Essay Preview: DellReport this essayI am a communications and ethics expert asked to offer my remarks on the ethical situation DELL faces because of the companys decision to outsource further more Information Technology positions to India. The ethical foundation of outsourcing has endured heavy criticism since the practice first grew in popularity circa the late 1990s. DELL, along with a rapidly growing number of corporations, looks to India for well-educated and quality-driven employees at a fraction of the cost. In 2004, roughly 400 of the Fortune 500 companies cut costs by accessing Indias enormous pool of well-trained, English speaking talent for a variety of positions, not limited to call centers. (CNN) On the contrary, many advocates in disagreement with the practice insist that outsourcing is detrimental to the American workforce. I understand the pressure associated with your current position and, after careful consideration, would like to offer my most ethical recommendation.
Operating under the assumption that DELL will dedicate themselves to growth and to the further advancemnent of Indias global technology, I find the decision to be ethical based on the potential benefits both domestically and abroad. Pressure from investors to minimize costs while maintaining high customer satisfaction is an inherent demand of corporate society. Outsourcing to India, if managed efficiently, enables corporations to reduce labor costs significantly. To ensure an ethical resolution, DELL must remain dedicated to our economy and contribute any savings to further the development of global technology. If this is accomplished, India will also benefit; creating thousands of jobs and improving the quality of life are two contributions DELL could make to Indian society.
Controversy surrounding DELLs decision to outsource is a result of historical conflict between patriotism and global awareness. Patriotic Americans, who believe corporate America should be required to act exclusivley in the best interest of our economy, argue that too many jobs are sacrificed by offshore outsourcing. On the other hand, the recent globalization of business is a powerful movement that enables all nations to build mutually advantageous business relationships which often benefit world society. Another critical conflict exists between homeland-security and economic prosperity. With enormous amounts of personal information exchanged with call center employees, American consumers have zero tollerance for questionable security. Credit card numbers, drivers licenses, and social security numbers were all at risk when a dishonest call-center employee sold customer information to an undercover British reporter. (washington post) These types of fundamental conflict drive the growing debate on the ethical implications of moving operations to foreign soil.
As with any decision that tests ethical boundaries, Dell must identify all parties which would be effected as a result of any change in their internal structure. Performing a stakeholder analysis is critical to an accurate evaluation of an ethical dilemma such as the one DELL faces. Most importantly, DELL must remained focused on serving the best interests of their equity owners and investors. Stock-holders are the considered the priority in corporate environments and they should be protected from ethical mishaps. Satisfying the stock-holder is a daunting task; DELL investors demand high returns and should be highly regarded when considering any decision with a questionable ethics foundation. As always, DELL customers are a top priority. Customers are the driving force behind any product or service and their best
t is to align the business model with the values of their business customer. In order to provide shareholders with certainty and transparency as to their position and the value of their investments, DELL must be flexible and accountable.
2a.2. Inclusion of Confidential
Delivering financial information at a level consistent with the terms of the investment or business contract. In addition to maintaining the confidentiality between shareholders and DELL, the organization must ensure that DELL customers and business partners understand its own confidentiality guidelines. All security customers have the same obligation to disclose confidential information to DELL employees, business partners and third-party security customers. In addition to providing an excellent opportunity to enhance customer relationships, employees can benefit from increased levels of transparency if they are able to be assured of any particular aspect of their business.
2b. Employee confidentiality. Confidentiality, like all security obligations, is inalienable. Therefore, the D.C. Department of Finance prohibits the disclosure of confidential information. The DOJ strongly enforces the right of confidentiality of employees by making it a defense that one person’s employment or benefit accrues at least some of one additional party’s business.
2a.3. Confidentiality rules include:
1. Any confidentiality determination made by DELL from time to time, including without limitation its decisions about who is subject to review who is, and what type of information is disclosed. If a decision and the source of the decision vary from the source disclosed, confidential information is not disclosed and the matter is confidential if it does not change, as provided in the confidentiality law. If a decision and the source of the decision vary from the source disclosed, confidential information is not disclosed and the matter is confidential if it does not change, as provided in the confidentiality law. No disclosure of confidential information by the individual or non-entity who makes this determination is necessary in the circumstances of an action under Section 102(a) of Title 28.
2. Disclosure of personal financial information.
2a.4. DELL employees may choose not to disclose confidential information under Sec. 302.31 if they cannot adequately provide for the legal and ethical compliance of the business. There are certain specific rules that MUST be followed to obtain such a exemption. A decision to disclose confidential information is a highly considered decision if the material facts are known to the parties concerned. The disclosure should not be made with intent to avoid or avoid liability, and must only be made to meet a reasonable expectation of security or performance of security. This is especially true when the information reveals an important truth. When the data reveals a key detail, Dell executives may not reasonably expect others to believe that this information is pertinent to the company’s business. The confidentiality of personal financial information is also governed by the Securitization and Transparency Act of 1940 (securitization of information by confidential sources, such as customers), which provides some protection from disclosure of confidential information by business partners (e.g., if the source of the information is an outside entity such as a client).
2a.5. Confidentiality may be a condition for disclosing an action based adversely on the financial, legal or disclosure of information.
2a.6. DELL is not liable for information disclosed under Sec. 302.