Business Ethics
Ethics and moral obligations are issues we all encounter at one time or another. In the professional setting, all people should act in a manner that would uphold the good of society. To be ethical, one has to determine their obligations, moral ideas, and moral philosophy (Boatright, p. 19, 2009). The case analysis involving Jacob Franklin was a perfect example of how an individual can face the dilemma of doing what is right or wrong. Businesses have their own code of ethics, and the employees within the business have to determine whether or not they will follow the company’s code of conduct. I will discuss several ethical issues in the case analysis including; failure to report information, remaining silent regarding faulty equipment, and paying cash as a form of consideration to clients once the contract was signed. Ethical behavior in business is consistent with the principles, norms and standards of business practices agreed upon by society (Boatright, p.4, 2009). Jacob Franklin decides to go against the code of ethical behavior for job security and personal gain. When Jacob discovered the clients received faulty equipment parts from his company, and accidents occurred as a result, this was an ethical issue. The clients have a right to know the liner parts they purchased from Richardson Drilling should have been recalled, and replaced with new parts. The same quality of standards for the United States was not followed by other countries doing business with Richardson Drilling. The negligence the company used by taking the risk of potentially harming their clients, or causing harm to the environment is reckless. I would take the client complaints to the Board of Directors and explain the legal and civil ramifications the company could face as a result of future litigation, if the company continues to knowingly sell faulty equipment. I would further explain to the Board that by replacing the parts in a pre-emptive move would further bolster the
References: Boatright, John R. (2009). Ethics and the Conduct of Business (6th edition). New Jersey: Pearson Prentice Hall