Question Three
I agree that the business people who solely focus on making profits in their businesses wind up in the hole. It follows that the only reason that businesses exists in the first place is to meet the needs of their customers. In meeting these customer needs, quality and honesty should be the foundation of these business and at the end of their genuine transactions, they make profits from their huge market share. Customers normally attracted to those businesses that operate ethics and responsibility. However, those business people who sole focus in the business is making profits normally end up undertaking uncouth and dishonest acts to make more profit margins. It will be common for these business individuals to pay their employees low wages, engage in adulteration of products as they seek to promote their sales and thus profits margins. These businesses will fail to pay tax, avoid engaging in any activities that better their lives of their customers. The resultant outcome is that the bad publicity and fines will make them lose the loyalty of their customers and employees. Considering that the customer is the main employers of the business fellow, deserting the venture will lead to its eminent fall.
Question Five
The cost of an over-emphasis on social responsibility is that the business organizations normally spend more on corporate responsibility that they are making, eating into their profits. The costs of this over-emphasis are the fact that the business is unable to finance any expansion that they may have been planning. Additionally the business can meet the suppliers’ costs and as a result, they stop supplying raw materials and products to the organization. The continued emphasis will make it impossible for the organization to reward the employees properly which results in discontentment among the workforce. The individuals who normally pay the price for this over emphasis are the employees who continue being paid poorly as the business cannot afford to pay them better. The stakeholders also pay the price in the sense the bigger component of the money they would receive as dividends go to social responsibility. The organization pays the price in that the discontentment among the employees will lower their productivity and the consequent poor customer relations. The iron law of responsibility outlines that businesses have an obligation to protect and enhance the society and the failure will result in them being controlled by other forces.
Question Eight
A sample organization change that I have witnessed encompassed the termination of employment contracts for employees deemed surplus to the organization in a cost-cutting effort to improve profitability. In the implementation of the change, the organization defined the strategy to apply in change management along with preparing the change management team. In the management of the change, the organization developed the change management plans and consequently gave notices to the target employees along with their severance g packages. In the reinforcing of the change, there was the collection of the information relating to the intended plan and the possible effects of losing the employees. Once the assessment of information is done, the last step involved ensuring that the remaining employees met all the production needs of the organization. The organization was successful in introducing the change especially in making preparations for the change. However, they failed in managing the change as they did not take into consideration the effect losing employees would have on the remaining employees. They only offered to counsel to the employees who left. I would have ensured the employees who remained received counseling also as they lost friends and confidants.