Essay Example on Ethical Considerations: An Essential Part of Business Success

Introduction

Over the years, ethics and ethical considerations have become a crucial part of the daily activities of organizations all over the world. The business culture and ethical codes that any organization adheres to determine the success or failure of the firm in question. Ethics are the values that define wrong or right and influence human behavior. The codes of ethics in any organization assist in making decisions and guiding policies (Sidgwick 2019). This analysis will concentrate on an international pharmaceutical company, Sycamore Pharmaceuticals that was under scrutiny by CNN over a rheumatoid arthritis drug known as Osteoporin. Sycamore Pharmaceuticals was at the same time marketing the drug thoroughly with claims it can cure other diseases despite delaying and manipulating scientific reports (Daft 2008). The delayed and manipulated scientific reports would have exposed the drug on its effectiveness in treating different ailments. After the CNN report, the company came under scrutiny from the public as well as the Federal Drug Agency. John Blake, a senior employee at Sycamore Pharmaceuticals, was torn between telling the truth to the FDA about what he knew regarding the drug or kept the information to himself.

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Advice to Blake and Reasons for and Against Being Honest

If I were asked to advise Mr. Blake on the next course of action, I would probably tell him to take his time before making any decision. He should also think about the possible consequences for telling the truth to the FDA official or keeping his information and continue supporting the company management (Chen, Trevino and Humphrey 2019). Keeping what he knows to himself and supporting the management would mean that Blake gets to keep his job as well as a significant bonus at the end of the year. Not saying what he knows and the reports come out later would also mean that he has to lie directly to the FDA official who could bring about very unpleasant consequences. Firstly, Blake would be guilty of giving falsified information and reports about Osteoporin which is a considerable risk to everyone who has consumed the drug. He would also expose the company and this would suggest that every drug they have ever produced would be questioned. The company would lose sales as well as contracts and other vital endorsements and face losing its license. Blake had to be confident that if he opted not to meet with the FDA official or probably lie to him/her, the scientific results would not come out later to disagree with his comments. This was not possible since investigations had already commenced and he was sure the reports would finally come out and expose him and probably send him to prison.

On the other hand, if John Blake decided to meet the FDA official and tell him/her all what he knew about Osteoporin, he would also get to face very unpleasant outcomes. Telling the truth to the FDA would mean that Blake has gone against the company management and, at the same time, disobeying a direct order from his superiors. This is seen when Cole recalled a message from the CEO saying, "...we should avoid publishing anything that damages Osteporin's marketing success. Do not report anything that is negative. Delay these reports as long as legally possible" (Daft 2008). John risked his job if he decided to tell the truth to the FDA. He was sure that if he gets honest with the official from FDA, he would likely get demoted or worse of them all, are fired. This would mean that he has neither a salary nor the bonus he was trying to protect by lying about Osteoporin.

The reason for advising Blake to first take his time before making any decision was because of the consequences that would face him, whether he decided to tell the truth or not. The issue was a huge deal, and a decision could not be reached in a short period (Chen, Trevino, and Humphrey 2019). He should spend the whole morning before meeting the FDA official consulting with other trusted individuals in the company to try to reach a viable decision. After comparing all the consequences for and against telling the truth to the FDA, I would advise Blake to say the truth and risk demotion or getting the sack. Telling the truth would mean that the worst it can get is him getting fired and avoid a jail term. His honesty would help him land another job and his experience from Sycamore Pharmaceuticals would mean a substantial acquisition for rival pharmaceutical companies.

Blake's Need for Courage

For John Blake to reveal the content and timing of the scientific reports, it would take a tremendous amount of courage. Since he knew the consequences of giving false statements to the drug governing body, Blake needed a considerable level of courage to be able to turn his back on his employer. He was also aware of what would happen to him if he decided to be honest and tell the FDA precisely what he knew about Osteoporin. By telling the truth, he was at risk of demotion to junior positions in the company for going against the management or even getting fired (Daft 2008). Blake also needed the courage to reveal the truth about Osteoporin since the CEO himself had given orders to the junior officials. He sake every responsible company official not to disclose any information about the diseases to anyone. He also ordered them to delay the scientific results and reports about the drug as long as legally possible. Blake was sure that telling the truth would even create a grudge between him and the CEO since the information was enough to sink the whole company.

The CEO would even come after Blake personally since the information in the reports would not only crash the company but also send the CEO to jail for fraud (Nissen et al. 2016). Being honest with the FDA would make Blake avoid jail term and throw his bosses right into prison. The idea of turning against the boss and sending him into prison was a hard decision for Blake, and this confirms his need for courage in making such a critical decision. Since Blake was aware of the deception right from the beginning, telling the truth to the FDA officer would also risk him facing a jail term. Holding information that would endanger the lives of people is an offense and Blake would be responsible for that. Having to make a decision that could end up putting you into prison is an unfortunate dilemma.

Sources of Courage for Blake

There are several sources of courage and leverage that Blake should call upon to assist him in making up his final decision. John Blake knew all along that Osteoporin was only effective in curing rheumatoid arthritis but not lupus dash or Crohn's diseases. Even after the unfavorable reports came out, the company did not cease marketing the drug. The Sycamore CEO went ahead and warned every official from telling the truth either to the FDA or the press about the unfavorable results surrounding their drug, Osteoporin. Blake should encourage himself that he is not responsible for the damage caused by the drug to both the company and consumers. The CEO was instead accountable for this whole mess, and Blake, together with his colleagues, was following orders. To make his decision and be honest with the FDA, Blake should recall the fact that he is not responsible for giving scientific reports about the company products. He should also encourage himself that he was trying being a good employee who follows orders and now was the time to end it all by being honest.

Another source of courage to help Blake make his final decision was the feeling of doing the right thing. It is evident that the issue was troubling him, and telling the truth would set him free. This is evident when Blake says, "...How long can a deception like this stay under wraps? Do not we have a responsibility to the poor man or woman popping that pill every day? ...This feels wrong" (Daft 2008). Blake should feel some satisfaction now that he gets to protect millions of lives who consume this drug expecting to be cured. The feeling of doing the right thing and avoiding carrying all the guilt from the consequences of the drug to consumers should motivate Blake to be honest.

Reasons for Going Along with Deception

Blake and Dominguez knew from the beginning that the drug was only effective in treating rheumatoid arthritis. Sycamore pharmaceuticals continued to market the drug claiming it also cures lupus dash and Crohn's diseases, but scientific results came out later to disagree. The company went further to offer financial benefits to health practitioners for prescribing Osteoporin even in cases where they were sure the drug would not work. Even after knowing all this, both Dominguez and Blake decided to go along with the deception due to various reasons.

First, both Blake and Dominguez were employees of the company, not the management of the company. The CEO and other executive officials were the parties responsible for publicizing drug reports. They both decided to go along with the deception since it was not their place to come out and report the scientific results about Osteoporin. They both could not defy bureaucracy and take up roles meant for the top dogs. They could have risked either demotion or being fired. Blake and Dominguez were also staying in their lane and following their job descriptions, which made them, decide of going along with the lies.

Another reason that made both Blake and Dominguez go with the deception is that they were following specific orders from the CEO. He had sent them an email warning them against telling the truth about Osteoporin and delays the scientific reports for as long as the law allowed. These orders probably made both employees afraid of the boss and they were not willing to defy them. Defying direct orders from the CEO would mean that both Blake and Dominguez have committed insubordination in the company. It would also mean that the company would face thorough investigations on the matter and they would be in serious problems. Not keeping quiet would result in both employees getting the sack, a truth neither of them was willing to face. They both loved their jobs and it was their only source of livelihood.

If I were in the position of either Blake or Dominguez, I would not have participated in hiding the unfavorable studies about Osteoporin. I would have either resigned from my job or reason with the CEO on the consequences that might face the company in case the reports leak out. The reason for being honest is that even if I lie, in the end, nothing stays hidden forever; the stories will come out one day. I would not risk going to jail or losing all the reputation I have struggled to build all my career life for a lie that will end up public in a matter of time.

Conclusion

Ethics has and will continue to determine the success or failure of any organization, regardless of its size. The ethical codes of conduct and the business culture of any company determine the fate of the firm. All leaders should stay updated on the changing business world, which can also affect the culture of making decisions in a country or a company. In the case of Blake and his colleague Dominguez, they were against ethical standards the moment they decided to go along with the deception. They should have instead fought for the right course, which was to tell the truth and save millions of people who were to use Osteoporin. Since they decided to make decisions unethically, the company is facing severe problems with the FDA. The case in question can lead to the company losing its license, which would mean that everyone, including the CEO, loses their jobs, and some are at risk of going to prison.

Reference List

Chen, A., Trevino, L.K., and Humphrey, S.E., 2019. Ethical champions, emotions, framing, and team ethical decision making. Journal of Applied Psychology. http://www.personal.psu.edu/seh25/Chen%20et%20al%20...