An Unethical Culture in Need of Change: Tap Pharmaceuticals

Susana HicksPHL/323 Ethics in Management

Glorieta RobinsonJuly 13, 2011

About the case

Symptoms and roots of problem

Roles of key players

Ethical systems

Analysis of alternatives

Alternative changes in foreign country

Globalization and its effects

recommendations

INTRODUCTION

About the CaseDouglas Durand hired as vice president

of sales

Tap Pharmaceuticals

Lupron

Unethical business practices at Tap

Symptoms and Roots of Problem

Financial short-term profits were main concern

No legal counsel

Sales and marketing practices 

Bribes to doctors

Sales Representatives

Roles of Key Players

Douglas Durand the Vice President

Senior Management

Sales Representatives

Physicians

Medicare

Shareholders

Consumers

Ethical System Duty-based

Entitlement-based

Consequences-based

Analyze Alternatives

The management had a conflict. Over turning each other’s values. The upper management needed better cohesion.

The employees were maintaining faulty records.

Upper management needed to align the company in a way the was more fiduciary responsible.

Analyze Alternatives

The Sales prevention department.. Needed to be come a legal counsel.

Become uniform with the cultures in competition by more regulation and promising marketing campaign.

Not been a money hungry company only concerned for their short- term goals and had more ethical responsibility to it’s stake holder’s.

Alternative changes in foreign country

Be familiar with corruption from totalitarian regimes and working conditions

Chicken’s “finger lickin’ good” was initially translated into Chinese as “eat your fingers off”—not a very appetizing slogan!

What is globalization?

Globalization is a process of interaction and integration among the people, companies, and governments of different nations, a process driven by international trade and investment and aided by information technology.

Effects of globalization

• Globalization has effects on the environment, on culture, on political systems, on economic development and prosperity, and on human physical well-being in societies around the world.

• Globalization gave rise to competing with international markets where local conditions may be different.

Effects of globalization on the choice of alternative

• Multiple governments with different laws and regulations

• Cater to all umbrella of institutions in a society, including media, academic, and non-profit

• Language familiarity

Recommendations• Minimize intentional harm.• Contribute more positive actions for the host country.• To the extent consistent with ethical norms, respect the local culture and maintain its dignity.• Multinationals should pay their fair share of taxes and cooperate with the local governments in developing equitable laws and other background institutions.

Conclusion

• Analyze Case Scenario• Analyzed facts and stakeholder’s• Ethical Systems represented in case• Framed alternatives• Effects of foreign expansion• Necessary implementation for globalization

References Trevino, L.K., & Nelson, K.A. (2007). Managing business ethics:

Straight talk about how to do it right (4th ed.). Hoboken, NJ: John Wiley & Sons

University of Phoenix. (2011). Introduction to Ethics for University of Phoenix Students. Retrieved from University of Phoenix, PHL/323 - Ethics in Management website.

CBS. (2008). BNET. Retrieved from http://findarticles.com/p/articles/mi_m3374/is_17_23/ai_80234869/

Any Questions?

Thank you