Mgt500 Empress Luxury Lines

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Analyze the ethical dilemma faced by Antonio
Kevin Pfeiffer, a computer technician employed by Empress Luxury Lines for the past two years, had provided a plan to upgrade the computer system. Unfortunately, the computer system was hit by a powerful thunderstorm wiping out connectivity on the popular cruise liner. When Kevin investigated the damage he realized the underground wires and computer circuits could be repaired for roughly $15,000. His Supervisor at Empress Luxury Lines, Phil Bailey made a phone call which in turn presented an ethical dilemma. Phil proposed to Kevin that he dig up nearly all the underground wire and cable and remove it before the insurance adjustor appeared. If Kevin agreed to do what Phil directed, the cruise liner would receive close to half-million dollars being able to fund new wiring and obviously a new computer system. Obviously Phil was not practicing any specific code of ethics: A formal statement of the organization’s values regarding ethics and social issues (Daft 2010 p 144). Antonio Melendez knew of the rumors Empress Luxury Lines defrauded insurance companies before his arrival. He swept them under the rug; however, now he wasn’t so sure they weren’t true. There wasn’t a system in place for employees to confidentially report wrongdoing internally, and without protecting the whistle-blowers, they wouldn’t get the support needed. Create and describe two strategies for addressing the situation at hand.

Managers are often faced with tough ethical decisions impacting an organization's reputation and questioning an employee's integrity. The four approaches that are relevant to managers are the utilitarian approach, individualism approach, moral-rights approach, and justice approach. The utilitarian approach is the ethical concept that moral behaviors produce the greatest good for the greatest number (Daft 2010 p 132). Antonio, the decision maker, would be expected to consider the effect his decision would have on...
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