two papers, 4 pages each, 8 pages total

two papers, 4 pages each, 8 pages total, plz read the instruction carefully. I’m attaching some class slides for you and please feel free to find sources online. The book Business and Society could be a good source.
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Your assignment is to write two short essays (8 pages in length)
addressing the questions
indicated below. While writing your essay, please use the following
guidelines:
• Cite referenced works, inserting the citation in the appropriate location
in the text (e.g., Lawrence & Weber, pp. xxx-xxx).
• Use double-spaced type in 12 point font with standard margins
• Paginate the essays
• Include a title sheet with your name
• Save your essays in a single MS Word file (not PDF)
Essays will be evaluated according to the following criteria:
• Ability to formulate a clear and coherent argument
• Use of course readings, lectures, and class discussions to support the
argument
• Clarity of structure and organization
• Quality of prose
Assignment
Essays should be 4 pages each, total of 8 pages.
In your essays, be sure to provide illustrative examples from the
readings, lectures, class discussions, news report presentations, and team
presentations to defend your argument. Also be sure to address each part
of the essay questions indicated below.
ESSAY QUESTIONS
Question #1 In this course, we have addressed the repercussions of
advances in technology: biomedical technology, Internet of Things,
mobile technology, cloud computing, artificial intelligence, driverless
cars, robotics, blockchain, GMOs, etc.
Write an essay addressing each of the following:
• How do these technological shifts promise to benefit businesses,
consumers, and broader society?
• What potential dangers arise from these technological advances?
• What measures should be taken to manage the risks of technological
change?
• Question #2 In this course, we have examined the implications of
the global expansion of social media. This development has been
dramatized by controversies surrounding the involvement of
Facebook and other social media companies in the 2016 US
presidential election. Write an essay addressing each of the
following:
• What are the foremost consequences of the rise of social media?
• What governmental regulations of social media would you propose to
manage these effects?
• On balance, do you regard the global ascent of social media as a
positive or negative phenomenon, and for what reasons?
MGMT 201
Global Corporate Citizenship
Professor David Bartlett
Session #21
April 5, 2018
AGENDA
•
News Reports
Skylar Blake
Kiara Fairbairn
Alexis Abitbol
•
Case 8: The Upper Big Branch Mine Disaster
Upper Big Branch Mine Disaster
Chapter 17
Business and Its Suppliers
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
Ch. 17: Key Learning Objectives
? Understand what suppliers are, the nature of suppliers’
interests and power, and the scope of the global supply chain.
? Examine the social, ethical, and environmental issues that arise
in global supply chains and how they can affect a company’s
reputation and bottom line.
? Describe contemporary trends in the private regulation of
supply chain practices and analyze the reasons for the
emergence of company and industrywide codes of conduct.
? Understand the various methods businesses and nonprofit
organizations use to audit global supply chains for compliance
with codes of conduct and other standards.
? Analyze the reasons for and benefits of engaging collaboratively
with suppliers to build capability and create shared value and
the conditions under which such initiatives are likely to
succeed.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-1
Suppliers
? Supplier: An organization that
provides goods or services to
another organization.
? Suppliers are also known as vendors or
contractors.
? They are an important market
stakeholder of business.
? They provide critical inputs.
? They often manufacture entire products that
companies then sell to customers under their
own brand.
? Major transnational firms can have an
enormous number of suppliers.
?Example: Intel has 16,000 suppliers in 100
countries
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-2
Level of Suppliers
? Lead firms often categorize
their suppliers according to
tier, or level.
? Tier-1 suppliers (sometimes called
contractors)
? Hired to manufacture products and provide
them directly to the company. These may
in turn work with
Tier 1
Tier 2
? Tier-2 suppliers (sometimes called
subcontractors)
? Who may in turn work with even more
distant suppliers
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-3
Supply Chain
? Supply Chain: The multiple
steps involved in the
movement of a product or
service from the most distant
supplier to the customer.
? Because of the complexity of these
systems, firms sometimes refer to
their supply webs or networks,
rather than use the term supply
chain, which implies a simple, linear
relationship.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-4
Suppliers
? Most suppliers share an interest in obtaining orders
that will enable them to:
? Make money
? Use their productive capacity efficiently
? Build long-term, stable relationships with business customers
? Suppliers may have both economic and informational
power.
? A supplier that is a sole source for a key component or
natural resource naturally has more leverage than one
which is not.
? Suppliers that control critical worker skills, technical
know-how, or relevant manufacturing infrastructure
have more leverage than others.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-5
A Supply Chain Map for a Cotton T-Shirt
Figure 17.1
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-6
Social, Ethical, and Environmental Issues
? Three key issues in global
supply chains:
? Social issues
? Ethical issues
? Environmental issues
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-7
Social Issue
? Global supply chains have many social impacts.
? Prominent among them are the wages, working conditions, and
health and safety of employees in supplier factories
? Low wages are one of the main reasons that brands
contract with suppliers in developing countries.
? They reduce overall costs and enable brands to price their products
more competitively.
? Low wages are not necessarily unethical.
? However, if a company’s customers believe that its
products are made in sweatshops, its reputation can
be harmed.
? Sweatshops—a derogatory term referring to factories where
workers toil long hours, at low wages, and under unsafe conditions
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-8
Business Challenges
? The challenge for businesses:
? To assure that their suppliers pay wages that are perceived as
fair
? To permit workers and their families to achieve a decent
standard of living
? Minimum wages established by law may not be sufficient
? Terms and conditions of work varies across cultures and
economies
? Finding the right balance can be a challenge
? For example, should excessive overtime be permitted, if
workers want this?
? Child labor
? Worker health and safety in supplier factories
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-9
Ethical Issues
? Human trafficking: Modern-day slavery—the illegal
recruitment and movement of people against their
will, usually to exploit them for economic gain.
?Example: Of the estimated 2.5 million victims of trafficking in the
world, about 80 percent are women and girls forced into
prostitution
? Companies that set up operations in countries with
anti-democratic, repressive regimes can be caught up
in violations of human rights.
? Some governments require foreign firms to partner
with state-owned companies in order to do business
there, adding another level of risk.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-10
Human Rights Challenge
? Transnational companies that
depend on resources that are
farmed, extracted, or mined are
particularly at risk for human
rights abuses by their suppliers.
? A specific human rights challenge in
global supply chains is sourcing
minerals and other valuable
commodities from conflict zones.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-11
Environmental Issues
? Arise when a supplier of raw materials, parts, or
finished goods contributes to climate change,
dumps toxic chemicals, emits air pollution, or
reduces biodiversity
? This can threaten the reputation of companies at the top of
the supply chain.
? Some companies have responded to
environmental concerns by:
? Local sourcing: seeking to source from nearby suppliers where
practical
? Improve efficiency in their supply chains
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-12
Supply Chain Risk
? Failure to manage social,
ethical, and environmental
risk in supply chains can be
very costly, managers have
learned.
? Impact on stock prices of
disruptions in companies’
supply chains.
? Operating income, return on sales,
and return on assets were all
adversely impacted and firms did
not recover quickly.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-13
Supply Chain Transparency
? Supply chain transparency:
What happens in a company’s
supply chain is fully disclosed
to stakeholders—as if seen
through a clear glass window?
? Some firms have realized that
openly revealing supply chain
information can enhance brand
loyalty among consumers concerned
about social, ethical, and
environmental responsibility.
? Technology increasingly makes this
possible at the point of purchase.
? Consumers can see how and where a
product was made in startling detail.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-14
Which of the following SER (social and environmental responsibility)
issues are the most important in your supply chains?
Figure 17.2
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-15
Private Regulation of the
Business – Supplier Relationship
? As the manufacturing supply
chain has become increasingly
globalized, its regulation has
become more fragmented and
ineffective.
? New institutions have arisen to fill the
void created by the inability of
governments in both developed and
developing countries
? To police the far-flung operations of
large transnational corporations and
their global supply chains.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-16
Private Regulation of the
Business – Supplier Relationship
? Private regulation: Non-governmental institutions that
govern, enable and constrain economic activities
? It also called as private governance.
? It occurs when companies set rules of behavior for themselves and
their business partners.
? Private regulation often takes the form of company and industrywide codes of conduct
? Establish standards governing labor, human rights, environmental,
and related practices within global supply chains.
? In the absence of effective public regulation, many
companies and industries have established rules for
their suppliers through their own voluntary supply
chain codes of conduct.
? Example: Levi Strauss, a U.S. apparel maker
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-17
Reasons for Private Regulation
? Lack of jurisdiction of home
country governments
? Weak regulatory capacity in
developing countries
? Limited enforcement power of
transnational institutions
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-18
Percentage of Large U.S. Companies with Supplier
Codes of Conduct, 2012 and 2014
Figure 17.3
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-19
Private Regulation of the
Business – Supplier Relationship
? Private governance is most likely to emerge in
global supply chains under several conditions:
? Large lead firms have leverage over smaller suppliers
? Firms and products have highly visible brands
? Therefore more vulnerable to reputational damage
? Civil society is exerting pressure for responsible practices
?Example: Campaigns, boycotts, or shareholder resolutions
• A strong business case can be made for social and
environmental responsibility.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-20
Common Industry-wide Standards
? A current trend
? Example: The Electronics Industry
Citizenship Coalition Code of Conduct
? Common standards improve
compliance, since suppliers are
not faced with myriad
conflicting demands.
? Reduce the costs of monitoring
since brands can share audit
results.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-21
Private Regulation of the
Business – Supplier Relationship
? Firms invest in supplier social
responsibility in order to:
? Create a positive customer image and
enhance brand equity
? Reduce costs
? Satisfy government regulations
? Avoid disruptions
? Increase sales
? Allay public criticism
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-22
Drivers of Social and Environmental
Responsibility in Supply Chains
Figure 17.4
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
Supply Chain Auditing
? An audit monitors a
supplier’s performance to
determine if it is in
compliance with the relevant
code of conduct.
? Choices in carrying out an
audit:
? Internal audit
? External audit or a third-party
audit
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-24
Internal Audit
? Internal audit: Company hires and
trains its own staff of auditors whose
job is to inspect factories to determine
whether or not they are in compliance.
? Advantage: the company controls and manages
the process. It can determine what factories
need to be audited, and learn immediately about
any problems uncovered.
? Disadvantage: Stakeholders might view reports
based on an internal audit as less credible
? Because the company would have an interest
in casting itself and its suppliers in a favorable
light.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-25
External Audit
? Also called a third-party audit
? Hire another organization to carry out the
audit and report back to the company
? Advantage: It is often perceived by stakeholders as
more objective and credible.
? Disadvantage: Company may find that the
information is delayed, and it does not directly
control the quality of the audit.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-26
Audit – Drawbacks
? On-site inspections are expensive and
time-consuming
? Therefore cannot be scaled to cover a brand’s
entire supply chain.
? Audits are not always unannounced
? In many cases, suppliers receive advance notice
and are able to stage conditions to pass the
inspection.
? Workers sometimes distrust auditors, not
knowing if the inspectors represent the
supplier, the brand, or an independent
third party
? Therefore are reluctant to share their experiences.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-27
Auditing Approaches – Alternatives
? Crowd-sourced audit: gathers
information about factory
conditions directly from workers
using their mobile phones.
? Workers provide information directly by
responding to questions generated by a
recorded voice on their mobile phones
when they are away from work.
? Example: LaborVoices
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-28
Supply Chain Auditing
? Companies are working together
to audit major suppliers and to
share results.
? To avoid audit fatigue
? Occurs when supplier factories must
endure audit after audit conducted by
different buyers.
? To spare companies from
duplicating efforts and incurring
unnecessary costs
?Example: Sustainable Compliance
Initiative (SCI)
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-29
What do companies do
when an audit reveals a gap?
? Most audits turn up at least
some instances in which a
company’s global operations
are not in compliance.
? A company will terminate a
supplier, if the supplier is
unwilling to change or the
deficiencies are egregious.
? 48% of companies in a recent survey
said they would terminate a supplier
in certain cases if violations were
found.
Copyright © 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
17-30
Supplier Development and
Capability Building
? Supplier development: Activities undertaken by
companies to improve the performance of firms
in their supply chains.
? A lead firm may choose instead to invest time and resources
to build the supplier’s capabilities rather than terminate or
punish a supplier.
? Lead firms decide to engage in capability-building
because the cost of switching suppliers may be
too high.
? A supplier may have critical capabilities.
? The lead firm may feel a moral obligation to the workers and
local community not to cause job loss.
? Other suppliers may not be readily available to take over the

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