Introduction
Owing to the fact that policy implementation is essential to the development of a company, Turner Constructions needs to embrace an influential ethical decision making framework. This is largely accredited to the fact that the current system is rather inefficient and is not centered towards the welfare of the employees. The current system does not ensure equality in the employee compensation due to the wide salary margin between field engineers and project managers $54,522 and $130, 893 (Payscale, 2016). Additionally, the newly employed personnel do not get a good conducive environment for growth due to the inadequacies of the current management framework. As such, an ethical structure would ensure the maintenance of equality in the work environment. The proposed ethical structure will provide for the equal treatment of all the personnel within the organization. This equality would be based on access to organizational opportunities and equal reimbursement. Newly employed workers would get similar developmental chances as those with years of experience. Additionally, the proposed ethical framework would eliminate instances of unintentional discrimination within the organization. This is primarily attributed to the fact that this system gives a provision for equality assessments of the business opportunities. This paper evaluates the effectiveness of the proposed ethical decision making framework. It highlights its relevance to the current organizational issues and outlines the most essential approach towards its implementation. Finally, it proposes a recommendation to the implementation of this solution for the betterment of the organization.
Description of the current situation
The lack of an ethical framework makes it challenging for the managers and supervisors to implement policies effectively. Precisely, the development of an efficient approach in dealing with the current organizational problems is mediocre. The compensation margin between the leading engineers and the new employees is alarming since they are given more attention. New employees are not given access to all the projects within the organization. Additionally, they have limited performance roles in the tasks they are issued. This limits their performance and development abilities. The lack of equal treatment and opportunity offering in the current system has led to the development of inequality within the organization. Arguably, this organization follows a utilitarian perspective in its management. As a result, the minority population in the organization is at times mistreated at the expense of the greater section of the organization (Collins, 2009). In spite of the effectiveness achieved through this model it is worth noting that it does not promote fairness within the organization as it fosters discrimination of the lower placed employees in the organization.
Since the management of the organization is compelled to make decision that benefit the majority section of the firm, ethical dilemmas are created. Primarily, the directors are uncertain on whether they should enact policies at the expense of the minority group or enact he provisions to maintain the financial standing of the organization. The high compensation margin between the leading engineers and the new employees is demoralizing. This is largely accredited to the fact that they feel lesser appreciated by the firm and are therefore lesser productive. They feel exploited by the organization due to poor reimbursement. This leads to their underperformance and the lack of willingness to deliver quality services (Collins, 2009). As such, the implementation of an influential ethical framework is essential as it averts the development of this problem. The organization would most likely embrace greater returns if it embraces these policies. The employees would be more motivated to deliver quality services to the clients if the management considers their welfare through the enactment of these provisions.
Dilemma from the perspective of each stakeholder
Board of Directors
The management process would be made lesser challenging for the main stakeholders at this organization. Precisely, the completion of their primary roles would be easier due to the fact that the establishment of the board policies would be more direct. Currently, the organization utilizes a flawed system where they have to rely on the contribution of the individual members in the board. The lack of a documented framework fosters the lack of accountability in the decision making process since the stakeholders are not obliged to delivering comprehensive decision (Smka, 2004). In most cases, the need to secure the welfare of each employee and sustain the welfare of the organization creates an ethical dilemma on what measures to implement and what to abolish. For instance, the allocation of the annual budgets within the organization is rather challenging since spelled out procedures are not settled upon. Accounting the performance of the organization is cumbersome for the board of directors due to the lack of an ethical decision making framework. Consequently, the implementation of this initiative would most definitely enhance the performance of the organization by fostering equality in the decision-making processes facilitated by the board of directors.
Stockholders
The company shareholders are affected with decision-making challenges due to the dilemma created by the lack of a competent management system. The nomination of directors and the propositions of the resolutions to be implemented by the board of directors would be biased since the current system does not incorporate the organization goals in the decision making process. Additionally, the essential measures to take in case the liquidation of the company is imminent are not properly outlined in the current system. Consequently, fostering accountability and equality in the treatment of the personnel would be faced with challenges. If the stockholders value the stability of the company and do not accord similar regard to the welfare of the employees, ethical values would be degraded in this organization. Voting for directors in the organization would be unjustified due to the lack of an ethical framework to guide the overall decision-making process. This flaw poses a challenge to the development of the company.
Partners
Partners help in the overall growth of a company. This is made possible through their contributions to the decision making process. However, this process cannot be facilitated if the company lacks an effective framework to oversee the overall decision-making process. The establishment of corporate partnerships would not be centered on the welfare of all the parties in the organization. The exploitation of the lower placed employees would develop due to the initiatives taken by the partners (Shapiro & Stefkovich, 2016). Consequently, the performance of the company would be negatively impacted if the current policies were upheld. It is therefore more rational to do away with the current organizational policies and favor more lucrative approaches for the betterment of this organization.
Funders and Donors
Since Turner Constructions is a large organization, there is a need to get constant funding on large projects. Donors need to assess the credibility of the current policies before offering their finances in the facilitation of projects. However, the effectiveness of the current strategy is questionable since it does not uphold ethical policies in the management process. Additionally, it fosters the exploitation of multiple members of the workforce due tot heir lower placement in the employment hierarchy. Additionally, negative feedback generated by members of the organization can affect the willingness of the donors to give their finances in the development of future projects. Consequently, the current policies embraced by this organization make it challenging for this organization to uphold its credibility to investors and this leads to slower development.
Elaboration of the proposed approach
The proposed approach utilizes a common goal approach in the satisfaction of the organizational goals. Precisely, it eliminates the current problems experienced in the management of Turner Constructions. Instead of primarily focusing on the development of the firm, the concern will be shifted to the satisfaction of all the employees in the organization. This would lead to the motivation of the personnel and the overall development of the organization. According to Collins (2009), considerations on the welfare of the employees augment their productivity thus leading to better performance of the organization. In this case, the newly employed engineers and contractors would feel valued by the organization and would reciprocate this treatment with better service offering. Upholding the welfare of the employees makes it easier for the company to break even as opposed to the current situation.
Additionally, this initiative takes utilizes some aspects of the virtue ethics. As such, it seeks to uphold business ethics in the implementation of policies. According to Mencl and May (2009), virtue ethics seek to promote humanity by embracing qualities such as generosity, tolerance, fairness and integrity. This organization would achieve more than it currently does if it utilizes the provisions upheld by the proposed ethical system. The management would base their actions on the promotion of humanity through good deeds. As such, the welfare of the minority groups would be upheld and this fosters the betterment of the organization. Consequently, embracing this initiative would lead to the development of the organization and greater levels of equality as opposed to the current situation.
Opposing arguments
However, the effectiveness of this approach is questionable based on the utilitarian perspective. Precisely, upholding ethical values in safeguarding the welfare of the minority groups could lead to the mediocre performance of the firm or its eventual failure (Mencl & May, 2009). In fact, lower compensation of the new engineers is a rational approach to cutting the expenses incurred by the organization. As such, the saved finances are utilized in the funding of projects that lead to the development of the organization. Additionally, if everyone were to be treated equally in the firm, it would lead to the demotivation of hard working parties in the firm, as they would feel undervalued by the management. Consequently, the underperformances of the firm are imminent.
Counter argument
The harms done by the current utilitarian perspective are more than the values it upholds. Precisely, its influence in the corporate market is rather inefficient as opposed to the proposed approach. If the organization were to embrace equal treatment of the personnel instead of focusing on the overall corporate performance, the returns would be more influential. This is largely accredited to the fact that all the sections of the organization would benefit in one-way or another thus leading to a more comprehensive benefits system. This would eliminate the current demotivation problem experienced by the lower placed employees.
Conclusion
In conclusion, Turner Construction needs to embrace an influential ethical framework to oversee its management. For a fact, the company needs to maintain its current compensation margin to enhance the employees’ productivity. However, it should minimize the gap between the lead engineers and the new employees. This can be best achieved through equal issuance of opportunities when allocating projects or offering promotions. Additional incentives such as bonuses and merit awards should be implemented as an alternative to the fixed payments. This would be a more influential motivational factor that would enhance equality and the productivity of the employees. If Turner Constructions fails to remedy its current framework, its failure is imminent since the development of inequality issues is a big threat to its stability. This is the only rational alternative to neutralizing the inequality issue posed by the current system as the future of the company is on a tight ledge.
References
Collins, D. (2009). Ethical Decision‐Making Framework. Essentials of Business Ethics: Creating an Organization of High Integrity and Superior Performance, 77-95.
Mencl, J., & May, D. R. (2009). The effects of proximity and empathy on ethical decision-maing: An exploratory investigation. Journal of Business Ethics, 85(2), 201-226.
Payscale,. (2016). Turner Construction Company Employer Salary, Average Salaries PayScale. Payscale.com. Retrieved 9 April 2016, from http://www.payscale.com/research/US/Employer=Turner_Construction_Company/Salary
Shapiro, J. P., & Stefkovich, J. A. (2016). Ethical leadership and decision making in education: Applying theoretical perspectives to complex dilemmas. Routledge.
Srnka, K. J. (2004). Culture's role in marketers' ethical decision making: An integrated theoretical framework. Academy of Marketing Science Review, 2004, 1.
