: In Global Supply Chain Chain Ethics (Should Walmart Do More - Case Study Example

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It has been argued that the Wal-Mart has been involved in unethical supply chain practices by forcing its global suppliers to offer…
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Case Study: In Global Supply Chain Chain Ethics (Should Walmart Do More
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Extract of sample ": In Global Supply Chain Chain Ethics (Should Walmart Do More"

Introduction Having a global supply chain is really an interesting idea however it becomes an ethical issue when the associated activities with it are analyzed. It has been argued that the Wal-Mart has been involved in unethical supply chain practices by forcing its global suppliers to offer it products and services at low prices. In a bid to offer the low prices, suppliers invariably pay low salaries to their employees besides forcing them to work for longer hours.
Central Problem
Wal-Mart has been the industry leader in retailing business due to its ability to offer low priced products and services under one roof. In order to achieve such objectives, Wal-Mart often procures from suppliers belonging to develop countries at lower prices due to cheap labor cost. What is however, unethical is the fact that suppliers force their employees to work at lower costs and longer hours due to increasing pressure from Wal-Mart.
Areas of Improvements
It is important that a holistic approach may be taken in order to rectify this issue as Wal-Mart shall also concentrate on reducing other non-core costs such as admin, marketing etc. in order to provide higher returns to the suppliers and their employees.
Ethical Principles
Principles of equality and fair trade practices shall be considered while addressing the problems of ethics into global supply chain management.
Means for measuring results
The financial statements and other disclosures made by Wal-Mart shall indicate the steps taken to overcome the problems and measuring the results for implementation of ethical guidelines. Read More
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