STUDENT’S NAME : HASYVINI A/P MUTHU KUMAR

I/C NO : 940613 02 6132

PROGRAMME : PROFESSIONAL MASTER IN BUSINESS

ADMINISTRATION (PMBA)

CLASS DATE : 10 &11 DECEMBER 2022

INTAKE DATE : FEB 2022

MODULE : BUSINESS ETHICS

TRAINER’S NAME : MR GOH

CENTRE : ATC BANGSAR

OVERALL MARK
(Fill up by Trainer)
 QUESTION MARK

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TOTAL (30%)

Assignment

(30 marks)

Question 1

Discuss five ways to solve ethical problems at the workplace.

(5 marks)
Answer (1):

Moral and value-based dilemmas in the workplace are, at best, difficult to manage when employees must
choose between what is right and what is wrong based on their own principles. Employers who implement
workplace ethics policies are usually well-prepared for potential conflicts of interest that arise as a result
of the workforce's diversity of opinion, values, and culture. However, dealing with ethical issues in the
workplace necessitates a steady and cautious approach to matters that may be dangerous or illegal.

First and foremost is to understand the law. Investigate whistleblowing laws at the federal, state, and
municipal levels. Refrain from making employment decisions related to whistleblowing or an employee's
right to protected activity under whistleblowing laws or public policy, such as termination or suspension.
Seek legal counsel if an employee reports workplace ethics issues that increase your company's liability
under federal, state, or municipal employment law. Under the Texas Whistleblower Act, for example,
public-sector employees may be entitled to monetary damages if an employer engages in retaliatory

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actions against an employee who files a complaint about workplace ethics in good faith. This Act gives
public employees the right to sue for damages and other relief if they claim that their suspension,
termination, or other adverse personnel action was in retaliation for reporting violations of the law in good
faith."

Secondly, is to establish workplace expectations. Create a workplace policy based on the philosophy,
mission statement, and code of conduct of your company. Incorporate the policy into your performance
management programme to hold employees accountable for their actions and to remind them of their
obligations to maintain professional standards in their job performance and interactions with peers and
supervisors. Rewrite your employee handbook to include the policy, and distribute copies to employees.
Obtain signed acknowledgement forms from employees indicating receipt and comprehension of the
workplace ethics policy.

Next is about employee education. Employees should be trained in workplace ethics. Use a variety of
teaching methods to engage employees in learning how to address and resolve ethical quandaries.
Experiential learning, also known as role-playing, is an effective method of facilitating workplace ethics
training. Workplace ethics simulations can include scenarios involving the misappropriation of company
funds, personal values related to inappropriate workplace relationships, and the organization's compliance
with regulatory controls.

Next is about put someone in charge. Designate an ombudsperson to handle employees' informal concerns
about workplace ethics. Consider whether your organisation requires an ethics hotline, which is a
confidential service that employees can call whenever they encounter workplace quandaries that put them
in uncomfortable or dangerous situations. Confidential hotlines are an effective way to ensure employees'
anonymity, which is a concern for employees whose alerts are viewed as "whistleblowing" actions.

Finally is about when implementing policies, just be fair. When dealing with workplace issues and
employee concerns about workplace ethics, follow your workplace policy consistently. Apply the same

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business principles in all situations, regardless of perceived seriousness or employee level. Communicate
the same expectations to all employees, whether they are in executive positions or on the front lines of
production, and approach every issue with an equal interpretation of company policy.

Question 2

A sales representative for a struggling computer supply company has the opportunity to
close a multimillion dollar deal. The first delivery of machines will be on time but
subsequent deliveries may be delayed. Any delay in converting to the new system would
be costly to the customer.
a. Should the sales representative close the deal without advising the customer of the
problem?
b. What exactly should he say to the customer?
(5 marks)
Answer 2(a):

No, the sales representative should not close the deal without advising the customer of the delivery
problem.

As a firm's sales representative, the success or failure of a deal is partly due to the sales representative.
Though it is his/her responsibility to ensure that they agree to more deals, the clients must also be well
informed of every detail of the deal.

It is ethical to properly inform the client and not leave any information out - the truth is preferable to a
false claim. However, this could cause the sales representative to lose the deal, causing the company to
suffer as well. However, if he/she had not informed the client, the deal would have most likely taken
place. Given that the manufacturer is having difficulty meeting the high demand, the chances of a delay
are relatively high. After closing the deal, the customer would expect everything to be delivered on time,
obviously unaware of the problems with the manufacturer.

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Any delay would enrage the client, and the risk of legal action against the firms would rise. Being ethical
and informing the customer is important in more ways than one, in my opinion. It not only fosters
goodwill toward the company and its representatives, but it also aids in the development of a long-term
relationship with the customer. He or she must understand how to balance short-term profits with long-
term gains from ethical behaviour.

Answer 2(b):

As a sales representative, first and foremost I will discuss about this matter with my supervisor that what
we can give to the customer as a token of appreciation. Then, I will clearly explain to the customer that
the first delivery of machines will be on time but subsequent deliveries may be delayed before close the
sale. After the guest agreed to the terms and conditions, then write an email as a proof to the customer as:

Dear Sir/ Madam,

We would like to take this opportunity to apologise for the difficulties you encountered during your recent
purchase from us. It sounds like our delivery times were not as accurate as they should have been, which
is unacceptable for us.

To compensate for this inconvenience, we'd like to offer you 15% off your next purchase with us. We
understand that it may not fully compensate for your frustration, and we appreciate any feedback you can
provide to help us improve in the future.

We hope that a small discount will help regain your trust in our business and look forward to hearing from
you sometime soon!

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Question 3

Vibram Co. the company that makes Five Fingers running shoes, has agreed to settle a
lawsuit that alleged the company made false and unsubstantiated claims about the health
benefits of its glove like footwear. According to the court filings, Vibram settled to put the
matter to rest and avoid any additional legal expenses.

Valerie Bezdek had brought the class action suit against Vibram. She filed her complaint
in court and alleged that Vibram deceived consumers by advertising that the footwear
could reduce foot injuries and strengthen foot muscles, without basing these assertions on
any scientific merit. The gist of her claims was that Vibram illegally obtained an economic
windfall from her because it was only by making false health claims that Vibram induced
consumers to buy Five Fingers shoes, and to pay more for them than they would
otherwise.

The settlement consists of two kinds of relief. The first is refunds to class members who
submit valid and completed claim forms. Vibram will deposit $ 3.75 million into an
escrow account and those funds will be distributed to those valid class members who
purchased a pair of Vibram Five Fingers shoes between March and the date of the first
dissemination of summary settlement notice or class notice, whichever is earlier. Five
Fingers will award up to a maximum of $ 94 per pair, though the agreement acknowledges
that based on similar settlements it is reasonable for class members to expect to receive
between $ 20 and $ 50 per pair.

For the second part of the settlement, Vibram has agreed to discontinue to make any
claims that Five Fingers footwear is effective in strengthening muscles or reducing
injuries in its marketing and advertising campaigns, unless the company discovers new
scientific evidence that proves it.

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Vibram is required to establish a website, www.fivefingerssettlement.com , to inform class
members of the terms of the agreement. The company is also required to post banner ads
with the settlement information on a number of websites, including Runnersworld.com and
Facebook.com, in order to deliver this message.

a. Advise Vibram five benefits of conducting business ethically. Provide relevant facts
from the case to support your answer
b. Suggest five actions that Vibram could pursue during this crisis.
(20 marks)

Answer 3 (a):

Businesses must not only be responsible, but also consider their impact on workers, communities, and
society. They can choose to do the right thing, even if it costs more, once they have that information. This
is the definition of business ethics, and it is what will change our communities, our environment, our
country, and our world for the better.

First and foremost, a concentration on business ethics has significantly improved society and working
conditions. Without the establishment of ethical standards, children would still be working in factories,
16-hour workdays would be the norm, and discrimination, abuse, and unfair labour practises would be
commonplace. What is critical to recognise is that change is taking place, and new standards are being
established.

Secondly, having an ethical code provides a moral compass during difficult times. A code of ethics gives
you a tool for making consistent decisions about what is right and wrong. This is particularly useful when
making decisions during a conflict.
Thirdly, workplace ethics promotes employee development and gives meaning to the work they do.
Employees believe they are making a positive contribution to society by running an ethical business. This
sense of accountability gives meaning and context to their daily activities.

Next, personal values can be aligned with ethics programs to improve performance. If clear ethics are
consistently communicated in your organisation and discussions about how they align with personal

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values take place, it can foster motivation and collaboration. Employees who feel strongly aligned with
their personal values and an organization's ethics respond with high commitment and performance.

Finally, clear business ethics can help to build a positive public image and goodwill. Aligning behaviours
with values is critical for developing a positive image for your company. Today's savvy consumer is
conducting more research and paying closer attention to how businesses conduct themselves and whether
they truly "walk the walk." Applying ethical values to everyday business decisions on a consistent basis is
the foundation for building a truly successful and socially responsible business.

Answer 3(b):

This has discovered that in order to move forward in a crisis, leaders must instill four behaviours in
themselves and their teams. They must make decisions with speed rather than precision, adapt boldly,
deliver consistently, and engage for impact. The strategies listed below can help you coach your leaders in
these key behaviours.

First and foremost, choose speed over precision. The situation is changing by the day, and sometimes by
the hour. The best leaders process available information quickly, determine what is most important, and
make decisions with conviction. Cognitive overload looms during a crisis; information is incomplete,
interests and priorities may clash, and emotions and anxieties run high. The natural tendency of matrixed
organisations to build consensus can easily lead to analysis paralysis. Leaders must overcome inertia in
order to keep the organisation focused on business continuity today while increasing the chances of mid-
to long-term success by focusing on the few things that are most important. It is critical to have a simple,
scalable framework for quick decision-making. Priorities should be established by leaders. Determine and
communicate the three to five most critical ones. These could include employee safety and care, financial
liquidity, customer care, and operational continuity early in the crisis. Document the issues that have been
identified, ensure that leadership is fully on board, and make course corrections as events unfold.

The second step is to adapt boldly. Strong leaders anticipate changing conditions. They seek input and
information from a variety of sources, are not afraid to admit their ignorance, and seek outside expertise
when necessary. Leaders must decide what they will not do. Put a stop to large initiatives and expenses,

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and prioritise ruthlessly. Make your "what not to do" decisions public. Toss out the playbook from
yesterday. The previous actions that drove results may no longer be relevant. The best leaders adapt
quickly and devise new strategies.

Third, consistently deliver. Even when many challenges and factors are beyond their control, the best
leaders take personal responsibility in a crisis. They align team focus, develop new performance metrics,
and foster an accountability culture. Leaders should maintain awareness of an agreement on a daily
priority dashboard. Leaders should document their top five priorities succinctly and ensure that those
above them agree. Review performance against those items on a regular basis if not daily, then at least
weekly and ensure that leaders share this information with direct reports. At the end of each day or week,
go over your "hit list" and make any necessary changes.

Next, engage to make a difference. No job is more important than taking care of your team during a crisis.
Effective leaders are aware of their team's circumstances and distractions, but they find ways to engage
and motivate their team members by clearly and thoroughly communicating important new goals and
information. In this time of constant and stressful change, your leaders must frequently reiterate new
priorities to ensure continued alignment. As a leader to engage your teams, go deep. When
communication breaks down and leaders act without team input, as is more likely when work is done
remotely, they produce poor results.

Finally, prepare your team to lead during a crisis. As a leader of leaders, you must navigate new and
changing priorities with little time to respond. Small investments in support and coaching can go a long
way toward increasing the effectiveness of your leaders. Crisis situations reveal a lot about the leaders
beneath you. When the immediate fire is out and you have a chance to catch your breath, consider who
rose to the occasion, who struggled, and why. Consider how roles will change in the post-crisis world, and

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whether your key executives are prepared to succeed. Last but not least, consider who you want at the
table in both the current crisis and the hoped-for tomorrow when we enter a new normal.

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