Case Study 3- Volkswagen
1. Does the Volkswagen emission cheating crisis pose an ethical dilemma?
Why or why not? If so, who are the stakeholders?
The Volkswagen emission cheating crisis poses as an ethical dilemma. That is
because Volkswagen has two choices which is to either pollute the environment
to benefit their company, or to be honest and protect the environment but to
let Toyota be ahead of them as the largest automaker. An ethical dilemma is a
choice between two options, each choice leads to either an ethical or unethical
situation. In this case, Volkswagen
chooses the unethical choice as they focus to maximize revenue and bypass Toyota
as the largest auto maker. They lie to their customers/government and pollute
the environment with their “green” diesel. This unethical choice benefits
Volkswagen as they were able to gain more sales and gaining in profit but
harming the environment in the long run. The stakeholders by the damaged caused
by Volkswagen would be the managers, employees, consumers, dealerships, and
Describe the roles of management,
organization, and technology factors in creating VQ’s software cheating
problem. To what extent was management responsible? Explain your answer.
I think that the management was the most responsible
of the software cheating problem. That is because most events and decisions are
made and clarified with the management before anything else. However, Volkswagen’s
management agrees to with the plan on using the software to hide the problems.
Essentially, the management led to the company’s downfall, since they could
have made the decision not to cheat and handle their situation in a more
ethical way. However, their decision did lead to more sales in the short run,
but left damages to the company in the end. Therefore, I think that management plays
a big role in this situation and they have great responsibilities on the
decisions they make in the company.
Should all software-controlling
machines be available for public inspection? Why or why not?
In my opinion, I think that all software-controlling machines should be
available for public inspection. That is because companies should be honest to
their stakeholders so that they know what they are expecting from the company.
For example, the investors of Volkswagen were caught in their scheme and
essentially the investors were negatively effect since the company would start
decreasing in sales. As a result, the investors would be suffering from a loss.
Therefore, I think that all software machines should have public inspection, so
that the stakeholders know that they are safe.
(Laudon, K.C., & Laudon J.P, 2017, p.)