Corporate Governance and Ethical ResponsibilityCorporate Governance and Ethical ResponsibilityStrayer UniversityLEG 500 Law, Ethics, and Corporate GovernanceProfessor James Viricos1. Determine at least three (3) different internal and external stakeholders that Dr. DoRight might have to deal with on a daily basis at the hospital. Discuss the duty of loyalty owed to each internal and external stakeholder.
External and internal stakeholders are a community of people affected by the decision and actions of a business, who contribute either voluntarily or involuntarily to the welfare of the organization. Internal stakeholders are groups of people who operate entirely within the boundaries of the organization. The internal stakeholders that Dr. DoRight has to deal with on a daily basis are employees, board of trustees, Regional Director of Compliance. External customers consist of patients, community organizations, and corporations.
Concerning the duty of loyalty owed to internal stakeholders; it is the obligation of all organizations top managers to lead by example. Furthermore, uphold the core values and ethical principles that employees and other stakeholders, should use to guide their behaviors, and decision making in the organization, also keeping the organizations goals in profit and sales in-order, to keep the organization in sound financial standing. Laws created by, OHSA to protect healthcare workers must be followed to prevent health hazards on the job and exposure to infectious disease(Sethuraman, 2006).
In the medical profession, Physicians profess to be competent to help patients and have the patients best, interests in mind, Dr. Doright loyalty to external customers is to abide by the oath he took as a Physician. To have the best interest of the patients, community and corporations he service (Sethuraman, 2006).
2. Compare and contrast potential conflicts of interest that may exist between duties of loyalty owed to an internal stakeholder vs. An external stakeholder.
Physicians and other health care professional hesitate when it comes to describing the health care as an industry; in realty health has become an enormous business. The health care is changing from a noncompetitive, high-growth industry to a low growing competitive one. The problems resulting from these changes are compounded by the changes to a system which medical providers receive a set fee per patient, and possible change to the pricing systems for Medicare, Medicaid. These changes cause problems for physician executives, who have to maintain a balancing act attempting to control health care cost, and profit issues while maintaining the integrity of the physician-patient relationship. An industry that was in a noncompetitive situation, and now finds themselves in a competitive
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health care industry.
Anecdotal or actual health care providers: The problem with pharmaceutical companies and large pharmaceutical companies are that health care-related problems have been neglected or not addressed in the past decades. As of 2011, the U.S. health care industry contributed a trillion dollars—plus and minus one billion dollars—to the global economy. Despite the continued deterioration of healthcare costs, the United States continues to be the world’s top source of low-cost healthcare.
However, the failure to address the problems in public health care has led to a massive imbalance in the health care of both countries, both in the cost of care and the price of care, from which there is no clear path to success. As the US healthcare system has become more commoditized, new medical research and technologies have been developed that are highly beneficial in reducing health care costs, and are therefore more commonly used than the private sector.
The American health care system, and indeed its entire health care care system, was a highly dynamic, multi-national industry, combining manufacturing, shipping, pharmaceutical companies, research and development companies, and the private sector. Each of these organizations was a major innovator and supplier of new drugs, diagnostics treatments, and other devices for treating acute and chronic diseases. As the American health care system has grown, drug companies and pharmaceutical companies also have evolved, but they continue to work together very well. Both companies developed novel methods and technologies, developed new drugs with the potential to treat serious diseases without too much cost. These developments made American healthcare technology exponentially better, as demonstrated by major product changes such as the Affordable Care Act, and it has been the major driver of new research and development that has enabled them to become better and faster, without any cost.
Medical research and development is one of the most significant and successful industries of our age. There is a long history between those industries, but the two have been linked so closely that many of those links are very strong. Since the early 1970s and the 1980s, the American health care system has grown into a multi-national industry.
In recent years, many medical and scientific organizations have realized the potential of the new technologies employed with the current pharmaceutical and health system. The pharmaceutical industry has received critical advances in both its technology innovation and health care science, and this has encouraged many of the health care professionals within their organizations to expand their knowledge to new fields of study, and this has enabled the development and implementation of new technologies. Many biomedical and scientific organizations may not initially find the combination of this new technology with their current health care system, because this can lead to a potential conflict between their organizations’ interests, and many of them may be at a loss if and when such potential conflicts arise.
For example, the United Arab Emirates, led by President Qadri Al-Maliki, is moving forward with a new approach on the development of effective medicine. The United Arab Emirates has developed a number of promising new diagnostic technologies that are enabling new research and development into the natural and synthetic medicines that are used by over half the population of the Middle East.
However, while the recent scientific breakthrough