BUSINESS ETHICS
Introduction
It is important to assess business procedures and compositions in relation to probable social and moral inconsistencies. This paper provides a clear definition of justice, honesty, temperance and courage. It also describes the ways in which these virtues might have been used to guide the actions, behaviors, and policies of Mattel Inc as well as identify the normative theory that is useful in evaluating the Mattel case study.
Virtues
Saint Thomas and Regan (2005) in their book The Cardinal Virtues: Prudence, Justice, Fortitude, and Temperance define temperance as “reason that moderates all human actions and emotions” (pg. 119). A high caliber of temperance involves restraint or self control. Desirable qualities of temperance help in controlling individual aspirations and joys. A virtue is significant in human life as it helps them to be in harmony with reason. Temperance has the same meaning as courage. Saint Thomas and Reagan (2005) brings to light the fact that courage is a fundamental asset as it helps an individual to possess a substantial level of patience and continued existence. It enables an individual to stand rigid when faced by dangerous situations that intimidate his/her existence.
Fischer and Janoski (2000) define honesty as “Fairness and straightforwardness of conduct, speech, integrity, truthfulness, and freedom from fraud” (pg. 7). In layman’s terms, honesty can be considered as admiration and having a high opinion for other people as well as to their possessions or belongings. Honesty is a virtue that is managed or directed by a couple of dynamic; namely accountability and admiration for others, and being aware of the results of bad behavior. Accountability and admiration for others are controlled and manipulated by the ways of worship, and control by our guardians, educators, and acquaintances.
Justice is defined as the quality of being fair and logical. It is the indispensable evenhandedness in decision making. Young (2011) describes justice on the basis of allocation as well as on the basis of material possessions, and earnings or proceeds. He also describes justice in terms of the ability to make judgment and resolutions and the arrangement of the separation of work.
Application of virtues
Honesty is a virtue that is controlled by accountability. Mattel is dedicated or devoted to making sure that each and every facility producing the company’s goods convenes and goes beyond the set standards of production and also ensures regular reviews and assessment of all institutions in a bid to ascertain obedience and conformity. According to Sethi, Veral, Shapiro & Emelianova (2011), “Acceptance of and compliance to the Mattel GMP is part of every contract agreement signed with all of our manufacturing business partners” (pg. 487). The values of compliance are planned with an aim of introducing and hearten accountability in developing industry performance globally. It is important to note that this does not provide a platform through which penalties and retribution is provided. This shows the fact that honesty is evident and fundamental in the association and collaboration involving assessors or examiners of accounts and the company in general. The Global Manufacturing Principles required Mattel Inc to function with firm and steadfast honesty or truthfulness. The company was devoted to employing and putting the Global Manufacturing Principles into practice with sincerity.
Courage is shown through the formulated regulations that had to meet several objectives. For instance these regulations are obligated to be experimental as well as intentional in computing and quantifying productivity. Other objectives included that the fact that these regulations has to result based, and it was mandatory for the regulations to congregate or rally the legitimate decisive factor authorized and consented by the rules governing work and industrial environment. In addition, both Mattel and Sethi had the courage to struggle to achieve and sustain their positions in the global market (Sethi, Veral, Shapiro & Emelianova, 2011).
As mentioned earlier, justice is the quality of being fair and logical to others. This virtue was used by Mattel Inc in terms of hiring, wages, and working hours. Mattel conformed to national regulations that require working overtime to be voluntary. The workers require to be paid well and Mattel met national regulations of payment of workers i.e. the company paid workers at least a minimum wage. The fact that workers received their remuneration every month was fair and logical. The fact that the three virtues have been desecrated is also true. Subsequently, it is logical for the institution to be at concession with the necessary high regulations. The institution has been strained to the least favorable moral conclusion by the current depression as well as an extremely aggressive business atmosphere and situations, and stipulations by consumers and other people of interest within the organization (Sethi, Veral, Shapiro & Emelianova, 2011).. This case study portrays Mattel as putting the lowest amount of effort. For instance, there is hardly any major transformation; there is plenty of infringement and contraventions, and their business track is spotty probably as a result of antagonism.
Ethical theories
A utilitarian ethical perspective is established on the aptitude to envisage or foretell the outcomes of a particular accomplishment. According to Alavudeen, Rahman & Jayakumaran, (2008), “To a utilitarian, the choice that yields the greatest benefit to the most people is the choice that is ethically correct” (pg. 41). The single most significant moral perspective lies in that a utilitarian may contrast, evaluate, and balance parallel or related forecasted results as well as incorporating an organization that settles on the option that has additional advantage to all individuals. This perspective offers a reasonable and justifiable dispute for every choice permitting an individual to apply it every circumstance. It is important to take care of the workers and be reasonable to their needs save for the fact that the end user of the toy may part with more money than is required.
Moral standards based on the utilitarian perspective can generate a predicament or setback as both the worker and the end user of the product are contented. Studies done in the past have shown that workers are treated poorly in many developing countries such as Asia and Thailand. It is common sense this is as a result of poor working conditions hence it gives in more advantage to the workers by staying with Mattel despite the fact that they are not wholly compliant. Alien corporations are also known to pay better as compared to local corporations (Chryssides, 1993). Therefore, both the end users and the workers are contented. Due to these factors, in my opinion, this is the best theory to evaluate this case.
The deontological perspective affirms that individuals are ought to stick to their commitments and responsibilities whilst scrutinizing a moral quandary. Subsequently, an individual must pursue personal commitments to others as maintaining and continuing individual tasks is well thought-out as morally acceptable. Alavudeen, Raahman and ayakumaran (2008) supports this assertion by positing that “a deontologist will always keep his promise to a friend and will follow the law. A person who follows this theory will produce very consistent decisions since they will be based on the individual’s set duties” (pg. ). It is therefore the obligation of Mattel to maintain organizational commitments and duties towards workers. However, based on the fact that the Mattel is forced by forces out of their control to maintain their commitments to the workers, then this normative theory is not fit to evaluate this case.
Conclusion
In conclusion, temperance entails restraint or self control. Desirable qualities of temperance help in controlling individual aspirations and joys. Honesty is considered as admiration and having a high opinion for other people as well as to their possessions or belongings. Justice is the quality of being fair and logical. Mattel is a corporation motivated by monetary and market conditions. Other than its unique Global Manufacturing Principles, the other organizational strategies and plans of action aimed at improving performance are parallel and analogous to those of local industries and their other international competitors. It is only ethical in any corporation if the workers can be treated fairly in terms of working conditions, safety, and fairness in wages. A utilitarian ethical perspective is established on the aptitude to envisage or foretell the outcomes of a particular accomplishment. The deontological perspective affirms that individuals are ought to stick to their commitments and responsibilities whilst scrutinizing a moral predicament. As a result of poor working conditions in local industries in the developing world, it gives more advantage to the workers by staying with Mattel.
References
Alavudeen, A., Rahman, R. K., & Jayakumaran, M. (2008). Professional Ethics and Human Values. New Delhi, India: Laxmi Publication Ltd.
Chryssides, G. D. (1993). An Introduction to Business Ethics. London, UK: Thomson Learning.
Fischer, R. J., & Janoski, R. (2000). Loss Prevention and Security Procedures: Practical Applications for Contemporary Problems. Woburn, MA: Butterworth Heinemann.
Saint Thomas, A., & Regan, R. J. (2005). The Cardinal Virtues: Prudence, Justice, Fortitude,
and Temperance. Indiana, USA: Hackett Publishing Company.
Sethi, S., Veral, E., Shapiro, H., & Emelianova, O. (2011). Mattel, Inc.: Global manufacturing principles (GMP) – A life-cycle analysis of a company-based code of conduct in the toy industry. Journal of Business Ethics, 99(4), 483-517. Retrieved November 19, 2012 from ProQuest.
Young, I. M. (2011). Justice and the Politics of Difference. Princeton, New Jersey: Princeton University Press.
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