Businessmanagement has always presented ethical dilemmas to the variousparties involved. The cause could be divergent stands relating toimportant issues of the firm. The issues could be touching to thefirm’s profitability and the long term stability of the firm. Theethical dilemma may also present itself if the required remedy to aproblem foreseeable in future is only known by an employee in a lowerrank and they may be required to challenge the management .An idealexample being a Potato Chip Company whose one of the employedmanagers has realized a foreseeable problem in future .The followingpaper seeks to navigate into the issue. To begin with, the projectmanager should be able to point out to the senior management teamthat is seeking to raise additional capital the problems they havenoted. The problem she has noted relating to the cutting down thelevels of inventory during the close of year results announcement toincrease the earnings per share to investors. The manager shouldnotify the management at the earliest opportunity available to ensurethat a cost benefit analysis is carried out (Hirschey,2009).The cost benefit analysis helps determine the sustainable option inthe long run. Furthermore, it may be to the detriment of the firm ifthe level of sales were to be affected causing profits to dip.Additionally, the sales volumes lowering may lead to the level ofprofits lowering causing the earning per share in the coming years todrop. This clearly shows the importance of the manager reporting theissue to the senior management team. Additionally, it is importantfor efficient communication in firm to encourage exchange of ideas.The manager also ought to report the issue to ensure her project is asuccess. As a result, she also improves her career growthopportunities into the top level management team
Tosummarize, it is important for management teams in firm in the firmsto include all concerned parties in the decision making process andencourage free flow of communication (Hirschey,2009)..This ensures some ethical dilemmas are eliminated and the long runstability of a firm is maintained in terms of profitability.
Hirschey,M. (2009). Managerialeconomics.Mason, OH: South-Western Cengage Learning.