Business Ethics

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NAME: NURFARHANA BINTI ZULKIFLI

NPM: 237000569
Please review the given case and provide your opinion and perspective on how to address the
issue by referencing the ethical principles/theories you employ to resolve the problem.

My given case is about the PT Tirta Fresindo Jaya. Based on this case, it is about PT Tirta
Fresindo Jaya, a subsidiary of the Mayora Group, entered Banten in 2012 with intentions to construct
a warehouse in Cadasari Village, near the Pandeglang and Serang Districts. The true goals of the
company were unknown to the locals. However, in December 2013, the Head of the Spatial Planning
Department issued a decree granting the firm site plan permission. This regulation was utilized to
get site permission for a bottled water facility in January 2014. When local villagers uncovered the
factory's actual purpose, they discovered that eight springs from Gunung Karang had been buried,
resulting in waves of complaints and rallies. The community's worries stem from the Cadasari
Subdistrict's proximity to a water catchment region and a sustainable food agricultural area (LP2B).
As a result, the company's industrial operations have clashed with the local community's reliance on
natural springs for farming and everyday needs.

For my opinion regarding this case are transparency and truthfulness. This is one of the most
important ethical values. The lack of transparency by PT Tirta Fresindo Jaya with the surrounding
community about its genuine plans to develop a bottled water facility is troublesome. The corporation
should have been forthright about its intentions whether it will harm the environment or not and how
it might benefit or hurt the local community. Next, this case can related to utilitarianism. The goal of
this ethical philosophy is to minimize damage and maximize enjoyment for everybody. In this
particular case, it is really obvious that the company's activities have harmed the environment and the
neighborhood. A utilitarian approach to solving this problem would advise to figuring out how to
keep the corporation operating properly while minimizing harm to the community and ecology. This
could include making restitution to impacted parties, minimizing environmental harm, and maybe
changing how the business operates to prevent more harm. Furthermore, this case related to the
environment ethics. The ethical interaction between the environment and humans should be taken
seriously in environmental ethics. The company's actions in this instance have potentially harmed the
environment by displacing springs and disrupting the local ecology. They need to evaluate and reduce
the environmental effect. To maintain the integrity of the ecosystem, it might involve actions such as
restoration of ecology and sustainable land use practices. Lastly, this case related to the Corporate
Social Responsibility (CSR). It is important for PT Tirta Fresindo Jaya to understand its social and
environmental obligations. This involves in contributing to the local well-being, compensating fairly
for any negative consequences, and promoting local communities. The business needs to support
environmentally friendly agriculture by encourage the water resource management, and get involved
in community development initiatives.
In conclusion, the issue of the concern of PT Tirta Fresindo Jaya requires a comprehensive
strategy that considers the ethical principles of transparency, utilitarianism, environmental ethics, and
corporate social responsibility. PT Tirta Fresindo Jaya must take responsibility for its operations,
make settlements for any harm caused, and cooperate with the local community to develop a solution
that protects their rights and well-being while also taking the environment's long-term sustainability
into account.

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