Essay on "Operations Management: Balancing Ethics With the Bottom"
Essay 9 pages (2723 words) Sources: 1+ Style: Harvard
[EXCERPT] . . . .
Operations Management: Balancing Ethics With the Bottom LineDescription of the aspects of the case under investigation
Comparison and conclusion
Corporations are invariably mired in a state of tension between the need for short-term profitability and the demand for environmental sustainability and fair labor practices. Corporations live in a world affected by environmental disasters and degradation. They sell to human beings, who will often take into consideration labor practices and other ethical questions when making decisions to buy or sell a product. Some operations managers are being called upon use ethical rubrics when making decisions for their company. However, given today's recessionary economy, there is an equally vociferous demand for creating a leaner cost structure. This has caused many companies such as Mattel to make use of cheaper venues in which to manufacture its products, but in some instances the public relations fall-out may not justify the supposed, initial savings. "Different perspectives on corporate social responsibility (CSR) exist, each with their own agenda. Some emphasize management responsibilities towards stakeholders, others argue that companies should actively contribute to social goals, and yet others reject a social responsibility of business beyond legal compliance. In addition, CSR initiatives relate to different issues, such as labor standards and corruption" that may come into conflict -- environmental questions may dominate with one product line or in one region, while labor practices may be of greater concern in another industry (Weyzig 2009, p.414)
Literature Review
Continue scrolling to
download full paper ⤓
Neef does not see ethical actions as incompatible with profits: by analyzing and improving "freight transport and distribution operations: the types of delivery methods or vehicles used, routing and scheduling" and using "better distribution center locations," while reducing the amount of fuel and extraneous products in production, a company can actually save money as well as lighten its carbon footprint (Neef 2005). For example, "better planning to maximize the capacity of delivery trucks alone can reduce a typical company's fuel consumption and emissions by 20-30%," thus enhancing value and savings as well as improving environmental policies. "Even simple efforts to recycle or reuse packaging can make a significant difference. A decade ago…Nike decided to reduce the number of different box styles it had from eighteen to two; reducing their use of raw material fiber by 8000 tons per year" (Neef 2005).
Nike had been much-criticized in the media for its unethical practices towards the developing world's employees that manufactured its expensive (some might say overpriced) sneakers. However, it has made considerable and notable efforts to reform its operations. However, why did this box style reduction draw such little press? The problem, Neef says, is that ethical actions, particularly in the realm of operations management are not very 'sexy,' "Reorganizing a distribution hub so that a company's delivery trucks drive fewer miles, initiating a waste water recycling policy, or creating better transportation and storage techniques for hazardous materials in developing countries are not stories that sell papers -- or make marketable studies for consultancy white papers" (Neef 2009). Environmental sustainability requires smaller, systematic actions, rather than sweeping gestures. Still, "in short, given the size and output of developed-world companies, improving sloppy logistics and supply chain practices in western multinationals alone could greatly improve the health and safety of workers globally, and vastly reduce the current level of damage to the environment. Even better, if these same best practices were applied to overseas and contract operation" measurable improvements might be generated in the near future (Neef 2005).
Neef argues that a company can essentially 'have it both ways' -- be ethical and be profitable in its operations, although he does not believe public outrage has enough of an impact upon corporate actions. According to the analysis of Weyzig, Neef's analysis satisfies so-called stakeholder theory. The relations between a company and its stakeholders are central to how ethics should function within operations design. "Stakeholders are commonly defined as all actors that have an interest in the operations of a company & #8230;From this point-of-view; only the responsible behavior of a company in its normal business operations qualifies as CSR. Support for external social projects" such as improving life in the developing world or environmentalism does not (Weyzig 2009, p.419). "A company is supposed to have a certain responsibility towards each type of stakeholder & #8230; CSR is largely defined in negative terms, emphasizing what a company should not do" (Weyzig 2009, p.419). Weyzig says his theory of the incompatibility of ethics and lean operations, because it is held by so many firms, is why it is essential that companies are bound by law to act ethically, and cannot be trusted to do so independently. Additionally, "Operational concerns, such as transparency, complaints mechanisms, and supply chain management, have a different character and cut across perceived areas of responsibility" which often makes it even more difficult to arrive at a coherent ethical policy for an organization (Weyzig 2009, p.419). In short, external and external political and social restraints also affect the roles ethics and economics play in decision-making
"CSR initiatives regarding environmental norms, labor standards, and community care beyond the legal minimum do not form part of the boundary conditions following from the implicit social contract," between businesses and where they operate, "these initiatives fall in the grey area where the political and economic arguments converge" (Weyzig 2009, p.424). E. Picavet adds: "ethical research is not necessarily congenial to the methodology of operational research (OR) and the management sciences (MS). While the OR/MS field has amply demonstrated its concern for plural evaluative criteria and its permeability to contextual social demands, the classical norm in OR/MS is widely felt to be efficiency, not ethical adequacy, although there has been a marked move in the discipline in recent years toward defining the goodness of results and processes in terms of overall optimality, which normally involves ethical tests" (Picavet 2009, p.1121).
Integrating ethics as part of the 'test' applied by a corporation when evaluating its optimization requires changing the paradigm of how value is perceived (Picavet 2009, p.1121). Ethics must not be viewed as antithetical to profitability by definition, which is often the perception (if not the fact). Through "its open-ended character, ethical discussion and analyses harbor interesting social processes which are often (and rightly) perceived as opportunities to bring into the picture of rational evaluation or optimal planning the long-term interests, as well as the viability and sustainability considerations, which are so often forgotten in more technical, small-world approaches" (Picavet 2009, p.1121). Open dialogue about ethics must be infused into operations decision-making, and Picavet advocates both qualitative and quantitative discussions of ethics within every organization.
John Brocklesby adds that 'ethics vs. profits' dichotomies of do not take into consideration real-world political struggles within organizations. Even if ethics can add obviously value through sustainability and waste reduction, there may be an irrational attachment to current processes and the idea of not being concerned with such matters: "though notions of independence and objectivity might assist our understanding the natural and physical world, it is ill-suited to the social and organizational context where most OR activity occurs" (Brocklesby 2007, p.1073). Operations happen within chaotic and imperfect decision-making systems, but this only further underlines need for non-quantitative assessments of value. After all, buyers are also frequently illogical, and perceptions of a company's poor behavior can affect profits and stock prices. "Since what counts as 'improvement' is often a matter of debate and sometimes hotly contested, ethical considerations arise as a logical necessity. Moreover if the agent's involvement extends beyond analysis into problem framing and/or implementation, then there will almost certainly be a requirement to engage with wider social and political circumstances. For these sorts of reasons, 'ethics within OR models' deems it to be a… READ MORE
Quoted Instructions for "Operations Management: Balancing Ethics With the Bottom" Assignment:
1. Choose an operation with which you are either interested or familiar - you could select the Operations Function(s) in your own organisation or another with which you are interested (or familiar) using information sources available to you whether you work for the organisation or not. You could use public sources such as the internet/intranet, quality newspapers or journals such as the Economist or Business Week; company publications or other published sources. (also see useful web sites included in this note).
2. Investigate: Any 3 the following areas regarding your chosen organisation*****s operation. Select the areas based upon those that are most relevant to your particular organisation. What are the main issues facing Operations Managers in this organisation in terms of?
i. Globalisation and the growth in international markets
ii. Environment Management and issues relating to legal requirements
iii. Social, or Ethical Responsibilities in their Operations
iv. Technology such as Information Technology in the operations decision areas
v. Knowledge Management and its roll in Operations
vi. Quality, Cost efficiency and competitiveness in Operations
vii. Performance measurement to satisfy various stakeholder groups
viii. Increasing productivity and measuring customer service
ix. Increasing the service value concept and understanding what customers value
x. Performance and productivity measures and the need for a performance measurement framework that will include all staff and all activities.
To investigate these issues, if you are not in an operations role, interview the most senior operations staff who would be willing to help. Or visit http://www.businessweek.com/globalbiz/ and choose an article that highlights a issue relating to a private company or PLC or public sector organisation that you would like to study.
3. Write up: Essay
Your written essay should refer specifically to the organisation which you are studying) and contain reports and comments on your findings. You will probably have two main sections: a literature review that describes, using references, a view of the operations function and the models it applies (from theory). The second part should be your findings under the heading of the case study under considerations (answers to questions). Followed by your conclusion/observations and reflection. Remember your observations should be through the eyes of a student manager (not just as yourself). Refection is a statement that demonstrates that you are managing your own learning. So your conclusion should contain evidence of learning. (See section 3 of this outline for additional help on structuring your essay)
Structure of the assignment:
I suggest you use a title and contents page and a summary; also, use sub headings
Title: Create an interesting title not *****˜Assignment 1*****
Contents page: Showing sections and page numbers
Section 1: Introduction or Context:
Section 2: Literature Review:
Section 3: Case Study Investigation:
3.1 Overview of case (organisation)
3.2 Description of the aspects of the case under investigation
3.3 Use diagrams and always try to be brief in this section
3.4 Interview with Senior Operations Staff
Section 4: Conclusion
4.1 Comparison of theory
4.2 Brief recommendations (if appropriate)
4.3 Learning points summary and short personal reflection (what youhave learned from the work you have undertaken
References:
Appendices: A, B, C etc
Referencing:
I would suggest you to use the Harvard citation method example. This is the most widely used method of referencing. Avoid footnotes *****“ these are clumsy and difficult to search.
Writing Style:
I would advise that you adopt a formal structure for your essay; use present tense and third person wherever possible. In other words, state *****˜It appears that.... .... rather than I believe that . If you are more confident in your writing you could use first person. But always remember that writing *****˜I did this***** and***** I thought that***** can become tedious for the reader. Third person is used because it is easier to write this way. I like first person myself but I am also conscious that I think the reader might get fed up with me referring to myself repeatedly. You could also mix third and first person. For instance write in first person in the Interoduction and last part of the conclusion but leave everything else third person.
Some other notes:
(i) Choose an interesting title: *****˜Operations Strategy in Financial Services*****: the rise and rise of
convenience banking. Think about it until you have come up with a title that is interesting.
(ii) Remember your literature review does not have to be enormous, but it must demonstrate yourknowledge of the theory. As you have access to electronic libraries and the core learningmaterials, listing 6 good references should be a minimum.
(iii) If appropriate, consider the theory/models which are appropriate for your theme; describe the min summary only using suitable references and then pose and answer some of the questions listed). You may even consider it appropriate to criticise them in your conclusion / learning points summary.
(iv) Don*****t describe your case study in too much detail. Give the reader only sufficient detail to help them understand the key issues.
(v) Always support your sources with references. Avoid opinion or unsupported assertions
(vi) Always Include a Conclusion *****“ your conclusion should comment on the usefulness of the theory (or otherwise) and the significance of your findings. You may even care to comment critically as to how the organisation should change and provide recommendations but this is not essential. Personal reflection is essential however.
(vii) If your case study includes an interview with a senior member of the Operations Staff here are some key questions to get you started:
- how important is Operations to the success of your organisation?
- How is Operations as a function changing at the moment?
- Do you have an organised approach to managing Quality?
- Do you calculate the costs of quality?
- Do you have an Operations strategy?
- How do you measure performance/ customer service?
Remember to print the answers to the questions and present them in your appendices just like other evidence you have collected.
How to Reference "Operations Management: Balancing Ethics With the Bottom" Essay in a Bibliography
“Operations Management: Balancing Ethics With the Bottom.” A1-TermPaper.com, 2009, https://www.a1-termpaper.com/topics/essay/operations-management-balancing-ethics/77645. Accessed 4 Oct 2024.
Related Essays:
Systems Thinking and Change Management Evaluation Term Paper
Systems Thinking and Change Management Evaluation
The greatest challenge for the majority of it initiatives is to survive the change management process and emerge with sustainable and strong go-to-market strategies… read more
Term Paper 9 pages (2656 words) Sources: 1+ Topic: Management / Organizations
Balancing Ethical and Legal Considerations in Business Research Paper
Balancing Ethical and Legal Considerations in Business
Business ethics and the law have both stood out recently as two separate entities that help businesses operate under the specific cultural, moral,… read more
Research Paper 8 pages (2693 words) Sources: 5 Topic: Business / Corporations / E-commerce
Work Standards Are the Foundation of Capacity Research Paper
Work standards are the foundation of capacity and production planning. Do you agree or disagree with this statement? Defend your response
Work standards are essential for capacity and production planning,… read more
Research Paper 9 pages (3347 words) Sources: 4 Topic: Management / Organizations
Ethics of Headhunting Structure Business Ethics Corporate Term Paper
Ethics of Headhunting
Structure
Business Ethics
Corporate Social Responsibility
Social responsibility frameworks
Personal recruitment
External recruitment
Executive search
What are the choices facing organizations? What are the consequences?
Inductive and… read more
Term Paper 33 pages (9767 words) Sources: 50 Style: Harvard Topic: Business / Corporations / E-commerce
Challenges of Enterprise Resource Planning ERP Implementation Dissertation
ERP Systems
CHALLENGES of ENTERPRISE SOFTWARE IMPLEMENTATIONS
The contributions of Enterprise Resource Planning (ERP) systems continue to be problematic for many organizations globally. Continually challenged across industries to get the… read more
Dissertation 81 pages (22297 words) Sources: 50 Topic: Management / Organizations
Fri, Oct 4, 2024
If you don't see the paper you need, we will write it for you!
We can write a new, 100% unique paper!