KG Group Pty, a Systems Engineering Company Case Study - Management Assignment Help

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A CASE OF KG GROUP PTY

Mrs Rajkoomar is the head of KG Group Pty, a systems engineering company located in Durban, KwaZulu-Natal. Her company has been contracted by a company, Rheinmetall, to make firing assemblies for torpedoes. This contract calls for additional safety testing to ensure that the systems work properly. Further to that, the testing ensures that the assemblies are safe for utilisation. The contract between the two companies specified that it was the obligation of Mrs Rajkoomar’s company to pay for this expensive additional testing. However, the CEO, Ms Jones, reminded Mrs Rajkoomar that their company is in financial trouble and asks Mrs Rajkoomar to skip the extra testing and falsify the paperwork by saying that the testing had occurred and that the systems passed. She then goes on to inform Mrs Rajkoomar that if she doesn’t sign off on the testing, confirming that the assemblies were tested, she will be fired. Mrs Rajkoomar decides she cannot give in to her boss’s demands and quits. However, she suspects that her former boss will promote someone else who will be willing to sign off on the testing. You are therefore required to answer the following questions and provide realistic examples where necessary.

1. Ethics is a branch of philosophy and is considered as normative science because it is concerned with norms of human beings. Briefly discuss the difference between the concept of ethics and business ethics. (6) a) State and discuss two important reasons explaining why business ethics are key towards sustaining the business and also in attracting potential investors? (6)

b) State and discuss how business malpractices contribute to conflict and lack of trust when doing business. Examples must be provided (6) 2. Clearly stipulate and discuss the imperativeness of an organisation to have a business code of ethics policy. (5)

a) Discuss extensively the: (8)

4 - legal consequences of breaching the terms of contract that was agreed upon by KG Group Pty and Rheinmetall. - impact malpractices will have towards the KG Group Pty corporate image.

b) State and discuss five (5) characteristics of business ethics. (5)

3. As professional Business Advisors, do you think Mrs Rajkoomar should report the ethical violations of her former company? If yes/no, substantiate your answer in accordance with business ethical principles.

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