CASE NO. 10: (Management Consulting Firm)
Saligumba, Maria Methuselah C.
Far Eastern University
LEO Santos’ case study is an application of a Code of Ethics for Management Consultants: Free Structure Standards for Management Consultants. In improving the accounting system of the two clients located in Marikina, the firm has to face the effect of an ethical dilemma made by Leo Santos. The paper will present the possible solution based on the available data and the impact of such decision to the firm and the stakeholders.
1.0 Statement of the Problem
Leo Santos who is a junior consultant at a medium-sized management consultancy firm is working on the improvement on the accounting system of the two clients located in Marikina. In relation to these engagements, he would be required to travel to the city and could ask for a reimbursement from his firm the travel expenses that he would incur. His total expenses for the two trips were nine hundred sixty pesos for mileage on his car and four hundred forty pesos for meals. As he prepares the letter requesting reimbursement, he is considering charging for the total amount of the expenses to both clients. His rationale is that if he had taken separate trips, each client would have had to pay the amount.
This issue is the subject to understanding and determining the basic ethical responsibilities of management consultant. For these reasons, the paper attempts to respond to the following problems:
1. Who are the parties the parties that are directly affected by this ethical dilemma?
2. Is the image of the consultancy firm potentially affected by Leo’s decision?
3. Are the other consultants potentially affected by Leo’s decision?
4. What is the impact on the consultants if both clients paid Php 1,400.00 each for their expenses with no action on the consultant’s part?
2.0 Analysis of Important Factors
According to Articleworld.org a management consulting firm helps a company...