Business Ethics –

Session 2: workshop

Johan Cottyn – ISCID-CO

December-Januari 2023/24

Johan Cottyn - Interplastics case

Somme important issues to
keep in mind for this session

1. Stakeholder model

2. PR & Ethics

3. Marketing Ethics

4. Sustainability

5. Cradle to cradle
Our company: InterPlastics SA (1)

InterPlastics SA is a Belgian multinational company

working in the plastic industry. We grew from a small
family business, founded in the fifties, to a group with
international ambitions. Beginning of the 60 were
golden years; we began our international expansion,
and we settled in a number of Western European
countries.
After a difficult period, InterPlastics is well maintained in
the market and is now a name in its niche of the plastic
world. Our worldwide market share is approximately
40%. Production expansion to Central Europe and
possibly outside Europe is viewed. One of the
objectives of this year is also to be listed on the stock
market. So we need extra capital.
Our company: InterPlastics SA (2)
InterPlastics produces three kinds of products
tailored for specific industrial packaging storage
of industrial and agricultural waste, industrial
standard packaging for liquid soaps and
detergents, and finally jerry cans.
Our company: InterPlastics SA (3)

Our only production units are in Belgium, namely in

Antwerp (industrial packaging) and Ghent (jerry
cans). Antwerp is the headquarter.

The sale is decentralized for Benelux (Antwerp), for

France (Paris), Italy (Milan) and Germany
(Frankfurt).
The production departments are responsible for
the purchases and also for all environmental
matters. Both plants are ISO 9001 and ISO
14000-14001 certified.
Our company: InterPlastics SA (4)

For all staff, there is a central HR service, but there

is also a local personnel manager in Antwerp,
Ghent and in all sales departments.
Finance and administration are centralized at
headquarters' responsibility.
To the CEO (Managing Director) reports five
members: the production manager of Antwerp,
Ghent’s production manager, the marketing and
sales general manager, the group HR manager,
and the general manager of finance &
administration. Together they form the executive
committee.
Our company: InterPlastics SA (5)

• In total, InterPlastics has about 8000 staff

members, 70% of them is working in Belgium.

• The objectives of the company were never defined

in a kind of “mission statement”.
Extraordinary Meeting

The CEO wants this agenda of the executive

committee completely devoted to the theme of
sustainability and ethics. He attended a
conference on the topic, and some recent elements
occurred, which make the topic relevant. See
description below.
What questions would you have in this regard to our
board and what suggestions can you do? Consider
the general description and the following facts.
Facts 1-3
1. The last year there is a remarkably rapid turnover of staff, says a union
representative in Antwerp, especially in the youngest age group.

2. A major competitor in Denmark that has 30% of the global market share,
publishes in its year report a comprehensive chapter on environment and staff
with figures, graphs and descriptions of projects. How do we evaluate our
global communication?

3. In a famous business magazine Amnesty International accused some

European companies to buy from Asian suppliers that use child labor, and in
this magazine, InterPlastics was also named.
Facts 4-7
4. Recently, the neighbors complained about noise at night in the Ghent plant
caused by our trucks and lorries. How can we deal with this complains? Could
we also reflect more on sustainable industrial buildings?
5. In the USA, a company with a similar activity as InterPlastics, but no direct
competitor, communicates that for its CO2 emission, they use the standards of
the Kyoto II Protocol and COP21. What about InterPlastics?
6. An executive from production of 54 years said that he had taken no training
the last 3 years.
7. Last week the chief accountant advised to submit a book commission for the
remediation of contaminated soils at the site in Antwerp. Do we really have to
do it? Can we look for Belgian and/or European partners who could help us
(technically and/or financially)?
Facts 8-9
8. The local sales manager in France was recently confronted with the question
of a customer that the handling of a major order would depend on paying
2% commission to an unofficial account in Switzerland. The order is
extremely important for the plant of Antwerp, where temporarily there is a
low order backlog faced in the specific product requested.

9. In the production of jerry cans is still used a dangerous agent. However,

there was suggested, as a result of an ISO 14000/ISO 14001 internal audit
two years ago, to use a more harmless alternative. This does require
additional investments.
Facts 10-11
10. The latest European staff satisfaction survey shows that employees
generally considered InterPlastics as a good organization to work at; the
score of positive answers was even higher than 3 years back. However, the
questions about confidence in the management are low, lower than in the
previous study.

11. Two days ago we received a significant order for jerry cans, an
application for the Belgian army. They specify that products that carry a ‘low
ecological footprint’ and ‘fair share’ will be considered as the most
important offers.
Facts 12-13
12. One group of engineers participated in a seminar about ‘Cradle to
cradle’, where even William McDonough and Michael Braungart were
present. Their conviction grew that production should be done in another
way. They want to implement their ideas and therefore there should be a
general presentation to all the staff members on this topic. This should
become also a part of our promotion and external communication. But, is it
more than Greenwashing?

13. As oil, one of the basic raw materials in our chain, is non-renewable, and
limited, we should make investigations on new technologies. Partners from
universities, private investors, other companies are therefore quit important.
Which partners can be found. Could we work together with the Ghent Bio-
Energy Valley?
Extraordinary Meeting

The CEO wants this agenda of the executive

committee completely devoted to the theme of
sustainability and ethics.
What questions would you have in this regard to our
board and what suggestions can you do? Consider
the general description and the above facts.
What do you have to do now?

• Group discussion to find suggestions for solutions on

the 13 facts. Be creative and innovative!

• Check individually what a ‘mission statement’ of a

company is. Write and present with your group a
good, well balanced ‘mission statement’ for
‘InterPlastics’

• Mission statement + all suggestions and solutions:

presentation this afternoon
• Send your comments and mission statements to:
johan.cottyn@vives.be