Management Skills Exercises

Learning activities in this section are aimed at helping you develop social responsibility skills.

Cases

IKEA Builds on Its Commitment to the Environment

“IKEA Builds on Its Commitment to the Environment” (p. 25) and its related Challenge Case Summary were written to help you understand the management concepts contained in this chapter. Answer the following discussion questions about the introductory case to explore how fundamental management concepts can be applied to a company such as IKEA.

  1. 2-4. Do you think IKEA has a responsibility to support education and safety in the communities in which it does business? Explain.

  2. 2-5. Assuming IKEA has such a responsibility, in what instances would it be relatively easy for the company to be committed to living up to it?

  3. 2-6. Assuming IKEA has such a responsibility, in what instances would it be relatively difficult for the company to be committed to living up to it?

Solar-Powered Business Community

Read the case and answer the questions that follow. Studying this case will help you better understand how concepts relating to sustainability and corporate social responsibility can be applied in a company such as Reems Creek Renewable Energy Campus.

The power of the sun is readily harnessed by all types of businesses. There are restaurants that use solar power to operate their ovens. Some distribution centers use solar cells to light up the warehouse. And, certainly, manufacturers have been using solar panels to operate in a “green” manner while also cutting energy costs. Now, one enterprising developer wants to build an entire business park that will be the first solar-powered business in western North Carolina (Sandford 2012).

Russell Thomas, the driving force behind this project, envisions a 12.5-acre development that should be completed in late 2014. His 30 years of experience in project management and property development will be important for bringing this project to fruition. Tenants will include retailers, corporate offices, and warehouses. Visitors to the sprawling complex will be able to enjoy restaurants, shops, offices, and even lodging. “It’s about bringing socially conscious businesspeople together,” Thomas said (Sandford 2012). Located in Weaverville, North Carolina, the “campus” has a green mission to “feature, promote, and unite local and regional renewable energy oriented business vendors into a unique business alliance” (renewabilities.org). Weaverville is near Asheville, North Carolina, in the heart of the Blue Ridge Mountains.

How unique is the Reems Creek Renewable Energy Campus as far as uniting tenants? One feature of the campus is a clever approach to the parking areas. Solar cells will not only help light the area at night and provide shade during the day but will also provide income for the tenants. Five of these parking areas are scattered throughout the campus and are integrated into the overall design of the park. This encourages buy-in from the tenants, as they are not only beneficiaries of the energy but also recipients of tangible dollars for their participation in the development.

Thomas sees the tenants as a full alliance working together and “marketing themselves as a highly trained, sustainable-minded eco-conscious community of professionals” (renewabilities.org). The sense of community is clear in Thomas’s vision for Reems Creek—a place to work, live, and share in a common, ecologically friendly environment. The campus goes beyond making use of solar power by also utilizing rainwater retention and recycling services. Running and nature trails surround the facility, while a wetlands preservation plan ensures that the natural environment is maintained in an appropriate manner. In short, it’s a venue where those businesses that want to operate in a truly green way can feel right at home.

In addition to providing work space to a wide variety of tenants, the campus is literally just that: a training and research facility. Those wishing to earn certifications and licensure in renewability and sustainability can attend classes held in one of the buildings. Everything from green renovation to energy efficiency will be covered in state-of-the-art classrooms. Also, major research projects focusing on solar energy and ecologically harmless wind power are planned. Through funding, work space, and consulting, researchers can pursue ever-more-sustainable opportunities at the site. According to the new development’s website, “Our philosophy of creating business through renewable education and skills training is based on providing future generations skilled and trained technical and entrepreneurial human capital to innovate, solve, manage, and administer sustainable infrastructure” (renewabilities.org). This philosophy is critical because it will foster a new generation of individuals dedicated to sustainable energies.

The facility is definitely an ambitious project, one requiring extensive planning that integrates the sustainable energy aspect into a place where people can feel comfortable and productive. The architecture of the buildings echoes a 1920s style while incorporating twenty-first-century green initiatives.

Furthermore, the objective is to produce a rich source of energy from highly sustainable methods like solar energy, wind, water retention, and so forth. There will be enough energy produced at the Reems Creek Campus that the facility will be its own utility company, which will save tenants money on energy costs and create less of a drain on existing infrastructures. Beginning in 1996, federal regulations permit such companies to exist to lower energy costs through increased competition. Thus, Reems Creek Renewable Energy Campus is truly a sustainable organization in many ways. According to Thomas, “You want to be part of the solution, not part of the problem” (Sandford 2012).68

Questions

  1. 2-7. Describe how the Reems Creek Renewable Energy Campus is engaging in corporate social responsibility.

  2. 2-8. What difficulties do you see in the years ahead for Russell Thomas and his Reems Creek Campus? How can those challenges be overcome?

  3. 2-9. On a scale of one to five (with five being the highest), rate the sustainability of the Reems Creek Campus. Why did you give it such a rating?

Experiential Exercises

The Environmental Impact Team

Directions. Read the following scenario and perform the listed activities. Your instructor may want you to perform the activities as an individual or within groups. Follow all of your instructor’s directions carefully.

You are the head of a major British newspaper, Guardian Unlimited, and have just completed a social audit of your organization’s business activities. Your company produces a progressive, enlightened newspaper and a website that regularly cover social responsibility topics. You conducted the social audit to make sure your company measures up to the high standards your editorials expect of other companies. In the past, your company has won several social responsibility awards in areas such as encouraging diversity, innovations in social reporting, and employee giving to social responsibility causes.

Based on the results of your audit, you have set a new social responsibility goal for your newspaper for the upcoming three-year period. This goal is simple: to persuade your readers to have a positive impact on the environment.

You have established a group called the Environmental Impact Team to help you outline how your new goal will be accomplished. You are presently meeting with this team for the first time. Lead your group in outlining plans, organization features, an influence system, and a control mechanism, all aimed at achieving this new goal.

You and Your Career

The preceding information implies that managers should communicate to other organization members the extent to which the organization will be involved in performing social responsibility activities. Could the lack of such communication hinder your career success as a manager? Explain. If you were the president of the school in which you are taking this management class, what would you say to professors and students regarding the overall position on social responsibility that you would like the school to embrace? What specific activities should be pursued that correspond to this position?

Building Your Management Skills Portfolio

Your Management Skills Portfolio is a collection of activities specially designed to demonstrate your management knowledge and skill. Be sure to save your work. Taking your printed portfolio to an employment interview could be helpful in obtaining a job.

The portfolio activity for this chapter is Identifying Corporate Social Responsibilities. Read the following about the Bugaboo Strollers Company and answer the questions that follow.

Bugaboo is the brainchild of Dutch designer Max Barenburg and his physician brother-in-law, Eduard Zanen. Together they wanted to invent a baby stroller that is functional, fashionable, appealing to both fathers and mothers, and able to function on different types of surfaces.

Their initial product was the Bugaboo Frog. Introduced in Holland in 1999 and named for its “frog-like” suspension wheels that “jump” over obstacles in its path, the Frog became the “must-have” stroller of celebrities and parents who wanted this elite stroller for their babies.

After years of customer feedback and further testing and development of the Frog, the pair realized that parents want more options and that different parents have different needs. In September of 2005, the pair introduced to the world the Bugaboo Cameleon, the Bugaboo Gecko, and the Bugaboo Bee strollers to offer customers more choices.

The management of a company such as Bugaboo must clearly keep in mind the responsibilities that it has to society as a result of its business operations. The following list shows the four categories in which companies commonly have social responsibilities because of their business operations. For each category, list the responsibilities to society that you believe Bugaboo has as a result of the products that it offers.

Planning Issues to Inspect

Category

Social Responsibilities Related to the Product Itself

Bugaboo’s Responsibilities to Society

  1. 2-10.           

              

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  3. 2-12.           

              

  4. 2-13.           

              

  5. 2-14.           

              

Social Responsibilities Related to Marketing Practices

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  2. 2-16.           

              

  3. 2-17           

              

  4. 2-18.           

              

  5. 2-19.           

              

Social Responsibilities Related to Corporate Philanthropy

  1. 2-20.           

              

  2. 2-21.           

              

  3. 2-22.           

              

  4. 2-23.           

              

  5. 2-24.           

              

Social Responsibilities Related to Employees

  1. 2-25.           

              

  2. 2-26.           

              

  3. 2-27.           

              

  4. 2-28.           

              

  5. 2-29.           

              

    MyManagementLab : Writing Exercises

    If your instructor has assigned this activity, go to mymanagementlab.com for the following assignments:

    Assisted Grading Questions

    1. 2-30. Now that you have studied the arguments “for” and “against” as presented in the chapter, what is your personal position about businesses performing social responsibility activities?

    2. 2-31. How can society help businesses meet social obligations?

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