Question

You are the lead team member of a warranty claim team within the Andrews Company. Your team has had an average year, with profits remaining generally flat. In effort to boost profits for the year, your manager suggests you postpone processing any existing claims in the 4th quarter until the new fiscal year (some claims are as high as $150,000) but he’s not sure and is open to your opinion, asking "what would you suggest?" Which of the following responses would be the most appropriate step toward making an ethical decision?

"Have we done this in the past?"
"Perhaps we should explore which stakeholders would stand to win or lose from such a decision."
"Since we won't benefit directly, let's move forward with this plan."
"Let’s just make sure we cover our tracks so internal audit doesn’t go crazy."

Answer 1

Answer:

"Perhaps we should explore which stakeholders would stand to win or lose from such a decision."

Explanation:

An ethical decision is one that is aimed towards generating trust from other parties. It shows responsibility, fairness, and caring towards a person.

In this scenario your manager suggests you postpone processing any existing claims in the 4th quarter until the new fiscal year (some claims are as high as $150,000).

The best ethical response will be - Perhaps we should explore which stakeholders would stand to win or lose from such a decision.

This will result in self reflection about who will be affected by the decision. The consideration will not be just the immediate 4th quarter impact of postponing the warranty claims.

This is the most ethical decision among the options.