Assurance of Learning- Ethics Green Move, Essay Example

Accidents involving motorized vehicles caused over 33,000 U.S. mortalities in 2012. This is equivalent to ninety people being killed every day as a result of motorized vehicle accidents. A number of these mortalities can be attributed to driver error, defective judgment or negligence of a criminal nature. It can be perceived that the number of mortalities which are inflicted by motor vehicle accidents as a requisite for the privilege of individuals owning motorized vehicles (Villasenor 3).

The most effective suggestion which could be given is to provide a repair for the defect which has been encountered on the Zero Pedal solar powered bicycle.  The marketing promotion of the defective product would make the Green Movemanufacturing company responsible for liability claims which are delineated by the third statement of torts. There are three categories of liability product claims. The primary claim would be associated to a defect of the manufacturer’s design. The second category of the liability claims can be attributed to defective design. The third manufacturing flaw can be attributed as being a flaw in marketing where the client had not been warned with regards to possible accidents (American Law Institute v; Villasenor 4).  These are the related pressures which the Green Move Company would be subjected to with regards to the acceleration defects which would be occurring on the Zero Pedal bicycles.

In order to find the problem of the Zero Pedal solar powered bicycle, the Pareto Evaluation could be applied in order to discern the problem with the defect which has been found with regards to the unanticipated acceleration with the zero pedal solar powered bicycles. The Pareto evaluation implement can be applied in the following method. Initially, the challenges with the unanticipated acceleration of the Zero Pedal solar powered bicycle musty be categorized and defined. The root causes of each of the challenges must be identified. The challenges must be assessed in regards to the value and the importance of the problem which must be resolved. The challenges must be categorized together by means of the root cause. The ratings for each of the problems must be measured and evaluated. The action which is required in order to remedy the challenge must be applied (Fryman 187).

Another approach which could be applied is the Fishbone or the Ishikawa method of encountering a solution to the defect of the unanticipated acceleration which takes place when the Zero Pedal bicycle is exposed to ambient temperatures which exceed one hundred degrees Fahrenheit (Fryman 187).

Depending on the area and the laws which govern the jurisdiction, it may or may not be legal to provide a kickback to the retailer in order to promote the Zero Pedal solar power bicycle. Woolworth’s is a retailed which had been involved in a situation where the sales management of the stores accepted kickbacks from the supply chain elements. The kickbacks totaled as much as one fifth of the value of the product which had been promoted. The question is from the standpoint of the local taxing authorities, is such a gift ethical and legal. Woolworth dismissed its sales manager and cooperated with the local authorities in the investigation (Hawthorne 1). Consequently, I would not suggest that the Green Move company participate in the activity of giving kickbacks to sales managers in order to promote the Zero Pedal solar powered bicycles. The consequences may damage the company’s image and brand reputation.

It is of great significance to find the problem in the early stages of the product’s development. In discovering the challenge or design flaw in the latent stages would cause the company to accrue substantial amounts of money. In the event that the design flaw and the solution are found in the first or second latent design stage, the cost may involve an investment of one to ten dollars per unit. In discovering the problem after the product is in the clients’ possession, the liability expense, repair expenses, and warranty expenses increase exponentially (Fryman 190).

Examples of the challenges involving motorized vehicles being encountered beyond the latency phase include General Motors and Ford. General Motors which is the largest manufacturer of vehicles in the United States had its reputation sullied by a vehicle recall for a manufacturing defect which had been encountered after the automotive product was in possession of the consumers. The ignition resistors which were installed on the Saturn Ion and Chevrolet Cobalt cost General Motors a total of $700 million. In addition, the General Motors Corp. had been required to provide loaner cars to the clients while the faulty design switches were being replaced (Vlasic 2).

The Ford Motor Company experienced a 39% decrease in its stock value due to recalls on the 2008- 2013 motor vehicles. Over 1.2 million motor vehicles had been recalled by Ford Motor Company (Vlasic 1).  Manufacturers of motor vehicle products have the responsibility of exercising a reasonable amount of precaution in the planning of their products in order to ensure that the products will have a safe characteristic when used by consumers in anticipated manners (Villasenor 5). The manufacturer of the solar powered energy system of the Zero Pedal bicycles must be considered liable when designing a fully automated recharging system which causes the Zero Pedal bicycle to experience inadvertent and abrupt acceleration when subjected to environmental temperatures which exceed one hundred degrees Fahrenheit. The testing of the Zero Pedal solar powered bicycle may have taken place in environmental conditions which were less than one hundred degrees Fahrenheit.

In case of the solar energy charging systems on the Zero Pedal bicycle proving to be undependable with regards to avoiding collisions in conditions which are in excess of one hundred degrees Fahrenheit, an individual who sustains injury on a warm day could file a liability claim in a court of law for manufacturer’s negligence with the Zero Pedal bicycle being equipped with an automated solar powered electrical charging system (Villasenor 5).

In consideration of a vehicle manufacturer which composes a vehicle which has semi-independent systems such as the Zero Pedal bicycle, they may assert that they normally ship their bicycles with adequately tested and market prepared solar energy charging software.  Notwithstanding, let it be supposed that one zero pedal bicycle is marketed and sold with a flaw which had not been detected in the proto type.  An individual could make a claim against the Zero Pedal bicycle manufacturer Green Move for damages which result from the manufacturing defect. The Green Move company could be found to be completely liable for any damages which are incurred by the consumer in the use of their product (Villasenor 6). Consequently it is of substantial significance for the Green Move company to discover the root cause of the unintended acceleration problem in the latency phase of the production (Fryman 190).

The working conditions in Bangladesh are distinct from the United States. One of the leading retailers in the United States which is Wal-Mart has its manufacturing operations spread across forty eight countries. Many of the factories which produce products for Wal-Mart are located in the Far East. The employment positions whi8ch are available in Bangladesh provide their workers with a salary of pennies per day. In countries such as Bangladesh, the average salary for the factory workers is approximately four hundred dollars annually. Many of the family members must also work in the factories, which include children (Marinelli 1; Sciorra 1).

The alternatives for the factory workers are prostitution or unemployment. Wal-Mart has been discovered to have children employed as young as nine years of age producing shirts in a production facility in Saraka, Bangladesh. In the factories which are contracted by Wal-Mart, many of the workers work twenty hour days for a mean wage of sixteen and a half cents per hour. Any of the employees who negate the possibility of working twenty hour shifts are fired. Wal-Mart has attempted to implement an employee code of behavior (Sciorra 1).

In Bangladesh, the employees earn approximately nine cents for every hour of work. Unfortunately, with the employment conditions and the factory collapse which took place at the Rana fabrication center in Bangladesh, the Bangladesh government is reviewing a pay increase for the factory employees in Bangladesh. Unfortunately, there is very little that Robert may implement in order to improve the employment conditions at the Green Move factory in Bangladesh. The average salary in these nations is slightly more than sixty five dollars a month.  The alternative for the employees in Bangladesh is more disagreeable. The employees would be forced into unemployment or prostitution if they did not work in the factories. Factory work is the worldwide primary source of employment for many of the citizens who reside in third world countries such as Bangladesh (Marinelli 1; Sciorra 1).

The blog may not have any effect on the Green Move’s brand due to the attributes of the Bangladesh economy. The alternative is to outsource the manufacturing operations to a Bangladesh contractor. Notwithstanding, the working conditions for the employees in Bangladesh may not improve (Marinelli 1; Sciorra 1).

Ten years ago, many of the nations of the European Union had been creditors to Russia with Russia maintaining an external debt of sixty percent of its average gross national production. Today Russia has decreased its international debt exposure to fourteen percent. The petroleum and energy wealth which is held by Russia cause it to be protected from international financial stress. The energy sector in Russia provides opportunities for investing in the public services and infrastructure (Nichol 3).

The issue that Russia must avoid is becoming a petroleum dependent economy. Research which has been conducted including over 1400 chief executive officers which had been conducted by Price Waterhouse Coopers stated that almost half of the chief executive officers who participated in the study as perceiving substantial opportunities in Russia and over one quarter of the chief executives who participated in the study stating that they anticipate performing commercial activities in Russia over the next three years. Many of the initial public offerings which have taken place in Russia have experienced success on the Moscow and London markets. There have been many foreign associated which have participated in launching new organizations with their Russian associates. Many of the referred industrial concerns included energy organizations, metalworking organizations, telecommunications, banking and real estate (Nichol 20).

One of the most successful Russian organizations, AFK Sistema had been able to encourage investors on the London stock market to invest over $1.35 billion in its initial public offering. The value of the AFK Sistema organization is currently valued at $8.2 billion, almost a decade after its initial public offering of stock on the London exchange. The investor confidence which had been displayed in AFK Sistema enabled the investors to demonstrate confidence in the Russian economy and to review their economic perspective toward Russia as a viable place to invest. Companies such as Heineken, Anheuser Busch and Budweiser have been operating in Russia since the turn of the century. Many of these companies expect their revenues to increase by 33% annually in the current decade (Nichol 3). Considering these economic factors which Russia is experiencing and the increased investor confidence in the Russian economy, it is recommended that Viktor provide a bid on the facilities lease in addition to the facilitation envelope.

The Green Move company should consider expanding some of its operations to Russia. The ING stock fund in Russia had been increasing at an annual rate of thirty percent. The fund is composed of stock interests in the banking, telecommunications and petroleum industries of Russia. This aspect makes Russia an attractive e place for foreign and domestic investors (Nichol 21).

The organizational challenges that may have derived the alleged legal and ethical breaches are the characteristic of Green Move Company having all of its stock owned by the board of directors and Robert’s family. The legal breaches are only existent with the payment to the retailer of $5000.00 in order to facilitate the merchandizes on the shelves (Hawthorne 1). As long as the challenge with the unintended acceleration is remedied, that should not pose a problem unless the IRS becomes cognizant of the unreported transaction.

The aspect of the payment to the retailer would be the only residual risk. In the case of making payment to the retailer, the risks are that the retailer may demand a higher payment (Hawthorne 1).

Works Cited

American Law Institute. A concise restatement of torts. USA: American Law Institute, 2010. Print.

Fryman, Mark. Quality and process improvement. USA: Delmar Thompson Learning, 2002. Print.

Hawthorne, Mark & John Silvester. “Two charged over kickback scheme at Woolies.” The Age, 15 January 2011.Web. 24 April 2014. http://www.theage.com.au/business/two-charged-over-kickback-scheme

Marinelli, Gina. “Bangladesh factory workers finally to get a relief fund.” Refinery 29, 26 December 2013. Web 24 April 2014. http://www.refinery29.com/2013/12/59715/bangladesh-factory-workers

Nichol, Uric H. Economics of Russia and Eastern Europe. New York: Nova Science Publishers, 2010. Print.

Sciorra, Mark. “Walmart: Always high costs.’ IHS Child Slave Labor News, 2005. Web. 24 April 2014. http://ichslnews.org/view_article.php?Id-13

Villasenor, John. “Products liability and driverless cars.” Brookings Institute, 2014. Web. 24 April 2014. http://www.brookings.edu/research/papers/2014/04/products-liability

Vlasic, Bill. “Hurt by vehicle recall, G.M.’s profit falls 85%.” New York Times, 24 April 2014. Web. 24 April 2014. http://nytimes.com/2014/04/25/business/general-motors-net-income

Vlasic, Bill. ”New vehicles and recalls cut Ford profit.” New York Times, 25 April 2014. Web 25 April 2014. http://www.nytimes.com/2014/04/26/business/profit-at-ford-plunging