Reference no: EM132856123

Business Ethics Case Studies Case Study: Networking and J.R. Electronics Technology

by Doug Carter

The University needed to purchase a networking system. Tim pressed hard for the 3-COM network which Tiddley endorsed and supported. C.G. made an excellent point that Novell was the system used in the industry as a standard. When Tim learned that Tiddley could bid Novell, he agreed and bids were let for Novell's Netware.

Three very high priced bids came back from companies C.G. had never heard of; Tiddley bid $46,000 and BIG BYTE bid $20,000. Tim suggested that the low bid be thrown out as low bids often are. C.G. was frustrated, claiming the hardware shouldn't cost more than $14,000 - $15,000 at the most, proved it with ad prices, but Tiddley got the bid, this time through Cripple Creek franchise's new salesman, Jim (J.R.'s son).

A clause in the bid required the equipment to be operational in thirty days. Three months later the Tiddley installers contacted C.G. asking for help. C.G. found that Tiddley would have to develop special drives. C.G. reported this to the CCVU purchasing agent who called Tiddley Corporate Office (about the 30-day clause), they sent out 2 reps and fired the Cripple Creek store manager on the spot. J.R. put his arm around the store manager, escorted him to CCVU personnel office, informed the personnel officer that Computer Services had a new employee. The personnel officer questioned the hiring; he soon left the University. The former Cripple Creek Tiddley franchise manager remained with the University. The system finally came on line, but has had many problems during its operation.

Questions:

1. Does the information presented raise questions about J.R.'s ethical philosophy?

2. If so, who should be concerned?

3. Tim was apparently between a rock and a hard place. Should he have acted differently?

4. What has CCVU taught C.G. Farnsworth about ethics?

5. What should C.G. do?

6. What was the ethical thing for the personnel officer to do?

7. If you were a member of the CCVU faculty, what would you do?