Saturday, July 27, 2019

Article Review on General Moters Debacle Research Paper

Article Review on General Moters Debacle - Research Paper Example General Motors had to call back approximately 1.6 million cars in order to fix their switches which were causing sudden shut down in cars while in motion. The faulty ignition switches are reported to be linked with dangerous driving situations which resulted in 31 crashes and 13 victims in America since 2004 (Young, 2014). As more and more details are revealing about the faults identified in ignition switches it has become clear that the management of General Motors acted extremely irresponsible. On the other hand analysts have also indicated that the corporate bureaucracy of General Motors is significantly slow in responding to the customers’ safety and security issues (Young, 2014). This actually leads to the non-consideration of business ethics and morals while ignoring the fundamental needs of customers. For instance, in the book ‘Business Essentials’ Ebert and Griffin have stated that it is the prime responsibility of corporation to abide by the law and ethics which basically requires them to develop quality products. Moreover, the management must be able to positively contribute to the society (Ebert, 2014). However, if we see the role of General Motor’s management then it is clearly reflected that they did not act ethically which also compromising the greater social c oncerns and corporate social responsibilities of the organization. The CEO of General Motors, Mary Barra said that she came to know about the problem of ignition switches in January. On the other side Robert Lutz who is the global product development’s Vice Chair denied to have any information about ignition switch issues until recently (Young, 2014). When CEO was asked about why she wasn’t informed about the ignition switch faults then she responded that her being unaware of the incident should not be shocking for the prosecutors because General Motors has approximately 219,000 employees (Muller, 2014). The organization is involved in very complex business operations

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