Memorandum on Code of Ethics

Questions: 1. Engineers Australia's National Congress approved a new Code of Ethics and Guidelines on Professional Conduct in 2010. The Code explains: 'In the course of engineering profession we will: Demonstrate Integrity Practise Competently Exercise Leadership Promote Sustainability 2. In view of your comments in relation to the Samarco case discussed in Question 1 above, the board of BHP Billiton Ltd has now instructed you to provide proposals for them to consider at the upcoming meeting. You need to advise the board in your managerial capacity at BHP Billiton Ltd such recommendations from a legal perspective that can bring about beneficial changes so as to enhance the business activity of the company. Set out your recommendations to the board based on the ethical framework you utilised in Question 1 in light of the Samarco case. Answers: 1. Considering the disaster that has happened in the Brazilian village of Bento Rodriguez, as an organisation associated with the iron ore mine named Samarco, BHP needs to revisit their standards of moral ethics ("CATASTROPHIC FAILURE - Four Corners", 2016). 19 lives have perished in the dangerous mudslide coming from the dam occupied in the mine partly owned by BHP (Mire, 2013). Huge wastes were emitted which caused such a mudslide and as a responsible organisation they should be following the Code of ethics to the fullest extent. The new Code of Ethics and Guidelines on Professional Conduct of 2010 has given us certain guidelines and a framework for engineers to follow while practicing engineering (Professional performance, innovation and risk in Australian engineering practice, 2009). They are liable to uphold these ethics and ensure that these ethics are followed to the maximum extent (Tueth, 2010). There are certain practices which we need to adhere to while applying our mind in our profession: To be honest with what we do. Before executing any job we have to be sanguine about the do ability of the work. They should be well informed about what we are doing and have to judge ourselves whether the job is feasible. They must show reliability and trust. In the present scenario they need to be honest to the affected people and put the best effort to ensure maximum help is given to the dead and their family. They need to respect their existence and not be blinded by their urge to excel. They are morally and legally responsible to compensate monetarily and physically every need and requirement which they yearn for. This incident is also an eye opener for us (2016). They definitely realise the loopholes in our practise skills which resulted in such engineering failure. This calls for regressive practical training to ensure that in future our work does not cause problems to any external party or their own reputation. It is true that they suffered financial loss, but we need to take care of the situation on a humanitarian point of view. In short, they must ensure that work done by them should be done with complete knowledge. They should determine able team leads to head any project. Poor leadership results in slump of any endeavour. One can deduce from the horrific incident that their mines lacked superintendence. People worked on their own accord but they did not receive able guidance. There was lack of communication and people did not have any immediate superior to report problems. This resulted in the happening of such chaos. They have to ensure that in case of any future endeavour, able supervisors are appointed for carrying on the work devoid of any glitches. They have to devise plans to ensure that public is served to the best possible way. They have to contemplate every step of a project before putting it into implementation. They need to think into environmental, cultural, social and economic aspects and try applying them into our engineering works. They need to avoid any outcome which is detrimental to the society and to our organisation. 2. Developing ethics and implementing them to satisfy morality in work require law to intervene. Legality in such ethics can surely bring sanguinity in following such ethics. There are excellent set of rules and a code of ethics which will guide them to reaching perfection in their field of work (Ã…Å ¾Ãƒâ€žÃ‚ ±mga-Mugan, 2003). But there is no enforcing mechanism for such ethics. Putting such guidelines into actual practise needs an authority that can put fear for punishment. Rules that are put on paper cannot be considered relevant and compelling for any employee unless it is engraved in their mind that any act in collusion with such ethics will entail penalty. Ethics are something which should be imbibed in the individual or the employee. However ethics cannot be treated as mere rules (Adelstein, 2015). They should have legal backing. As a manager, one should be aware that his or her decision making is very precious for subordinates. A good decision is a myth in absence of stro ng conscience and fear for repercussions. In the mine fiasco case, the company not only suffered financially but the catastrophe pitted the lives of many innocents (Dai, 2004). The company cannot shirk its responsibilities. All these outcomes can be linked to shaky principles and reluctance to adhere to professional ethics (Grace, 2006). When one is within an organisation, one has to keep in mind various nitty gritties of performance. There are certain ethics and rules which are implied in nature which have to imbibed in every employee. One is the scope of work. Another is the line of control. The line of hierarchy needs to be transparent. Decision making needs to be done by managers who are equipped with the required knowledge. Role swapping is sinful and detrimental to business functioning (Hunter, 2012). Before hiring any individual, his role should be clearly outlined and he or she should not be overburdened with any responsibility that does not fit to his or hers expertise. Bas ically, work should be assigned considering the persons capacity to handle the pressure. A legal framework will not only ensure a solid framework of job ethics but cement the importance of adhering to them. These ethics should be taken up to the legislature in the form of a bill, and proposed to the concerned houses for a panel discussion (Chen, 2008). There should be deliberations and legality of the issues should taken into consideration. The codes should be given a legal flavour so that managers and every high ranking officials get a sense of the seriousness of their position and incorporate such laws into their regular day to day work. The direct result will not be visible but it will affect the lower hierarchy. Good decision making will result in better performance by subordinates and as a result there will be good work product. This will help in avoidance of any further occurrence of such unfortunate incidents. Reference Code of Ethics (2016). Retrieved 1 September 2016, from https://www.engineersaustralia.org.au) Catastrophic Failure - Four Corners. (2016). Abc.net.au. Retrieved 1 September 2016, from https://www.abc.net.au/4corners/stories/2016/02/29/4413666.htm Adelstein, J. Clegg, S. (2015). Code of Ethics: A Stratified Vehicle for Compliance. J Bus Ethics. https://dx.doi.org/10.1007/s10551-015-2581-9 Hunter, R. (2012). Contracts for engineers. Boca Raton, FL: CRC Press. Grace, D. (2006). For Business Ethics. Australian Journal Of Management, 31(2), 371-380. https://dx.doi.org/10.1177/031289620603100211 Tueth, M. (2010). Fundamentals of sustainable business. Hackensack, NJ: World Scientific. Ã…Å ¾Ãƒâ€žÃ‚ ±mga-Mugan, C. nkal-Atay, D. (2003). Contextual effects on ethical sensitivity and penalty judgments. Teaching Business Ethics, 7(4), 341-363. https://dx.doi.org/10.1023/b:tebe.0000005709.10098.65 Professional performance, innovation and risk in Australian engineering practice. (2009). Sydney University, N.S.W. Mire, S. (2013). Australia: Ethics and Corporate LitigationConsidering Bell Group. Legal Ethics, 16(2), 370-372. https://dx.doi.org/10.5235/1460728x.16.2.370 Dai, H., Srikant, R., Zhang, C. (2004). Advances in knowledge discovery and data mining. Berlin: Springer. Chen, S. Bouvain, P. (2008). Is Corporate Responsibility Converging? A Comparison of Corporate Responsibility Reporting in the USA, UK, Australia, and Germany. J Bus Ethics, 87(S1), 299-317. https://dx.doi.org/10.1007/s10551-008-9794-0