OTHM LEVEL 5 DIPLOMA IN BUSINESS MANAGEMENT
You are working in the HR department for “Computing Supplies Ltd” and been asked to look into Corporate Social Responsibilities as a number of serious issues have arisen.
The company recently received bad publicity after a documentary was filmed showing obsolete computers owned by the company being stripped down for gold by children in Africa. To complicate things further, the computers were being burnt to collect the gold which creates dangerous fumes both for the environment and for the children.
Another issue is that “Computing Supplies Ltd” pays the majority of its employees the minimum wage in order to maximise profit. Several employees have now joined a union and trying to negotiate a living wage to no avail, which has also caused some bad publicity. Due to the bad
publicity, 4 large clients have already terminated their contract and as a consequence, the revenue is down 15% compared to the previous year.
“Computing Supplies Ltd” is also planning on relocating some of its manufacturing abroad in order to cut down costs, however it seems that it would not really benefit the locals as the subcontracting cost implies cuts, in particular relating to local wages and local use of water.
You are going to meet with the Senior Management Team to discuss these issues
Task 1 of 3 – Presentation (ACs 1.1, 1.2, 1.3, 1.4, 2.1 & 3.2)
You are going to prepare a presentation to be given to the Senior Management Team and will need to:
• Provide an illustration showing the different approaches to business ethics. You should then provide examples of ethical issues that could affect the operations. Also provide examples of “absolute” and “relative” ethics.
• Create a mind map of the stakeholders, and comment on the implications for each stakeholder when operating ethically, including potential conflicts between the stakeholders
• Explain the regulatory framework for Corporate Social Responsibility (CSR)
Task 2 of 3 Case Study (ACs 2.2 & 4.2)
Provide a case study of an organisation that has implemented Corporate Social Responsibility (CSR).
• Describe the changes the organisation has made and explain why they were made.
• Review the impact of CSR on their supply chain
• Analyse the impact of changes in CSR on business performance such as profitability, revenue, brand, etc.
Task 3 of 3 – Report (ACs 2.3, 4.1, 4.2 & 4.3)
Based on the task scenario, write a report to suggest an implementation of CSR for “Computing Supplies Ltd”. You should:
• Research a current ethical issue in the organization.
• Describe how business objectives are affected by ethical considerations.
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