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Governance and Business Ethics

Case 1: Workers Ill-Treated at Apple Inc.

At Apple Inc. the decision for outsourcing the labour saw that the computer business shifts its production tasks to two factories established in the southern region of China. This decision targeted at reducing its performance costs given the advancing worldwide competition between product manufacturers, particularly in the computer and mobile business (2020).

Provide the organised accessibility of cheap employment in China, Apple take action to recruit approximately half a million employees who were located in the Shenzhen and Chengdu factory. Although the working environment was bad and Apple behave in unsuitable methods to attains its goals (2020).

For example, workers needed to sign the agreement that they would willingly undergo to work in extra hours. While according to Chinese laws employees should not overstep a limit of 36 hours in a month working in extra hours, Apple had put through its workers to a standard of 98 hours in a month working in extra hours (2020).

Employees were only permitted for a single day leave in every 14 days. The daily wages paid by Apple to their employees were lie in between $17 and $22. The computer firm also constructed sleeping quarters for its employees around the two manufacturing factories. Employees were called to wake up at any time to carry on with their duties (2020).

Argument

In my opinion, the motive of private organisation and competitive square does not stand merely on the benefits of its leading supporter, but eventually, on the influence of their business on the success of all stakeholders and community at large. Or else, it would lose its community license to run after its organisation activities and hence undoubtedly seek extent level of public responsibility, which it must, and to its damage and that of society.

Investigate and apply suitable theory

This case study is an absolute instance of the utilitarianism theory, which supports that a person should behave in a style that boosts their joy not only for oneself but for other surrounding people as well. It is understandable from this case study that the Chinese employees recruited by one of the topmost profit-making firm Apple Inc. were unhappy as an outcome of the bad working situations in the two factories.

As per the utilitarian theory, persons have the liability of selecting rules that they sense justify conduct assumption. Hence, the rules and decisions of Apple about controlling workers squarely put in the jurisdiction of the organisation.

Although, even as the organisation appreciated the liability of regulating ethical excellence, it may be examined that its efforts are profiting the community. The economy of China is developing and there is a lot of population in China who lack employment. So, Apple observed itself as giving value to their community as it recruited up to half of the population, who would otherwise stand jobless nevertheless.

Ethical Questions

  1. Why does the company Apple Inc. mistreat its employees and buyers?

When it comes to buyers, Apple is a strong developer that sees the organisation into new regulation and pressurize others to accompany them. Although, when it arrives at the charge of its supply chain and handling of employees in the Chinese plants that manufacture its products, it goes into hiding behind the restrictions of existing organisation practices. The more disturbing is the fact that these practices are in breach of not only national and local legislations but also of Apple's elective self-imposed guidelines.

  1. China has one of the vast labour force in the sphere. How should that affect reform?

 In the situation of Apple, the essential point is to not forget that some positions of employment are superior to others, but the suppliers of Apple are not following with Chinese labour laws. Despite everything whether or not a worker can earn more in the industry than on the farm, the employees who are taken into employment have been given security and integrity under the China's legislation that are not being carried out by the distributors that Apple has selected to manufacture their products.

Case 2: Life-Threatening Mistake Did by Virtua Health

In the southern region of New Jersey, a health care system named as Virtua Health is located. Virtua Health runs several surgery centers, hospitals, physician practices, and many more. The main purpose is to help people to get well, which is one they go wrong in November 2019. On the 18th of November, a patient goes through operation of a successful transplant, but the kidney received was not meant for that particular patient. The organ was expected for another prime concern patient in demand of a kidney, the patient who should have to get the kidney was on top of the list of UNOS. Moreover, and the two patients mix up with their similar ages and the same name. The hospital reveals that the patient who should have to get the kidney to go through the operation of successful transplant 6 days after the starting mix up. In United State there is the utmost requirement for kidney transplants, the report said that about 20 million people in the United States have long-term kidney ailment and the normal duration to wait for a kidney transplant can take up to four to five years. In this specific case, it is necessary to bring notice to the patients impacted that were on the list of UNOS, waiting for a surgery that very efficiently could boost the condition of their lives. The details about the patients that Virtua Health has chosen to let go does not enter the rank of the victim who gets the wrong kidney. This has a serious impact on many people, particularly those on the waiting record who may have ultimately achieve their transplant. The requirement for a kidney transplant is on the top-notch in the US and this confusion has dangerous negative results (2020).

Argument

In general, the mistake that happened could have been managed in different ways. After this incident, it is understandable that this mistake has a direct impact on the safety and health of many future patients, a particular solution required to be taken to enhance the quality of Virtua Health. The avoidable mistake that happened negatively impacted those on the waiting record of UNOS. In my view, the hospital should be answered to this mistake by providing proper training to their doctors and nurses, and improve the communication system within the organisation. The short amount of details Virtua Health given makes it hard to estimate if the organisation behaves ethically in dealing with their problem.

Investigate and apply suitable theory

Virtue Theory upholds by the reality that rationality is the determined quality of people. Virtues, which is the complete foundation of the theory, turn on both the things situation and the things purpose. When estimating the distinct side of this case, Virtua Health did not behave ethically according to this theory. The organisation lacked empathy, wisdom, and worry for their patients' health. Up to a certain level Virtua Health did set out fairness involved to everyone involved, but it has been demonstrating through other examples that there is a superior, more in-depth method to avert a mistake like this repeating again. Virtua Health did not have the spirit to completely confess the mistake that they had made, and do what is best suited for the good health of the people such as by taking a break from their practice for a certain amount of duration to fix their problems. The mix up of the kidney that happened at Virtua Health had a high concern and could have been handle in a more virtuous style (Wittmer and O'Brien, 2014).

Ethical Questions

What possible measures should be taken by the company to not repeating the same mistake in the future?

To make sure that this type of negligence does not repeat, the organisation's authority should bring some alterations to its top management team. This team should place great significance on the requirement to deal with others and work attentively at all times. Management should train workers in such a manner where practice development is limited. All employees should be on the same level by systematizing practices among the different departments within a single hospital. These systematized practices should be followed by all employees, not just nurses, and doctors.

What safety practices should be followed by the company?

In any type of business, particularly in hospitals, communication is essential to make sure about safe practices. It may be the best step of Virtua Health to give management time for required training to go along with new, policies, expectations, and procedures. Those implicated in the case should be observed and monitor until it sees well. The health care system should recruit more workers to testify that the plan of action is followed correctly without any mistake. This is to make sure that one person does not overburden their duties, which results in fault. This plan will let the patients develop their belief in Virtua Health, and in return, develop a good reputation for the organisation.

Case Study 3: ABC Company Provide Personal Data to Drug Companies

The procedure followed in the organisation ABC is simple, all you, as the clients have to do is spit into a test tube given by ABC and deliver it back to the organisation. In a couple of days, you will receive your tested results back relating to genetic makeup. In July of yyyy, Drug Company X invested $200 million into ABC to get DNA samples taken by clients of ABC to investigate them and to produce likely ground breaking findings for future medicines. This caused some of ABC's clients to get distressed over the giving out of their DNA even if they have initially agreed to it. Fortunately, those who didn't want the third force to have their DNA had a choice to back out of the information sharing through the website of ABC company. Although this was an extensive process that could take up to 45 days, it was a success. According to Eldora, a health researcher at the Super Clinic who investigate developing genetic technologies, says that "It is no longer sufficient for organisations to take guarantee to make people healthy with the help of big data" and in today's era "we're working in a much more fearful environment." .Still, some may be distress with what is going on with their DNA sample, some good researches can also come out of it, like some newspaper reported that one of the first drug organisations to invest into ABC company, Genotech for $20 million, discover that the data to be useful for the treatment of Parkinson's Disease. Once Genotech discovers this breakthrough data and findings, they financed an additional $40 million into ABC.

Investigate and apply suitable theory

Kantianism, this theory is defined as to behave rationally and not to examine yourself free from the rules. It is also defined as allowing people to make logical findings for themself (Starr, 2003).In the case of ABC providing personal data to a big drug organisation, it allows the organisations to make a financial gain while also behaving rationally and not considering themselves free from the rules and legislations. As there are laws and legislation in place that allow the clients to opt-out of the contract made with ABC it seems correct as per the mind set of both parties that they are behaving accordingly. A key component to this theory is the think of maxims, these are behavior that attains an exact purpose. Through with maxims, Kant says to behave in collaboration. When this is connected to the case in specific, what the drug company X is doing may be observed as correct as they are manufacturing medicine for the patients. The final outlook of this theory is the formula of kindness, this is defined as behaving in "such a style that you deal with mankind, whether in your person or some other person, every time at the same as an end and never solely as a means" (Kant). In this example, the drug company X and other drug companies are behaving rationally while utilizing the DNA sample as an end rather than for a purpose to make more benefited drugs that can be utilized in the future (Argandoña, 2007).

 Argument

In my opinion, after in-depth research of this case, I think that both parties involved behaved in the right manner. At times, there were basic things that ABC could've done that might've supported their case such as allowing clients to know where their test tube sample is going from the initial stage and giving them a clear warning before agree to the data sharing. On the other hand, I praise ABC for providing clients the facility to not have their DNA shared even if they have already agreed to it. Doing this advance the organisation's image while also making their clients happy. For the drug company X in specific, I feel that what they did, in this case, was correct. They are using this ethical theory properly while also following the laws set up within the drug industry.

Ethical Questions

What effective action plan should be taken by both companies?

The perfect action plan for both organisation would include, for example, giving the news agencies, the people and all the partners involved a 'warning' to what the organisation is practicing will create the story simple to accept in the eye of those involved. Apart from that, describing to everyone what the 200 million dollars will go towards will support the public to better understand what the agreement requires as it is a significantly large amount of money. On the other hand both ABC, and drug company X should hold themselves very accurately when making an agreement of $200 million for DNA samples for research.

How the company ABC helps its customers?

ABC Company helps its customers with their potential to research DNA and find medication for a specific disease, collaborating with Drug Company X provides them the potential to support lots of people from different part of the world. Additionally, marketing can be useful when making great alterations to a company like in this case. Having the organisation's marketing industry come up with powerful commercials advertisements to allow everyone to understand where their DNA is going and it is beneficial for everyone involved. If these advertisements reach large sufficient markets, people won't be distress to know where their DNA is going. With this, it encourages good ethics, after all the customers involved know that their DNA is helping to bring changes in the future world of medicine.

Conclusion on Integrating Ethics into Action Theory

Overall in this business ethics case studies, various theories suggested accordingly with the case studies that include utilitarianism theory, Virtue theory, and Kantianism theory. Each case study can be utilized as a means of specifying these theoretical stands. In the first case study of Apple Inc., this scenario can best be outlined by the utilitarianism theory because persons have the liability of selecting rules that they sense justify conduct assumption. Hence, the rules and decisions of Apple about controlling workers squarely put in the jurisdiction of the organisation. In the second case study of Virtua Health, this scenario can be best outlined by the Virtue theory as Virtua Health did not behave ethically according to this theory. The organisation lacked empathy, wisdom, and concern for their patients' health and whereas in the third case study of providing personal data to drug companies Kantianism theory is best utilized as it allows the company ABC to make a financial gain while also behaving rationally and not considering themselves free from the rules and legislations.

References for Integrating Ethics into Action Theory

[online] Available at: <http://businessethicscases.blogspot.com/2013/04/apple-inc-severe-employee-abuse-2011.html> [Accessed 17 September 2020].

[online] Available at: <http://businessethicscases.blogspot.com/2020/04/potentially-deadly-mistake-wrong-kidney.html> [Accessed 17 September 2020].

Argandoña, A., 2007. Integrating Ethics into Action Theory and Organizational Theory. Journal of Business Ethics, 78(3), pp.435-446.

Starr, W., 2003. Book Review: Laura P. Hartman, Perspectives in Business Ethics. Ethical Theory and Moral Practice, 6(4), pp.449-450.

Wittmer, D. and O’Brien, K., 2014. The Virtue of “Virtue Ethics” in Business and Business Education. Journal of Business Ethics Education, 11, pp.261-278.

Remember, at the center of any academic work, lies clarity and evidence. Should you need further assistance, do look up to our Business Ethics Assignment Help

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