1.Should you allow the company to pay for you and your wife to go to the demonstration? Would it be acceptable to allow the company to pay for your expenses but not for your expenses but not for your wife’s? Would you ask the Tribe to pay for your trips to see equipment from other vendors? 2.Does the offer of the software complicate this decision? Would you check to see what others might need software in the Tribe? Would you probe to see whether a better price might be offered on the mainframe without any software?
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CASE STUDY
You have been the purchasing director for the tribe for three years and have established good relations with most of your suppliers. You are particularly pleased with the computer company you selected as the new personal computers the Tribe purchased last year. The price you paid was 10 percent less than any other bid.
Now the sales representative for the computer company has approached you about bidding on the new mainframe computer the Tribe plans to lease. She has suggested that you and your wife fly to California for a special demonstration of the equipment.
She has also said that the company might be able to sweeten the bid by including a software package with the deal. You know the funds for this particular software, which would be especially helpful to the purchasing department, are not available. None of the other vendor has offered a free trip to demonstrate their equipment.
ETHICAL QUESTIONS
1.Should you allow the company to pay for you and your wife to go to the demonstration? Would it be acceptable to allow the company to pay for your expenses but not for your expenses but not for your wife’s? Would you ask the Tribe to pay for your trips to see equipment from other vendors?
2.Does the offer of the software complicate this decision? Would you check to see what others might need software in the Tribe? Would you probe to see whether a better price might be offered on the mainframe without any software?
Step by step
Solved in 2 steps
- Scenario 4 Sharon Gillespie, a new buyer at Visionex, Inc., was reviewing quotations for a tooling contract submitted by four suppliers. She was evaluating the quotes based on price, target quality levels, and delivery lead time promises. As she was working, her manager, Dave Cox, entered her office. He asked how everything was progressing and if she needed any help. She mentioned she was reviewing quotations from suppliers for a tooling contract. Dave asked who the interested suppliers were and if she had made a decision. Sharon indicated that one supplier, Apex, appeared to fit exactly the requirements Visionex had specified in the proposal. Dave told her to keep up the good work. Later that day Dave again visited Sharons office. He stated that he had done some research on the suppliers and felt that another supplier, Micron, appeared to have the best track record with Visionex. He pointed out that Sharons first choice was a new supplier to Visionex and there was some risk involved with that choice. Dave indicated that it would please him greatly if she selected Micron for the contract. The next day Sharon was having lunch with another buyer, Mark Smith. She mentioned the conversation with Dave and said she honestly felt that Apex was the best choice. When Mark asked Sharon who Dave preferred, she answered, Micron. At that point Mark rolled his eyes and shook his head. Sharon asked what the body language was all about. Mark replied, Look, I know youre new but you should know this. I heard last week that Daves brother-in-law is a new part owner of Micron. I was wondering how soon it would be before he started steering business to that company. He is not the straightest character. Sharon was shocked. After a few moments, she announced that her original choice was still the best selection. At that point Mark reminded Sharon that she was replacing a terminated buyer who did not go along with one of Daves previous preferred suppliers. What should Sharon do in this situation?Scenario 4 Sharon Gillespie, a new buyer at Visionex, Inc., was reviewing quotations for a tooling contract submitted by four suppliers. She was evaluating the quotes based on price, target quality levels, and delivery lead time promises. As she was working, her manager, Dave Cox, entered her office. He asked how everything was progressing and if she needed any help. She mentioned she was reviewing quotations from suppliers for a tooling contract. Dave asked who the interested suppliers were and if she had made a decision. Sharon indicated that one supplier, Apex, appeared to fit exactly the requirements Visionex had specified in the proposal. Dave told her to keep up the good work. Later that day Dave again visited Sharons office. He stated that he had done some research on the suppliers and felt that another supplier, Micron, appeared to have the best track record with Visionex. He pointed out that Sharons first choice was a new supplier to Visionex and there was some risk involved with that choice. Dave indicated that it would please him greatly if she selected Micron for the contract. The next day Sharon was having lunch with another buyer, Mark Smith. She mentioned the conversation with Dave and said she honestly felt that Apex was the best choice. When Mark asked Sharon who Dave preferred, she answered, Micron. At that point Mark rolled his eyes and shook his head. Sharon asked what the body language was all about. Mark replied, Look, I know youre new but you should know this. I heard last week that Daves brother-in-law is a new part owner of Micron. I was wondering how soon it would be before he started steering business to that company. He is not the straightest character. Sharon was shocked. After a few moments, she announced that her original choice was still the best selection. At that point Mark reminded Sharon that she was replacing a terminated buyer who did not go along with one of Daves previous preferred suppliers. What does the Institute of Supply Management code of ethics say about financial conflicts of interest?CASE STUDY Martha Jayasekera is a 25-year-old young woman with cerebral palsy, who lives in her own flat. She uses a wheelchair and needs support with many activities of daily living. Her support needs include getting out of bed in the morning, washing, dressing and getting ready for the day and support with getting into bed in the evening. Martha Jayasekera enjoys going out with friends and working part time, as a counsellor for young adults with physical disabilities in a local community support centre. The home care organisation who delivers her service are requested to come and support her to go to bed at 10 p.m. but the carers frequently arrive at 7p.m. to perform this service and have continued to do this despite Martha’s complaints. When asked why this happens the care service says a lot of the staff do not wish to work such late hours and feel unsafe in the area around Martha’s flat. The question is: In a reflective account, explain how this case study has contributed to your…
- Case Study: In May 2011, Microsoft announced it would be purchasing the Luxemburg-based internet communications company Skype in an all-cash deal worth $8.5 billion.The acquisition was the largest in Microsoft’s history. Skype had been purchased by eBay in 2005 for $3.1 billion, but eBay took a $1.4 billion accounting charge in 2007 after the acquisition failed to realize hoped-for synergies. In 2009, eBay sold a 70 percent stake in Skype to a group of investors led by the U.S. private equity firm Silver Lake Partners. The sale to Silver Lake valued Skype at $2.75 billion. Many observers were surprised that only 18 months later Microsoft was prepared to pay $8.5 billion. Microsoft’s stated goal was to integrate Skype’s voice and video communications offerings into Microsoft’s suite of products, in order to bolster sales of those products and make Microsoft more relevant in the age of digital devices, mobile communications, and cloud computing. To finance the acquisition, Microsoft used…Case Study: In May 2011, Microsoft announced it would be purchasing the Luxemburg-based internet communications company Skype in an all-cash deal worth $8.5 billion.The acquisition was the largest in Microsoft’s history. Skype had been purchased by eBay in 2005 for $3.1 billion, but eBay took a $1.4 billion accounting charge in 2007 after the acquisition failed to realize hoped-for synergies. In 2009, eBay sold a 70 percent stake in Skype to a group of investors led by the U.S. private equity firm Silver Lake Partners. The sale to Silver Lake valued Skype at $2.75 billion. Many observers were surprised that only 18 months later Microsoft was prepared to pay $8.5 billion. Microsoft’s stated goal was to integrate Skype’s voice and video communications offerings into Microsoft’s suite of products, in order to bolster sales of those products and make Microsoft more relevant in the age of digital devices, mobile communications, and cloud computing. To finance the acquisition, Microsoft used…Case study: DanTronics is a high street electronics outlet based in Stevenage, Hertfordshire for which you are the Human Resources Manager. It sells electric domestic goods such as TVs, Washing Machines, Fridges and Computers and belongs to a larger chain that has forty-three other stores around England and Wales. Unfortunately, in 2020 and early 2021 demand was hit hard by Covid-19 and national lockdown as people could no longer purchase in-store. DanTronics sought to expand its online sales department in response, but simply could not keep up. The company had never specialised on online or telephone sales before and although some of the existing staff at the branch were retrained to deal with these, some became demotivated and left, whilst others struggled to adapt for different reasons. A recruitment process is underway to fill some of these vacancies. Sadly DanTronics lost a lot of business to Amazon, Ebay and other rivals. There are 86 workers employed at the store. The majority…
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