This is the case about Apple’s company who’s known as the world electronic giant. Tim Cook Apple’s Inc. newly appointed CEO after Steve’s job faces ethical dilemma in the company. Tim Cook had to face ethical dilemma problem with Chinese company Foxconn, world largest electronics manufactures. Trevino and Nelson’s Eight-Step Ethical Decision Making Model 1 .Key Facts
Apple Inc. is an American multinational corporation that designs and develops computer software and personal computers. The company is well known for its hardware products, which are Mac line, ipod, ipad and iphone. Apple was founded in 1976 April 1 and their first iphone which was a sales breaking was introduce on January 9, 2007. Apple is world second largest information Technology Company after Samsung. After the death Apple’s leader Steve job’s, Tim cook was appointed for the CEO post. In the year 2012 Cook have to face ethical dilemma problem with employees and works of the company that they have linked up with in China. As Tim Cook picks up the leadership of Apple from Steve Jobs, he faces a significant ethical dilemma in Wuhan in a supplier’s company where workers threaten suicide in protest over their working conditions. ( Hinks.P, 2012).
2. Key Issue:
Apple is well known for its product Iphone which reached recording breaking sales but it got issue with its employers and works in China, the people who manufacture the product. The workers and employers from Foxconn complain about working condition and even gave suicidal threats to Apple Inc. Beside all these threats and employers difficulties CEO Tim Cook focuse more upon the production of the product and compay profit. They main focused upon profit motives as being the electronic giants. With the high demand of their products in the market, they need to full fill the demand of the consumers so; they had increase the working hours and working condition to meet its target which was affecting their manufacture workers in Foxconn Company in China.
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3. Relevant Stakeholders
The relevant stakeholders in this case are the employers, Foxconn Company and Consumers. By the decision made by Tim Cook of Apple Inc. it looks very unethical and does create huge effect on the employers as they have been working for long hours with low working conditions.
4. Possible
Consequences
Apple Inc.asi that they have improved working condition as demand of the employer of the Foxconn Company. The Fair Labor Association, a United Stated- Based nonprofit organization, said that Foxconn, a Taiwan-based electronics giant and Apple Inc’s biggest supplier, has completed the actions it agreed to take to improve working conditions at its two plants in Shenzhen and one plant in Chengdu, which make Apple’s popular iPhone and iPad products.( Rickards.T, 2012).
But still the story of the workers tells the different story, they are still facing problems with working condition and company is still mainly focused with its main target. They could have made some immediate changes so, the workers would feel better and motivated to work more with full services and facilities.
5. Relevant Obligations
Apple Inc has an obligations to it consumers and towards the whole world business market as being a multinational company. They have business chains around the whole globe and people have certain trust and loyalty toward the company and the Company needs to deliver proper image and responsibility toward it consumers and employers globally. They ought to spread positive message and create proper working environment though it chain of business in different nations. As they need to be honest and care the employers to make them work better for production with good quality. 6. Standards of Integrity
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Apple Inc. is multinational company and its products, stakeholders and employers are spread all around the world. Apple produce thousand of its products and sell globally, so all the people who’s involve with the company need to act proper and main the standard. After all the image and reputation Apple’ main target and values should not only be its profit but they be socially responsible and maintain standards.
7. Possible Alternatives
The possible alternatives for this case would be providing better facilities to the employers as they are the main people who have been manufacturing the product. Better and suitable working hours, working environment and better facilities could have been provide for the workers from China. Not only the employers from United States but the employers from other nations should be treated with same facilities as being Multination Company. The employers are giving suicidal threats which are a serious situation and they need to be brought down, have a talk and then solve the problem. A balance and good relation can be created inside the company and its organization people. 8. Gut Feelings.
As being the CEO of Apple Inc. Tim Cook did what is the best for the Company. Business is mainly about profit motive and he did what makes company the high profit. The decision took by him might affect the employers from China but it did reach the company target and Apple was able to full fill the demand of the consumers. But he could have been little more aware about the situation about the workers form the Chinese company and took some more wise decision which could took him out him ethical dilemma situation. Philosophical Approaches
This case is based on ethical issues. The three major ethical approaches are consequentiality approach, deontological approach and virtue ethics. This case is belonging to deontological approach (Trevino & Nelson, 2011).
Employees are also the part of company so CEO of company also should give more priority to the health of employees. Without the employee company cannot produce the product. If there is healthy and satisfactory employee then only the production made by them will have quality. Although Apple Inc. is one of the biggest companies in the world but the situation of employee is really bad so this might leave a bad image to the company in the future. CEO of company should give priority to its employee too but not only to the profit. As company is making lots of quality product and satisfying its customer and this all possible because employee. So, company should also give more focus on their employee. To make the profit it does not mean that company should not give load to the employee. Recommended Philosophical Approach
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The company is not taking the right direction. They need to be more focus with their workers too. This could have been better if the consequentiality approaches were done (Trevino & Nelson, 2011).
If I was the CEO of the
company I will be focusing on the improvement of employee management along with the improvement in the customer satisfaction. I would be more specific on the goals and guides of the company that need to be achieved. Instead of being biased, team work will be more effective as employee is also the part of company which helps company to meet its goal. Conclusion:
It take a whole a lot of pressure to be CEO of a huge company like Apple Inc. The decision made by the new appointed CEO Tim Cook might be ethical wrong looking toward the employers but it did well to the Company. The situation has been Apple Inc. ethical dilemma which can be down reputation of the Company like Apple Inc. The Correct decision need to be made in this business world without having any personal or emotional attachments for the better tomorrow and development.
Reference:
Rickards.T (2012, 31st Jan) Apple’s new leader face ethical dilemmas at Foxconn Daniels Fund Ethics Initiative, Apple Inc.’s Ethical Success and Challenges.
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