This proposal was drafted with the aim of seeking the board approval to start a waste recycling plant to handle waste product produced by Shem West Pesticide Manufacturing Company. This suggestion was arrived at by a team of employees mandated to deal with public relations issues after receiving several complaints from members of the public claiming that the company’s dumpsites were not environmentally friendly and posed a great health hazard to the society.
Background
Through random complaints received by the company’s public relations officers, it has come to the company’s attention that the public is accusing it of neglecting its corporate social responsibility of taking care of the environment. To confirm these allegations, the company sent an environment specialist to the dumpsite to assess the environmental damage caused by the dumpsite and to assess the level of the health risk it poses to the society. From the report he presented, it is clear that this dumpsite has caused an undeniably huge environmental degradation in the area. He also found some extremely hazardous waste products like pesticide solvent wastes and other ignitable materials which would cause bodily harm to anyone who comes into contact with them (Caldwell, Mastrocco, Margiotta and Brooks 2014, 8). This problem has angered the society, a major stakeholder in the company, to the extent that they have vowed to seek legal intervention if the company does not take action immediately.
Judging from the specialist’s report and the complaints from the public, it is highly recommendable for the company to start taking a keener interest in ensuring that it delivers its corporate social responsibility of maintaining the environment. To achieve this, the company should set up a waste recycling plant to recycle its hazardous waste and clear the current dumpsite with immediate effect before more damage is done to the environment or lives lost. It is also recommendable for the company to start working together with consultants and environment conserving organisation for the provision of insight on environmental matters. The company should also issue a formal notice to the society acknowledging their mistake, apologising and promising to handle the issue with utmost urgency. To maintain a good relationship with the society, it is also recommendable that the company compensates fully any member of the public who has suffered in any way from exposure to this dumpsite (Rasche, Morsing and Moon2017, 2).
Implication of Compliance and Non-compliance
If the company applies the recommended action, its relationship with the members of the surrounding society will be reestablished, and the two will continue mutually benefiting each other. A good relationship between any company and the society is key. In many cases, the same society provides the largest portion of the company’s labour force. If the company fails to comply, a rivalry will be established between the company and the society and the company will end up losing quite a substantial portion of its labour force. The company would also suffer a considerably huge financial draw back since it would lose some of its clients who hail from that society (Ferrell and Fraedrich 2015, 6). If the company fails to comply and the society goes ahead to sue it, the company’s reputation would be tarnished thus losing many potential investors and clients. The reputation of the company’s top management and board of directors would also be highly tarnished for failing to comply with environmental regulations and for neglecting their corporate social responsibilities.
Rasche, A., Morsing, M. and Moon, J. eds., 2017. Corporate Social Responsibility. Cambridge University Press.
McWilliams, A., 2014. Economics of Corporate Social Responsibility. Edward Elgar Publishing.
Caldwell, D.J., Mastrocco, F., Margiotta-Casaluci, L. and Brooks, B.W., 2014. An Integrated Approach for Prioritizing Pharmaceuticals Found in the Environment for Risk assessment, Monitoring and Advanced Research. Chemosphere, 115, pp.4-12.
Ferrell, O.C. and Fraedrich, J., 2015. Business Ethics: Ethical Decision-Making & Cases. Nelson Education.
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