After a lead test was carried out, one of the components that was used to manufacture the toys was found to have levels of lead that were higher than the regulated amount for children aged seven and below. These high levels of lead posed a great hurdle to the organization especially since the firm’s major clients are elementary schools.
There are a number alternatives that when implemented will absorb some effects of the set back. However, these decisions will not prevent the organization from losing money; instead, they will provide an alternative to enable the retaining existing clients.
Replace metallic whistles with plastic ones
In order to appease the client, we can recall all the metallic whistles and replace them with colorful plastic ones. According to research, young children prefer having colored items to play with. This means that the colored whistles will become a favorite among the children. In addition, replacing the lead whistles with colored plastic ones will allow us to retain clients. For this reason, this decision is appropriate for the situation. Children will love this colored whistles and this will cost the company less as plastic whistles are cheaper to produce.
Recall the whistles and sell the rest of the toys at a lower price
Production of new metallic whistles
Through the production of new metallic whistles, we will replace the ones that are unfit for consumption. This move will save our client the hustle of having to find new alternatives. In addition, it will appease our clients hence helping to maintain good profitability levels.
However, the best alternative is the replacement of metallic whistles with plastic ones. The plastic whistles are safer and cheaper to produce. This means that the company will increase its profits. Its safety makes it socially viable as children are fragile hence need care. In addition to this, it is easier to have plastic meet regulated standards hence avoiding legal confrontations.
The company will also have to make sure that its decisions are ethical and in line with ethical guidelines and regulations. By doing so, it guarantees that the company does not face any legal repercussions in the future. This protects it from any form of professional liability arising from unethical decisions.
- Establishing proper channels through which decisions are made
When the company establishes channels for decision-making, it ensures that all decisions receive vetting before implementation. This allows the company to avoid the making of unethical decisions. Such decisions have drastic effects on the organization. Additionally, by having proper channels put in place, individuals in an organization have an obligation to ensure that they adhere to all regulations put in place. This promotes the making of ethical decisions.
- Strict legal action against unethical decisions
In addition to this, strict legal action maintains high levels of company integrity. This integrity allows the company to maintain its current clientele. Additionally, it gives the company grounds to expand its base by gaining new clients.
The company stands to benefit tremendously by having a code of ethics. This code will act as a guideline on how employees should act. In addition to this, a code of ethics portrays the company’s discipline to the public. The public loves a well-disciplined company. Discipline symbolizes good working relations hence attracts and keeps new business opportunities.
Furthermore, a code of ethics ensures that a company’s operations are regulated and are legal. This ensures that the company operates on the right side of the law. This avoids scenarios where the company has to justify its activities to a court due to unscrupulous or illegal dealings.
When developing a code of ethics for a company it is important to consider various factors. Among these factors are the company’s core businesses. The code of ethics should work around this and use it to come up with guidelines relevant to the company’s operations.
Furthermore, the development of a company’s code of ethics needs the participation of legal entities. This is a measure to ensure that the company’s codes are in line with the law. It will provide legal backing and ensure that the company’s code of ethics s lawful.
References
Nike. (2011). Inside the lines: The Nike Code of Ethics.
