INTB
Case Study 2
October 2, 2014
Anglo American PLC in South Africa
What are the pros and cons of Anglo American’s adoption of an aggressive strategy in combating HIV/AIDS among its South African workforce? What recommendations would you give the company concerning its HIV/AIDS policy?
The pros behind Anglo American’s ART program are the fact that they took the initiative to step up and help their workers prevent the transmission of AIDS, treat AIDS, and provide other services like giving free condoms, providing counseling, etc. By taking the initiative and changing the way they see the AIDS epidemic in Africa, Anglo American became a trend setter, changing the way other companies operating in Africa treat their employees with AIDS. Their ART program has received good response from the World Health Organization, Global Business Council for HIV/AIDS, and other world organizations, thus putting American Anglo in the spotlight for being a socially responsible company. It has opened many doors for partnerships and deal agreements for Anglo American, but the parade could not last forever. Unfortunately, the ART program isn’t flawless and thus has some issues to be addressed. The first issue is that the cost of the program is extremely expensive due mostly to the highly priced, yet necessary, medicine to combat aids. In addition to the program draining Anglo American’s monetary resources, the South African government, oddly, did not approve of the ART program for various reasons and, therefore, can jeopardize Anglo American’s relationship with the government of South Africa. With ART draining resources and potentially jeopardizing the relationship Anglo American has established with the South African government, the only recommendation I can give Anglo American is to drop its current ART program and find a more effective and efficient way to fight AIDS in Africa, while still maintain a positive relationship with the government of South Africa.