Ethics and Corporate Responsibility in the Workplace
PharmaCARE's motto is "We CARE about YOUR health" -- and this assertion should be born out in the firm's actions and not just in its words. To understand the actual impact of the organization's actions, it is necessary to acknowledge its stakeholders and see how each is affected. By doing so, a better system of corporate social responsibility (CSR) can be implemented that will address the issues that face PharmaCARE in Colberia. By examining how other firms and multinationals have addressed CSR issues and comparing them to the situation that PharmaCARE faces, a detailed proposition based on the appropriate philosophical/ethical perspective can be generated. This paper will provide an overview of the stakeholders in the firm, how they are impacted by the organization's actions, how the firm can better itself ethically and responsibly regarding stakeholders, and how PharmaCARE compares to another company of a similar situation.
A stakeholder is one who is directly or indirectly impacted by the conduct of the company. Thus, a stakeholder can be a manager within the firm or a customer of the firm. It can be a political activist who receives donations from the firm and looks after its interests, or it can be a politician who represents a community where the firm does business. Stakeholders are in some way involved in and/or touched by the activities of the company. The stakeholders in PharamCARE consist of employees (both Western and Colberian), consumers/clients, and directors, as well as the recipients of its sponsored programs, including PAC fund recipients, scholarship recipients, and environmental lobby groups. The issue that the firm faces is that its commitment to health evidenced in its motto and mission is at odds with its actions in both the environmental realm and in the socio-political realm. For example, instead of committing itself to environmental protection, it has lobbied to overturn environmental regulations show that it can avoid being hampered by laws and regulations that are detrimental to its ability to turn a profit. This is an example of a company that puts profits before people, when the core of CSR should be putting people before profits, as it is the former that underlines the ability to produce the latter.
CSR is a way for firms to have a direct effect on the "social, environmental and economic environment in which" the corporation functions (Castka, Bamber, Sharp, 2005, p. vii). By devising good CSR policies, companies can be seen as being willing to commit to the actual health of the planet and the cultures/communities with which the companies interact, in a united effort to create a better place for all (Friedman, Miles, 2002). In order to appropriately structure the CSR policy, a firm should effect an adequate ethical foundation for itself, which serves as a guideline for how the company should address all issues that come up in its line of work (Pearce, Doh, 2005; AnyangoOoko, 2014). For instance, with PharmaCARE the company expresses its intent to help improve the health of people, but if it is opposing legislation that will help to protect the environment, then it is not living up to its motto, because if an environment is negatively impacted so too will be the people in that environment. PharmaCARE's outlook therefore is not currently being guided by an ethical framework that allows it to apply a systematic and ethical formula to every occasion. In order for it to succeed, it needs to do just this.
Another issue that the firm faces is its use of labor in Africa which consists of the exploitation of workers in Colberia, who are employed for slave wages ($1 per day) and are required to do heavy manual lifting and labor. This is not a caring practice and does not show concern for the workers of the company within that country (though Western employees are treated much better, having lavish accommodations, including swimming pool access and places of rest and living quarters that are quite different from those of the average African worker. Thus, there is a system of inequality evident within the firm and its operations.
Apple is one example of a company that has taken its business to other countries in order to profit from labor there. Apple has used Chinese labor, which it pays a similar rate for, and it has also dealt with the controversial issue of worker suicide by erecting nets outside its factories, so that workers cannot kill themselves by jumping out windows or from the rooftops (Copper, 2013). Apple's "sweatshop" factories, as they are...
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