2023783075
Case study 2; Issue 3
Question 1
1.1. -Acceptance of the stadium contract would eventually lead to non-compliance
with laws and regulations because quality of the stadium building can be
compromised as the company would have accepted the contract knowing
that they would outsource small parts of the project to small subcontractors,
and this may lead to lower quality work thus leading to non-compliance with
quality standards and regulations.
-Accepting the stadium contract despite a lack of adequate equipment, human
resources, and knowledge may result in resource excessive extension. This
may result in taking shortcuts to fulfil deadlines, disregarding safety
standards, or violating labour restrictions. For example, forcing employees to
work overtime without proper rest breaks may violate labour rules, with
potential legal consequences for the employer.
1.2. Accepting the contract would not meet the company standards as the company
states in their vision statement that they provide consistent, quality construction
services to all its clients but this standard would be compromised as they would have
to outsource some parts of the project from small subcontractors, and will not have
enough resources for the project thus compromising quality of the construction for
this client. The code of ethics standard that states that “employees are encouraged
to be straightforward and honest in all business dealings and must immediately
disclose any concerns about a project to clients’ would also be compromised as they
would not have mentioned to the client that they have limited resources for the
project which could compromise the quality of the construction.
1.3. It would not be fair on all stakeholders one of those stakeholders being
Dithaba’s Employees as these employees will be overworked and underpaid as the
company does not have enough staff members to ensure completion of the project in
time. The customer will also not be treated fairly should Dithaba accept the contract
because they will not receive quality construction and the construction might not
even be completed in time, yet they would have paid for a quality construction.
1.4. The decision of the acceptance of the stadium contract may not be disclosed to
the external parties. The CEO/board is reluctant to disclose the resource limitations
the company is facing because they want to maintain a competitive advantage in
the construction industry as disclose their resource limitation may leave them
vulnerable to their competitors, they are also trying to avoid the contract being
terminated and they are also trying to protect the shareholders’ interests as
disclosing resource limitations could affect the reputation of the company thus
leading to investors pulling out and market share prices dropping.
Question 2
2.1. Moral imagination entails empathetically visualizing the repercussions of actions
from various moral perspectives. The board can utilize its moral imagination to
evaluate the viewpoints and interests of the many parties impacted by this decision.
For example, the board may picture themselves as government officials and citizens
of the communities that would benefit from the stadium. They can evaluate the
government's reliance on the stadium's early completion to keep its pledges to the
communities. Empathizing with these stakeholders allows the board to realize the
possible impact of delays or quality compromises on local development, economic
stimulation, and public trust in government programs.
2.2. Dithaba Construction should communicate with government officials in charge of
managing the stadium project, as well as representatives from the local communities
that will benefit from the stadium's features. The goal of interacting with these
stakeholders is to better understand the project's importance to the government's
development ambitions, as well as the needs and expectations of the local
community. To government officials they should inquire about the stadium project's
significance to the government's goals, as well as any potential flexibility in project
schedules or requirements and to the local community representatives they should
gather feedback on the community's expectations for the stadium's completion,
prospective advantages, and any issues or preferences they may have about the
construction process.
