Can someone do a reply to this thread HAS TO BE 450 WORDS EACH REPLY ANSWER

 Reply to the threads of 2 classmates who offer views different than  yours. Identify the points of difference in your analyses and explain  how your application of the relevant law to the facts of this situation  led you to a different conclusion.

Each reply must be 450 words supported  by 3 scholarly sources other than the textbook/course materials. Each  source must be properly cited in current APA format.

Review the  Assignment Instructions for Discussion Board Forums, noting especially  requirements for word counts, scholarly sources, and biblical worldview  integration.

Submit your replies by 11:59 p.m. (ET) on Sunday. 

FIRST THREAD NEEDED TO BE REPLIED TO

The Result of a Decline in Business Ethics

             Business ethics is defined by “the application of ethics to the special  problems and opportunities businesspeople experience” (Kubasek, Browne,  Barkacs, Herron & Dhooge, 2016, p. 16). When ethical decisions  appear in a person’s life, more likely than not, a plethora of choices  are considered when determining the best course to take for justifying  our actions. In many cases, we consider our Lord and Savior Jesus  Christ, his heavenly father God, our parents, our spouses, our children,  friends, colleagues, physical and mental emotions, plus more before  committing to one-way or the other. However, when the word “business” is  placed in front of ethics, the ramifications are often much larger,  including monetary value, and the effect decisions will have on  stakeholders and the public. First Timothy 6 verses 10 states “For the  love of money is the root of all-evil: which while some coveted after,  they have erred from the faith, and pierced themselves through with many  sorrows” (KJV). By highlighting the definition of Business Ethics as  well as 1 Timothy 6:10, we expose the very public lambasting of  Volkswagen Group, whom recently stated “11 million of its diesel cars  worldwide were equipped with software that was used to cheat on  emissions test” (Lippe, 2015). A multitude of responses, questions, and  political backlash reduced Volkswagen’s image in the public, however, we  will identify the steps that should have been enforced to prevent this  incident, starting at the managerial level and ending with the Chief  Executive Officer (CEO). 

             As children of God, we are instilled with the rationale between what is  right and wrong. James 4 verse 17 (KJV) states “Therefore to him that  knoweth to do good, and doeth (it) not, to him it is sin”. We are  endowed with the conscious capability to distinguish between doing  something right and doing something wrong, however, when we choose to do  something wrong, it is considered a Sin. Other factors may weigh  heavily for or against the determination of right or wrong to include  family beliefs, childhood, and life experiences. Nevertheless, as  employees working in the Legal office or the Engineering department of  Volkswagen, the responsibility to determine the best ethical, moral, and  legal path fell squarely on each and every employee to make the correct  decision, and if something was legally, morally, or ethically wrong,  say something to someone such as the Department Director, or CEO. If  fear of retribution was prevalent amongst the employees in these  departments, they should have contacted an anonymous reporting service  to present the evidence in question. 

             First, employees should have known there had to be something or someone  who they could report the infractions to regarding the software which  cheated diesel testing requirements. For instance, the Sarbanes-Oxley  Act of 2002 was established by Congress to protect corporate insiders  and create an anonymous reporting system for employees to present  suspicious activity by companies (McClurg,  2017). Additionally, the Dodd-Frank Act prevents Whistleblower’s, or  those who implicate their company for illegal activity, from being  discharged, demoted, suspended, threated, harassed, or removed for any  attempt of reporting the illegal activity (McClurg, 2017). Aside from  these provisions by Congress, there are multiple employee guidelines for  reporting suspicious behavior, on top of the character and courage to  stand up for what is right, and socially responsible from a company, and  an individual. Ideally, managers should have prevented this by asking  questions, remaining aware, and conscious towards the behavior of  employees and the reporting systems in place for protection, especially  since “If God is for us, who can be against us?” (Romans 8:31 KJV). 

             Secondly, managers or employees in Volkswagen Legal or Engineering  department, must have known that the people affected most by this  decision to cheat the software detecting system was there stakeholders,  which includes the company. For instance, Cremer and Taylor (2016)  reported that Volkswagen would take a $18.2 billion loss due to the  diesel deception scandal the company attempted in 2015. Although a loss  of $18 billion may not deplete Volkswagen of their assets, as it may  numerous companies across the world, the image and trust from customers  have drastically been impacted, and that is something that cannot be  repaired so quickly. 

             As the CEO of the diesel division of Volkswagen, they should have taken  full responsibility for the mistake and attempt to cheat software  detection. Afterwards, if not arrested by the Police, could have  launched a massive legal investigation into the reason why 11 million  cars were equipped with diesel deception software, in order to identify  the areas of failure from the management and legal/engineering offices,  and hold as many people accountable as possible. This response would  have revealed to the public, business ethics is much more complicated  than people imagine. In a competitive, business-run environment, money  and production become the figures of success, and through cheating the  diesel software technology, Volkswagen was able to attract more money,  product, and customers around the world. Additionally, this type of  legal investigation would perhaps reveal as Clegg, Kornberger and Rhodes (2007) stated:

Ethics  cannot be encapsulated in lists of rules that inform action; thus,  there can be            no ‘one best way’ in which good ethics may be  guaranteed through prescription, judgment or legislation. The concept of  ethics as practice cannot offer a clear black and      white grid that  divides the world into good and bad; things are more complicated. (p.  13)

             Business ethics is not as easy as deciding upon right and wrong. There  are multiple ethical dilemmas that could appear, however, the basis for  decisions should be the best legal course that would potentially  increase value for the stakeholders, no matter the situation.  Additionally, an investigation into the failures of the Volkswagen  reporting system, would identify the reinvigoration of legal outlets for  suspicious reporting such as the anonymous report hotlines, employee  confidentiality policies, and clear guidelines to preventing something  like this from happening again. Also, the CEO or investigator leading  the investigation may unveil what systemic or deliberate cover-up  occurred such as Lippe (2015) belief that Volkswagen  engineers neither discussed with nor hid what they were doing from  Volkswagen’s in-house lawyers, and the in-house lawyers didn’t realize  what was going on.

             Ultimately, Volkswagen’s decline in business ethics stemmed from the  competitive misconception that cheating was an attempt at achieving  company goals. The sorrows that follow the obsession with money can lead  to illegal activity, penalties, fines, and supporting the wrong-doings  of others. Furthermore, the lack of character or failure to report the  wrongdoings by employees, must be fortified and consistently addressed  from the executive level down to the lowest employee. Although an $18  billion loss is large and galvanizing, the timeline for repairing the  damage done to the environment, customers, and other stakeholders could  take decades and cost exorbitant figures. 

References 

Clegg, S. , Kornberger, M. and Rhodes, C. (2007), Business Ethics as Practice. British Journal of 

            Management, 18: 107-122. 

Cremer, A., & Taylor, E. (2016). Volkswagen takes $18 billion hit over Emissions Scandal. 

            Retrieved from https://www.reuters.com/article/us-volkswagen-emissions-germany-

            probe-idUSKCN0XJ19U

Kubasek, N. K., Browne, M. N., Barkacs, L., Herron, D., & Dhooge, L. (2016). Biblical 

            worldview edition of dynamic business law. N. J. Kippenhan (Ed.). New York, NY: 

            McGraw Hill Education

Lippe, P. (2015). Volkswagen: Where were the lawyers? ABA Journal. Retrieved from 

            http://www.abajournal.com/legalrebels/article/volkswagen_where_were_the_lawyers/

McClurg, D. D. (2017). Whistleblower protections: Internal reporting and dodd-frank’s anti-

            retaliation provision. Labor Law Journal, 68(3), 156-164. Retrieved from 

            http://ezproxy.liberty.edu/login?url=https://search-proquest-

            com.ezproxy.liberty.edu/docview/1936467803?accountid=12085

SECOND THREAD NEEDED TO BE REPLIED TO

Discussion Board Forum 1: Volkswagen Scandal  

Jordan Contreras

Liberty University 

June 3, 2018
 

Prevention of the Emissions Scandal

In  September of 2015 Volkswagen recalled around 500,000 diesel cars and  the company lost around $16.9 billion dollars of the company’s market  value (Jung and Bin, 2017). According to Jung and Bin (20117) 11 million  of their diesel cars contained a device that would change emission  levels during diesel-exhaust tests. When this scandal hit the media,  Volkswagen had a huge economic damage occur and they lost many  shareholders in the stock market. Diesel vehicles are typically known  for the benefits they have with durability, repair cost, and fuel  efficiency. So, when Volkswagen designed a car that was supposed to be  the top of the line the sales sky rocketed which helped with  Volkswagen’s ratings in the market. The Volkswagen scandal really hurt  their reputation, and by the CEO of the company not being honest it made  the consumers frustrated with the company and destroyed their  credibility.  

             According to the bible “The Lord detests lying lips, but he delights in  people who are trustworthy” (Proverbs 12:22, New International  Version). As an employee or manager in the legal office or the  engineering department I would have done a couple of things differently  to prevent this problem. First if I was an employee and I noticed  something was off or didn’t seem quite right I would have immediately  reported the incident to the managers or executive team. This would have  escalated the issue to the senior executives that way everyone is  informed of the situation.  

As  a manager you have a couple of options that could have taken place in  order to prevent this incident. I would have designed an ethics and  compliance training program, made my team take the course, led by  example, created a strong culture to enforce policies, and designed a  strict hiring policy. When designing the ethics and compliance training  program I would have made is mandatory for my team to take. In addition  to this I would made my team sign a paper showing that they took the  course. This would hold them accountable for their actions if any  mischief or foul play were to of taken place. Next, I would lead by  example. I would hold my team accountable for their actions and make  actions have rewards and consequences. This would go in hand with  creating a strong culture to enforce policies and procedures. Rules and  laws are created for a reason. No acceptation. So, by holding my  employees up to high standards you can set the expectation that foul  play is not permitted. Lastly, I would create a strict hiring process to  ensure you are hiring the most trust worthy candidates. In order to  achieve this goal, I would design mandatory behavioral and personality  test that will need to be taken prior to interviewing and do an  extensive background check. By making candidates take a behavioral test  you are able to gauge what type of personality they may have, that could  lead up to foul play. There were several actions that Volkswagen could  have taken to help gain credibility in the media but instead they  decided not to admit their actions were wrong and deceiving. In result  to their actions that they made they lost valuable customers and ruined  their credibility in the market. As a manager I would of done several  things differently to prevent this incident, held true to my morals and  the way God would of wanted me to take action. 

Damage Control and Honesty from the CEO

             The CEO of Volkswagen was given an impossible situation to handle when  the media broke free that the company and deceived so many people.  “Corporate fraud committed under climate mitigation pressure is becoming  more frequently observed in line with the ever-increasing environmental  standards and relevant regulation enforcements” (Li, McMurray, Xue,  Liu, Sy, and 2018). However, the bible say’s “whoever walks in integrity  walks securely, but he who makes his ways crooked will be found out”  (Proverbs 10:9. New International Version). Lying is never the answer,  you will get caught. To live in a Godly way, you have to admit the  mistakes made by you or your employees. Being honest helps with your  credibility, the company’s credibility and ensures that we are making  choices the way God would want us to.

When  the media broke free about the scandal, as the CEO over the diesel  division I would have first gathered all of the facts. I would have done  as much research as possible, brought on a team of investigators to  look into the incident, and immediately terminated those involved. As a  final step I would have held a press conference to speak openly about  the incident that occurred, and recalled all vehicles involved. During  this press conference I would have gone over what we as a company are  doing to handle all of the recalled vehicles, what we intend to do to  accommodate those customers affected by the incident, and gone public  about the termination of employees involved in the incident. By showing  the public that we are taking matters very seriously could help save the  company’s reputation. To prevent future incidents from occurring strong  policy and procedures needs to be written and enforced. When the legal  team is telling engineers not move forward with the incident and they do  so anyways this needs to be escalated up to the proper executive. If  the executives choose not to solve the incident than it needs to be  reported so legal action can take place. When preventing future  incidents than Volkswagen has to be up front and honest with the  situation at hand. There are no exceptions to cheating to getting a  head. You are ultimately hurting the company even more and aren’t living  in the way of god. Investigations need to be occurring but at random  time periods to ensure that the company is abiding by the rules. The  findings of the investigations need to be made public. When rebuilding  Volkswagen’s reputation, you need to be up front and honest about  everything going on internally. It is important to live by the way of  God, keep your morals, report anything unethical that is occurring, and  remember that the customers are what drives the sales of the business.  You will drastically hurt yourself in the market if they feel that they  are being lied and manipulated. Since Volkswagen has made poor choices  around their scandal they now need to do damage control and be  transparent with their customers and make everything public. 

References

Jung, J. & Park, S. B. (2017, January 1). Case Study: Volkswagen’s Diesel Emissions Scandal. 

Thunderbird International Business Review. 59 (1). 127-137. Retrieved from http://rx9vh3hy4r.search.serialssolutions.com/?ctx_ver=Z39.88-2004&ctx_enc=info%3Aofi%2Fenc%3AUTF-8&rfr_id=info%3Asid%2Fsummon.serialssolutions.com&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Ajournal&rft.genre=article&rft.atitle=Case+Study%3A+Volkswagen%27s+Diesel+Emissions+Scandal&rft.jtitle=Thunderbird+International+Business+Review&rft.au=Jung%2C+Jae+C&rft.au=%E2%80%9CAlison%E2%80%9D+Park%2C+Su+Bin&rft.date=2017-01-01&rft.issn=1096-4762&rft.eissn=1520-6874&rft.volume=59&rft.issue=1&rft.spage=127&rft.epage=137&rft_id=info:doi/10.1002%2Ftie.21876&rft.externalDBID=n%2Fa&rft.externalDocID=10_1002_tie_21876¶mdict=en-US 

Li, L., McMurray, A., Xue, J., Liu, Z., & Sy, M. (2018, January 20). Industry-wide corporate 

fraud. Journal of Cleaner Production. 172 (1). 3,167-3,175. Retrieved from https://ac-els-

cdn-com.ezproxy.liberty.edu/S0959652617327099/1-s2.0-S0959652617327099-

main.pdf?_tid=86e8669c-1366-43af-9ca5-93ef022bea2f&acdnat=1527826213_

92823702e5c9e426563d12e9b250891f

Lippe, P. (2015, October 13). Volkswagen: Where were the lawyers? ABA Journal. Retrieved

 from http://www.abajournal.com/legalrebels/article/volkswagen_where_were_

the_lawyers

Reitze, A. W. (2016, July 1). The Volkswagen Air Pollution Emissions Litigation. 

Environmental Law Reporter. 46 (7). 10,564-10,571. Retrieved from

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