Marjun S.

Tugano III 1

Featherweight Consulting Business Ethics Case Analysis

1. Facts
 Manuel Manolo, manager of Featherweight consulting which is into software
systems, is in a dilemma on what to do with one of his best consultants, Simeon
Gregorio who was reported by a Visayas client to have never showed up and
demanding that International shoulder half of the P3.5M consultant’s fee.
 Manalo while trying to locate Gregorio by calling other clients in the same region
also reported of Gregorio’s negative behavior.
 When Manolo was able to get in touch with Gregorio thru the latter’s neighbor,
Gregorio told him that he was just in a trouble as his wife Katrina, with their son
left him but he assured Manolo that everything will be okay after the weekend
likewise Manolo told Gregorio that everything will be forgiven if he would just go
to Visayas and complete the project.
 Manolo brought the matter to Gregorio’s team leader who he found out was also
aware of his problems and expects that everything will be better as he finds
Gregorio’s good qualities and level difficult to find.
 Edith Sambayanan, VP of Operations insisted to Manolo that Gregorio should be
dismissed for the grounds of absenteeism and citing that the issue happened
several times already and also taking into account present and potential financial
losses due to Gregorio.
 It is not known however, if the real reason of Gregorio’s negative behavior is due
to his wife and son leaving him, there could be stronger reasons than that. It
could also be possible that the entire story is just fabricated or just being used to
mask more critical problems.
 It will help if Manolo will be able to get in touch with Gregorio’s wife and know
what happened in a different perspective.
2. Ethical Issues
 Gregorio has a personal problem caused by the leaving of his wife and son which
caused him to be upset and to drink alcohol more often and more than the usual.
 This personal problem adversely affected his interpersonal behavior towards
Featherweight’s clients under him as manifested by his absences in some
Marjun S. Tugano III 2

appointments, intense argument with an employee and walking out of one’s

customer’s office in the middle of the day without a word to anyone.
 Manuel Manalo and Edith Sambayanan have opposing views as to what to do
with Gregorio, with the latter telling the former to get rid of Gregorio now.
3. Stakeholders
 Manuel Manalo- being the manager he has to directly deal with irate unsatisfied
customers, if Gregorio will be terminated he has to immediately find a
replacement of equal technical capacity but is more responsible and
professional. Being the decision-maker on this ethical issue will put him in the
spot and will show his qualities and priorities as a manager.
 Simeon Gregorio- his track record especially with regards to moral conduct will
be questionable which might result to difficulty in finding a new job. If he will be
terminated his finances will be greatly affected, as he has to deal with income
loss and the possibility of not finding work instantly.
 Edith Sambayanan- getting rid of Gregorio as soon as possible will be a
fulfillment to her as a VP who puts premium on rules that are to be followed
 Gregorio’s team leader- he has to try to lead and control Gregorio to get out of
the mess that his staff is in or at least separate personal problem from work. He
has to train his people now to equal or at least come close to Gregorio’s technical
level.
 Co-workers- whatever will be the decision to Gregorio’s case will be a lesson to
them when it comes to conduct especially when dealing with clients. If he is
terminated they have to step up.
 Owners- complaints from customers due to the negative behavior of Gregorio will
tarnish the image of the company which could translate to decline in projects with
clients which will likely result to further financial losses.
 Customers- the misbehavior of Gregorio could result to decline or loss in profits
of their companies. If Gregorio is retained they have to be strict when it comes to
what he has to deliver and provide for them. They should also be prepared and
be willing to be handled by other consultants just in case he is terminated.
Marjun S. Tugano III 3

 Competitors- it will be an opportunity for them to offer their services to the

dissatisfied customers of Featherweight consulting.
 Community- almost negligible but there’s a possibility that the projects where
Gregorio is involved might be catering to computer systems of schools or private
and government institutions which could result to delay in community services
and opportunity loss to entrepreneurs.
4. Available Alternatives
ACA1: Retain Gregorio ACA2: Terminate Gregorio ACA3: Suspend Gregorio
5. Effect to Stakeholders

ACA Duties, Rights, Justice and

Stakeholder Consequences
1 Principles Fairness
assure that no further
deliver customer’s
harm will be to give what is due to
demands, constant
Manalo experienced by clients
check and balance of
customers and closely
and that Gregorio will monitor Gregorio
projects progress
stop his misbehavior
finish projects and stop deliver customer’s penalties might include
Gregorio further harm to demands, make up for salary deduction
customers shortcomings
negative impression on reiterate rules on financial penalty to
her for not strictly absenteeism and Gregorio, compensate
Sambayanan imposing consequence employees’ clients for their loss due
of violation of company unacceptable behavior to Gregorio
rules
closely monitor regular inspection and strict monitoring to
Gregorio to prevent evaluation of staff Gregorio and obliging
Retain

Gregorio’s TL further complaints of performance him to report to send a

customers daily report
financial risk to the impose more rigid rules impose salary
company, possible on employee behavior deduction to Gregorio,
Owners losses esp. in dealing with compensate irate
customers customers
impression of they can duty to deliver more of some maybe against
also do what Gregorio being retained despite Gregorio being retained
Co-workers did and not being misbehavior
expelled
deal with Gregorio and right to get what is due compensation for
Customers be strict on him to them losses acquired
take advantage of
Competitors Featherweight’s issue
deal with inconvenience right for good services file complaints
Community esp. what they paid
Marjun S. Tugano III 4

ACA Duties, Rights, Justice and

Stakeholder Consequences
2 Principles Fairness
penalty for Gregorio
look for Gregorio’s follow rules on
Manalo replacement employee misconduct
and compensation for
customers
financial loss, lower accept consequence of suffer consequences of
Gregorio morale misbehavior misbehavior
fulfillment of strict follow rules on penalty for Gregorio
Sambayanan implementation of rules employee misconduct and compensation for
customers
train staff to equal follow rules on penalty for Gregorio
Gregorio’s TL technical level of employee misconduct
Terminate

Gregorio
feeling of successfully follow rules on penalty for Gregorio
Owners eliminating further employee misconduct and compensation for
financial losses customers
impression of getting follow rules on corresponding penalty
Co-workers terminated if they do employee misconduct for violation of company
what Gregorio did rule/s
adjustment to new right to get the services compensation for
Customers consultant that they paid for losses incurred
offer job to Gregorio but
Competitors be strict on his behavior
right to get the services
Community esp. paid services

ACA Duties, Rights, Justice and

Stakeholder Consequences
3 Principles Fairness
Suspend

give chance to
time to investigate
Manalo deeper on the issue
observe objectivity Gregorio to change his
ways
reflect on what he has due process if ever right to be investigated
Gregorio wrongly done and termination will be before decision is
correct his behavior imposed served
leeway on imposition of observe objectivity give chance to
Sambayanan rules, more time for Gregorio to change his
investigation ways
transition to provide observe objectivity give chance to
time to train next-in-line Gregorio to change his
staff ways. possible assume
Gregorio’s TL responsibility of
Gregorio for the
meantime
see the results if observe objectivity
Gregorio is removed
Owners from the company
without officially
terminating him
opportunity to step-up
Co-workers while Gregorio is in
suspension
Customers deal with other compensation for loss
Marjun S. Tugano III 5

consultants while incurred

Gregorio is suspended
and see the difference
offer Gregorio a
Competitors temporary job
Community
6. Decision
Decision
Definition Wts. Rationale
Criteria
based on the end-results or quality of as a consulting firm of which its lifeline
the consequences without looking at the is customers, it’s very important to
Utilitarianism process 25pts deliver outstanding end results for
repeat sale or continuity of consulting
services
strict adherence to company rules, as a consulting firm they are bound
employee proper conduct and policies with contracts to their customers
Deontology without taking into account the 25pts containing policies, rules, terms &
consequences/results conditions etc.
taking into account moral principles main asset of a consulting firm is its
regardless of the consequences or people so its very important to treat
Virtue of Ethics whether rules are followed or not 50pts them humanely and with objectivity,
otherwise people will easily leave the
organization

ACA Utilitarianism Deontology Virtue of Ethics Total

(25 pts) (25 pts) (50 pts) (100 pts)
1. Retain 15 5 30 50
2. Terminate 5 20 10 35
3. Suspend 10 10 45 65
Decision: ACA 3, Suspend. Gregorio being a consultant who has qualities which are
hard to find from other people should not be terminated outright just because of his
recent failures. I assume that he has been delivering well before as he is being sought
after by a number of customers, so letting him go will be an asset loss for the company.
Retaining him either will leave an impression to the company that it is too sloppy on its
policies and finds non-fulfillment of deliverables to its customers to be just acceptable.
Meeting in between will be the best option which is to suspend him. Penalizing him for
the misconduct but at the same time giving him a chance to change and get back.
7. Learnings.The company needs a more strict monitoring of the progress of its
projects and the performance of its consultants so that it will not be too late for the
management to address failure or shortcomings to its clients. In addition,Implementation
of detailed contracts between the consulting firm and client should be done.