Unethical Behavior in Organizations: The Case of Boeing 737 Max

Using your case study as an example, consider whether organisations engaging in unethical behaviour should be allowed to continue to operate.

1. What can the organisation in your case study do to ensure ethical standards?

2. Boeing Business In October 2018, 189 people were killed in a Boeing 737 Max Lion Air flight in Indonesia, when the aircraft went into a sudden nose dive and crashed into the sea 13 minutes after take-off. In March 2019, 157 people lost their lives when a Boeing 737 Max Ethiopian Airlines flight nose-dived into the countryside outside Addis Ababa. Both accidents were blamed on software flaws and issues with the sensors, specifically, the Manoeuvring Characteristics Augmentation System (MACS), which was designed to keep the flight stable was malfunctioning and pushing the nose of the aircraft down, overriding any actions by the pilot.   

3. Dennis Muilenburg, Boeing’s Chairman and Chief Executive Officer, initially refused to admit there were any flaws in the software and said that if the pilots did not follow the exact procedure, the software would not work correctly. He went on to say that the trust of the public could be restored.  Apart from the software/ sensor problem, there have also been concerns about airspeed issues, and most recently a component of the wing was found to be susceptible to fractures. The affected components help to provide lift during take-off.   

4. The Federal Aviation Administration has temporarily banned the jets. Boeing is planning software upgrades to be finished by the end of the summer, and it is estimated that the aircraft should be back in operation before the end of 2019. The moral issue here lies with whether the company was putting profit before safety.  

Adapted from

https://www.theguardian.com/business/2019/jun/16/boeingmax-737-jet-crisis-we-shouldve-been-more open-says-ceo

https://www.theguardian.com/business/2019/apr/29/boeing-boss-rejectsaccusations-about-737-max-jets-that-crashed  

Executive Summary (not included in the word count)

• Summary of each section of the report  

Introduction (suggested: 250-300 words)

• Definition of ethics
• Brief summary of the case study
• Significance of reputation to an organisation within the sector
• A sentence summarising the main aims of the report

• Short introductory paragraph including a statement with the aim of the report and a map sentence.  
• Identification and selection of 3-4 distinct aspects from ‘Points to consider’ or from student’s own research. These aspects should be the topics of the main body paragraphs.  
• Each body paragraph should include a topic sentence.
• In order to analyse each aspect, research from relevant sources should be used to support the evaluation of the extent to which the reputation of the organisation has been damaged.

Conclusion (suggested: 150 words)

• Summary of the Analysis section

Recommendations (suggested: 300 words)

• Introductory statement • Three recommendations that are based upon the points considered in the Analysis section.  • Each recommendation must suggest what the organisation in the case study can do to ensure ethical standards.  

Reference List (not included in word count)

• This should follow the conventions of Harvard referencing.

Appendices (not included in word count) Any figures, tables, or diagrams etc. can be included here

• Impact of unethical behaviour on Boeing’s reputation and whether the company should be allowed to continue to operate.  
• Impact of unethical behaviour on Boeing’s revenue and whether the company should be allowed to continue to operate.
• Impact of unethical behaviour on Boeing’s shareholders and whether the company should be allowed to continue to operate.  
• Impact of unethical behaviour on Boeing’s customers and whether the company should be allowed to continue to operate.

Assessment Criteria

• Knowledge and understanding of relevant research relating to ethical issues related to the case study as well as analysing and understanding the implications of these issues.
• Ability to independently manage learning resources, demonstrate command of Harvard referencing, structure a report according to academic conventions and express ideas accurately while maintaining academic style.

• Use of sources (including: range, quality, paraphrasing/ summarising and referencing)
• Structure (including: report structure, paragraph structure and cohesion)
• Task fulfilment (including: relevancy, clarity and level of analysis)
• Language (including: range, accuracy and style)