Presentation of the CEO’s Position ACC260 Presentation of the CEO’s Position As the CEO of Kardell Paper Company it has been brought to my attention that we have some concerns with our operating procedures and that data has suggested that there could be a possible link with health problems and sonox. I believe I first will critically examine each and every single review of the stakeholder’s position and will form a course of action regarding the concern that has concerning sonox.
I must address that whatever course of action I decided to take will be based only actual facts and will also be based in the best interest of the company. The proposed plan would involve Kardell Paper Company having to shut down for about a year while the company could incorporate the new technology to keep any more contamination of sonox from reoccurring again. I believe that the first group with concerns I will examine will be the Kardell investors. The most important concern that the investors have is how much will they get back from their investment.
The investors also have some very good plans to keep the company from shutting down completely. The investor’s argument is also since there is no actual evidence that the plant is the one releasing the chemical known as sonox. The other argument is it is also unknown if sonox is the cause for miscarriages and respiratory disorders in the community of Riverside. And for those facts, the investors believe that the plant should not close for any period of time and lose any profit should remain open continue to run as normal. The second group with concerns I will examine will be the city of Riverside and the citizens.
One of the major concerns that the city of Riverside and the citizens have is the health of their community and any affects that could result if their water supply is being contaminated with the chemical sonox. The city of Riverside and the citizens also understand that if the plant is closed for a certain amount of time will ultimately affect the community and the economy, yet the city of Riverside and the citizens are more concern about the health of their community and their environment. The city of Riverside and the citizens would like action to be taken and for this matter to be solve immediately.
The third group with concerns I will examine will be the Kardell Legal Counsel. The legal counsels concerns are possible lawsuits from the contamination of sonox. Another concern would be harming the community and the environment. Legal Counsel also suggests that the company should continue to run as normal due to lack of evidence. Especially, since the company has not be the primary source of releasing the chemical sonox. The fourth and last concern I will examine will be the Kardell Employee – The Union. The main concern that the employees have is the possibility of losing their job and being out of work for a long time.
There are over 500 employees currently working for Kardell Paper Company. In result to being out a job would case some major financial concerns because they have families that depend on their income for food and shelter. Another concern the employees have it the health of their community. The employees believe that company should continue to test the water for sonox before making a decision in shutting down the plant. As the CEO of Kardell Paper Company, I examine the stakeholders concerns, I can see both strong and some weak in all of their arguments.
It is important as the CEO of the company that my decision is based on facts as well as in the best interest of whole company and not preferring one group more than the other. As I examine each and every concern from each group’s concerns, I can see that the strongest fact is that there is no solid evidence or data pointing to sonox chemical being the cause of threat to community and to the environment. With that said I believe that it is the best interest of the company to continue with business as usual.
I believe with no concrete evidence that Kardell Paper Company is releasing the chemical sonox into the Cherokee River should not shut down because it would only affect the profit of the company and it will also affect the communities economy because Kardell Paper Company would not pay any taxes during the time the plant will be close. Profit will also suffer because of the plant run for business for a whole year because it is close for upgrades. The community would also suffer major because the people will be left without a job do to the plant being shut down and there are over 500 employees that reside in the city of Riverside.
Investor would panic of the idea of the company shutting down because of a chemical that is being released into the water causing health problems all will pull out of the company and probably invest else were. With investors pulling out their investment would only make matters worse because it would hurt the profit of the company. All these problems would arise because of an employee’s findings that are solid proof. All this would only lead for the company Kardell Paper to end and go out of business. Since the plant will remain open for business it is best that we sell the chemical waste water which will then be sold to chemical producers.
At the same time Kardell Paper Company will continue to test the water supply to make sure that the chemical sonox is not being released into our water and that we do not have any further spillages. I also believe that it is important that we have another source do our investigation into the sonox chemical and that it is not done from our staff from our company. This is the best solutions for every group that has concerns over this issue. I believe that this plan will have a much better outcome for everyone involved.
The people in this community will continue to have their jobs, investors will continue to make money, the city of Riverside and the citizens will not have any economic problems because Kardell will remain open and continue to make their taxes, and the legal counsel will not have to worry about any law suits. And so that is my decision because I do believe that it is in the best interest of every single group for the company to remain open. References: Brooks, L. J. (2007). Business & professional ethics for directors, executives, & accountants (4th ed. ). Mason, OH: Thomson Southwestern