Mini case

Due Date: April 23,2021

Unit 2 Mini-Case: Ethics & CSR in Org Theory
Scenario
You are the plant manager for a small manufacturing plant which has developed one particular structural
design and strategic approach to doing business (chapters 2 & 3, structure and design, Porter’s broad
strategy & Miles & Snow strategies). As a result of your organizational design, you now have to consider
how you will allocate certain funds for various projects that align with the company goals and strategies.
*You can choose any of the designs, but you should decide before moving on to the decision section*

Although your plant has been operating at an acceptable level, there is always the need to improve
operations. You have argued that you could make significant improvements in your plant’s operations with
additional funding. The company has decided to give you the opportunity to prove your ideas by allocating
$1 million to your budget. You have the authority to allocate these funds as you deem appropriate;
however, you must also be able to justify your decisions to senior management, the employees, the
community, and other interested groups as defined by your strategic position. Senior management has
also placed some constraints/requirements on your decisions, as follows:

A. You may only spend/allocate the money on the projects listed below (you cannot make up your own
projects or groups)
B. You may only choose from the three options for spending provided for each group (you cannot
split/choose amounts)
C. Any money not spent must be returned to the company in general (will be removed from your budget)
D. You will be asked to justify your allocations to a committee of management, employees, and other
members of the business community. Keep in mind your strategic approach and be sure your allocations
are consistent with that approach.

Decisions
Make your decisions (see the supplemental sheet for categories, descriptions, and options) for each
of the following:

Market Research $
Dividends $
Wage Increases $
Pollution Control $
Discrimination $
Research & Development
$
Enhance Public Image $
Compensation $
Total Allocated $
Remaining (to return) $

Debrief Questions

1. Which strategic direction/design did you choose and how did this affect your allocation
decision-making? Was the process of choosing among these alternatives uncomfortable or difficult based
on your org design at all? Explain.

2. Which stakeholders were the most important, given your chosen strategic choice/focus? Which were
least important? Explain.

3. Justify/support your reasons
a. for any categories you decided to choose not to spend money (this includes either categories you
made no allocation to as well as categories where you chose alternative A).
b. for any categories you chose Alternative C for.
c. Which categories were the most challenging to make decisions for? Explain.

4. Which of the five approaches to CSR did you apply to this activity? How did this help shape/guide your
choices?

5. If you had money left over, where would you have allocated it if you were able to define custom
amounts? Explain.