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C A S E S T U D Y
HOW
WESTLAND/HALLMARK
PUT PROFIT ABOVE
SAFETY
Andi Abdul Wahab
Arsyad Said   
Diah Ayu Lestari 
Dimas Raihan
Moris Zebua
Youri Vivaldi 
Group 1
HOW
WESTLAND/HALLMARK
PUT PROFIT ABOVE
SAFETY
ABOUT
US 
Westland/Hallmark
Meat & Co.
Mendell gained control of
Hallmark’s company in 2003,
Hallmark said.
The plant began supplying beef to the lunch
program in 2003 and became one of its
largest suppliers.
The USDA named the company its Supplier
of the Year for the lunch program for 2004-
05. Westland/Hallmark supplied 27 million
pounds of beef for revenue of $39 million to
food-nutrition programs in the year ending
Sept. 30, 2007. 28
Hallmark/Westland Meat Packing Company was a
California-based meat packaging company.
Steve Mendell established Westland Meat Co. in
Commerce, CA, near Los Angeles, in 1990, and later
moved the company to Chino. The company bought
fresh beef from companies such as Hallmark and
turned it into ground beef and other products.
ETHICS
ETHICS
Definition
ETHICS
Acting in ways consistent with what society and individuals
typically think are good values. Ethical behavior tends to be
good for business and involves demonstrating respect for key
moral principles that include honesty, fairness, equality,
dignity, diversity and individual rights.
THE
IMPORTANCE
OF BEING
ETHICAL
THE
IMPORTANCE
OF BEING
ETHICAL
employees
commitment
investor loyalty
and confidence 
legal problems
and penalty 
employees
commitment
investor loyalty
and confidence 
legal problems
and penalty 
reputation image
building
relationship with
stakeholder 
BREAKING NEWSHERES WHAT
HAPPEND
MEAT COMPANY CHIEF DENIED SICK
COWS ARE SLAUGHTERED
(NEWSER) – The president of the
California slaughterhouse caught
up in a scandal over the abuse of
cattle admitted to Congress today
that sick cows from his plant
entered the food supply, the Los
Angeles Times reports. He
backtracked from an earlier denial
after a House panel made him
watch a second undercover video.
"Obviously my system broke
down," said Steve Mendell of
Information
Disadvantages
The CEO may or may not
know of the case in the
company.
THE
PROBLEMS
ANIMAL ABUSE UNCERTIFIED
ANIMAL
HEALTH
BREAKING
THE
REGULATION
030201
THE
PROBLEMS
IRRESPONSIBLE
ACTIONS
04
SPREADING
DISEASE
05
BAD COMPANY
PUBLICITY
06
THE CHIEF
EXECUTIV
E OFFICECEO. STEVEN MENDEEL
ETHICAL Grounds
Does my decision fall within the accepted values or
standards that typically apply in the organizational
environment?
Am I willing to see the decision communicated to all
stakeholders affected by it - for example, by having it
reported in newspapers or on television?
Would the people with whom I have a significant personal
relationship, such as family members, approve of the
decisions?
1.
2.
3.
self
interest
The CEO is to focused on
the profits and ignored the
quality of the goods and
Human Resources of the
company.
"One's personal interest
or advantage,
especially when
pursued without regard
for others."
ETHICAL
LEADERSHIP
B E I N G E T H I C A L A N D H O N E S T
T E L L I N G T H E T R U T H
A D M I T T I N G F A I L U R E
C O M M U N I C A T I N G S H A R E D E T H I C A L V A L U E S
T O E M P L O Y E E S T H R O U G H S Y M B O L S ,
S T O R I E S , A N D S L O G A N .
R E W A R D I N G E M P L O Y E E S W H O B E H A V E
E T H I C A L L Y A N D P U N I S H T H O S E W H O N O T
P R O T E C T I N G E M P L O Y E E S ( W H I S T L E
B L O W E R S ) W H O B R I N G L I G H T T O U N E T H I C A L
B E H A V I O R .
Managers must provide a good role model by:
WHY DID THE
MANAGERS AND
EMPLOYEES OF THE
MEAT PACKING
PLANT BEHAVE IN
THE WAY THEY DID?
Q
01
A situations in which there is a choice to be
made between two options, neither of which
resolves the situation in an ethically acceptable
fashion.
D E F I N I T I O N
Ethical
Dilemma
'FOLLOWING
ORDERS
FROM THE
SUPERVISORS'
First Quarter Proposal
app.co
APP.CO
THEY WERE JUST
I N R E S U L T
The employees directly implicated by the video have
already been prosecuted and one, who pleaded guilty
to animal abuse, was convicted and sentenced to six
moths in imprisonment in 2008.
The employees were
working under pressure to
meet the daily target of
meat output. So they
increase the use of electric
prods, a faster way to kill
but inhumane. 
OUTLINE A SERIES OF STEPS
THE PLANT'S MANAGERS
SHOULD HAVE TAKEN TO
PREVENT THIS PROBLEM
FROM OCCURRING
Q
02
A COE document may outline the
mission and values of the business or
organization, how professionals are
supposed to approach problems, the
ethical principles based on the
organization's core values and the
standards to which the professional is
held.
CODE OF
ETHICS
CREATING
CODE OF
ETHICS
I D E N T I F Y T H R E E
S T A N D A R D S O R V A L U E S
T H A T Y O U W I L L
I N C O R P O R A T E I N T O T H E
C O M P A N Y ' S E T H I C A L C O D E
T O D E T E R M I N E W H E T H E R A
B E H A V I O R I S E T H I C A L .
D I S C U S S T H E V A R I O U S
K I N D S O F E T H I C A L
D I L E M M A S T H A T
W E S T L A N D / H A L L M A R K
E M P L O Y E E S - M A Y
E N C O U N T E R I N T H E I R
D E A L I N G S W I T H T H E
S T A K E H O L D E R S U C H A S
C O N S U M E R S .
I D E N T I F Y A S P E C I F I C
B E H A V I O R T H A T T H E K I N D S
O F E M P L O Y E E S M E N T I O N E D
I N I T E M 1 M I G H T E X H I B I T ,
A N D C H A R A C T E R I Z E I T A S
E T H I C A L O R U N E T H I C A L .
1
2 3
self
reflection
for the
supervis
ors.
What was the issue?
Why do I acted so
unethically?
What prompted me to
behave in an unethical
fashion?
Was I aware that the
decision I made was very
unethical?
What was the outcome?
dear
cows, I'm
sorry.
* Change the name of the butcher house
* Change the logo of the butcher house
* Make sure the cow healthy certified, for example
the cow have been confirmed healthy by the vet
* Put the employees on training so that the
employees know the importance of ethics in the
organization
lets make a humane
slaughter house.
HOW TO
HUMANELY
SLAUGHTER A
COW?
S T U N G U N : A C A S H K N O C K E R ,
T H E D E V I C E T H A T F I R E S A
B O L T I N T O T H E C O W ’ S
F O R E H E A D , I N S T A N T L Y
S T U N N I N G I T .  
H O M E K I L L : K I L L I N G T H E C O W
F R O M A F A R W I T H O U T
H I M / H E R K N O W I N G .
A C O W S U S P E N D E D A F T E R
S T U N N I N G . P R A T H E R R A N C H
E M P L O Y E E S L I F T T H E
A N I M A L S B Y T H E I R R E A R
H O O F S A N D T H E N B L E E D
T H E M O U T O V E R A D R A I N .
T H E C O W S D I E Q U I C K L Y A N D
E X P E R T S S A Y T H E S T U N N I N G
P R E V E N T S T H E M F R O M
F E E L I N G P A I N .
Utilitarian
Model
Theory
UTILITARIANISM IS A NORMATIVE
ETHICAL THEORY THAT PLACES
THE LOCUS OF RIGHT AND
WRONG SOLELY ON THE
OUTCOMES (CONSEQUENCES) OF
CHOOSING ONE ACTION/POLICY
OVER OTHER ACTIONS/POLICIES.
AS SUCH, IT MOVES BEYOND THE
SCOPE OF ONE'S OWN INTERESTS
AND TAKES INTO ACCOUNT THE
INTERESTS OF OTHERS.
STRIVES TO ACHIEVE THE GREATEST
GOOD FOR THE GREATEST NUMBER
WHILE CREATING THE LEAST AMOUNT
OF HARM OR PREVENTING THE
GREATEST AMOUNT OF SUFFERING.

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How Westland/Hallmark Put Profit Above Safety?

  • 1. C A S E S T U D Y HOW WESTLAND/HALLMARK PUT PROFIT ABOVE SAFETY Andi Abdul Wahab Arsyad Said    Diah Ayu Lestari  Dimas Raihan Moris Zebua Youri Vivaldi  Group 1 HOW WESTLAND/HALLMARK PUT PROFIT ABOVE SAFETY
  • 2. ABOUT US  Westland/Hallmark Meat & Co. Mendell gained control of Hallmark’s company in 2003, Hallmark said. The plant began supplying beef to the lunch program in 2003 and became one of its largest suppliers. The USDA named the company its Supplier of the Year for the lunch program for 2004- 05. Westland/Hallmark supplied 27 million pounds of beef for revenue of $39 million to food-nutrition programs in the year ending Sept. 30, 2007. 28 Hallmark/Westland Meat Packing Company was a California-based meat packaging company. Steve Mendell established Westland Meat Co. in Commerce, CA, near Los Angeles, in 1990, and later moved the company to Chino. The company bought fresh beef from companies such as Hallmark and turned it into ground beef and other products.
  • 3. ETHICS ETHICS Definition ETHICS Acting in ways consistent with what society and individuals typically think are good values. Ethical behavior tends to be good for business and involves demonstrating respect for key moral principles that include honesty, fairness, equality, dignity, diversity and individual rights.
  • 4. THE IMPORTANCE OF BEING ETHICAL THE IMPORTANCE OF BEING ETHICAL employees commitment investor loyalty and confidence  legal problems and penalty  employees commitment investor loyalty and confidence  legal problems and penalty  reputation image building relationship with stakeholder 
  • 5. BREAKING NEWSHERES WHAT HAPPEND MEAT COMPANY CHIEF DENIED SICK COWS ARE SLAUGHTERED (NEWSER) – The president of the California slaughterhouse caught up in a scandal over the abuse of cattle admitted to Congress today that sick cows from his plant entered the food supply, the Los Angeles Times reports. He backtracked from an earlier denial after a House panel made him watch a second undercover video. "Obviously my system broke down," said Steve Mendell of
  • 6. Information Disadvantages The CEO may or may not know of the case in the company.
  • 9. ETHICAL Grounds Does my decision fall within the accepted values or standards that typically apply in the organizational environment? Am I willing to see the decision communicated to all stakeholders affected by it - for example, by having it reported in newspapers or on television? Would the people with whom I have a significant personal relationship, such as family members, approve of the decisions? 1. 2. 3.
  • 10. self interest The CEO is to focused on the profits and ignored the quality of the goods and Human Resources of the company. "One's personal interest or advantage, especially when pursued without regard for others."
  • 11. ETHICAL LEADERSHIP B E I N G E T H I C A L A N D H O N E S T T E L L I N G T H E T R U T H A D M I T T I N G F A I L U R E C O M M U N I C A T I N G S H A R E D E T H I C A L V A L U E S T O E M P L O Y E E S T H R O U G H S Y M B O L S , S T O R I E S , A N D S L O G A N . R E W A R D I N G E M P L O Y E E S W H O B E H A V E E T H I C A L L Y A N D P U N I S H T H O S E W H O N O T P R O T E C T I N G E M P L O Y E E S ( W H I S T L E B L O W E R S ) W H O B R I N G L I G H T T O U N E T H I C A L B E H A V I O R . Managers must provide a good role model by:
  • 12. WHY DID THE MANAGERS AND EMPLOYEES OF THE MEAT PACKING PLANT BEHAVE IN THE WAY THEY DID? Q 01 A situations in which there is a choice to be made between two options, neither of which resolves the situation in an ethically acceptable fashion. D E F I N I T I O N Ethical Dilemma
  • 13. 'FOLLOWING ORDERS FROM THE SUPERVISORS' First Quarter Proposal app.co APP.CO THEY WERE JUST I N R E S U L T The employees directly implicated by the video have already been prosecuted and one, who pleaded guilty to animal abuse, was convicted and sentenced to six moths in imprisonment in 2008. The employees were working under pressure to meet the daily target of meat output. So they increase the use of electric prods, a faster way to kill but inhumane. 
  • 14. OUTLINE A SERIES OF STEPS THE PLANT'S MANAGERS SHOULD HAVE TAKEN TO PREVENT THIS PROBLEM FROM OCCURRING Q 02 A COE document may outline the mission and values of the business or organization, how professionals are supposed to approach problems, the ethical principles based on the organization's core values and the standards to which the professional is held. CODE OF ETHICS
  • 15. CREATING CODE OF ETHICS I D E N T I F Y T H R E E S T A N D A R D S O R V A L U E S T H A T Y O U W I L L I N C O R P O R A T E I N T O T H E C O M P A N Y ' S E T H I C A L C O D E T O D E T E R M I N E W H E T H E R A B E H A V I O R I S E T H I C A L . D I S C U S S T H E V A R I O U S K I N D S O F E T H I C A L D I L E M M A S T H A T W E S T L A N D / H A L L M A R K E M P L O Y E E S - M A Y E N C O U N T E R I N T H E I R D E A L I N G S W I T H T H E S T A K E H O L D E R S U C H A S C O N S U M E R S . I D E N T I F Y A S P E C I F I C B E H A V I O R T H A T T H E K I N D S O F E M P L O Y E E S M E N T I O N E D I N I T E M 1 M I G H T E X H I B I T , A N D C H A R A C T E R I Z E I T A S E T H I C A L O R U N E T H I C A L . 1 2 3
  • 16. self reflection for the supervis ors. What was the issue? Why do I acted so unethically? What prompted me to behave in an unethical fashion? Was I aware that the decision I made was very unethical? What was the outcome? dear cows, I'm sorry.
  • 17. * Change the name of the butcher house * Change the logo of the butcher house * Make sure the cow healthy certified, for example the cow have been confirmed healthy by the vet * Put the employees on training so that the employees know the importance of ethics in the organization lets make a humane slaughter house.
  • 19. S T U N G U N : A C A S H K N O C K E R , T H E D E V I C E T H A T F I R E S A B O L T I N T O T H E C O W ’ S F O R E H E A D , I N S T A N T L Y S T U N N I N G I T .   H O M E K I L L : K I L L I N G T H E C O W F R O M A F A R W I T H O U T H I M / H E R K N O W I N G . A C O W S U S P E N D E D A F T E R S T U N N I N G . P R A T H E R R A N C H E M P L O Y E E S L I F T T H E A N I M A L S B Y T H E I R R E A R H O O F S A N D T H E N B L E E D T H E M O U T O V E R A D R A I N . T H E C O W S D I E Q U I C K L Y A N D E X P E R T S S A Y T H E S T U N N I N G P R E V E N T S T H E M F R O M F E E L I N G P A I N .
  • 20. Utilitarian Model Theory UTILITARIANISM IS A NORMATIVE ETHICAL THEORY THAT PLACES THE LOCUS OF RIGHT AND WRONG SOLELY ON THE OUTCOMES (CONSEQUENCES) OF CHOOSING ONE ACTION/POLICY OVER OTHER ACTIONS/POLICIES. AS SUCH, IT MOVES BEYOND THE SCOPE OF ONE'S OWN INTERESTS AND TAKES INTO ACCOUNT THE INTERESTS OF OTHERS. STRIVES TO ACHIEVE THE GREATEST GOOD FOR THE GREATEST NUMBER WHILE CREATING THE LEAST AMOUNT OF HARM OR PREVENTING THE GREATEST AMOUNT OF SUFFERING.