ConstableHeatScorpion373
Instruction: Read the case below and then respond to the questions…

Instruction: Read the case below and then respond to the questions which follow.

You have been working at ABC Wholesale Distributors for five years. You were recently promoted to a managerial position and you now have responsibility for sales and distribution. When you started with the company, you were a member of the unit that was responsible for maintaining inventories and sending supplies to your retailers. It was a common practice among the members of the team to help themselves to goods without the manager’s knowledge. It was often said that what was taken was ‘a drop in the bucket’. Moreover, insurance covered losses which were naturally incurred by businesses of that nature.

For the past six months there has been a sharp downturn in sales. Senior management suspects that this is as a result of persons in the inventory and distribution unit stealing products and recording incorrect inventory information, but they have been unable to prove it. You are aware that when you left the department persons had progressed beyond petty theft and had starting stealing products for sale at a reduced cost to shopkeepers.

You are asked to put strategies in place that will lead to an increase in sales in order to enhance the profitability of the company so that shareholders can get a fair return on their investment.

You are conflicted because you know that if you report what you know you may be implicated. In addition, many of the persons in the department who are responsible for the thefts are your friends. You are the godfather of the main perpetrator’s child.

Additionally, you recently became a Christian and feel that you should come clean. You have tried speaking to the individuals who are stealing to persuade them to stop but they simply laugh and say they know you will keep their secret.

You need to resolve the conflict you are experiencing and have decided to make a decision as to what you will do by the end of the week when you celebrate your birthday. You are not sure what you will do but you want to do the ‘right’ thing.

Questions

Identify and define the ethical situation that now confronts you?
Outline two arguments for and two arguments against incorporating ethics in business dealing. Say how the arguments are applicable to the situation that now confronts you.
Explain the steps in the process you will take to resolve the ethical issue that you face and show its clear applicability to your situation.
State what your eventual decision is and show how it relates to Lawrence Kohlberg’s stages of moral development.