BPMN 3123 : MANAGEMENT ETHICS TRAIDOS BANK AND ROCHE MUHAMAD SYAZWI AFIF BIN HALIM 226015 MOHAMMAD SYAFUAN BIN NORDIN 226019 WAN MUHAMAD AIZUDDIN BIN WAN AHMAD TARMIDZI 220344 AHMAD RIFA’IY BIN ZAINAL ABIDIN 225622 ZAMIRUL AZRI BIN JAMIL 226084

SUMMARY This case is between Traidos Bank and Roche, the Swiss pharmaceutical removed by Traidos Bank because of Roche’s clinical trials with transplanted organs in China Traidos declared that its day to day decision making was guided by six principles : Promote sustainable development Respect and obey the law Respect human rights Respect the environment Be accountable Improve continuously In 2009, Traidos Bank had reviewed the operations of Roche and the pharmaceutical company meet the bank’s ethical criteria several months later, the bank decided Roche no longer met its ethical criteria Roche’s research programs in China for its clinical trials in China for the drug CellCept CellCept is a drug that prevents a patient’s immune system from rejecting an organ that has been transplanted into the patient.

The organs are taken from people who have recently died or been declared “ brain dead “, or from living donors. Up to 90 % of all transplanted organs in China come from executed prisoners. Dr. Schwan stated that CellCept was a medicine which had saved and continued to save thousands of patient’s lives Hundreds of thousands prisoners imprisoned by the Chinese government They had been killed for their organs which were then sold or given to transplant candidates. In 2010, an investigations had uncovered evidence that more than 9000 members of Falun Gong had been executed in Chinese prisons

QUESTION 1 Explain how utilitarianism might provide a defense for Roche and how a rights-based ethics condem Roche’s drug trail in China Which of these two approaches is stronger or more reasonable? Explain the reasons for your answer.

Utilitarianism might provide a defense for Roches by, Starting that the organs taken from the prisoners with their consent or without their consent for the purpose of Roches’s drug trial is acceptable. Although it was an unethical behavior, but it might bring a lot of benefits to the transplant patients in China once the drug test success.

Rights-base ethic Roche’s drug trials in China because Human right – every human has right in doing everything without the force of anyone. Prisoner rights – although the prisoner has given a permission in an agreement to do something, such consent while imprisoned cannot consider free will.

Which approaches are more stronger or reasonable? Rights-based ethic

EVALUATED ON BASIS OF BENEFIT AND COST QUESTION 2: Is it ethical for Roche to continue testing CellCept on its Chinese transplant patients? TWO POINT OF VIEW: UTILITARIANISM EVALUATED ON BASIS OF BENEFIT AND COST GREATER BENEFIT THAN ITS COST (BENEFIT TO FUTURE PATIENT > HARVEST FROM PRISONERS) IT IS ETHICAL TO CONTINUE

INDIVIDUAL ENTITLEMENT TO SOMETHING AGAINST HUMAN RIGHT OF PRISONERS 2) MORAL RIGHT OR HUMAN RIGHT INDIVIDUAL ENTITLEMENT TO SOMETHING AGAINST HUMAN RIGHT OF PRISONERS HARVEST EXECUTED PRISONER’S ORGAN WITHOUT PERMISSION SOME PRISONERS WERE HAD BEEN FORCED OUT TO CONSENT TO AN ORGAN DONATION IT IS UNETHICAL TO CONTINUE

Question 3 : Is Traidos Bank ethically justified in excluding Roche’s stock from the fund it offers its customers? Unethical if to light the duty of the bank to invest money wisely because : It will give higher return on investment people nowadays are more concern on health Based on Traidos Bank own conclusion towards Roche pharmaceutical giant, it is unethical for the bank to excluding Roche’s stock because : Prevent economic recession and provide more work opportunity  Enhance society welfare , reduce contamination  Encourage society to engage in organ donation 

Question 4 : Are Traidos bank’s ethical standards set too high? Traidos bank’s ethical standards are high but not too high. Reason behind keeping these standing are its competitive positioning in the banking market. This positioning might sound good as a brand. But can create untrustworthy relationship with its clients. Risk of getting disqualified or removed by Traidos Bank anytime. Redefine their six principals in order to make fund available for social enterprise. Businesses nowadays do not always need fixed rules and regulations.

Question 4 : Are Traidos bank’s ethical standards set too high? The top managers should be a person who… Knows how to adjust the business in the ever changing commercial environment. Able to consistently redefine the values of the organization that they agrees to follow. Needs to practices for promotion that reflect and strengthen those values. Need an open cultures in its cooperate environment where staff can discuss ethical issues in more depth. Helps to identify potential problems without destroying the relationship with their clients. Ethical standards need a constant reinforcement. Toleration, based on type of the funded organizations

CONCLUSION As a conclusion, in ethic, it is not important if someone is a good person or prisoner, each person has their own right and nobody can take advantage on them. Government should play their role well to protect all of their civillian and anyone who lives in their territory. An utilitarianism can’t be the reason to denied someone right.