Download - Syllabus and schedule highlights
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Syllabus and schedule highlights
http://yourpeakescape.com/uscupstate
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What kind of problem do you want to see?Nokia in the Congo: Blood in the Mobile
Al Jazeera: Nepalese kids sold to work in Indian circuses
Corruption in Cambodian logging destroying forests and local livelihood(be sure to click the “show more” button below the video
United Nations: Shell Oil’s pollution in Nigeria may cost $1 billion to clean up
The Cove: Dolphin slaughter for free school lunches in Japan
PBS NewsHour: Health dangers of making i-Phones in China
60 Minutes: Child labor on farms in US
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Set 3: Ethics and Social Responsibility
Ethics in international management
Some ethical issues and problems for MNCs
Pressures/action—industrialized countries, companies
Initiatives for corporate accountability, corruption
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Ethics
Study of morality and standards of conduct
Dilemmas due to differing ethical standards
Most evident in employment practices/HR
Legal issues of right and wrong
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Social Responsibility
Corporate Social Responsibility (CSR):
Closely related to ethics
Firm’s actions to benefit society beyond law and self-interest
CSR involves taking voluntary action
Typical MNC CSR issues: factory conditions, environmental impact, human/animal rights
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Employment/Human Resources
Hard to standardize practices across countries
Working, length of shift, vacation, safety, paye.g., U.S. MNCs give more vacation in Europe
Moving because of cheap labor
Discrimination—sex, age, religion, race, appearance
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Human Rights
No universal standards
Subjectivity, cultural bias
Some basic rights? Life, freedom from slavery or torture, freedom of opinion and expression, general ambiance of nondiscriminatory practices
Terrible track record around the world
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Corruption
Pervasive in international business environment
Transparency International http://www.transparency.org/
Corruption Index (perceptions of experts and polls): http://www.transparency.org/policy_research/surveys_indices/cpi/2010/results
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Corruption
Exercise: Pick an industry/sector and let’s talk about
how corruption might be relevant…
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Corruption Index: Least and Most Corrupt Countries
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NGOs, MNCs and Ethical Balance
Non-Governmental Organization; private, not-for-profit, focused on social, political, or economic issues e.g., poverty, social justice, education, health and the environment.
Oxfam, Doctors Without Borders, Red Cross, One Laptop Per Child, Save the Children, CARE, World Wildlife Fund, etc
Numerous, powerful, influential, active
NGO leaders have high trust
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Trust in Leaders
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Rise of NGOs
Rise due to problems
MNC response to social obligations:Create agreements and codes of conductMaintain in domestic and global operationsCooperate with NGOs
Some heavily-criticized companiesNikeLevi’sChiquita
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Ethics/CSR Examples: CHINA
Poor pay, hazardous work, Piracy, counterfeiting, industrial spyingPrisoner/child laborPollution
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Ethics/CSR Examples: JAPAN
Political and business scandals:bribes and favors for politicians and bureaucratsbanking loan collapseMinimata Bay mercury, Fukushima reactor
Discrimination:against other Asianswomen absent from managementtreatment of women at work
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United Nations’ Global Compact for Business
Human RightsLaborEnvironmentAnti-Corruption
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United Nations’ Global Compact for business
Human Rights
Labor
Environment
Anti-Corruption
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Corporate Governance
The direction and control of corporations:Distribution of rights and responsibilitiesStakeholder managementRules and proceduresGoal-setting, decision-making, planning, monitoring
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Corporate Governance
Many foreign companies are “insider” systemsConcentrated ownershipOwned by holding companies, families,
banks
U.K. and U.S. systems are “outsider” systemsDispersed ownershipMany outside investors
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Some Initiatives to Increase Accountability and Limit Corruption
Foreign Corrupt Practices Act
US law, has lead to international changesMore countries making bribes of foreign officials illegal(but often not payments to political parties…)
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International assistance partnerships
Government-corporate collaboration
For example, Gates Foundation: health, poverty, education
http://www.gatesfoundation.org
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UN Millennium Project goals
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What we just didSet 3: Ethics and Social Responsibility
Ethics in international management
Some ethical issues and problems for MNCs
Pressures/action—industrialized countries, companies
Initiatives for corporate accountability, corruption