WAKAWAKA – Group Case Study Presentation
Case study – Ethical Dilemma (Everyone Does it)
Group Members :
1. Ahmed Mukhtar
2. Hardik Patel
3. Abdul Ali
4. Avinesh Bhan
5. Irshad Abdul
Case Summary
 Sarah Brodzinkski has joined Universal Beverages as VP of Human Resources.
 Sarah’s Package would be in excess $1m if she meets her target; which she is confident of
achieving
 She is introduced to a range of senior business executives & politicians by the MD (Craig
Sherington)
 Sarah is also introduced to the chairman of Oz Industries ( Richard Goodman)who is a
major supplier and Universal Beverages defacto “Benefits Manager” according to the
chairman of Universal Beverages
 It comes up in the conversation between the Chairman (Richard) of the Oz
Industries & her boss (Craig), that Oz Industries takes great pride in how it looks
after it’s major customers. Customer satisfaction is a like a religion for Oz
Industry and it takes great pleasure for its customers to enjoy its patronage.
 The above information that she gathers from the introduction to the supplier’s chairman
by her company’s director (Craig) confuses Sarah
 To clear the confusion, the sales director of Oz Industries explains “ What other
companies spend on advertising, we spend on building relationship with our
customers”
Summary Continued …
 Oz Industries provide all sorts of benefits for senior executives of there major
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customers.
The Directors for Sarah’s company has also taken similar favour’s from the
supplier.
The above information causes Sarah to frown & she becomes uncertain of the
Ethics of the situation
The chairman of Oz Industries (Richard) re-emphasizes that everything is
OK & she did not have anything to worry about (The Practice of Getting
Favors)
Sarah’s Boss reassures her “Everyone Does It” that it is a standard practice in
the industry.
Q1. What ethical issues are raised in the case?
 Taking special favour's from key
supplier and vice versa
 Using Company property and wealth
for personal benefits.
 Knowingly following the bosses in
doing unethical things
Q2. Part 1 - Who are the major stakeholders involved?
 Sarah Brodzinkski- The New Vice
President of Human Resources
(Universal Beverages)
 Craig Sherington - The Chairman
(Sarah's Boss)
 Richard Goodman – Chairman of Oz
Industries & Defacto Benefits Manager
 Employee of Universal Beverages
Q2. Part 2- Explain what you think their views
might be and why?
 ''Everyone does it.'' That it is a standard
practice in there industry.
 Amongst other examples, her boss gave her
the example of there country’s PM accepting
use of utility truck from a used car firm
Why ? “ if our political leader can do it, how
could there be anything wrong ?
Q3. If you were Sarah, what would you do?
 Rethink – The first thing to do is to think if you have
chosen your employer wisely.
 Secondly, you must use the company’s ethical
framework and its values if you challenge your
employer when you find out that the company policies
and objectives is scrutinized.
 If I was Sarah I would not agree in arranging to have
the loan approved for the Managing Director’s son
from OZ Industries fleet car.
 If I was Sarah I would practice Code of Ethics and
Conduct in compliance with the country’s law.
Q4. How would Sarah's acceptance of such benefit’s
sit with Australia Resources Institutes professional
code of ethics?
 Sarah’s acceptance would mean that she is not complying with
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Australian code of ethics and professional conduct.
As a Vice President of Human Resources Sarah must agree to be
bound by the standards of the code and include it as part of the
working habits within the organization.
Sarah must act with integrity and trustworthiness and should
not promote own self interest to undermine the organization’s
objectives,accuracy,independence and behavior.
Sarah’s acceptance would undermine:
Honesty
Leadership
Lawfulness
Justice
Integrity
Confidentiality
Australia Code of ethics & professional conduct
This code of ethics and professional conduct represents the desire of members of the
Australian Human Resources Institute (AHRI) to establish the ethical and professional
conduct expected to lead and elevate the human resources profession.
By joining AHRI, members agree to be bound by the standards of the code and include it
as part of their working habits within their organisations, with clients, colleagues and the
community.
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Advancing the Profession - AHRI members are expected to enhance the good name of
the profession and to promote the importance of human resources in the workplace, the
business community and broader society.
Leadership - AHRI members will, to the extent of their ability and opportunity, lead
others, by modelling competent and ethical behaviour, by fostering an ethical work
environment, and by fulfilling their professional role selflessly.
Honesty - AHRI members will be honest, objective and truthful in their words, actions
and representations and will not knowingly mislead their employer, employees or clients.
Integrity - AHRI members will act with integrity and trustworthiness and will not
promote their own self interest or allow personal interest to undermine their
objectivity, accuracy, independence and behaviour.
Lawfulness - AHRI members will not act unlawfully or advise in any way that
would knowingly countenance, encourage or assist unlawful conduct by their
employer, employees or clients.
Australia Code of ethics & professional conduct
Justice - AHRI members will foster equal opportunity and nondiscrimination and seek to establish and maintain fair, reasonable
and equitable standards of treatment of individuals by their employer
and by all employees in the organisation, through their own
behaviour and through the policies and practices of their employer.
Competence - AHRI members will maintain the highest standards
possible in the advice, information and guidance they provide
employees, employers and clients and commit themselves to
maintaining and enhancing their professional knowledge, skills and
competence through continuous professional development.
Organisational capability - AHRI members will contribute to and
encourage the learning and development of employees and will seek
to achieve the fullest possible development of people for present and
future organisational needs.
Conclusion …
 Ethics has to do with morality & standard of behavior. What
is considered ethical(and legal) in one culture may be viewed
as unethical(illegal) in another. Australian HR managers
cannot assume that their standards will be shared by others
or will be seen right. Deciding what is “right” or “wrong”
moreover is not easy when different ethical standards are in
conflict.
 It is recommended that companies take the following steps
to ensure that their responses to different cultural
environments are both appropriate and ethical:
- Develop a clearly articulated set of core values as the basis for
global policies and decision making.
- A culture that supports ethical standards of behavior gives
employees a clear guide as to what is acceptable and what is
unacceptable.
- Does it respect human life? Any business that endangers or
harms life is unethical. The failure to provide a healthy and
safe work environment is unethical because it deprives
workers of the right to survive
Bibliography
 http://www.ahri.com.au/MMSDocuments/membership/resource
s/governance/byinlaw1_codeof%20ethics_professionalconduct.pdf
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Ethical Dilemma: http://www.smh.com.au/executivestyle/management/blogs/management-line/an-ethicaldilemma-20110430-1e1oc.html
Ethical Dilemma and Role you play:
http://www.ispe.org/c Ethical Dilemma and Role you
play.pdfasa/5feb2011_business**ethics**.pdf
Ethical Lapses - http://jamesriverjournal.com/business/14772ethical-lapses.html
Professional Ethics: Ethical Dilemma and Role you play.pdf
Raymond J. Stone 3rd Edition
Question