How might different ethical philosophies influence how managers make decisions when it comes to offshoring of jobs?
Ethics mean working or making decisions in a company but at the same time keeping mind the moral perspective of the whole situation. Ethics are very important to any business and usually there is a set of codes the company abides by. It is also to make a good working environment. Offshoring refers to changing the place of a business or some of its activities to another region or country. There are different approaches about the subject. The Kanatian theory means offshoring should align appropriately with the company ethics code. The utilitarian theory means the benefits of this decision should be more than the cost of applying it. The virtue theory says that this decision should be made after taking into consideration the effect it has on society and its variables. And the eastern philosophical theory means this decision should look at the impact on people and the environment.
Once a company decides to offshore jobs they must first do research in regards to the area (country/region) they plan to do business. Marketing is a very important part in offshoring and outsourcing jobs. A strategic plan must be place to generate revenue but most importantly respect cultural views, government rules and regulations and the environment. Such practices would avoid lawsuits and the company’s reputation from being tarnished.
A prime example is when Coca-Cola decided to market and sell their brands in India. However, the people in India and the government stated they were extracting too much water from the ground and this matter caused pollution. The plant was set to shut down in 2014.