic] Managerial courage |
| | |
| |[pic] Managing and measuring results |
| |[pic] Develop external relationships |
| | |
- Seven to nine competencies must be selected!
|[pic] |
|Page 36 of 44 |
| |
| |
|From: |
|Rian Brown |
| |
|To: |
|Maemae |
| |
| |
|re: Reputation Lens |
|G-BioSport Bonus |
| |
| Total: 6,475 (out of 11,000) |
| |
| |
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|Below, I have listed all your selections, as well as any competencies representing ethical requirements for your job that |
|you might have missed. Similar to our earlier e-mails, I have provided an analysis—though in this case, I have only |
|attached an analysis to those competencies that are required. |
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|Here's how I marked up your responses: |
|A [pic]appears before the competencies that you selected. |
|An [pic]appears before any competency that you did not select, but is required. |
|For required competencies that you selected, my analysis is shown in blue. |
|For required competencies that you missed, my analysis is shown in yellow. |
|Let's find out if you had any difficulties in selecting the competencies that are at the heart of your role. |
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|Top of Form |
|[pic][pic] |
|What are the core competencies of your role? |
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|[pic] |
|Decision-making |
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|[pic] |
|Business acumen |
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|[pic] |
|Provide accurate safety information |
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|(Required) It is particularly tempting to tell consumers what they want to hear, rather than what they need to know to make|
|informed choices. Consumers need accurate and meaningful information about product safety, even if that means they might |
|purchase a competitor's product. |
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|[pic] |
|Customer focus |
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|[pic] |
|Embody company values |
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|(Required) If we find that the company values are not congruent with our own, then we should consider changing jobs. Those |
|who are responsible for carrying out a company's values must be committed to upholding those values. |
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|[pic] |
|Fairness to consumers |
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|(Required) Treating people equally is an essential virtue. Showing favoritism is never ethical, whether it is to one's own |
|group or a group whose support you want to obtain. |
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|[pic] |
|Creativity |
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|[pic] |
|Priority setting |
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|[pic] |
|Self-knowledge |
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|(Required) This core virtue requires the ability to see both your strengths and your weaknesses without rose-colored |
|glasses or shame. Finding the balance between judgment and pride is the key to a mature expression of this competency. |
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|[pic] |
|Managerial courage |
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|(Required) Knowing what to do and having the courage to do it are two different virtues that are combined in this core |
|competency. As you are able to operate from a position of strength, you support a culture of excellence among those who |
|report to you. |
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|Your efforts at identifying the ethical requirements of your position were well done. Consequently, I'm very pleased to |
|award you 700 points! I still recommend that you review my explanations where we differed. If you need additional help, |
|please visit the Ethics Coach page. Otherwise, let's advance to the next step. |
|[pic] |
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|Bottom of Form |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 6,475 (out of 11,000) |
|To: | |
|Maemae | |
| | |
| | |
|re: Reputation Lens | |
We now have a sense of the competencies that are essential to your role. These competencies include certain ethical requirements given your position. They also include aspects that uniquely reflect you. Taken together, these qualities are:
• Decision-making
• Business acumen
• Provide accurate safety information
• Customer focus
• Embody company values
• Fairness to consumers
• Creativity
• Priority setting
• Self-knowledge
• Managerial courage
At this point, I’d like you to choose the options that you believe would allow you to meet the requirements of your role. Do not mark those that you believe would keep you from meeting the requirements of your position.
Top of Form
[pic][pic][pic][pic][pic][pic]
|Which options allow you to meet the requirements of your role? |
| |[pic] Option 1 |
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| |Honor other countries' rights to set safety standards for their own citizens. Sell product where foreign regulations permit. |
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| |[pic] Option 2 |
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| |Some countries fail to protect their citizens. Do not sell to other countries any product that can't be sold in the U.S. |
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| |[pic] Option 3 |
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| |Sell product wherever regulations permit. |
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| |[pic] Option 4 |
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| |Sell product where products liability law does not create risk of lawsuit in the unlikely event of a problem. |
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| |[pic] Option 5 |
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| |Market product at a discount as 'seconds,' disclosing the contaminant in excess of U.S. standards. |
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| |[pic] Option 6 |
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| |Apply U.S. safety standard to all sales. Do not sell product even where there are lower safety standards or none at all. |
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|[pic] |
|Page 38 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 6,475 (out of 11,000) |
|To: | |
|Maemae | |
| | |
| | |
|re: Reputation Lens | |
Four core virtues are important in your role as Quality Control Manager:
Integrity: To exercise this virtue, the leader must be committed to the truth as well as their own personal values and core commitments.
Contributory Justice: To exercise this virtue, the leader should assure that people are rewarded (compensated) based on their contribution to the organization. In addition, people with substantially similar contributions should be compensated equally.
Retributive Justice: To exercise this virtue, the leader should assure that those who violate the norms of the community are disciplined appropriately. Again, similar infractions should receive similar discipline.
Moral Courage: To exercise this virtue, the leader should be willing to take a stand for ethical action even when the action is not popular.
Choose the one option that you believe best meets the requirements of the virtues that should be exemplified by a person in your leadership position.
Top of Form
[pic][pic][pic][pic][pic][pic]
|Which option best meets the requirements of the core virtues? |
| |[pic] Option 2 |
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| |Some countries fail to protect their citizens. Do not sell to other countries any product that can't be sold in the U.S. |
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| |[pic] Option 3 |
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| |Sell product wherever regulations permit. |
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| |[pic] Option 4 |
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| |Sell product where products liability law does not create risk of lawsuit in the unlikely event of a problem. |
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| |[pic] Option 6 |
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| |Apply U.S. safety standard to all sales. Do not sell product even where there are lower safety standards or none at all. |
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|[pic] |
|Page 39 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 6,475 (out of 11,000) |
|To: | |
|Maemae | |
| | |
| | |
|re: Reputation Lens | |
By trying to meet the requirements of the core virtues, you chose the following option:
Sell product where products liability law does not create risk of lawsuit in the unlikely event of a problem.
Although this option is perfectly ethical, it places excessive emphasis on the bottom line.
We have now looked at the problem through all the Relationships Lens and the Reputation Lens. It's time to make a final decision.
Top of Form
[pic][pic]
|[pic] |
|Page 40 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 6,475 (out of 11,000) |
|To: | |
|Maemae | |
| | |
| | |
|Reaching a Decision | |
In the process of stepping through the two lenses, you chose two different options. Now you must choose one best option—the action that you will take.
What is your decision?
Top of Form
[pic][pic][pic][pic][pic][pic]
Relationships Lens
[pic] Option 1
| |Honor other countries' rights to set safety standards for their own citizens. Sell product where foreign regulations permit. |
Reputation Lens
[pic] Option 4
| |Sell product where products liability law does not create risk of lawsuit in the unlikely event of a problem. |
|[pic][pic] |
|Page 42 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 6,475 (out of 11,000) |
|To: | |
|Maemae | |
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|Evaluating your Decision | |
In order to close the loop, I’d like to show you where your choices fell in the possible range of choices that we developed. In particular, I have highlighted your final decision in blue.
You chose the option for the Reputation Lens, which shows that you tend to be a realist and acknowledge the very human frailties that we all have.
The point of this final exercise is to show that while more than one choice is ethical, some choices are better than others. You will notice that the best options are often the more complex ones.
• Using the Relationship Lens, the best decision tilted toward rationality (justice) as you maintained U.S. standards regardless of where products were sold.
• Using the Reputation Lens, the best decision tilted toward sensibility (mercy) as you honored the different standards of the different countries in which you do business.
Both choices are perfectly ethical. The difference is your understanding of human nature, how best to assure that we are all responsible members of the community, and your core values.
| |Relationships |Reputation |
|Best |6. Apply U.S. safety standard to all sales. Do not |1. Honor other countries' rights to set safety |
| |sell product even where there are lower safety |standards for their own citizens. Sell product where |
| |standards or none at all. |foreign regulations permit. |
|Good |5. Market product at a discount as 'seconds,' |4. Sell product where products liability law does |
| |disclosing the contaminant in excess of U.S. |not create risk of lawsuit in the unlikely event of a|
| |standards. |problem. |
|Poor |3. Sell product wherever regulations permit. |2. Some countries fail to protect their citizens. Do|
| | |not sell to other countries any product that can't be|
| | |sold in the U.S. |
Now, let’s give your option the “orange jumpsuit” test.
Top of Form
[pic][pic]
|[pic] |
|Page 43 of 44 |
|From: |G-BioSport Bonus |
|Rian Brown | |
| | Total: 6,475 (out of 11,000) |
|To: | |
|Maemae | |
| | |
| | |
|Avoiding an Orange Jumpsuit | |
The reason for putting you through this drill is to make sure that you never have to wear an orange jumpsuit because of an action you took as an employee of G-BioSport. So, here’s the bottom line . . .
You chose the following option:
Sell product where products liability law does not create risk of lawsuit in the unlikely event of a problem.
On a scale of 0 to 5, from low to high risk, your decision rates a 1. It represents very low risk.
• Although a variety of precautions can reduce potential liability, so long as you sell any product, you can not completely eliminate the risk of a lawsuit.
• Although an increasing number of countries have products liability laws to protect citizens, the rest of the world is still far less litigious than the U.S.
• Providing a warning label would likely reduce your risk of liability without increasing costs or reducing potential sales significantly.
Emerging Law
Technological innovations continue to shrink the world and bring vastly different systems and priorities into conflict. The expanded movement of goods and services worldwide as a result of globalization is one example. As Europe harmonizes regulatory policy regarding health and safety standards, food, supplement, and medical businesses worldwide are feeling pressured to revise manufacturing practices consistent with European standards. A September 2007 article in The Economist suggests that the European Union is 'becoming the world’s chief regulator.' Typically, such standards are more stringent than those in the United States.
Different cultures drive different legal systems. The U.S. legal system tends to prioritize the values in tension using the Rights/Responsibilities Lens, favoring individual autonomy and minimal restrictions that govern all equally. Whatever is not specifically prohibited is permitted. Such principles are embedded in the U.S. Constitution as well as individual state constitutions. Underlying the U.S. justice system is the premise that individuals are competent adults capable of making their own choices and responsible for the natural consequences of those choices. In contrast, European legal systems, typified by the Napoleonic Code, prohibit whatever is not specifically permitted. In addition, the EU harmonization effort tends to take a 'least common denominator' approach, regulating protectively. Some feel that such an approach limits consumer choice unreasonably, ostensibly in the name of safety.
Regardless of one's views - which Ethical Lens is one's primary home - the global trend appears to be toward stricter safety regulations. Even where increased risk of litigation is not a concern, real barriers for global marketing efforts exist. These include denial of the right to enter a market (e.g., the Arab embargo of Israel), the requirement that the manufacturer guarantee the financial ability to recall a product as a condition of market entry, and protectionist regulations. Ultimately, these issues also affect product design. Some U.S. manufacturers with global sales are even beginning to advocate tighter U.S. regulations out of fears that meeting requirements to sell products in Europe will put them at a competitive disadvantage with U.S. manufacturers who do not have to meet higher Eurpoean guidelines.
Beyond Compliance
In the context of globalization, the balance between legitimate corporate profit, respect for individual government regulations, and human safety also involves the question of basic human necessities. Human resources and access are naturally distributed unequally. The development of corporate social responsibility reflects what appears to be a growing perception that corporations bear some responsibility to redress those natural inequities.
The question raised by the difference in this dilemma between the best options in each lens is unresolved. The answer may very well depend on the situation. In some cases, insisting on the application of one's own standards instead of local standards is an example of imperialism. In other cases, failing to do so takes advantage of those with fewer resources for improper gain. Respecting someone else's cultural uniqueness represents an appropriate avoidance of imperialism, while paying lower wages for third world manufacturing is seen as exploitative. Fair and sustainable trade is increasingly the standard for ethical goods and services, despite the added cost to consumers.
Top of Form
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|[pic] |
|Page 44 of 44 |
| |G-BioSport Bonus |
| | |
| | Total: 7,225 (out of 12,000) |
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|And finally, a break from decision-making . . . |
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|You were digesting the implications of Rian’s conversation about the “orange jumpsuit” over your afternoon coffee. You |
|were feeling pretty good about how you had handled the situation. |
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|In the middle of your second sip, the computer alerts you to a new message in your in-box. |
|From: |
|Carson Nelson |
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|To: |
|Maemae |
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|Bonus |
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|Rian forwarded me the memo you wrote, which evidenced good leadership in this difficult situation. |
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|You have already received bonuses of 3,050 points because of the decision-making skills that you've shown in handling this particular problem. I am |
|pleased to award you an additional 750 points because your final decision reduced the risk to the company. |
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|You are clearly on your way toward meeting your annual performance goals as well as demonstrating senior leadership capabilities. |
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|Again, congratulations on a job well done, |
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|Carson |
With a sense of satisfaction you lean back in your chair and gaze out the window, happy that the last of your problems is behind you . . . for today.
Top of Form
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|To continue with another module, you will need to log out and select that module from the list when you log back|
|in. |
|[pic] |
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