Individual Ethics Assignment #1

Sometimes people are simply unaware that they are facing an issue with ethical implications. And, if they don’t recognize the issue as an ethical one, moral judgment processes are not likely to be engaged. Consider the following situation, and then follow the directions below:

Bart James, the purchasing agent for a local plant of the Oakdale Electronics Division, was considering the possible purchase of a component from a new supplier. The component’s purchase price, $0.90, compared favorably with the standard price of $1.10. Given the quantity that would be purchased, Bart knew that the favorable price variance would help offset an unfavorable variance for another component. By offsetting the unfavorable variance, Bart’s overall performance report would be more impressive and good enough to help Bart qualify for the annual bonus. More importantly, a good performance rating this year would help Bart secure a position at division headquarters at a significant salary increase.

Purchase of the part, however, presented Bart with a predicament. Following company policy, Bart made inquiries regarding the reliability of the new supplier and the part’s quality. The reports were negative. The supplier had a reputation for making the first two or three deliveries on schedule, but being unreliable from then on. Worse, the part itself was of questionable quality. The number of defective units was only slightly higher than that for other suppliers, but the life of the component was 25 percent less than what normal sources provided.

If the part was purchased from this new supplier, no problems with deliveries would surface for several months. The problem of shorter life, however, would cause eventual customer dissatisfaction after the final product began to be used. If all went well, Bart expected to be at headquarters within six months. Bart saw very little personal risk associated with a decision to purchase the part from the new supplier. By the time any problems surfaced, they would belong to Bart’s successor.

Student Directions

Prepare a well-organized essay that, at a minimum, addresses the bulleted issues below. Your paper’s length should be a minimum of 1 single-spaced, typed page (but no more than 2 pages), have 1-inch margins, and be in Times New Roman 12pt font.

• Identify the dilemma. What exactly is the decision that Bart must make?

• Identify the primary stakeholders and consider their viewpoints. Who has a stake in Bart’s decision? How would they view the consequences of Bart’s choice?

• Analyze the alternatives and consequences. Clarify the main alternatives available to Bart and predict how each alternative would affect the primary stakeholders.

• Choose an action. What should Bart do? Clearly indicate your choice for an appropriate action. Your choice should reflect consideration of the risks and benefits of the action.

• Note: In formulating your written response, it may be helpful to think about how a critic of your action might try to argue against it using other ethical reasons, and think about a rebuttal or counter-argument in defense of your judgment.