Dennys Ethics Essay

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Denny’s is one of the franchises owned by the Flagstar Corporation. The distressing fundss of Flagstar caused their leading to be so concerned on the Numberss of their corporation that they forgot about the direction of their employees and their actions. Even though corporate direction can’t control all the actions of their employees they can assist determine their actions through preparation and instruction in the workplace. Therefore the leading of Flagstar failed and was unethical. as they did non decently turn to the jobs with racism that some of their employees had working for Denny’s.

They besides didn’t complete these undertakings in a timely affair or even do plenty to forestall them. These jobs of racism. specifically with the employees’ dealingss with the clients continued to maintain stacking up for Denny’s direction. This created even more than merely fiscal jobs for Denny’s. but besides a new public image that they were non just to all races and were in the eating house industry where client service plays a immense portion in doing money.

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Denny’s had a job with the manner in which its employees dealt with functioning its clients. They dealt with a federal case in California where they agreed to halt the alleged discriminatory intervention of black clients. ( pg. 309 ) On the same twenty-four hours on the colony another similar state of affairs happened across the state in Maryland. However. these clients were secret service agents where 15 white agents were served their nutrient in a timely mode and five black agents waited about an hr before inquiring where their nutrient was. The agents filed a case against Denny’s. where it made national headlines and caused tumults throughout the state. ( pg. 309 ) Denny’s now faced a immense job as their public image was greatly worsening and had a senior direction that was wholly unprepared to cover with the immense issue that the company faced.

There is great competition in the fast nutrient industry. Denny’s tried to divide themselves from others by seting accent on sit-down service and making a welcoming atmosphere for its clients. ( pg. 310 ) For a company to be accused of holding employees that discriminate on clients based off
of race does non assist a company set up this type of atmosphere. Out of the whole Flagstar staff. 36 per centum are minorities where 20 per centum are black. which is twice the proportion of the U. S. population. ( pg. 310 ) However. there are no senior black directors or minority officers at Flagstar and there is merely one minority-owned franchise. Flagstar doesn’t have a job using minorities. but they do hold a job advancing them. This shows the failed leading of Flagstar.

There were some diverseness experts that defended Flagstar such as Marilyn Loven. who said. “Discrimination consequences from employees moving separately without the blessing of direction. ” ( pg. 310 ) This might be true as leaders that have the right purpose can be “undercut” by low-level front line employees nevertheless it is the leaders that must pass a batch of clip educating employees about favoritism. She besides said that. “No Company can extinguish racism. ” In the instance of Denny’s they had non one or two instances of favoritism but more than five in pretty short clip period.

Denny’s would settle a instance one-day and so the following twenty-four hours a new instance of favoritism would come up. Denny’s and the Department of Justice worked out colonies where Denny’s would reenforce constabularies of equal intervention to clients nevertheless it showed that those policies weren’t to the full pushed by leading. ( Exhibit 1 ) This deficiency of leading showed that the leading was “unethical” in their handling of their employees and favoritism.

The caput of Flagstar. Jerome Richardson took some of the duty for the jobs that Denny’s faced. He said that covering with fundss “blinded” him to other facets of running the corporation that he was in charge of. ( pg. 311 ) However. a corporation needs to cover all facets of the company besides its fundss. Its “unethical” for a company to let continued favoritism and non push plans to educate employees on favoritism.

The company was so focussed on doing money that they public image went in the drain as the company did nil to do certain their employees were educated and doing a good name for the company. In the instance of Denny’s the deficiency of minority leading showed corporate favoritism. which reflected on employees know aparting against the clients. This favoritism could go on anyplace but continued to go on at different locations all over the state for Denny’s and reflects on the company itself. It besides raises the inquiry of the ethical patterns of by the company and how the company responds to instances of favoritism in this instance. The continued instances of favoritism by employees showed that the Denny’s leading was “unethical” as they did non cover all facets of their corporation.

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