JDT2 Task#2 Essay

1476 Words Nov 17th, 2013 6 Pages
Western Governors University
October 26, 2013
Human Resources JDT2 Task #2
To: Bob Smith, Chief Executive Officer
From: , Elementary Division Officer
CC: Executive Team
Date: October 26, 2013
Re: Elementary Toy Test Result
An elementary toy that is due to be shipped at the end of the week has failed quality control testing. A metal whistle has been shown to exceed the federal regulation guidelines for lead. The testing process showed the lead level for this particular toy tested at 103 parts per million. The federal guidelines dictate that toys cannot contain lead with more than 100 parts per million (OSHA, 2013). The projected cost to conform to federal guidelines and replace the whistle are
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The company’s reputation would be in tatters.

Ethical Considerations
Our company has a moral obligation to keep our customers safe. The code of ethics within our company is to be honest and provide protection to the children who play with our products. The overall cost to our company is how big of a risk are we willing to take. Our company needs to decide if business growth and profit is more important than the risk we would be taking in delivering those toys to children.
Reproducing the whistles is ethically correct, however doing so will impact our vendors by missing out on peak sales. This may lead to other companies replacing our company and products, which will lead to overall revenue losses and possible employee layoffs. On the other hand, if we replace the defective whistles, parents will believe in our company because we ensure our products meet the federal guidelines for safety. This alone may increase revenue.
Our company has a responsibility to meet the federal guidelines. This protects our company from costly fines and legal proceedings. Most importantly, we protect our customers—parent and children. Risk is good, but not when it can potentially kill children.
Time Considerations
Our company cannot dismiss time considerations when discussing the impact on business. We can dismiss the time consideration when we consider the risk of legal implications upon our business.

First, our company can notify our vendors and customers

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