Dennys Ethics
“Denny’s”
Denny’s is one of the franchises owned by the Flagstar Corporation. The troubling finances of Flagstar caused their leadership to be so concerned on the numbers of their corporation that they forgot about the management of their employees and their actions. Even though corporate management can’t control all the actions of their employees they can help shape their actions through training and education in the workplace. Therefore the leadership of Flagstar failed and was unethical, as they did not properly address the problems with racism that some of their employees had working for Denny’s. They also didn’t complete these tasks in a timely matter or even do enough to prevent them. These problems of racism, specifically with the employees’ relations with the customers continued to keep piling up for Denny’s management. This created even more than just financial problems for Denny’s, but also a new public image that they were not fair to all races and were in the restaurant industry where customer service plays a huge part in making money. Denny’s had a problem with the way in which its employees dealt with serving its customers. They dealt with a federal lawsuit in California where they agreed to stop the alleged discriminatory treatment of black customers. (pg. 309) On the same day on the settlement another similar situation happened across the country in Maryland. However, these customers were secret service agents where fifteen white agents were served their food in a timely manner and five black agents waited almost an hour before asking where their food was. The agents filed a lawsuit against Denny’s, where it made national headlines and caused uproar throughout the country. (pg. 309) Denny’s now faced a huge problem as their public image was greatly declining and had a senior management that was completely unprepared to deal with the huge issue that the company faced. There is great competition in the fast food industry.
Denny’s is one of the franchises owned by the Flagstar Corporation. The troubling finances of Flagstar caused their leadership to be so concerned on the numbers of their corporation that they forgot about the management of their employees and their actions. Even though corporate management can’t control all the actions of their employees they can help shape their actions through training and education in the workplace. Therefore the leadership of Flagstar failed and was unethical, as they did not properly address the problems with racism that some of their employees had working for Denny’s. They also didn’t complete these tasks in a timely matter or even do enough to prevent them. These problems of racism, specifically with the employees’ relations with the customers continued to keep piling up for Denny’s management. This created even more than just financial problems for Denny’s, but also a new public image that they were not fair to all races and were in the restaurant industry where customer service plays a huge part in making money. Denny’s had a problem with the way in which its employees dealt with serving its customers. They dealt with a federal lawsuit in California where they agreed to stop the alleged discriminatory treatment of black customers. (pg. 309) On the same day on the settlement another similar situation happened across the country in Maryland. However, these customers were secret service agents where fifteen white agents were served their food in a timely manner and five black agents waited almost an hour before asking where their food was. The agents filed a lawsuit against Denny’s, where it made national headlines and caused uproar throughout the country. (pg. 309) Denny’s now faced a huge problem as their public image was greatly declining and had a senior management that was completely unprepared to deal with the huge issue that the company faced. There is great competition in the fast food industry.