Ethics Case Study

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LAW, MORALITY, ETHICS & ETIQUETTE CASE STUDIES

CASE STUDY – 1

Is it ethical for a person to work as an engineer with a tobacco company? Take


account of the following facts:

Smoking causes cancer, heart disease, stroke, and lung diseases (including
emphysema, bronchitis, and chronic airway obstruction).Worldwide, tobacco
use causes more than 5 million deaths per year, and current trends show that
tobacco use will cause more than 8 million deaths annually by 2030. A warning
sign of the potential health effects of smoking are usually placed on the
cigarette packs.

Cigarette companies do much good for example:


▪ by providing jobs (Phillip Morris employs more than 150,000 people
worldwide)
▪ through taxes
▪ through sponsorships

There is disagreement over just how addictive cigarettes are, but adults have
some choice in deciding whether to continue using cigarettes, and they may
choose to continue for reasons beyond the addictive potential of nicotine.
LAW, MORALITY, ETHICS & ETIQUETTE CASE STUDIES

CASE STUDY – 2

Ahmad is a junior engineer at a big oil company. He has been working under Ah
Chong’s supervision for the past three years. Ahmad knows that Ah Chong is a
good and hardworking manager, but he has noticed that Ah Chong frequently
has liquor on his breath at work and that sometimes his speech is slurred.

One day Ahmad learns that Ah Chong is about to be offered a new and better-
paying position. He is happy for Ah Chong until he learns that his new job will
be the chief safety inspector for all the oil rigs that the company owns in the
region. Ahmad worries that Ah Chong’s drinking habit will interfere with his
work as a safety inspector much more seriously than it interferes with his
present job. He tells Ah Chong that he is worried that Ah Chong’s drinking
might cause serious problems in the new position, and he urges Ah Chong not
to accept the job. Ah Chong agrees that he will have to cut back on his drinking,
but he tries to assure Ahmad that he has things under control. He says that he
is going to take the job, and he asks Ahmad not to tell anyone about his
drinking.

Should Ahmad take his concerns to higher management?


LAW, MORALITY, ETHICS & ETIQUETTE CASE STUDIES

CASE STUDY – 3

Abu has been working as a process engineer at an oil refinery in Melaka


ever since graduating from UiTM four years before. One Saturday morning at
the local supermarket, Abu met his old friend Ali whom he has not seen for
three years. After chatting briefly, they arrange to meet for lunch in Putrajaya
near Ali’s office on one of Abu’s off days.
Over lunch, Abu and Ali talk about the old days at UiTM and about their
respective jobs. Abu learns that Ali has been working for the last two years at
the Department of Environment (DOE). Ali’s job is to investigate allegations of
water and air pollution from industrial sites throughout the country. Ali
describes his power under the law to enter sites looking for violations of site
discharge licenses. Abu then describes his duties as a Process Engineer within
his company. Abu is aware that his company does not always obey the law with
regard to the discharges and so is careful about what he says to his friend
knowing that a careless comment could be damaging to his company. During
the conversation, Abu admits his ignorance of the details of the law. So, Ali
invites Abu to his office to give him some booklets published by the DOE.
As Ali searches through his files for the booklets in his office, Ali and Abu
are interrupted by the arrival of Halim, one of Ali’s colleagues. Before he
notices Abu in the room, Halim begins talking to Ali about a surprise inspection
visit, planned to be held in two days time, to XYZ chemical plant in Pasir
Gudang. When he notices Abu, Halim stops talking and excuses himself. Ali
then apologizes for the interruption and explains that in two days time he will
be leading a small team of inspectors on an unannounced visit to XYZ. Ali
explains that he has received a tip-off that XYZ have been exceeding their
discharge licenses and that if this is true, any evidence they uncover might be
used for a prosecution.
As Ali tells him this, Abu listens quietly, his mind racing. Abu has not told
Ali that his girlfriend, Anita, is a chemical engineer working for XYZ. Only the
other night Anita had revealed that she had to authorize the shift
superintendant to partially vent the contents of a reactor vessel to the
atmosphere after the reactor had been incorrectly filled. Anita knew that this
was wrong but it was common practice in the company.
Ali has given Abu information about a secret raid unaware that Abu’s
girlfriend work at the site.
Does this case raise any ethical question?
If you were at Abu’s position, what would you do with the information
regarding the unexpected raid to XYZ?
LAW, MORALITY, ETHICS & ETIQUETTE CASE STUDIES

CASE STUDY – 4

Azhar has worked in the Research and Development Division of TaikoChem Sdn
Bhd for 12 years. Joining as a junior member of the research team he raised
steadily through the ranks to become one of the seven section heads of the
R&D Division. Azhar’s section is responsible for the development and
application of fuel additives for the automotive, marine and aviation sectors.
Four years ago, when TaikoChem was looking to appoint a new Chief of the
R&D Division, many people thought that one of the existing section heads
would be promoted to the role. Everyone in the company agreed that Julia, the
most senior among the section heads, would be the most favorite candidate for
the post. There was a great surprise, however, when Taufik, an outsider
working as a Technical Manager for Petronas, was suddenly appointed to the
role of Division Chief in TaikoChem Sdn Bhd.

Upon starting work at TaikoChem, Taufik quickly developed his vision for the
R&D Division, a vision which requires major changes to be made to both the
operations of the Division as well as its research priorities. While Taufik had
great vision as to where he wanted the R&D Division to go, he appeared to
have poor management skills. He simply did not know how to put his vision
into practice. The weekly meeting of the R&D Division section heads quickly
extended from 1 hour to 3 hours. Despite the extra time, decisions were hardly
being made. Part of the problems was that it appeared that Taufik could not
work out what items were important and what were trivial. He did not
understand the implications of some of his plans. After 18 months with Taufik
as Chief of the R&D Division, the output of the Division had suffered. Morale
amongst the staff was low while the seven section heads were frustrated with
the many pointless meetings they had to attend.

Seeing what was happening, the senior management at TaikoChem decided to


remove Taufik from his role as a Chief. Unfortunately for them, Taufik had a
solid contract that declared that he was a Chief of the R&D Division for at least
five years. As a consequence, the company took the unusual step of appointing
Julia as the Associate Chief of the R&D Division. Taufik remained as a Chief of
the Division in name only. He still retained his pay rate and job title but Julia
took on the role of Division Chief. Over the next two years, under Julia’s
leadership, the performance of the Division dramatically increased as staff
began to work together much better. To the outside world, Taufik was the
Chief of the R&D Division, but to everyone in the company it was Julia who was
the real boss.

At the beginning of November, Taufik made a surprise announcement that he


was leaving TaikoChem to join OtaiChem Sdn Bhd as the Manager of the
Research and Development Division. OtaiChem had heard how the output from
TaikoChem R&D Division had increased significantly in the last two years and
were eager to employ Taufik so that he could do the same for them. No one in
OtaiChem had contacted anyone in the R&D Division of TaikoChem to discuss
Taufik’s employment there. As OtaiChem’s research activities were very
different from TaikoChem’s own activities there was no concern that Taufik’s
insider knowledge of current TaikoChem projects might benefits OtaiChem
inappropriately.

Azhar was very surprised that Taufik had been given a position at another
company similar to the one at TaikoChem that he had been clearly incapable
of. On one hand Azhar was delighted that Taufik would be leaving as this would
mean that Julia would finally be able to become Chief of the R&D Division and
would get the recognition that she deserved. On the other hand, Azhar was
concerned for the people at OtaiChem. Azhar reflected that Taufik had many
good attributes including an incredible intellect, a great vision, a thirst for
knowledge and strong self esteem. But Azhar also felt that Taufik was an
exceptionally poor manager, possessing poor people skills and lacking the
ability to take firm decisions.

Three weeks after Taufik’s resignation from TaikoChem was announced but
two weeks before he was due to start working at OtaiChem, Azhar met and old
friend, Najib, at a conference. Najib was a senior research associate at
OtaiChem and when the two friends met Najib asked Azhar for his opinion
about Taufik. Taufik would become Najib’s immediate boss and so Najib was
eager to learn about what Taufik’s immediate priorities might be on taking over
the new role. After all, he knew how TaikoChem’s R&D Division’s performance
had improved tremendously in the last couple of years when Taufik was the
Division Chief. From their brief discussion, Najib had absolutely no idea about
Taufik’s true abilities and his past record of achievements.

Which of the following should be Azhar’s response to Najib’s question about his
opinion on Taufik?

A) Azhar should say nothing about Taufik. Taufik should have the chance to
establish his own reputation. It might be considered unfair to Taufik, to
have his leadership undermined before he even starts working at his new
company.

B) Give Najib a very brief summary of Taufik’s strengths and weaknesses


including his inability to properly run meetings and take decisions.
However, Azhar would not reveal that Julia had effectively run the R&D
Division for the last two years while the productivity of the group
increased.

C) Azhar should tell Najib everything he knows about Taufik including the
fact that the company tried to remove him as Division Chief but were
unable to. He would then have to explain that it was Julia who became
the real chief of the division, and that it was through her leadership that
the Division was so productive.

D) Azhar should tell Najib nothing substantive about Taufik, but suggest to
Najib that he contact Julia to discuss this matter.
LAW, MORALITY, ETHICS & ETIQUETTE CASE STUDIES

CASE STUDY – 5

Malek is an Environmental Engineer for ABC Manufacturing, one of several


plants in Penang whose water discharges flow into a river in a flourishing
tourist area. Included in Malek's responsibilities is the monitoring of water and
air discharges at his plant and the periodic preparation of reports to be
submitted to the Department of Environment (DOE).

Malek has just prepared a report that indicates that the level of pollution in the
plant's water discharges slightly exceeds the legal limitations. However, there is
little reason to believe that this excessive amount poses any danger to people
in the area; at worst, it will endanger a small number of fish. On the other
hand, solving the problem will cost the plant more than RM600,000.

Malek's supervisor, Plant Manager Muniandi, says the excess should be


regarded as a mere "technicality," and he asks Malek to "adjust" the data so
that the plant appears to be in compliance. He explains: "We can't afford the
RM600,000. It might even cost a few jobs. No doubt it would set us behind our
competitors. Besides the bad publicity we'd get, it might scare off some tourists
and hurt the tourism industry, making it worse for everybody."

How do you think Malek should respond to Muniandi's request?

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