There are a certain frameworks that organization follows and usually such framework is set by the law and by regulations. So the ethical decisions are greatly influenced by necessarily regulations and built upon the framework.
That is why taking into account the regulative framework and the values of the company’s board that would find the case of bribery in Bosnia unacceptable, Alistair creates a report which provides the explanation of the unique situation, and suggest that individuals responsible for the contract’s conclusion should have informed the company’s head officers responsible for legal issues and business ethics policies that what kind of contract is due to be concluded. So executive from Bosnian office has to be explained that his actions were inacceptable despite the moral side of the case because such unethical decisions may harm the company’s reputation and cause the international scandal. In future any employee will have to follow the ethical principles that could be applied to all areas of the organization.
Alistair recommends the board to introduce effective multinational ethics programs. Successful multinational ethics program is defined as one which clearly communicates important standards of ethical conduct in a way that is meaningful, valuable, and acceptable to international employees. (Hoffman 152) So, discussed pharmaceutical company has to communicate clear guidelines for expected ethical conduct to all areas of the organization, ethics policies and programs designed for overseas locations must acknowledge important local values. (De George Second, 17) To identify potential cultural conflicts and discover alternatives to encourage more ethical work climates, companies should comprehensively research how their own values and beliefs, as well as those of a host country, influence ethical norms and business practice. (Hoffman 152)
The ethics programs of this organization should clearly state that dealing with corruption and cases of bribery are not acceptable and could result in the firing of the employee responsible for their handling. The situation with the drugs delivery into conflict zones should be handled by the negotiations with the
Strong corporate guidelines for ethical practice are clearly essential to establish an ethical work climate in the pharmaceutical company that operates on the international market and specifically it is important for the offices based in the regions where ethics values differ from the common Western ethic values.
These guidelines set the ethical tone of the corporation and let employees know that management considers ethical behavior an important part of its business operations. Ethical guidelines can be communicated through conduct codes or mission statements which outline the company’s central expectations. Management strategies, accountability structures, organizational policies, incentive systems, training programs, and decision-making processes should all work in concert to reinforce the firm’s fundamental ethical beliefs.