The Corporate and External Stakeholders (Essay Sample)

The Corporate and External Stakeholders
Names
Institution Affiliation
1.0 Ethical operation in Organization
Ethical behavior in an organization is the applied ethics or professionalism in relation to the set principles and the morals that arise in a business environment CITATION DeG82 \l 1033 (De, 1982). An example of a company that is ethical is google. It regularly makes good on its motto, "do not do evil”. It has also donated over one Billion US dollars towards the renewable energy project. The company also advocates free speech and open to gay supporters. In addition, employees have free health care and treatment CITATION Des11 \l 1033 (DesJardins, 2011).
1 Sarbanes-Oxley Act
The federal law is necessary, this law its purpose is to enhance standards to the public accounting firms, management and board of directors CITATION Wei94 \l 1033 (Weiss, Business ethics: A managerial, stakeholder approach, 1994). It helps to prevent scandal cases onto the organization that had seen a rise to scandals to the corporation like, Enron, Andersen, and WorldCom forcing a wave of confidence of the public.
2 Revised 2004 Federal Sentencing Guidelines
The guidelines are helpful in the organization to promote ethical behavior. They help develop effective programs that help detect violations law CITATION Sim03 \l 1033 (Sims, 2003). The recommendation I would be for the management to carry effective trainings to the people involved in the implementation and maintenance processes. There should also be frequent monitoring and auditing of criminal conduct.
3 Corporate crises
The crises not familiar with were; the crises on the American that produced home products that paid more than $11.2 Billion dollars to 50000 consumer on a lawsuit relating to a diet drug. The Crises on Mitsubishi company that paid $34million to settle 300 sexual erased lawsuit filed by women, working in its plant CITATION Wei94 \l 1033 (Weiss, Business ethics: A managerial, stakeholder approach, 1994). These crises represent a severe failure in company’s system; this is because the company would have to pay hefty fines and reputation ruined from a given system analysis.
4 Johns-Mansville and Exxon Valdez summaries on crises
The crises could have been prevented had the company warned the workers of long-term exposure dangers to asbestos. The company could have better safety protocol and procedures while mining CITATION Iye99 \l 1033 (Iyer, 1999). JM could be more concerned to the workers who suffered from lung cancer disease and set up better guideline to mitigate such outcomes in the future.
5 Score on Rank of Organization Reputation
My score would be 85% on my group reputation. The moral part towards the customers to be well defined there should be a better mutual expectation that built on trust, sincerity, and the delivery of better services, and product are at par CITATION Sim03 \l 1033 (Sims, 2003). The stakeholders are ethical, and they provide a good image of the organization for better service delivery.
6 Covenantal Ethics and Social Contract
The covenantal and social contracts are realistic to a large corporation; this helps them on infringing on the right of the people when the state takes some of their rights. It also ensures they provide better product and services to the people CITATION Wei94 \l 1033 (Weiss, Business ethics: A managerial, stakeholder approach, 1994).
1.7 Free-market Theory of corporate responsibility
It is a market where consumers have complete information about the product and services, and they have the freedom of choice in that they can make their rational decision and not emotion one. The problems associated with free-market are the businesses have more powers than consumers do, and sometimes may get away for producing low-quality goods. The theory has some similarities to the social contract in that they have right to safety, and the right to make their choice.
1 Legal/ Compliance (stick) approach
The legal approach would be the choice; it gives space for a functional- dialog on the stakeholder's expectations. The corporation will build on the policy and the trends required running the business well. CITATION DeG82 \l 1033 (De, 1982)The legal frameworks at times get a negative feedback within some executive levels and external negative policy shifts for the parties not willing to adhere to them.
Part II: Case Studies- Case 12- VIOXX
1.0 Early signs of VIOXX
The early signs of the arthritis drugs shown that it increased the chances of heart attack and stroke to the patients who used it for more than 18 months.
1 Harm caused by VIOXX
Dr. Edward Scolnick, who was the chief researcher at Merck, came with the claims from research done that VIOXX posed significant higher chances of heart attack than Naproxen did CITATION Sim03 \l 1033 (Sims, 2003). To mitigate the damage could be...