this presentation is on ethical dilemma it covers the following points - Introduction Company profile Ethical Dilemma’s in workplace Conclusion Bibliography

1. 1
CAREER
POINT
UNIVERSITY,KOTA
BUSINESS ETHICS
(SML-205)
PROJECT REPORT ON
ETHICAL DILEMMA’S AT WORKPLACE
(Asian paints)
SUBMITTED BY:
KrishnaChetiwal (K13836)
Tanmay Khatri (K13838)
BhupenSharma(K13322)
Yamini Kahaliya(K13341)
SUBMITTED TO:
MOBINA AKHTAR MA’AM
ASSISTANTPROFESSOR
SCHOOL OFCOMMERCE AND
MANAGEMENT

2. 2
ACKNOWLEDGEMENT
We would like to express our special thanks of gratitude to our teacher (Mobina
Akhtar ma’am) as well as our department (management) who gave us the golden
opportunity to do this wonderful assignment on the subject (Business Law) which
helped us in doing a lot of research and we came to know about so many new things.
We are really thankful to them.
This project report was very helpful and knowledgeable for us as now we can easily
point out the ethical dilemma’s which are almost common in every business.

3. 3
CONTENTS
TOPICS PAGE
NUMBER
Introduction 4 - 5
Company profile 6
Ethical Dilemma’s in workplace 7 - 13
Conclusion 14
Bibliography 15

4. 4
INTRODUCTION
Asian Paints Ltd.:
 Asian Paints is India’s largest paint company
 It is ranked among the top 10 decorative coatings companies in the world.
 Turnover of INR 7750 crores.
 Asian Paints along with its subsidiaries have operations in 17 countries across the
world.
 It consist of 23 paint manufacturing facilities.
Asian Paints is India's largest paint company and ranks among the top ten decorative
coatings companies in the world today, with a turnover of Rs.30.2 billion (USD 680
million). It was formed as a partnership firm by four friends in 1942. The company
has an enviable reputation in the corporate world for professionalism, fast track
growth ,and building shareholder equity.
Asian Paints produces a wide range of paints for decorative and industrial use. It also
manufactures intermediate products like Phthalic Anhydride and Pentaerythritol. The
chemicals business which contributes 5% to overall sales of the group is managed for
value. APIL's product range includes Wall paints, Metal paints, Wood Finishes,
Primers and others. Asian Paints produces a wide range of paints for decorative and
industrial use. It also manufactures intermediate products like Phthalic
Anhydride and Pentaerythritol. The chemicals business which contributes 5% to
overall sales of the group is managed for value. APIL's product range includes Wall
paints, Metal paints, Wood Finishes, Primers and others.
 Markets ofAsian Paints
The countries that Asian Paints has presence are as follows:

5. 5
South Asia
Bangladesh, Nepal, India and Sri Lanka.
South East Asia
China, Malaysia, Myanmar, Singapore and Thailand.
Africa
Egypt
Caribbean Islands
Barbados, Jamaica, Trinidad and Tobago.
Middle East
Bahrain, Dubai and Oman.
South Pacific
Australia, Fiji, Solomon Islands, Tonga, Vanuatu and Samoa Islands.
Marketing and Sales
Advertising Objective: Position Asian Paints Colour World as the ‘one stop paint
shop’ with all the colours one could want. The advertising should create enough
interest in potential consumers to ensure that they come to the Asian Paints Colour
World outlet or at least call the Asian Paints helpline.

6. 6
Company profile
Name of Company Asian Paints Ltd.
Type: Pubic limited
Industry: Paints
Founded: 1942
Headquarters: Mumbai, Maharashtra.
Key people:
Workforce:
Website:
Mr. P.M. Murty CEO & MD
4700
.www.asianpaints.com
P M Murty:
P. M. Murty is an Indian business executive. He was the former Managing Director and Chief
Executive Officer of Asian Paints, the largest Indian paint company. Murty, who joined Asian
Paints in 1971, had retired in 2008 as the head of decorative business of the organization.
Under Murty's leadership, Asian Paints scaled new heights, becoming the fourth largest
decorative, paint-maker in the world. In recognition of his achievements, he was awarded the
"CEO of the Year".

7. 7
Ethical Dilemma’s in workplace
Meaning :-
• An ethical dilemma is a complex situation that often involves an apparent
mental conflict between moral imperatives, in which to obey one would result in
transgressing another.
To resolve ethical dilemmas ask three questions:
o Utility : Does its benefits exceed cost (shareholder)?
o Rights : Does it respect human rights (society)?
o Justice : Does it contribute benefits and burdens evenly (employees)?
Structure of Ethical Dilemmas:
Either
Doing what
is morally
right
Results in
Bad outcome or bad
effects
Or
Doing what is
morally wrong
Results in
Good or at least
better effects or
outcome

8. 8
Reasons for Ethical Dilemmas:
 Failures of personal character.
 Conflicts of personal values and organisational goals.
 Organisational goals v/s social values.
 Hazardous , but popular products.
Dilemma and its types:
Dilemma is a situation where there no clear easy choice or answer.
Types of dilemma’s:
o Double bind dilemma:
In it victim placed in “no win situation” forced by another.
o Fairness dilemma:
Arise when groups are made facing decisions about how to share their resources and
rewards.
3 checks before solving ethical dilemma:
 Whether the dilemma is absolute or approximate?
 Whether the dilemma is professional or personal?
 What values, morals and ethics are involved?
 Ethical Dilemma Grid:

9. 9
Ethical Dilemmas are:
 Power & Authority
• The power and authority comes with responsibility , thus sometimes it becomes very
difficult for a person to choose what to do or what not to do according to his / her
power and authority.
• Power refers to the influence that leaders or managers have over the behaviour and
decisions or subordinates.
• An individual has power over others when his or her presence causes them to behave
differently. Exerting power is one way to influence he ethical decision making
framework.
• 5 bases for power:
 Position
 Referent
 Expert
 Reward
 Coercive
Case study:

10. 10
The human resource manager in Asian paints while recruiting the employees in the company
management team favoured those people who were his relatives and rejected the personnel’s
who were more eligible for the job, as the whole power and authority to recruit was
completely in his hand. Ethical dilemma: he made such things as he was pressurised by his
relatives to make space for their sons in the company, thus at that time he was thinking that is
he doing right or wrong by doing this and ultimately he did what his mind asked him to do.
Solution:
Now when he was facing a problem of deciding that is he doing right or wrong he must had
thought about both the aspects i.e the organisation benefit and personal benefit but he just
looked upon his personal benefit and took the decision which was although bad for
organisation.
 Trust
Trust once broken cannot be healed back, in a business organization and also in life every
work is made possible based on trust, some trust is showed by employer on employees,
some by boss on managers and likewise, without trust nothing is possible, but the problem
arise when the trust is breaked that whether it should be made in future or not? Will it be
right or wrong? For both organisation and ownself?
Case study:
In an international deal with other paint manufacturing foreign company for purchasing the
new technology from them was planned to be happen in near future, the BOD of Asian
paints told the same to Mr kumar, the managing director of the company and asked him
not to disclose it to anyone unless the final deal is signed, in the evening mr kumar had a
habbit of drinking together with his friend who was a junior in the company and by mistake
he told him everything, it was evident that the news spread like fire in next two days and
everyone got to know about the deal, although the deal was finalised and mr kumar was
also not fired but in future he was never trusted upon by the BOD.
Solution:
The solution here cannot be given exact as the initially BOD must not tell about the deal
until it is final, secondly when the M D was told that he should not disclose the news he

11. 11
must have thinked that after drinking alcohol no one has control over ownself so he must
not have went there for and the last stage could be he must have asked his friend to keep it
to himself only and not spread it.
 Secrecy
A trade secrecy is a formula, practice, process, design, instrument, pattern, commercial
method, or compilation of information not generally known or reasonably ascertainable by
others by which a business can obtain an economic advantage over competitors and
customers.
When any person related with business in any situation where he is in complete position to
leak the secrecy to outsider for some benefit, there arises an ethical dilemma that whether
to do this practice or not, one side its harmful for organisation and on the other side its is
beneficial for personal interest.
Case study:
After the recruitment process personnel’s are given a training in which they are told about
each and every aspect of working , the tools, the techniques, the formulas , the coding system,
the mechanism, etc. and are made prepared for working efficiently. Raja a recruited technician
was offered a sum of 20000 Rs from an employee of other competitive company to just tell
one formula for the automotive paints range and he did the same for money, after being
caught he was fired although he was getting a package of 50000 Rs in Asian paints.
Solution:
Here the problem is related with leaking out the secrets of one company to competitive
company for money, the dilemma here was very clear that whether he should tell the formula
and get 20000 Rs or denied and worked gracefully in the company and get 50000 Rs but he
thought of not being caught and because of greed he made he mistake and left with no job
and also affecting the company as its formula was out too.
 Confidentiality
Confidentiality is important to maintain privacy, security and trust in personal and sensitive
information is accessed or shared.

12. 12
In case of employment certain employees will have access to confidential information related
to research, WPI owned property, research subjects, they are expected to respect the
confidentiality and not to disclose unless authorised, this also leads to an ethical dilemma
whether to disclose or not?
Case study:
The case study related with secrecy discussed above can be taken here too as both are very
close concepts.
 Loyalty
The employee’s willingness to sacrifice income, leisure time, personal relationships, family
responsibilities and general life aspirations in the name of the organisation. The loyal employee
sticks with the company instead of looking for work elsewhere, especially during economic
boom when jobs are plentiful and moving on is easy.
3 degrees of loyalty:
 Obedience loyalty
 Balanced loyalty
 Free agency
The decision whether to break the loyalty or not in different situations is an ethical dilemma
for employees.
Obedience loyalty, which is an extreme case, works from the idea that the organization is
worthy and the employee is comparatively worthless or only worthwhile to the extent he or she
serves the organization. This extreme will be reached only rarely, but there are glimmers of it
in some professional activities.
Balanced loyalty is a situation where both the employee and the organization recognize in
each other an independent value. In this case, the employee can be expected to make
sacrifices—possibly even do things he or she would normally consider unethical—in the name
of serving the larger organization.

13. 13
Other demonstrations of balanced loyalty to the organization could include
 buying the company’s products (though they aren’t the personal preference),
 evangelizing in public life (telling your friends how great the company or its products are),
 voting for the political candidate the company affirms will best serve its interests,
 moving for the company.
Free agency is the extreme on the bottom end: the absence of loyalty. Some theorists propose
that this should be the default state for most employees for this reason: it’s
ultimately impossible to be loyal to a typical company because profit-making institutions just
aren’t the kinds of things that can properly demand or receive any loyalty. The entire idea of
loyalty, the argument goes, only exists in a reality where individuals stand by others to some
extent without conditions (example: parents who love each other and their children
unconditionally). Money-making businesses, on the other hand, are incapable of that kind of
unconditional fidelity.
Case study:
Asian paints being fully automised industry needs a very less workforce in the paints
manufacturing plant, only the labour for picking and lifting the material is required rest all the
remaining are the one who operates the machinery and are technical in their work, it was th
end of second quarter of year 2016-17 that the market witnessed a boom in employement
because of foreign companies entering indian market, the main threat to Asian paints was
Japanese company Nippon paints the Asia’s giant paint manufacturing company, it was
witnessed that the techicians working at Asian paints went there for interview and got selected
and switched the company as they were getting the chance to learn new technology and were
also paid higher.
Solution:
Here the problem was that the workers were not loyal towards the company and the option in
front of them made them leave the organization. Here the ethics say that it is unethical practice
on their part as they did it without giving any notice to company.
Conclusion
 It can be concluded that every business organization as a whole has to face ethical

14. 14
dilemmas while practicing ethics in its workings, ethical dilemma simply creates a
situation in front of an individual that whether it will be right to do something or not,
whether he / she should do it or not , while making this decision many considerations
are made like what is the problem, whom it is related with i.e. personal or professional,
what all values and morals are involved in that situation.

15. 15
Bibliography
 www.asianpaints.com
 www.wikipedia.com
 www.slideshare.com