Updated:

Business Ethics, “Performance Appraisal” Case Report

Exclusively available on Available only on IvyPanda® Made by Human No AI

The CEO of a medium-sized and moderately successful family-owned contracting business is relying on Frank who is the chief financial officer and a member of the Executive Committee to come with an ethical means of downsizing in the business. Frank decides to use the performance appraisal scores of employees to decide the ones that will be laid-off.

Unfortunately, there are some employees in the business who have not been evaluated for the last six years. This is because the CEO had accepted a request by the employees to be evaluated informally (Shanks 6). This makes the production of the performance appraisal for such employees a bit hard for the managers in some departments. The CEO suggests that it is time for these employees to retire because their performance is not as good as it used to be. Frank is in a dilemma because if he agrees with the CEO, he will be unfair to these employees and his proposed method of laying-off will not be effective. On the other hand, if frank disagrees with the CEO it will be a move against the wishes of his boss. The CEO argues that these employees are making ‘pretty good money and retrenching them would help the business save some cash. The CEO is not sure if these employees who have been with the business since it began are aware that they have not been performing well. Frank has an option to disagree with the CEO for the rights of the employees or agree with the CEO and secure his position in the executive.

Right Thing

Business ethics has stipulated guidelines, that individuals in a business should conduct themselves in an ethical and moral manner. The idea by frank to use performance appraisal to lay off some employees is very moral and frank should stick to his decision. He should try to convince the CEO of the importance of doing things in a moral manner for purposes of the name and the future of the business. The idea to lay off some employees because they are earning good money regardless of their appraisal is very unethical. The managers in the departments had previously questioned the decision to make informal appraisals to some employees and the CEO had told them that it was none of their decision (Shanks 7). Frank should insist on the use of performance appraisal scores.

Frank and his Career

By doing the right thing by not laying off these employees, it means that Frank will disagree with the CEO. This is likely to lead to demotion or loss of his career. If the CEO disagrees completely with his decision to use the performance appraisal scores, the best thing is to quit his position in the executive. This would mean that he will not be part of the team that will lay off the employees. He will not be guilty of any offenses and he will not be blamed for the wrong action. As stated before, the managers had questioned the issue of conducting performance appraisals informally and the CEO had told them it was none of their business. If Frank is against the same idea that the managers were against sometimes back, the CEO could be worried about laying off employees in an immoral and unethical manner. Since the performance appraisal will not be used, he will not lose his job since the business seems interested in laying off those employees that are earning good money.

Personal View

Frank could have been promoted so that blame is put on him when employees are laid off. In addition, he is the only non-family member on the executive committee (Shanks 1). Again, some members of the family were concerned about his fit with the culture of the business. All the other members in the group have family ties and they could agree to be against him on the issue. Quitting this position would do him a favor than risk his personality.

References

Shanks, Thomas. The case of the Performance Appraisal. 1997. Web.

More related papers Related Essay Examples
Cite This paper
You're welcome to use this sample in your assignment. Be sure to cite it correctly

Reference

IvyPanda. (2021, December 10). Business Ethics, “Performance Appraisal” Case. https://ivypanda.com/essays/business-ethics-performance-appraisal-case/

Work Cited

"Business Ethics, “Performance Appraisal” Case." IvyPanda, 10 Dec. 2021, ivypanda.com/essays/business-ethics-performance-appraisal-case/.

References

IvyPanda. (2021) 'Business Ethics, “Performance Appraisal” Case'. 10 December.

References

IvyPanda. 2021. "Business Ethics, “Performance Appraisal” Case." December 10, 2021. https://ivypanda.com/essays/business-ethics-performance-appraisal-case/.

1. IvyPanda. "Business Ethics, “Performance Appraisal” Case." December 10, 2021. https://ivypanda.com/essays/business-ethics-performance-appraisal-case/.


Bibliography


IvyPanda. "Business Ethics, “Performance Appraisal” Case." December 10, 2021. https://ivypanda.com/essays/business-ethics-performance-appraisal-case/.

If, for any reason, you believe that this content should not be published on our website, please request its removal.
Updated:
This academic paper example has been carefully picked, checked and refined by our editorial team.
No AI was involved: only quilified experts contributed.
You are free to use it for the following purposes:
  • To find inspiration for your paper and overcome writer’s block
  • As a source of information (ensure proper referencing)
  • As a template for you assignment
Privacy Settings

IvyPanda uses cookies and similar technologies to enhance your experience, enabling functionalities such as:

  • Basic site functions
  • Ensuring secure, safe transactions
  • Secure account login
  • Remembering account, browser, and regional preferences
  • Remembering privacy and security settings
  • Analyzing site traffic and usage
  • Personalized search, content, and recommendations
  • Displaying relevant, targeted ads on and off IvyPanda

Please refer to IvyPanda's Cookies Policy and Privacy Policy for detailed information.

Required Cookies & Technologies
Always active

Certain technologies we use are essential for critical functions such as security and site integrity, account authentication, security and privacy preferences, internal site usage and maintenance data, and ensuring the site operates correctly for browsing and transactions.

Site Customization

Cookies and similar technologies are used to enhance your experience by:

  • Remembering general and regional preferences
  • Personalizing content, search, recommendations, and offers

Some functions, such as personalized recommendations, account preferences, or localization, may not work correctly without these technologies. For more details, please refer to IvyPanda's Cookies Policy.

Personalized Advertising

To enable personalized advertising (such as interest-based ads), we may share your data with our marketing and advertising partners using cookies and other technologies. These partners may have their own information collected about you. Turning off the personalized advertising setting won't stop you from seeing IvyPanda ads, but it may make the ads you see less relevant or more repetitive.

Personalized advertising may be considered a "sale" or "sharing" of the information under California and other state privacy laws, and you may have the right to opt out. Turning off personalized advertising allows you to exercise your right to opt out. Learn more in IvyPanda's Cookies Policy and Privacy Policy.

1 / 1