Ethics, Stakeholder, EDII, & CSR Project Memorandum

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University Canada West *

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May 13, 2024

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1 Ethics, Stakeholder, EDII, & CSR Project Memorandum Olaoluwa Opaola (2206218) University Canada West BUS 601: Ethics, CSR & Business Analysis Prof. Jack Smith November 3, 2023
2 To: HCI Incorporated From: Olaoluwa Opaola, Business Consultant Subject: Ethics, Stakeholder, EDI, & CSR Recommendations Date: 5th November, 2023 Introduction HCI Inc. is a successful real estate company owned by Alex Jones, an indigenous capitalist of the Plains Cree ancestry. For his upcoming retirement, Alex wants to build a state- of-the-art light-tech industrial park on a farmland that is being returned to the Stz’min’us First Nation (SFN) as part of a treaty settlement between British Columbia, Canada, and SFN, as this is the most profitable location for the park. However, although Alex is indigenous, he is a foreigner in this territory and is “anti- woke” regarding equity, diversity, and inclusion. To successfully carry out this project, HCI Inc. requires my recommendations concerning Stakeholders, Ethics, CSR, and EDI issues that may result from or impact the project, and how to handle them. Based on the slideshow of the stakeholder approach by DeBeers and Platinex, and Sexty, R. (2020). Canadian Business & Society: Ethics, Responsibilities, and Sustainability. 5th Edition, I recommend the DeBeers approach of successful collaboration with all stakeholders for mutually beneficial results. Furthermore, I recommend a collaborative value-based ethics, CSR, and EDI management plan led by an ethical leader like Jacqueline Jones and centered around a code of ethics, a social contract for community development, and value creation that cuts across economic, social, and environmental concerns, as well as individual differences.
3 Stakeholders and Stakeholder Management Program According to Sexty R. (2020, p. 41), a stakeholder is an individual, or group, who can influence and/or is influenced by the achievement of an organization’s purpose. Stakeholders can make or mar a business depending on how they are managed by the organization. HCI Inc. has different stakeholders in terms of the light industrial park project, with different interests and possible impacts on the project. Based on this, I recommend using the diagnostic typology approach to determine the stance of each stakeholder and the strategy for handling each one. There are four types of stakeholders in this approach (Sexty, 2020, p. 64): Type Name Definition Strategy 1 Supportive Stakeholder High cooperation potential and low threat potential Encourage and recognize their support. 2 Marginal Stakeholder Neither a high potential for cooperation nor a high potential for threat. Monitor closely and understand their interests per issue 3 Non-supportive Stakeholder High threat potential and low cooperation potential Reduce the dependence of the project or business on them 4 Mixed blessing Stakeholder High cooperation potential and high threat potential Mutually beneficial collaboration or partnerships Owners: Alex Jones, Shareholders, The Jones Family The shareholders of HCI Inc. are regarded as the owners of the business. The interests of shareholders often vary depending on the issue. They fall under Type 2 marginal stakeholders. Suppliers and Financial Partners Suppliers and financial partners usually have mutual interests in the business. When the business or project is successful, they are successful as well. This makes them a Type 1
4 supportive stakeholder which means they have a high potential for cooperation and should be encouraged. HCI Management and Employees Managers and employees of the company are usually responsible for the growth and running of the company. Based on this, they usually strive for the company’s success and can be grouped as Type 1 supportive stakeholders. Local Community and Consumers The members of the local community and the consumers have neither a high potential for cooperation nor a threat. They can be affected by the HCI project but do not necessarily pose a threat to the project. Based on this, they can be classified under Type 2 marginal stakeholders. Indigenous People: Stz’min’us First Nation, Hul‘qumi nu’um First People The SFN are the owners of the land and have access to the water that HCI needs for the project. They also which to carry out a project similar to that of HCI but on a smaller scale. If Alex Jones decides to sidestep the SFN it could spark conflict and the total failure of the project. Furthermore, the Hul‘qumi nu’um people would back the SFN for their Aboriginal rights and this could lead to financial loss and reputational damage for HCI. However, if HCI decides to collaborate with the Indigenous people, it could become a mutual success for both parties as the project would be carried out using HCI resources and SFN land and water. They can be classified as Type 4 mixed blessing stakeholders as they have a high potential for threat and
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