Question Details

Case: BYP11-6
 
     At Camden Manufacturing Company, production workers in the Painting Department are paid on the basis of productivity. The labor time standard of a unit of production is established through periodic time studies conduct by the Lowery Management Department. In a time study, the actual time required to complete a specific task by a worker is observed. Allowances are then made for preparation time, rest periods, and clean-up time. Ron Orlano is one of several veterans in the Painting Department.
     Ron is informed by Lowery Management that he will be used in the time study for the painting of a new product. The findings will be the basis for establishing the labor time standard for the next 6 months. During the test, Ron deliberately slows his normal work pace in an effort to obtain a labor time standard that will be easy to meet. Because it is a new product, the Lowery Management representative who conducted the test is unaware that Ron did not give the test his best effort.
 
Prepare a 2-3 page response to the following:
 
1.      Discuss who benefitted from Ron- actions.
 
2.      Discuss who was harmed from Ron- actions.
 
3.      Discuss whether or not Ron was ethical in the way he performed the study.
 
4.      What measure(s) might the company take to obtain valid data from setting the labor time standard?
 
The report will be graded using the following rubric.
 
Outcome Assessed:	•          Evaluate employee behavior in light of ethical standards for managerial accounting.
•          Use technology and information resources to research issues in managerial accounting.
Grading Rubric for Assignment - Ethics Case
 
Criteria
20	0-1
Unacceptable	2
Developing	3
Competent	4
Exemplary
1. Discuss who benefitted from Ron- actions.	Did not submit or did not discuss who benefitted from Ron- actions sufficiently.	Discussed who benefitted with 70 - 79% accuracy, thoroughness, and insight.	Discussed who benefitted with 80 - 89% accuracy, thoroughness, and insight.	Discussed who benefitted with 90 - 100% accuracy, thoroughness, and insight.
2. Discuss who was harmed from Ron- actions.	Did not submit or did not discuss who was harmed from Ron- actions sufficiently. 	Discussed who was harmed with 70 - 79% accuracy, thoroughness, and insight.	Discussed who was harmed with 80 - 89% accuracy, thoroughness, and insight.	Discussed who was harmed with 90 - 100% accuracy, thoroughness, and insight.

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