What are the ethical implications of corporations such as United Airlines and General Motors which utilize bankruptcy as a strategic financial tool to reduce their pension and health benefit obligations?© BrainMass Inc. brainmass.com October 25, 2018, 7:20 am ad1c9bdddf
The ethical implication is that companies that hide from financial obligation by invoking bankruptcy are liars in the highest degree. This is what Kilpi (n.d.) meant when he said that the fundamental ethical problem in bankruptcy is that insolvents have promised to pay their debts but cannot keep their promise.
The bankruptcy law is being abused by companies to run away from paying benefits of their employees.
Using this law, United Airlines got a favorable ruling from a federal bankruptcy judge allowing the company to terminate its pension plans covering some 134,000 workers and retirees (Mattera, 2005).
The troubled airline, which declared bankruptcy in December 2002, said that it would stop funding its pension plans while it ...
This solution discusses how bankruptcy is used by companies in dodging financial obligations.
Please I need help with the following:
Referring to the application of the Balanced Scorecard with a close look at the financial perspective and with an assessment of the use of the balanced scorecard in Saatchi & Saatchi, one of the premier advertising and "creative service" organizations (although they have certainly had their ups and downs over the last ten years or so. Here's how this process has been described:
"Faced with a set of brutally tough choices in the Nineties, Saatchi & Saatchi's leadership team defined a new vision and global strategy and set stretching three-year financial goals. In this study, Paul Melter, Worldwide Director, CompaSS, explains how the balanced scorecard was used to turn ambitious strategic aspirations into operational reality."
The article from which this summary is taken can be found here:
Greenhalgh, C. (2004) Building a Strategic Balanced Scorecard: Saatchi & Saatchi Complementary Case Study. Business Intelligence Company. Retrieved November 11, 2008, from http://www.business-intelligence.co.uk/PDFdownloads/strat_bsc/Saatchis r.pdf
Review this article, and in approximately 3-3 1/2 pages prepare an analysis of how Saatchi & Saatchi implemented the balanced scorecard and its apparent effects.
The analysis should be structured in terms of the following four issues;
Introduction: What was the situation for Saatchi & Saatchi in the mid 1990s? The management team adopted an approach that was primarily two-pronged: the financial perspective and the customer perspective. In terms of the financial perspective, what goals did the new leadership set for the company?
Analysis: How did the company categorize its different business units (agencies)? What strategies were chosen for each unit? Saatch & Saatchi also adopted several strategies that related best to a customer perspective. What were they?
Conclusion: Did the financial strategies make sense for each given unit? Why or why not? Did the acquisition by Publicis Groupe SA change the results of the BSC? Now that you have analyzed both "prongs", did the two approaches worked in synthesis or in conflict?View Full Posting Details