OEM Responsibility

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Susan Fourtané
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A moral dilemma
Susan Fourtané   1/30/2012 12:55:47 PM

This is not an easy question. If parents educate well their children, basing their upbringing in good ethical values, and one day when the parents are not looking the children violate what their parents have taught them, to what extent the parents are responsible for their children's actions? 

How do we draw a line of responsibility between manufacturer and suppliers? Or could it be the case that the suppliers need a more strict education according to the manufacturers principles? Or is it that some suppliers prefer to ignore the manufacturer's teaching and do according to their own principles or lack of them? 

-Susan 

tech4people
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Re: A moral dilemma
tech4people   1/30/2012 2:00:58 PM
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Susan,

You pinpoint very accurate and very,very valid points.

I am reminded about a raging debate a few years back,should Electronic manufacturers like Nokia,Apple,etc be forced to pay for the Damage to the environment they cause(as most of their discarded products land up in landfills) .

A lot of people/politicians were proposing that either an additional Tax be put on the price of electronics products(which compensates govts for building and maintaining landfills & recycling programs) or,put in place mandatory legislation which forces manufacturers to take back their products (and recycle/dispose them off safely) at the end of their lifecycle.

It was a very lively debate.Unfortunately not much came out of it ,primarily because no one is willing to take responsibility for their actions.

Regards

Ashish.

Susan Fourtané
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Re: A moral dilemma
Susan Fourtané   1/31/2012 4:17:08 PM
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Thanks, Ashish. 

Yes, I remember those discussions, too. Some things have changed and improved since then. There is no doubt there is still much to do, though.

No one is willing to take responsibility for their actions, yes, and when there is a need to find a responsible there is always someone who will be blamed and accused. This is simply human nature until this, too, could be changed as part of human evolution.

-Susan   

 

Ms. Daisy
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Re: A moral dilemma
Ms. Daisy   2/2/2012 2:54:41 PM
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Susan:

You are right about the ethical dilemma posed by this question. The only difference between the parents investment in a child and these 2 entities I believe has to do with the product. Who in this partnership claims ownership of the product, must be held accountable for the good and the ugly that comes along its supply chain. So Apple for example should not be left out of the discussion on labor  outside the US or accountable for violations of workers rights in Apple facilities or by its suppliers, becuase the company has taken the decision to manufacture most of its products outside. It has the obligation to see that at minimum the rules that binds production in the US or UK (examples)is upheld, especially in light of the products being consumed here and the UK.

Monitoring of suppliers should be part of the operations risk management, since the actions of the former has an impact on the manufacturer too.

Nemos
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If not then Who ?
Nemos   1/30/2012 4:17:02 PM
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If I am correct informed right now we have 31.71% [ 13 ] no answers.  So I want to ask the readers who voted No. If the equipment makers are not responsible for the labor violations at their suppliers, then who is ?


Mr. Roques
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Re: If not then Who ?
Mr. Roques   1/30/2012 6:06:53 PM
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Nemos, I replied yes, but only because I believe they are responsible, but partially.

Who's fully responsible? How about the supplier? Everyone knows they are Apple's supplier but legally, they are two different firms.

pocharle
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Re: If not then Who ?
pocharle   1/31/2012 11:45:57 PM
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I feel that as an entire ecosystem, everyone is responsible. The vendors, supplier, everybody for the most part. Ignorance is bliss but if you have some semblance of an idea of what is going on, you should do something about it. We all know that the dollar speaks volumes.

Susan Fourtané
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Re: If not then Who ?
Susan Fourtané   2/4/2012 3:15:06 AM
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"Ignorance is bliss but if you have some semblance of an idea of what is going on, you should do something about it."

pocharle, 

Could you explain who you are refering to in that sentence? If you mean "customers" by saying "you", what do you suggest it should be done? 

-Susan 

pocharle
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Re: If not then Who ?
pocharle   2/8/2012 11:38:21 PM
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Yes, customers and vendors alike. If you know that the manufacturer or vendor is doing unethical or no-so-good practices, don't buy from them. It's alot easier said than done, but you can begin the process of looking elsewhere to conduct your business.

Susan Fourtané
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Re: If not then Who ?
Susan Fourtané   2/9/2012 4:14:02 AM
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Thanks, pocharle. 

I agree with that. However, in this particular case, I don't see how Apple can be blamed for the supplier's own practices that respond to a different culture and government regulations.

In fact, all this issue reminds me to all what I have seen about many Chinese being totally inhumane towards other species and same species to the point of making me question if they actually have some kind of code of ethics of some sort. I don't know the answer.

They don't have any code of ethics in the food industry, though. And I don't see anyone saying "I am not eating Chinese food anymore and will start eating other kind of more ethical food instead." They eat Chinese food because it's cheap. That's all. Who questions what happened to the food before the food was nicely served on the plate? It's just the same problem, and yet, some seem to insist on making a difference.  Why?

-Susan 

 

pocharle
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Re: If not then Who ?
pocharle   2/12/2012 9:49:32 AM
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Susan,

For the food comparision, do you mean Chinese food here... or overseas? Because you're right, people eat it because it's cheap and 'somtimes' is appetizing depending where you get it. But if the restaurant is in the US, then they do have to follow US DOH standards.

Hospice_Houngbo
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Re: If not then Who ?
Hospice_Houngbo   2/4/2012 10:54:45 PM
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I will put the blame on the country's labor regulation authorities. Why this cannot happen in western countries? Because of the working condition standards and regulations in place in those countries. 

Nemos
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Re: If not then Who ?
Nemos   2/5/2012 3:55:52 AM
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"Why this cannot happen in western countries?" Unfortunately it happens check via Google to find what is going on in France Τelecom.


Wale Bakare
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Re: If not then Who ?
Wale Bakare   2/7/2012 7:40:34 PM
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If business agreements between the supplier/contractor does not include labor/human right, then hardly can OEM be blamed for that.

Nemos
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Re: If not then Who ?
Nemos   2/8/2012 7:25:38 PM
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"then hardly can OEM be blamed for that." What is going on in the next door is our responsibility, and as we are heading to the future, we must throw away the "ostrich method"

Susan Fourtané
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Re: If not then Who ?
Susan Fourtané   2/9/2012 4:19:44 AM
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"I will put the blame on the country's labor regulation authorities."

Exactly, HH. Me, too. 

How easy would it be for a Chinese supplier to accept and follow the US's labor regulations? What other problems would that impy? 

-Susan 

Barbara Jorgensen
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OEM responsibility
Barbara Jorgensen   2/6/2012 2:20:41 PM
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Interesting debate. The reason we see so many Safe Harbor statements on financial releases is to protect companies from the type of criticism we discuss here. Effectively, safe harbor statements say "we can't be responsible for any decision you make based on the information we provide you." I believe that had companies taken the same approach to labor practices, we wouldn't be having this discussion. Stictly speaking, I do not believe an OEM is responsible for its suppliers' actions. I think business contracts should be limited to the agreement to supply and pay for goods or services between the customer and vendor. But many companies took it upon themselves to be the arbiters of right and wrong when they publicly declared their "values." Now, it's too late to turn back.

Susan Fourtané
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Re: OEM responsibility
Susan Fourtané   2/9/2012 4:59:05 AM
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"I do not believe an OEM is responsible for its suppliers' actions. I think business contracts should be limited to the agreement to supply and pay for goods or services between the customer and vendor."

Barbara, 

Yes, yes, yes! Exactly! 

-Susan






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