Corporate Governance

Big firms often undertake sub-contracting to complete large infrastructure projects in a timely manner. You recently joined one such firm as a manager responsible for awarding these contracts. Looking at the past records, you find that all contracts for the past few years have been awarded to a particular firm, X. Your superior has asked you to award an upcoming contract to the same firm. Although, not binding, company procedure maintains that sub-contracting work should be offered after competitive bids. This is to ensure that the firm most suitable for the project in terms of operations and finance gets the contract. When you discuss this with your superior, he insists that hiring of the firm X has been done as per legal norms of the company and does not constitute a violation of any rule. You decide to contact the owner of the firm X. After doing so, you realize that he is the nephew of your superior, who is also a shareholder in the company. (a) State the ethical issues involved in the case. (b) Does this form of transaction between two private parties constitute a conflict of interest? Justify. (c) Evaluate the possible ways of awarding contracts in such a situation with their merits and demerits. Also state which method would be more suitable in each situation.

20 marks · 250 words · Answered by 1 topper · CSE 2017

Conflict of InterestCorporate Governance

You are the CEO of a film production company, which has not been doing well financially for some time. Your company is now relying on its forthcoming movie, which is about to be released shortly. The movie has a cast of reliable actors and even before its release, trade pundits have predicted that the movie will be a hit. However, you face a conundrum as one of the actors in the movie is a citizen of a neighbouring country with which relations have been disturbed and a war like situation exists. While the political atmosphere was different when the movie was being filmed, now there is a widespread public demand, with a local political party at the forefront, for replacing the actor from the movie or a ban on the release of the movie itself, if the actor is not replaced. While you are aware of the mood of the nation and the public repercussions of releasing the movie in the present form, you also know that it is not feasible to replace him at this stage as he has a substantial role in the movie. There is also a section in the film fraternity that does not want you to compromise in the wake of threat by the local political party as it compromises freedom of speech and expression as well as artistic creativity. (a) What are the options available to you? (b) Evaluate each of the options and state their merits and demerits. (c) What course of action would you take and why?

20 marks · 250 words · Answered by 1 topper · CSE 2017

Ethical Dilemmas in GovernmentPressure and Loyalty

Ramesh, a very hardworking person, is the sole bread earner in his family. He has worked with an oil company's local affiliate for several years, and has established a strong, trustworthy relationship with Suresh, manager of the local facility. Suresh has recently recommended Ramesh to be recruited as the corporate consulting engineer for the company, which would be a position of greater responsibility along with a stable income. During a casual conversation, Suresh mentions an incident in the 1960s wherein 10,000 gallons of a petrochemical was leaked into the local environment by the company due to negligence, though at the time no damage was found, and no mention of the leak was made to the press. When Ramesh mentions that the state law requires him to report all spills, Suresh reminds him that no harm had been done and reminds him that the company can't have a consulting engineer who does not value loyalty and respect confidentiality. 20 (a) Identify the ethical issues involved in the given case. (b) What are the options available to Ramesh in this situation? Evaluate each of them. (c) Had you been at Ramesh's place, what would have been your course of action? Give reasons for the same.

20 marks · 250 words · Answered by 1 topper · CSE 2017

Ethical Dilemmas in GovernmentCorporate Governance

Highlight the options available to you in this scenario and evaluate each of them. What course of action will you take and why? (b) Is there a need for having reasonable restrictions on social media for it to remain a platform of healthy and fruitful engagement. Analyse from the viewpoint of different stakeholders.

Answered by 1 topper · CSE 2017

Corporate GovernanceTechnology and Ethics

Big firms often undertake sub-contracting to complete large infrastructure projects in a timely manner. You recently joined one such firm as a manager responsible for awarding these contracts. Looking at the past records, you find that all contracts for the past few years have been awarded to a particular firm, X. Your superior has asked you to award an upcoming contract to the same firm. Although, not binding, company maintains that sub-contracting work should be offered after competitive bids. This is to ensure that the firm most suitable for the project in terms of operations and finance gets the contract. When you discuss this with your superior, he insists that hiring of the firm X has been done as per legal norms of the company and no official rule has been violated. You decide to contact the owner of the firm X. After doing so, you realize that he is the nephew of your superior, who is also a shareholder in the company. (a) State the ethical issues involved in the case. (b) Does this form of transaction between two private parties constitute a conflict of interest? Justify. (c) Evaluate the possible ways of awarding contracts in such a situation with their merits and demerits. Also state which method would be more suitable in each situation.

20 marks · 250 words · Answered by 1 topper · CSE 2017

Conflict of InterestCorporate Governance