Tinaan, Alexis Jaina E.

3A4 M2 – Formative Assessment no 2

ROBOTS IN THE FACTORY: A CONCEPTUAL CASE

You were appointed Corporate Treasurer in MWB, Inc. This was in consideration of your good background in
Accounting, Finance and Accounting Information Systems, and as a member of the Corporate Board of Directors. As
Corporate Treasurer you headed two significant board posts: Audit Committee and the Steering Committee for
Information Systems.

MWB, Inc. is engaged in the manufacture of a high-end car: the MWB. In the latest board meeting, the whole
discussion revolved around automation: exploring the possibility of replacing workers in the production line with
robots. This option will mean huge capital investment in robotics. This possibility will cut labor costs by 50% and
increase profits by 300%. A natural consequence of this move is the displacement of a hundred workers in the
production line.

You were tasked to lead the committee to come up with a proposal and a possible action plan.

INSTRUCTIONS

Considering the ethical principles (discussed in the Vocation of the Business Leader) behind good goods, good
work and good wealth and following the process see, judge and act; come up with a proposal to the board and an
action plan. Please limit your answer between 350 to 500 words.

To come up with a proposal and a possible action plan, first, I took into consideration the
ethical principles behind good goods, good work, and good wealth. Having good goods means
producing goods and services that meet authentic human needs such as: life savings, medical
services, education, health care, affordable housing, and goods and services that contribute to
human development and fulfillment. Here, a good entrepreneur gives first thought to service, then
second, to gain.
Good work means organizing work in-order for businesses processes to be effective,
efficient, and engaging. Work must be organized in a way that it becomes a venue for collaboration
because essentially, work brings people together. People should also be given, at appropriate
levels, a certain level of autonomy to be able to participate in the creative process and contribute
to the mission of the organization; the work given must also foster human dignity.
Good wealth, on the other hand, means a company must be sustainable. The enterprise
must profit to sustain the business but not at the expense of the common good. There must be a
just distribution of the wealth created. Profitable enterprises, by creating wealth and promoting
shared prosperity through wages, fair exchange with suppliers, fair price of goods and services to
customers and paying the right taxes, promote the common good and help individuals excel.
After gathering and studying such information, and following the process of see, judge,
and act, I would propose an action plan that would not displace the workers of the company. It is
not bad for the company to wish to earn more than what it earns today because change is constant
and emerging technologies do make our work easier and efficient. However, taking the
displacements of the workers into consideration, the company must not make the decision of
automation because it would be at the expense of the common good. Work is central to a person’s
calling to development and dignity of labor is very important. Work has multiple dimensions and
the most of use is the economic dimension; it is through work that a person is able to earn and
provide for his and his family’s needs. The enterprise can still profit to sustain the business without
jeopardizing the common good.
In conclusion, automation is not unethical. It is a tool, and as a tool, it cannot be morally
ambiguous - just as a knife is not morally ambiguous, even if it can be used for unethical means.
But, using them to achieve financial success at the expense of other members of the society is
against the common good of the society. As the greatest commandment states: "Thou shalt love
thy neighbor as thyself", our institutions can be our vehicle for our love to our neighbors. Leaders
and professionals running these institutions can make this possible. An enterprise that delivers
good goods, organizes good work, and creates good wealth, becomes a medium in the promotion
of the common good.