When the American Red Cross was formed in 1881‚ Clara Barton had no idea of the many ethical dilemmas that it would face throughout its history. Starting at the top with the high number of turnover in management due to poor management‚ embezzlement‚ misappropriation funds to their slow response after the attack of September 11‚ 2001‚ and poor communications after hurricane Katrina‚ the ARC has been riddled with ethical problems (503-509). So much so that‚ in 2012 the organization was restructured
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1. Explain the possible problems in the ethical culture of the Red Cross that created the issues discussed in this case. Ethical culture can be viewed as the character or decision making process the employees use to determine whether their responses to ethical issues are right or wrong. Ethical culture is driven by top management. The problems began with American Red Cross when the organization started to see a high rate of turnover in the executive level. The frequent executive turnover significantly
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The American Red Cross Summary The American Red Cross (ARC) is an independent organization‚ supported by public financial donations and volunteerism. It provides relief to victims of disasters and help people prevent‚ prepare for and respond to emergencies. The company has been widely criticized for the way it handled 9/11 in 2001 and Hurricane Katrina in 2005 as being inadequate and poorly managed. The company has allegations of fraud‚ bribery and even theft on the part of volunteers and employees
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Bivek ojha Business Ethics 1. Explain the possible problems in the ethical culture of the Red Cross that created the issues discussed in this case. The American Red Cross is technically a “charter nonprofit organization”‚ which means that they receive most of their funds from the Federal Government to finance their operations‚ but they remain an independent entity. This is an advantage for them in terms of their financial stability‚ but also means that they have the Government
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Assignment 1 “The American Red Cross” Chantill Toyer Strayer University HRM522 Ethical & Advocacy for HR Professionals Dr. Jeanette Horner-Smith October 26‚ 2014 ABSTRACT Whether you open a business or a nonprofit organization one has to have a vision and mission for that organization. An organizational mission is the goals one is aiming towards. The mission of the American Red Cross (ARC) is to “prevent and alleviate human suffering in the
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The critical ethical concerns are addressed as irresponsibility and untruthful monetary donation management‚ misinterpreted communication‚ irresponsible management of money and people who volunteer‚ and not having enough capacity to receive donations. The American Red Cross has questions of ethical issues and of these ethical issues it is present to doubt whether or not the company can be looked at as trustworthy with donations as they are known to lack in the capacity for online donations. The company
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The American Red Cross is a non-profit organization supported solely off of financial donations and volunteers (community). Red Cross mission is to “provide relief to victims to victims of disasters and help people prevent‚ prepare for‚ and respond to emergencies. Red Cross was founded in 1881 by Clara Barton. Who was inspired by the Red Cross during the Prussian War. She first implemented what she had experience over in Europe in the U.S. during the Spanish American War in the 1898. The Red Cross
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There are many possible ethical issues in the culture of the American Red Cross that created the problems discussed in this case. The American Red Cross failed at delivering organizational transparency. This failure allotted to employee embezzlement‚ unorthodox executive compensation‚ and employee misconduct. The organization experienced a high turnover. With this high turnover rate‚ deemed lavish executive compensation payouts. The organization’s reputation and culture has been further tarnished
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The main ethical issue inside the American Red Cross is the general trust of employees and volunteers and believing that they have the same ethics and values that are needed to be in place in this nonprofit organization. For years‚ there has been a total lack of accountability when it comes to donations‚ supplies or equipment that is needed during an emergency. There are no checks and balances in place and the organization is far from transparent as to where the funds or equipment is going. A recent
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an American hears the words “American Red Cross”‚ most of them think of big‚ blood drive busses or 1900’s nurses in baby-blue uniforms. A better way to define the Red Cross‚ however‚ would be to say that they are a humanitarian and disaster relief organization that was founded by Clara Barton‚ a self-taught nurse during the American Civil War. Barton started the United States chapter of the Red Cross on May 21st‚ 1881‚ after working with and appreciating the efforts of the International Red Cross
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