Chapter #9 Assignment Question

1. Dell is widely known as an ethical company and has recently committed itself to

becoming a more environmentally sustainable business. After reviewing the Corporate

Social Responsibility section of Dell’s website (www.dell.com/learn/us/en/uscorp1/cr?

~ck=mn), prepare a list of 10 specific policies and programs that help the company bring

about social and environmental change while still remaining innovative and profitable.

Every business works in the society and uses the resources of the society and environment, thus

they should contribute towards sustainable development by delivering economic, social and

environmental benefits to all stakeholders. Some of the policies and programs that help the

company D to achieve its vision of driving social environment changes while still remaining

innovate and profitable are as follows: Design for environment is a policy that consider the

environment at every stage of product development.

Reducing their impact under the policy the company tries to manufacture the products in a way

that it causes minimal effects on the environment.

Climate changes they focus on the use of that technology that can solve the problem of climate

changes.

Energy they make maximum reuse of renewable resources and optimum utilization of resources

Waste incorporates netter waste management techniuqes Green packing and shipping the follow

3C’s strategy to reduce the impact of packaging on the environment through managing

Recycle you electronic device the aim of the company is to recycle its product.
 The CSR policies that the company has for communities are as follows:

Youth Learning the company believes that access to education and technology is not the luxury

but a necessity.

Children cancer care the Company aids funds the children suffering from cancer through its

technology, which enables more effective treatment of diseases.

Disaster relief The Company works with disaster relief organization.

Community Service the company encourages their team members to volunteer for any charity at

local, national or international level.

Some of the policies that company have for its employees:

Creating friendly environment its strives to develop and promote a culture where its team

member are encouraging to take risks and feel supported, valued proud to be part of the

company.

Career growth ensures that its members thrives achieve their career aspirations.

2.Prepare a one- to two-page analysis of a recent ethics scandal using your university

library’s access to Lexis- Nexis or other Internet resources. Your report should (a)

discuss the conditions that gave rise to unethical business strategies and behavior and

(b) provide an overview of the costs resulting from the company’s business ethics

failure.

The ethical scandal that we will be talking about in this article is of the IT giant SATYAM

COMMPUTER SERVICES.
It used to be a pioneer in providing computer solutions. There were 3 people including the

managing director who were directly involved in the scandal. They along with a finance person

started 4 new companies on paper but not in reality. All the profits of the Satyam were shifted to

those new companies and in the balance sheet it was shown that Satyam was facing losses but in

reality it was not the case. Dividends were not paid to the customers and shareholders of Satyam.

Managing director realized this but later it was like riding a hungry tiger, he cannot stop doing

this as all the people involved in the scandal would be caught and there came a point where in he

had to write a letter to all the employees of Satyam that this scam was going on from last 6 years

and they are apologetic about this.

They stated that Satyam has always been in profits but it never reflected in the balance sheet.

Satyam was later bought by Mahindra (another giant).

This scam of faking companies, altering with the balance sheets, tempering profits, investing on

paper and showing losses made those people go to jail for lifetime.

COSTS involved were:

 95 crores of profits were transferred from Satyam to those fake companies.

 1.2 Crore of dividends were not paid to the shareholders.

 The entire company was sold to Mahindra at 30% less than the actual cost of Satyam.

Some of the situations that lead our drive the managers or business people to do unethical

behavior are selfish interest, desire to make money, when heavily pressure is put on managers to

meet organization goals, when a company give importance to profability and business

performance rather than ethical behavior.

costa are discussed.

3. Based on the information provided in Concepts & Connections 9.2 explain how Burt’s

Bees’ CSR strategy has contributed to its success in the marketplace. How are its various

stakeholder groups affected by its commitment to social responsibility? How would you

evaluate its triple- bottom-line performance?

Explain how Burt’s Bees’ CSR strategy has contributed to its success in the marketplace

 Burt’s Bees’ CSR strategy has contributed to its success in the marketplace through the

principal The Greater Good, Burt’s Bees’ business model: it states that all of their company

practices will be socially responsible.

 Correspondingly, the company engaged customers and differentiated itself through three

primary areas: natural well-being, humanitarian responsibility, and environmental

sustainability.

 Burtsbees.com states: “on average, our products are 99% natural; over half are 100%

natural” (web).

 This has been one of the unique features that have given Burt’s Bees the trust and

respect from all stakeholders.

How are its various stakeholder groups affected by its commitment to social responsibility?

 Burt’s Bees various stakeholder groups are affected by its commitment to social

responsibility through Burt’s Bees humanitarian focus, which involves its relationship with

employees and suppliers.

wellness, leadership, and the environment.

 Furthermore, Burt’s Bees sourcing mission lays out a prescribed set of guidelines for

sourcing responsible suppliers and managing supplier relationships.

How would you evaluate its triple- bottom-line performance?

The TBL is an accounting framework that incorporates three dimensions of performance: social,

environmental and financial. This differs from traditional reporting frameworks as it includes

ecological (or environmental) and social measures that can be difficult to assign appropriate means

of measurement. The TBL dimensions are also commonly called the three Ps: people, planet and

profits. We will refer to these as the 3Ps.

 In summary, I would evaluate Burt’s Bees “triple-bottom-line” performance as essentially a

non-market strategy.

 The key elements of the company’s culture include a commitment to natural products and

a belief in sustainable, earth-friendly practices.

4. Go to www.google.com/green and read the company’s latest sustainability initiatives.

What are Google’s key policies and actions that help it reduce its environmental footprint?

How does the company integrate the idea of creating a “better web that’s better for the

environment” with its strategies for creating value and profits? How do these initiatives help

build competitive advantage?

Company G is creating a better web that can benefit the environment for this they are adapting

two policies they are:

1.Using resources efficiently through its operation, the company is trying to reduce the impact

on the environment by working efficiently and using the resources optimally. So of the
initiative took by the company to reduce the environment footprints are as follows: Company

designed their data centers in such a way that it uses a little energy as possible.

Company recycles the electronic equipment that leaves their data center.

Company is also committed to sustainable food and offers nutritous flavored food to all its

employees across the world with a motive to minimize the waste.

2. Supporting renewable power: Company has a goal to power their operations with 100%

renewable energy. Thus, some of the initiatives took by company are as follows:

Company is investing in clean energy.

Company stretched on using green power at the company and for this, they established a new

technology at their center and purchased green powers near their data centers.

Lastly, company’s ideas of integrating and creating a better web that’s better for environment

created profit and values for the company some of the programs that helped the company to

enhance its profits and values. These initiatives helped the company to save energy reduce

power cost reduce fuel expenses thus helped the company to reduce the expenses which

enchanced the company.