Impact Of American Red Cross's Organizational Structure And Compensation

The organizational structure of the American Red Cross needs to be taught that ethical compliance is its first priority; otherwise issues will continue to present themselves when the ARC is needed most. Mandatory, in-person, ethical classes should be held every year for employees and volunteers to help reinforce the ARC’s claim that they are fixing their internal issues. Also, executive leadership needs to be held accountable for their actions and not given monetary compensation upon their

The Salvation Army is an international organization, which spans over a hundred countries, so there is a difference between its strategic and tactical organization. Its strategic organization refers to which divisions and corps report to which territory, while its tactical organization refers to the local structure of each individual corps or social service section. As an Accounting Assistant, I am knowledgeable about the responsibilities of the local organizational structure as well as my own tasks and duties.

The unethical and disjointed leadership previously maintained within United Airlines is a problem for various reasons. When leadership makes a poor choice in the face of an ethical dilemma, not only does it reflect on the workforce to the public, but it also decreases the trust among employees with their employer and sets an inappropriate example of how others within the organization should act. Among the changing leadership, neither of the CEO’s attempted to unify the workforce or encourage positive relationships among their employees; this situation does not foster effective problem solving environments and stunts overall organizational growth. A disjointed organization cannot effectively resolve customer complaints, it cannot maintain satisfied and proactive employees, and it cannot make profitable progress within the industry.

While running any business, it is important that ethics play a large role in the day to day decisions that are made that affect that organization. Considering the fact that the American Red Cross is a charitable organization that is dependent on donations and volunteerism for its missions; ethics becomes even more important if the company wants to maintain any level of reverence with its supporters (Bennett, 2015). If I was an independent ombudsman who represents the ARC to Congress, I would request review of regulations regarding compensation of non-profit organization leadership, and I would ask for policy regarding the Office of the Corporate Ombudsman, to ensure reported issues are answered and investigated promptly and appropriately.

One agency that has trouble had an impact on me and the people around me is the American Red Cross Organization. While I was in the military I received news that my grandmother was terribly ill and that I needed to go home as soon as possible. I was stationed in Germany at the time so it was not as easy as just jumping into my car and driving back to Florida. My mother called the American Red Cross gave them my social and my unit. In less than 12 hours the American Red Cross Organization had informed me of the news processed my leave forms through my unit and paid for my plane ticket and they even found dog sitters for me. In less than 12 hours, I was at the airport awaiting my flight. They took care of everything that I needed in order to make it home without a single bit of chaos.

The American Red Cross (ARC) was composed of 769 city-based while every regional is officially chartered by the national Board of Governors. The directors of the regionals have certain degree of autonomy is determining the programs and services which is the most important in their area (American Red Cross community CPR, 1988).The American Red Cross (ARC) was composed of 769 city-based while every regional is officially chartered by the national Board of Governors. The directors of the regionals have certain degree of autonomy is determining the programs and services which is the most important in their area (American Red Cross community CPR, 1988).The American Red Cross (ARC) was composed of 769 city-based while every regional is officially

Top executives within an organization exercise their due diligence to find the most effective and ethical leader to enhance the company. However, time after time organizations will uncover an ugly truth, that not all leaders, and employees alike have the best intentions and consistently behavior ethical. Ferrell, Fraedrich & Ferrell (2013), examines the scenario in which Warren Buffett discovered a leader for one of his conglomerate businesses, David Sokol acted unethically (p. 138). This leads to question whether Buffet was too trustworthy or should he be more intentional on making his leaders adhere to ethical compliance? In short, the answer to that question is “ that ethical leadership includes role modeling through visible actions,

Explain the possible problems in the ethical culture of the Red Cross that created the issues discussed in this case.

Organizational structure and compensation should be two areas of concern for any chief executive at ARC. In most corporations, the board members and stakeholders are narrowed to investors looking to make a profit. The CEO is paid to make decisions that produce results. Many times in these corporations we see where a CEO is let go with an enormous severance package when they have failed at their job. This has caused a backlash by the American people.

The American Red Cross had a lack of leadership which ultimately incurred long-term effects on the organizations culture (Ferrell, L., Ferrell, O., & Thorne, 2011). Systemic issues revealed negligence including, fraud, bribery, and theft amongst volunteers and staff (Ferrell et al.). According to James (2012), systemic problems presented in the organizations highest level of hierarchy essentially poses problems throughout the hierarchy to the lowest level. The problems became transparent at the time of the 9/11 tragedy with the ARC not responding quickly (Ferrell, 2011). The ARC was questioned regarding management and communication mishaps (Ferrell, 2011). Moreover, upper management was essentially condoned due to the response issue in such

Sears, Roebuck, and Co.’s management team had to have been aware of the negative issues this type of compensation program was creating for the business, overall. The managerial team evidently did not follow any type of ethical standards by allowing this type of incentive plan to be implemented. First of all, managers have an obligation to learn and model ethical standards every single day, because their

In this article, the authors utilize the staff survey from Veterans Health Administration employs to obtain the data about how is employees’ perception of the ethics to their organizations in healthcare. The result shows that if the mangers in the organization are more righteous, specific of their expectations, trust worthy, and ethical to their followers, the employees will have a better rate of the ethics of their organization. This article pointed out that an effective leadership in healthcare can influence how employees’ perception to ethics of their organization.

It is only during moral lapses and corporate scandals that interest groups and the broader public ask themselves the fundamental ethical questions, who are the managers of the organization and were they acting with the ethical guidelines. For a long time, the issue of ethics was largely ignored, with organizations focusing on profit maximization. However, this has changed, and much attention is now focused on ethics management by researchers and leaders. The issue of ethics has arisen at a time when public trust on corporate governance is low, and the legitimacy of leadership is being questioned. Leaders are expected to be the source of moral development and ethical guidance to their employees.

Many of the reasons for the American Red Cross' ethical dilemmas was because of their untruthful presidents and CEOs as well as some of their employees' greed. Many of the ARC's staff were greedy and were only concerned about padding their own pockets and not about the welfare of others and this is one of the biggest reasons for the ARC's ethical dilemmas. Also, the organization had to many people that were not looking out for the welfare of the company as a whole. Another reason for the dilemmas of the ARC is because they did not have to account for their actions and did not have to report to someone who would hold each and every one of them accountable (www.citizen.org). The company should have all of their members held to the highest standard possible in ethics and values when they are hired and randomly throughout one's employment. Not just anyone can work for an organization like American Red Cross, but it has to be someone that holds themselves at high standards, both

NKF’s management might seem to not have taken donors’ opinions into consideration and hence portrayed the image of mismanaging donations. However, it would be unfair to not point out how not all stakeholders are equal and each is entitled to different considerations. Expectations differ across stakeholders and decisions made would more often than not lead to a conflict of interest but following the principle of utilitarianism, it is up to the discretion of the organisation to balance their decisions and decide how best to appease the majority. An example would be NKF’s dilemma of whether to disclose the salary of the CEO; not doing so would result in accusations of not being transparent while disclosing it might lead to criticism of charity leaders being too highly paid. The interests of the CEO and the donors are at conflict.