Indian Metals Corporation’s Operations Ethics Case Study (1996)

Question.

john wanddered , realistically if the plant could ever be changed; if you were to carry out improvements at the plant, what would your ethical priorities should be 

 

Quality Product quality was fairly well monitored. The zinc and lead produced were regu- larly checked for conformance to specification, and feedback occurred to ensure that the equipment was adjusted if the products started to fail. However, if a product was produced out of specification it was still sent out and not reprocessed. There were no reprisals for producing poor quality product as long as the plant was not stopped. In the pre-product unit, John noticed several gangs of contractors clearing up a huge pile of ore and coal around a conveyor belt. A week earlier, a ten-tonne hopper containing this pile had fallen off the steel girder which supported it and crashed down through a conveyor belt. Luckily, nobody was nearby at the time. It seemed that these 'near misses' happened regularly yet nothing was done to prevent them. The kidnap Outside the plant, a local village had decided that enough was enough. They told John how they had kidnapped a manager and held him hostage overnight. A man from the village commented: Indian Metals Corporation 97 "Since that plant opened a few years ago it's done nothing but spill out dangerous chemicals! We've had clouds of chemicals over the village. You couldn't see anything but you could taste it. I've also heard people say that there is lead in the water. I really worry about my health and my family's. We're all being slowly poisoned. We complain but they never listen, so we decided to do something to make them notice. As it was, it was useless. The manager said he'd be punished if he said anything.' As he packed, John pondered over the problems at the plant. The staff them- selves were highly skilled and very good at their jobs individually. They certainly did not need the European team to tell them how to run the plant. Yet they all said that they were unable to do their jobs properly. The problems at the plant were far more complex than was first thought. There was much more to be done than just replacing some machinery or installing a computer. John wondered, realistically, if the plant could ever be changed. Questions 1 Evaluate the ethical issues concerned with the operations management decisions of the IMC plant. 2 Comment on the maintenance strategy at the plant. Are there any alternative methods that would be suitable? 3 John wondered, realistically, if the plant could ever be changed.' If you were to carry out improvements at the plant, what would your ethical priorities be? Reference 1 You may find it useful to refer to Slack et al., (2001), Operations Management, (3rd edn), Financial Times Prentice Hall, Chapter 21; Tables 21.2 and 21.3.