Highlights
Task:
Shareholder groups have heavily criticised Rio Tinto after revelations late last week that it hired lawyers to prepare for a potential injunction against the destruction of ancient rock shelters in Juukan Gorge, three days before they were destroyed in a mining blast. Late on Friday Rio released dozens of documents, including minutes of meetings, in response to questions raised by a parliamentary inquiry.
At a meeting of senior managers on 21 May, the iron ore boss Chris Salisbury asked about the risk of an injunction, and Rio’s legal counsel, Nic Tole, “advised preparations were under way and external law firm Ashursts [a multinational corporate firm] is instructed”.
Table 1: Key questions
Explore the interaction between organisational context and the CSR/ethical issue in the case chosen (considering the concepts of moral intensity, moral language and framing) and then address the following questions
1. What role do the internal and external factors on CSR/ethical decision making play within this case? (Consider the role that organisational schemas/scripts/moral language/ethical work climates/stakeholder salience play in CSR/ethical decision making within the case)
2. How can unethical/poor decisions be avoided?
3. Are ethical leadership, codes and training adequate responses to preventing similar problems at CorpCo or does the board need to do more? Critically discuss with reference to course and assessment task 1 literature, theory, concepts, and further research.
4. Make practical recommendations for the board of CorpCo to consider based on your analysis of the CSR/ethical decision making case chosen (these must be theory driven/evidence based).
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