10 Sep 2022

68

Community Relationship and Ethical Challenges

Format: APA

Academic level: College

Paper type: Case Study

Words: 1646

Pages: 4

Downloads: 0

Building strong ties with the community is one of the pillars of organizational success (Brennan, 2014). These ties provide organizations with the resources and support that they need to move forward. Investing in community programs is among the measures that firms usually institute in an effort to enhance ties with the community. Thanks to these programs, the firms are able to enhance trust and create collaborative partnerships with the community. In addition to fuelling organizational success, working with the community is also an ethical obligation. Business ethics challenges firms to invest in the welfare of the communities in which they work (Parboteeah & Cullen, 2013). Innovation Luggage recognizes the importance of establishing ties with the local community. Recently, I interviewed the company’s general manager, Evelyn Negron. The interview focused on the challenges that the company has suffered in its relationship with the community and the ethical issues that it is facing. My experience with Evelyn allowed me to understand that when a firm is unable to develop strong ties with the community, its financial performance suffers. I also gathered that ethical challenges pose a threat to the very existence of a company. While this company is involved in the affairs of the community, it faces a number of challenges. The company also grapples with ethical hurdles which threaten its operations.

Problems with the community 

In my interview with Evelyn, the General Manager of Innovation Luggage, I gathered that the company faces a number of challenges. Poor relationship with customers is among these challenges. Customers are an integral component of the community that organizations work with. For relationships with the community to be strong and stable, firms must invest in providing their customers with the best experience (Peppers & Rogers, 2010). Evelyn shared that despite their best efforts, Innovation Luggage has been unable to develop strong ties with customers. To solve this problem, there are numerous measures that the company can implement. Robust customer relationship management is among these. Essentially, this measure is concerned with meeting all the needs of customers. To achieve this, companies need to develop clear communication approaches. It is also important for companies to understand the preferences and needs of their customers. This way, they are better placed to ensure that all these needs are met.

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Another challenge that Innovation Luggage grapples with concerns community initiatives. Evelyn mentioned that the company tries to uplift the community through development projects and partnerships. I found the company’s efforts to be inadequate and akin to an afterthought. Strong ties can only be established when a firm genuinely and truly cares about the community (Brennan, 2014). Instead of pursuing empty gestures, the company needs to demonstrate that it actually cares. It should invest in programs that are at the heart of the community. For example, the company could do more to conserve the environment, provide educational opportunities and hire from the local community. These initiatives will go a long way in securing the trust and confidence of the local community. As part of its efforts to conserve the environment, Innovation Luggage could adopt eco-friendly manufacturing process. For instance, the company could use bio-degradable materials to make its products. The firm could also support other firms and organizations that are involved in environmental conservation initiatives. Encouraging its employees to take part in runs, walks and other activities that seek to raise funds for environmental conservation. Innovation Luggage may also offer financial support to those conserving the environment. As regards offering educational opportunities to the local community, I advise that Innovation Luggage should develop internship programs that target students from the local community. The company should also create employment positions that are allocated to the members of the community. Through these measures, Innovation Luggage will be empowering the local community. 

The third problem that Innovation Luggage faces in its relationship with the community regards failing to recognize the important role that the community plays. In my interview with Evelyn, she shared that the company focuses its efforts on such immediate stakeholders as employees and customers. She added that she did not feel that the company would derive any meaningful benefit from the community. Given Evelyn’s sentiments, it is easy to understand why Innovation Luggage has failed to win the trust and support of the community. If the company truly wishes to develop beneficial and strong ties with the community, it should demonstrate to the community that the firm cares about the community. The implementation of the proposals offered in the discussion above should allow the company to display its commitment to the welfare of the community.

Ethical challenges 

Apart from the challenges in the relationship with the community discussed above, Innovation Luggage also grapples with ethical challenges. Maintaining integrity and preventing fraud is among these challenges. Every year, businesses lose huge amounts through fraud and theft (Gee & Button, 2015). Most of these crimes have been blamed on employees and other insiders. Evelyn admitted that the company had faced some challenges in ensuring financial accountability. However, she added that the organization has taken steps to promote accountability and to tackle fraud. The company requires that all transactions must be recorded accurately. Despite the measures that Innovation Luggage has adopted, I still feel that fraud and dishonesty are still a challenge. I do not think that the procedural solutions that the company has implemented will be effective. In addition to these solutions, the company needs to remind its employees of the harm that fraud and dishonesty causes. These ills cause companies to lose money and the trust of investors. Therefore, to shield itself against the negative impacts of fraud, Innovation Luggage needs to sensitize its employees and other stakeholders. As part of the sensitization drive, the firm should carry out regular training and education programs. The programs should remind the employees of the cost of fraud and the measures that they can take to tackle fraud. For example, during the training programs, Innovation Luggage could challenge the employees to follow proper accounting guidelines and to report any cases of fraud. 

Violations of the code of conduct are yet another ethical challenge that Innovation Luggage faces. As I engaged Evelyn, she shared that the company has developed a code of conduct that all of its employees are required to adhere to. Among other things, this code urges the employees to treat one another with respect and to endeavor to promote the company’s mission and vision. Evelyn added that whereas most of the employees have conducted themselves in accordance with the code, there are some who routinely violate the code. She pointed out senior managers as the most notorious violators of the code. As Evelyn described the struggles that she endures in her efforts to encourage the employees to follow the code of conduct, I was able to identify flaws in how the code is implemented. I felt that Evelyn forces the employees to follow the code. She does not tell them why the code is important. She also fails to inform them of the negative impacts that the company suffers when the employees fail to follow the code. I think that these failures hold the key to solving this challenge. Instead of imposing the employees to follow the code, I feel that Evelyn should provide them with reasons to follow the code. For example, she could tell them that treating one another with respect creates a friendly environment which boosts employee productivity. 

Lessons on accountability and ethical operations 

One of the issues that my discussion with Evelyn focused on is the importance of accountability. She admitted that the organization has faced challenges and that it has implemented a number of measures to enhance accountability. I gathered that Innovation Luggage’s structure promotes accountability. This firm is structured such that all employees report to a higher authority. The low-level employees report to department heads who then report to managers. Being the General Manager, Evelyn oversees the operations and receives reports from the managers. This hierarchy ensures that all the members of the firm execute their mandate.

I think that the accountability structure that Innovation Luggage has adopted enhances compliance with ethical guidelines and promotes entrepreneurial growth. This is because thanks to this structure, the firm is able to hold all its employees accountable. As noted above, the employees are required to report to their seniors. This enhances accountability and allows the firm to prevent such ills as fraud. II also feel that Innovation Luggage has been able to achieve entrepreneurial growth thanks to the accountability structure that it has put in place. Through this structure, the firm is able to ensure that all employees perform as required. This allows the company to achieve its growth targets.

Reflection on failure 

Failure is yet another issue that I discussed with Evelyn during the interview. She shared that she has faced personal challenges that have affected how she leads the company. She added that Innovation Luggage has also presented unique challenges. During my discussion with Evelyn on failure, there are a number of key lessons that I took away. The inevitability of failure is among the lessons. I now understand that failure is an integral component of life which is required for success. The insights that Evelyn shared will also shape my professional life in the future. As I enter the professional world, I will recognize the importance of a positive attitude. Evelyn shared that they have been able to confront the challenges that they have faced through a positive attitude. The other way that the insights that Evelyn shared will shape my future professional life concerns taking action to avert tragedy. I now understand that while a positive mindset is helpful, one needs to take practical steps to solve challenges. The importance of community and working with others is another lesson that I gained. Evelyn told me that she has managed to address the company’s challenges with the help of her employees. As I go out into the workplace, I intend to seek the help of my colleagues.

In conclusion, Innovation Luggage continues to operate smoothly thanks to the able leadership of Evelyn. However, this company faces challenges that will undermine its growth if they are not addressed urgently. Poor relationships with the community, fraud and poor treatment of employees are some of these challenges. The company needs to move with speed to implement the proposals that have been offered. From my interaction with Evelyn, I gathered that she is a capable leader who understands that it is vital to address problems as and when they arise. I also learnt that Innovation Luggage represents the many companies that grapple with ethical challenges and difficulties in maintaining strong relationships with the community. I would strongly urge Evelyn to fully implement the proposals that I have offered as these proposals hold the key to addressing the challenges that Innovation Luggage faces. 

References

Brennan, M. A. (2014). Community Leadership Development: A Compendium of Theory, 

Research and Application. London: Routledge.

Gee, J. & Button, M. (2015). The Financial Cost of Fraud 2015. Retrieved 3 rd October

2017 from https://www.pkf.com/media/31640/PKF-The-financial-cost-of-fraud-2015.pdf 

Parboteeah, K. P. & Cullen, J. B. (2013). Business Ethics. London: Routledge.

Peppers, D. & Rogers, M. (2010). Managing Customer Relationships: A Strategic 

Framework. Hoboken, NJ: Wiley.

Troester, R. & Mester, C. S. (2007). Civility in Business and Professional Communication. 

New York: Peter Lang.

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StudyBounty. (2023, September 16). Community Relationship and Ethical Challenges.
https://studybounty.com/community-relationship-and-ethical-challenges-case-study

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