SOLUTION MANUAL for Business and Society Stakeholders Ethics Public Policy 17th Edition By Lawrence All Chapters 1 to 19 complete Verified editon

vnSOLUTION MANUAL FOR vn vn




BusinessvnandvnSocietyvnStakeholdersvnEthicsvnPublicvnPolicyvn17thvnEditionvnByvnAnn

evnLawrence

Chaptervn1-9

Chaptervn1



FAILUREvnBYvnDESIGN:vnBOEINGvnANDvnTHEvn737vnMAXvnTEA

CHINGvnNOTE



Thisvncasevnillustratesvnthevnfollowingvnthemesvnandvnconceptsvndiscussedvninvnthevnchaptersvnlisted:



1
©vnMcGrawvnHillvnLLC.vnAllvnrightsvnreserved.vnNovnreproductionvnorvndistributionvnwithoutvnthevnpriorvnwrittenvnconsentv
nofvnMcGrawvnHillvnLLC.

,Theme/Concept Chapter

ConflictvnofvnIntere 5
st
OrganizationalvnEthic 6
s
BusinessvnGovernmentvnRelations;vnGovernmentvnRegulat 7
ion
ProductvnSafet 14
y

CasevnSynopsis

OnvnMonday,vnOctobervn29,vn2018,vnLionvnAirvnFlightvn610vncrashedvnintovnthevnJavavnSeavninvnInd
onesiavnshortlyvnaftervntakeoff,vnkillingvnallvn189vnpeoplevnonvnboard.v n Thevnaircraftvnwasvnavnnearl
yvnnewvnBoeingvn737vnMAX,vndeliveredvntovnLionvnAir,vnavnlow-
costvnregionalvncarriervnandvnonevnofvnBoeing’svnmajorvncustomers,vnjustvnfourvnmonthsvnearlier.v n
ThevnMAXvnwasvnBoeing’svnnewestvnaircraftvnandvnthevncenterpiecevnofvnthevncompany’svnstrategy
vnforvnthevnshortvntovnmid-
rangevncommercialvnmarket.v n CEOvnDennisvnMuilenburgvnfacedvnanvnurgentvnanvnurgentvntask:vnto
vndeterminevnwhatvnhadvngonevnwrongvnandvnwhyvnwithvnBoeing’svnnewestvnandvnso-
farvnsuccessfulvnnewvnmodel.vnThevncasevnpresentsvnthevnhistoryvnofvnBoeingvnandvnitsvnexternalvnco
mpetitivevnenvironment;vnthevnevolutionvnofvnitsvnstrategy,vngovernance,vnandvnethicsvnpractices;vna
ndvnitsvnrelationshipvnwithvnU.S.vnregulatorsvnduringvnthevndesignvnandvncertificationvnofvnthevn737vn
MAX.v n WhatvnorganizationalvnandvnenvironmentalvnfactorsvnhadvncontributedvntovnBoeing’svndev
elopmentvnofvnanvnapparentlyvnunsafevnaircraft?v n WhatvncouldvnBoeing,vngovernmentvnregulators,vn
andvnitsvnairlinevncustomers




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©vnMcGrawvnHillvnLLC.vnAllvnrightsvnreserved.vnNovnreproductionvnorvndistributionvnwithoutvnthevnpriorvnwrittenvnconsentv
nofvnMcGrawvnHillvnLLC.

,andvnothervnstakeholdersvndovntovnpreventvnunsafevnaircraftvnfromvnbeingvnmanufacturedvnandvnsoldv
ninvnthevnfuture?




TEACHINGvnTIP:vnWHEREvnTOvnUSEvnTHEvnCASEvnINvnTHEvnCOURSE

Thisvncasevnisvnintegrative,vninvnthatvnitvndrawsvnonvnmanyvnthemesvninvnthevntext.v n Instructorsvnmay
vnusevnitvnatvnthevnendvnofvnthevncoursevnasvnavnfinal,vnintegrativevnassignment,vnorvnwithvnthevnstudyvn
ofvnChaptersvn5vnandvn6vn(EthicalvnReasoningvnandvnOrganizationalvnEthics)vnorvnChaptervn7vn(Busi
nessvnGovernmentvnRelations).




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©vnMcGrawvnHillvnLLC.vnAllvnrightsvnreserved.vnNovnreproductionvnorvndistributionvnwithoutvnthevnpriorvnwrittenvnconsentv
nofvnMcGrawvnHillvnLLC.

, TEACHINGvnTIP:vnVIDEO

InstructorsvnmayvnwishvntovnintroducevnthevnclassvndiscussionvnwithvnavnshortvnvideovnofvnthevnLionvn
Airvnflight.vnThevnfirstvn4vnminutesvnofvnthisvn9-
minutevnsegmentvndepictsvnthevnfatalvnflightvnofvnLionvnAirvn610,vninvnwhichvnavnjournalistvnridesvnin
vnavnsimulatorvnwithvnanvnexperiencedvn737vnpilotvnwhovnrecreatesvnthevnflightvnfromvnthevnperspecti
vevnofvnthevncockpit.v n (ThevnremaindervnofvnthevnclipvndepictsvnthevnEthiopianvnAirlinesvncrashvnandv
nisvnnotvnrelevantvntovnthevncase.)v n Viewersvnmayvnfindvnthevnvideovnclipvndisturbing,vnevenvnterrifyi
ng.

www.youtube.com/watch?v=OxPsxmU_ocI
TEACHINGvnTIP:vnSTARTINGvnAvnCASEvnDISCUSSION

Onevnwasvntovnstartvnavnclassvndiscussionvnofvnthisvncasevnisvntovnaskvnstudentsvntovnhuddlevninvngrou
psvnofvn2vntovn4.vnGivevnthemvn5vnminutesvntovnwritevnonevnorvntwovnsentencesvnbeginningvnwith:vn―
OnevnreasonvnthatvnBoeingvnproducedvnanvnunsafevnaircraftvnwas…‖v n Theyvnshouldvnthenvnhavevnav
nrepresentativevnwritevntheirvnsentence(s)vnonvnthevnboardvnorvnsharevnonvnavncommonvnelectronicvnp
latform.vnThevninstructorvnmayvnthenvncategorizevnthevnanswersvnandvnusevnthemvnasvnavnjumpingvnof
fvnpointvnforvntakingvnupvnvariousvnissuesvnraisedvnbyvnthevndiscussionvnquestions.

Samplevnanswers:v n OnevnreasonvnthatvnBoeingvnproducedvnanvnunsafevnaircraftvnwas…

ThevnculturevnofvnBoeingvnhadvnshiftedvnfromvnavnfocusvnonvnengineeringvnexcellencevntovnavnfocusvn
onvnshareholdervnreturns.v n Thevncompany’svncapabilitiesvnforvnaircraftvndesignvnhadvndeteriorated.

ThevnFAAvndelegatedvnmostvnofvnthevnworkvnofvncertifyingvnthevn737vnMAXvntovnBoeingvnitself,vnsov
nthevnregulatorsvnwerevnunablevntovnexercisevneffectivevnoversight.


BoeingvnwasvnundervntremendousvnpressurevnbecausevnofvncompetitionvnfromvnAirbus,vnsovntheyvnd
ecidedvntovnupdatevnthevn737vnrathervnthanvndesignvnanvnall-
newvnplane.v n Thisvncreatedvnanvnunsolvablevnengineeringvnproblem,vnbecausevnthevnbiggervnmorevn
fuel-efficientvnenginesvntheyvnwantedvntovnusevndidvnnotvnfitvnundervnthevnwingsvnofvn737.

Boeing’svntopvnexecutivesvnandvndirectorsvnemphasizedvnshareholdervnreturnsvnovervnengineeringvn
excellence.v n Costvnandvnefficiencyvnwerevnmorevnimportantvntovnthemvnthanvnthevnqualityvnofvnthevn
aircraft.

Boeingvnhadvnspentvnsovnmuchvnmoneyvnonvnstockvnbuybacksvnandvnshareholdervndividendsvnthatvnth
eyvndidvnnotvnhavevnenoughvnleftvnovervntovninvestvnproperlyvninvnR&Dvnandvnaircraftvnengineering.

Boeingvnhadvnavncodevnofvnethicsvnbutvndidvnnotvnseemvntovnenforcevnit.v n Itvnignoredvnworrisomevnsu
rveyvnresultsvnandvndidvnnotvnlistenvntovnseriesvnwarningsvnfromvnseniorvnmanagers.

ManufacturingvnofvnthevnMAXvnwasvnrushed,vnpossiblyvnleadingvntovndefectsvninvnaircraftvndelivere
dvntovncustomers.


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©vnMcGrawvnHillvnLLC.vnAllvnrightsvnreserved.vnNovnreproductionvnorvndistributionvnwithoutvnthevnpriorvnwrittenvnconsentv
nofvnMcGrawvnHillvnLLC.