Case study 6 Crude Oil and kk exercise PDF

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Ferrel, O. C., Fraedrich, J., & Ferrel, L. (2015). Business Ethics and Policy: Ethical Decision Making and Cases. (10th Edition). Cengage Learning....

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Case 6 : CrudeOil 1) Describe the organizational culture at Crude Oil. How does it contribute to the current situation? The organizational culture at CrudeOil portrait unethical practices in which the company only focus on increasing their sales and willing to hire a manager who would yield an immediate result. This can clearly be seen through Jim, who despite his good performance in making sales and profit after just 18 months working with the company, his managing and leadership style was very poor. In which, he was harsh and unpredictable, whereby he shows intimidation to his subordinates and likely to blame others for any mistakes made even though it was not their fault. As a result of Jim’s behavior, it caused others to push him away and find solution for the problems by themself instead of seeking for his guidance. Besides that, Jim also like to bully his subordinates by telling them that their sale performance is not good enough despite they achieve their sales quota. In addition to that, he also took credit for Madison’s performance and try to spread bad rumors to others when she able to exceed her sales’ code. Hence, this show how unhealthy Jim’s management skill as it creates hostile work environment that make others felt demotivated to work with him. 2) How is CrudeOil violating its core value of treating others with respect? What are some ways it could reincorporate this core value into its organizational culture? The CrudeOil violated its core value of treating other with respect through Jim’s leadership skills, as he often treats colleagues in harsh and unethical manners. For example, when there is a mistake happened, he blamed the salespeople even though if it was not their mistakes. Instead of telling them that it was not their mistakes and try to find solutions together with them. Moreover, Jim also violate the core value when he spreads bad rumors about his employees and bullied them, Thus, the top management should take actions on Jim’s behavior in order to reincorporate this core value into its organizational culture. Moreover, they could also provide several trainings to their employees, especially those in higher position to educate them about the proper management and leadership techniques and about the important to follow company’s code of ethics. Besides that, CrudeOil also could recognize and reward values-centric behaviors to the

employees, including spot-bonuses, peer-voting opportunities that give employees the opportunity to nominate their colleagues for successfully living the values. 3) If Madison cannot report her problems to her immediate supervisor, what are some other ways she can handle the situation? Other ways that Madison can do to handle the situation is by seeking advice from a trusted professional, such as the Human Resource Compliance Officer to verify whether what was done by Jim to her was inappropriate. If they able to verify it and provide support to her, she will need to learn about the available channel that she could use to voice up her problem including any related eternal authority who involved in handling labor’s issues. Furthermore, Madison also could collect evidences about the Jim’s misbehavior through recording a video whenever he got angry and blame her for something that was not her fault or ask Peter to be a witness regarding bad rumors that was spread by Jim. As she could use it when she wants to file a report to the top management. Jim’s behavior is clearly unethical, but many of these behaviors are less clear and occur in complex situations. The most complicated situations often involve employees who witness what is, or appears to be, unethical behavior and are unsure how to respond, especially if job security is on the line....