Keeshan Parekh's Unethical Behaviour: Trustworthiness & Disloyalty - Essay Sample

Introduction

In the scenario, Keeshan Parekh, the IT manager behaved unethically. The reason is that he failed to exhibit trustworthiness. To be trustworthy, Parekh had to follow the instructions of the company's president. Parekh would have lived up to his commitment and because he failed to do so, he was being unethical. Another ethical failure exhibited by Parekh was that of disloyalty. Parekh would have displayed his devotion to duty and made a professional judgment. On the other hand, the IT staff member, Russell Bedford, behaved ethically. After Parekh excluded him from helping to dispose of the computer systems, he did not question him and was respectful of his decision. Bedford's behavior fell under the ethical principle of respect for others where he respected Parekh's decision because he too had a stake in the decision-making process and was the IT manager. According to Moriarty (2016), respect for autonomy is a significant business ethical standard that employers and employees should adhere to. In this scenario, Bedford respected Parekh's autonomy to make his decisions on what to do with the computer systems. Besides, trustworthiness is significant in ensuring that the employee and employer engage in a positive manner. In the case of Parekh, his ethical failure would build distrust with his employer.

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This scenario could have been addressed more effectively by adhering to instructions. The president of the company requested Parekh to recycle the computer systems because the company was taking the initiative to be environmentally responsible. By selling the computer systems online, Parekh was behaving unethically. His decision would make him untrustworthy if the organization's president found out that he did not adhere to his instructions. Parekh would have worked collaboratively with Russel as they have always done and recycled the computer electronic systems.

The potential leadership and management internal impacts of the unethical behavior by the employee is that it might affect the organization structure. If the organization's president found out about the unethical practice, then the structure would be affected because of the lack of professional management. Another internal impact is technological capabilities where the IT manager, Parekh would be untrustworthy with the firm's unit cost of production. On the contrary, the potential leadership and management external impact of the unethical behavior on the organization is competition. Since Parekh sold the computers to local small businesses, the small accounting firm where Parekh works may have stiff competition from the other businesses that have access to computers.

Positional power affected the ethical decision-making of those involved. Keeshan Parekh, the IT manager was used to handling areas related to procurement, maintenance, and disposal of computer systems. Due to the personal power that Parekh is used to in the organization, she felt that since it was her job to dispose of computer systems, then she can make the decision to do whatever she wants with the hard drives considering they were not company property anymore. According to Sanders (2014), positional power is based on obedience to authority. As the author added, positional power can affect an organization's ethical climate. In the scenario, Parekh obviously exerted influence on decision making because of his position. Besides, the IT staff member, Russel Bedford, because of his position as a junior, decided to obey Parekh and let him handle the disposal of the computer systems.

Private Loan Service Providers

The business does not adhere to ethical practices. Foremost, the private loan service provider, which bills itself as an organization and helps people overcome financial hardships does not provide the services it claims to make available. One of the most significant ethical standards of business is honesty. According to Turyakira (2018), many businesses fail to thrive because their directors fail to tell the truth. Failure to be truthful is evident in the manager Steve Brown's reply to Theresa Franco when she expressed her concerns about the company's habit of preying on customers and their focus on selling products instead of helping clients. Because of the organization's lack of good ethics, it is unable to build credibility and trust among its customers. Furthermore, Victoria (2018) stated that there is a correlation between integrity and financial performance. Since the business does not adhere to ethical practices, its survival is likely to be compromised.

One of the internal leadership and management impacts of the business practices on the organization is the company culture. Since the organization is highly competitive, collaboration and teamwork might begin to dwindle and gradually, the firm might lose its values, attitudes, and priorities because an employee like Theresa has noticed that the firm does not pay attention to its customers. On the contrary, the external leadership and management impacts of the business practices on the organization is that which involves customers. Customers always gravitate towards organizations that can help to solve their problems. However, since the private loan service provider organization focuses on only its products, the unethical practice might affect the businesses' customer base. Victoria (2018) affirmed that ethical failures in areas such as honesty and integrity would make the company lose its clients in the long-run.

References

Moriarty, J. (2016). Business ethics. Stanford Encyclopedia of Philosophy. Retrieved from https://plato.stanford.edu/entries/ethics-business/

Sanders, C. G. (2014). Why the positional leadership perspective hinders the ability oforganizations to deal with complex and dynamic situations. International Journal of Leadership Studies, 8(2). Retrieved from https://www.regent.edu/acad/global/publications/ijls/new/vol8iss2/7-Sanders.pdf

Turyakira, P. K. (2018). Ethical practices of small and medium-sized enterprises in developing countries: Literature analysis. South African Journal of Economic and Management Sciences 21(1). doi.org/10.4102/sajems.v21i1.1756

Victoria, A. (2018). Business Ethics. doi: 10.13140/RG.2.2.31350.86082