Case Study- The BBDE Health Center: A Case Study of Business Ethics
1. What decisions or actions taken by the individuals in this case are questionable?
The first problems identified in this case was that the company had no laws and regulations. No one was willing to stand up to the CEO and tell him where he was going wrong. The CEO is more concern about the color of the carpet laid than setting corporate strategies. He ignored all the important issues in the company. Mr. Rulan thought he had mastered accounting, and had very little interest in expanding on what he learned in is one college accounting class, The company was paying the expensive for a person that did not work for BBDE. There was no proof of how much the travel expenditures actually cost, but there was a reimbursement check written. The CEO, was making decisions that affected the company, but didn’t include no one else in the decision. The company was being mismanaged or not managed correctly. It seemed as thought the company lived by a rule of, “As long you can get away with it, then your action were okay.
2. Who is being affected by the issues you identified in question 1? Are the effects good or bad? The ability of the Board of Directors (BoD) is being questioned in this case, because they are front runners in overseeing that the company correctly. With that being said the problems discussed in the first question have a negative effect on them and what they are doing. The issues listed above are negatively affecting the company as a whole. If things continue along this path the company could be bankrupt soon. The company could also face lawsuits for improper use of state and county government funding. The CEO is benefiting from this greatly. He is saving tons of money by having the company pay for his wife half of the trip, and he is keeping his Children happy by allowing them to experience the luxuries that the company...
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