Question

In: Operations Management

How would you describe Black Diamond’s ethics in terms of how it treats its employees at...

How would you describe Black Diamond’s ethics in terms of how it treats its employees at the company’s factory partners in Vietnam, China, and Bangladesh?

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Expert Solution

Black diamond shows a strongly ethical perspective on how it handles its employees / partners elsewhere. It offers additional services for all to ensure people are treated equally and equitably so that their basic needs for food, health care, housing and education are met. They made their out-of-country offices secure with strict enforcement and qualification processes and implicitly trust them as demonstrated by the owner sending his engineer (daughter) to the location alone for an extended period of time. In doing so, BD ensures that all of its workers are treated fairly, whether they are in the U.S. or in other countries, in order to promote and uphold only the highest standards of ethics in the company.

Quite often outsourced firms run by local authorities without parent company involvement may end up exploiting local labor in an attempt to maximize profits. This has been seen time and time again over the years, including with prominent brands, when businesses are generally unaware of the working and living standards that the vendor sets for his employees (which may be totally unacceptable in the country of the parent company). This has resulted in poor working conditions (too many hours of work a day), poor living conditions (not enough to eat, too many people in a dorm), child labor, little access to health care or recourse for job injury. Therefore, it is reasonable and highly important for businesses to scrutinize their vendors / partners / employees in other countries to ensure that everyone working by them, including extended workers, will be treated equally just equitably and as they would be in the company's own nation. More transparency from the parent company would result in fair treatment of all staff, ethical procurement of specifications and the development of a multicultural and inclusive workplace where all workers' rights are taken care of.

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