Imagine you are the newly hired chief executive officer (CEO) of a large pharmaceutical company with major investment in medical equipment, prescription drugs, and other health-related supplies to...

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Imagine
you are the newly hired chief executive officer (CEO) of a large pharmaceutical company with major investment in medical equipment, prescription drugs, and other health-related supplies to companies throughout the United States. The company experienced tremendous growth in revenue for several years prior to the COVID-19 pandemic while maintaining a six-figure profit margin. However, the COVID-19 pandemic has caused both sales and profits to dramatically drop, resulting in the reduction of personnel and other organizational restructuring efforts. To help recover, you enlisted the help of a shell organization to inflate your company’s debt to secure federal relief funding. You publicly announced that you would reduce your salary significantly, while covering up an increase in personal stock holdings from the company. Kickbacks were offered to the shell organization to show a continued loss in revenue and services for your company to receive government assistance.






Writea 750-wordpaper describingthe key ethical issues raised in the case scenario and evaluate the individual’s character in the case based on the 4 steps to conducting a utilitarian analysis of an ethical problem.






Addressthe following items:



  • Describe the ethical conflicts or issues observed in this scenario.

  • Explain how you would resolve these issues.

  • Explain whether you agree or disagree with what was done and why.

  • Evaluate what could have been done differently to improve the leadership decisions that were made.

Answered 1 days AfterOct 05, 2022

Answer To: Imagine you are the newly hired chief executive officer (CEO) of a large pharmaceutical company with...

Dr. Saloni answered on Oct 06 2022
64 Votes
2
A Case
The ethical issue conflicts or issues observed in this scenario are kickbacks that were provided to the shell organisation in an attempt for the company to get gover
nment assistance by exhibiting a persistent loss in services and revenue. It is an unethical practice of mutual gain in which a payment or commission is done to a member of the organisation. Giving or getting kickbacks has been corrupt practise that impairs the capacity of a worker or leader to ensure unbiased choices. Kickbacks are commonly categorised as a form of bribery (Dyer, 2020).
In a similar context, kickbacks are not just unethical, but also illegal. Involving in something illegal or unethical is a bad practice because the repercussions can be severe. It produces market distortions. Furthermore, the charge of kickbacks is oftenly passed on to consumers through the price of the product. Furthermore, the consumer had no alternative but to pay a premium cost for a lower-quality product. Kickbacks can be restricted by empowering a whistleblower culture in the organisation, establishing a regular 3rd party review process, and developing an SOP for novel vendor documentation and onboarding (Jha, 2022).
Moreover, I disagree with what was done. A conventional kickback is camouflaged in daily operations, making identification hard. It is a type of negotiated bribery commonly linked to white-collar workers. However, the overall process is designed in such a way that it is challenging to determine how and where the kickback framework came about. It makes little difference if the intent of the kickback is bad or good because the practise itself is malicious (Jia et al., 2021). There are numerous potential issues with kickback. Due to the corrupt leaders' bias,...
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