CORPORATE GOVERNANCE

ASSIGNMENT-3

P. Bala Sai Saroj Ram

2201194
PGDM-D

Case study 1
Q) What are the issues of integrity, ethics and law posed in the case study? What options does
the company have, and what should it do and why?
A) Ethical Issues:
a. Employee Loyalty vs. Environmental Impact: The company has benefited from the loyalty
of its employees, but it's producing a by-product that may be harming the environment and
causing illnesses. There is an ethical dilemma between maintaining jobs and the well-being of
the community.
b. Responsibility to the Community: The company has a reputation for being a responsible
corporate citizen, but it may be contributing to pollution that affects the health of the
community. There is an ethical obligation to consider the impact of its operations on the
residents.
Legal Issues:
a. Compliance with Anti-Pollution Laws: Although the by-product does not currently violate
any anti-pollution laws, the reported illnesses could lead to legal challenges in the future. The
company needs to be aware of potential legal consequences.
b. Environmental Impact Assessment: The company may need to conduct a thorough
environmental impact assessment to understand the true effects of its manufacturing process
on the community and comply with any regulations that may come into play.
Integrity Issues:
a. Transparency and Communication: If the company is aware of the reported illnesses and
the potential connection to its by-product, there is an integrity issue regarding how
transparent the company is with the community, employees, and regulatory authorities.
b. Corporate Social Responsibility (CSR): The company's commitment to being a responsible
corporate citizen is in question if it is contributing to environmental harm and health issues.
Maintaining integrity in CSR is crucial.
Options for the Company:
Investigate and Mitigate:
 Conduct a thorough investigation into the reported illnesses and their potential
connection to the by-product.
 If a link is found, immediately mitigate the impact on the community and the
environment.
Regulatory Compliance:
 Proactively engage with regulatory authorities to ensure compliance with existing and
future anti-pollution laws.
 Implement measures to reduce or eliminate the harmful effects of the by-product.
Communication and Transparency:
 Communicate openly with the community, employees, and regulatory bodies about
the situation, findings, and actions taken.
 Establish transparent communication channels to address concerns and provide
updates on environmental initiatives.
Invest in Sustainable Practices:
 Explore and invest in sustainable manufacturing practices that minimize or eliminate
harmful by-products.
 Demonstrate a commitment to long-term environmental responsibility.
Community Engagement:
 Engage with the community to understand their concerns and involve them in the
decision-making process.
 Implement community programs or partnerships that address environmental issues
and health concerns.
What the Company Should Do:
 Prioritize the health and well-being of the community over short-term economic
gains.
 Invest in sustainable practices to reduce environmental impact.
 Communicate openly and transparently with stakeholders.
 Collaborate with regulatory authorities to ensure compliance with anti-pollution laws.
 Uphold its reputation as a responsible corporate citizen by taking swift and
meaningful actions to address the issues.
 Case study 2
Q) What are the issues of integrity, ethics and law posed in the case study? What options do
the teacher and the student have, and what should they do and why?
A) Issues:
The teacher faces integrity and ethical concerns due to the accidental posting of a test with
answers, potentially compromising the fairness of the evaluation. The student encounters an
ethical dilemma concerning whether to use the downloaded test, violating the Student Code
of Ethics and potentially facing consequences.
Options for the Teacher:
Address the Mistake Transparently:
 Admit the error to the class, explaining the accidental posting of the test with answers.
 Reiterate the importance of academic integrity and assure students that corrective
measures have been taken.
Create a New Assessment:
 Design a new test or modify the existing one to ensure fairness.
 Implement additional security measures to prevent future mistakes.
Options for the Student:
Report the Incident:
 Inform the teacher about the accidental download immediately.
 Seek guidance on how to handle the situation ethically and in compliance with the
Student Code of Ethics.
Refrain from Using the Downloaded Test:
 Choose not to use the downloaded test, respecting the principles of fairness and
academic integrity.
 Focus on preparing for the test based on legitimate study materials.
What They Should Do:
Teacher:
 Admit the mistake openly to the class, reinforcing the importance of academic
integrity.
 Reassure students that corrective actions have been taken to ensure a fair evaluation.
Student:
 Report the accidental download to the teacher promptly.
  Refrain from using the downloaded test, choosing to uphold ethical standards and the
Student Code of Ethics.

Case study 3
The case involves significant integrity, ethical, and legal challenges. The woman has
experienced sexual harassment by a top-level executive, and the company, in settling the
lawsuit, is attempting to silence her through a nondisclosure agreement (NDA) and requiring
her to absolve the executive of wrongdoing. There are indications that the executive has a
history of such behavior, and the company may have failed to address it appropriately in the
past, potentially violating legal obligations.
Options for the Woman:
Reject the Settlement:
 Decline the monetary settlement that comes with the requirement to absolve the
executive of wrongdoing and the NDA.
 Pursue the legal case further to hold the executive and the company accountable for
their actions.
Negotiate Terms:
 Engage in negotiations to revise the settlement terms, removing the requirement to
absolve the executive and allowing her to speak out about the incident.
 Seek legal counsel to navigate the negotiation process effectively.
Consult with Authorities:
 Share information about the executive's history with sexual harassment with relevant
authorities.
 Explore potential legal avenues to address the company's failure to address the
executive's behavior adequately.
What She Should Do:
 The woman should seriously consider rejecting the settlement that requires her to
absolve the executive and agree to silence. This is especially crucial if there is
evidence that the company had a legal obligation to dismiss the executive previously.
 Pursuing legal action without the restrictive settlement terms may contribute to
exposing the executive's behavior and holding both the executive and the company
accountable.