Case 8: Environmental Disasters & Ethics of International Corporations

Bianca Lofton, Will Phillips, Justin Jung, Yasin Polat, Dario Banda, and Jerry George

Bhopal Disaster
!! December 3rd, 1984 !! Union Carbide Corporation !! 80,000 pounds of poisonous gas !! Most of the gases were heavier than air, the resulting toxic death cloud fell to the ground and wind spread it through the city !! Killing thousands, and severely harming even more

BPs Deepwater Horizon

!! Oil Drilling !! April 20th, 2010 87 days !! Capped on July 15th !! 200 million gallons of crude oil

Exxon Valdez
!! Prince William Sound, AK !! March 24th, 1989 !! 11 million gallons of crude oil
!! Totaling around $500 million

!! US Supreme Court fined them $250 Billion for exemplary damages

Problems
!! Safety !! Environment !! Human Rights !! Taking responsibility

Bottom Line and Responsibility

!! Profit Driven !! Safety not considered !! Whos at fault?

Responsible Care
!! Started by chemical industry after Bhopal tragedy !! Provide awareness by educating the community and provide emergency and safety standards !! Practiced by 65 countries worldwide !! Have reduced process safety incidents by!58 percent over the past!18 years !! Have reduced hazardous releases to the air, land and water by more than 76 percent

Solutions
!! Location !! Training
!! Employees !! Catastrophe plan

!! Social responsibility programs

Lessons Learned
!! Regulate social responsibility !! Improve safety regulations !! Stay engaged during and after a disaster

Alternatives/Recommendation
!! Move towards more environmentally sustainable behavior !! Create strong ethical guidelines !! Implement safety regulations !! Modernize technology

Conclusion
!! Stricter regulations !! More government involvement !! Incentives !! Strive to improve the environment around them

Questions?