...BECTON DICKINSON: ETHICS AND BUSINESS PRACTICES Becton Dickinson and Company was created in 1897 and since then has been “Priding itself as a medical products pioneer, BD was the first manufacturer of the modern stethoscope, the insulin syringe, and the vacuum tube for blood-drawing products” (p. 2) Dennis Santucci, as the controller for Becton Dickinson has been having a hard time justifying certain expenses made by the company. These types of expenses seemed inappropriate like a physicians’ trip out of state which included a weekend of personal travel or a signing of a supply contract by a company which requested other appliances to be contributed to them as an extra. In 1995, Ethics and Business Practices program was established worldwide and by 1997, the “Business Conduct and Compliance Guide” handbook was distributed. The matter in question is to choose whether the global policy on gifts, gratuities, and business entertainment should be made standardized internationally or whether it should be decided locally, depending on local circumstances and practices. All issues pertaining to business related payment approvals must be handled by country. Having the experience to have worked internationally, I can personally attest to the fact that rules and rituals are different in every country. In Russia for example, it is looked down upon if the company that is trying to close a deal with a client does not bring a gift. In America, this would be considered inappropriate and...
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...1. How has the healthcare industry changed from pre-1983 to post-1983? What are the implications for the Vacutainer Division? 2. How has Becton-Dickinson managed to be so successful (market share-wise) in this market? How important is the APG contract? 3. What are the interests of the key stakeholders in the terms of the Vacutainer-APG negotiations? 4. What should Becton-Dickinson do with respect to the demands from APG? Value Proposition | For (customer), (company) offers its (product), which unlike the (competition) provides the owner with (benefit). | 5Cs | 4 P’s | Customer * Material mgrs of hospitals * Healthcare professionals * Medical research institutions * Industry – hospitals, medical laboratories, non hospital health care centers * General public * VACUTAINER * MICROTAINER: Infants, children and geriatric patients, smaller volumes of blood | Product * Blood collection products: * Medical * Diagnostic * Industrial safety * VACUTAINER * MICROTAINER | Climate * 1983 – process of how US govt reimbursed Medicare patients affected healthcare industry * Hospitals are more conscious of inventory carrying costs * | Price * Evacuated tubes Avg unit price 6 cents – 8 cents * Needles – 6.5 cents | Company * Becton Dickison Vacutainer Systems * Supplier of blood collection products * NEW Z contract – * BD negotiated price and QTY with large accounts, but supplied its products with one or more distributors * Three business segments:...
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...Strategic Management Becton Dickinson Case Tuesday January 28, 2014 In the case of Becton Dickinson (BD), employees are looking for more guidance from their top management on how to deal with ethical issues such as issues with bribery and corruption within the international markets. The problem for BD is that they are in stuck in a situation that they are feeling pressure to not follow their ethical conduct and participate in these social norms that consist of bribes and scandals in order to guarantee a contract. The US government outlawed any company that participates in international trade to offer gifts or money in order to make deals. This is definitely not the case in countries such as Europe, Asia, and Africa where it is a social norm to offer these gifts to influence a business deal. The problem for BD is that other companies within the international market are going to use such incentives to gain business. BD needs to decide if they are going to have a uniform policy on gifts, or make a region-by-region policy? My recommendations are that the company treats these ethical issues on a region-by-region policy. As we have discussed in prior cases, culture is a large part of how people do business and companies need to respect the culture and their norms when running international businesses. But at the same time, BD should not be chosen because of how great the gifts or bribes are but rather how good of a product they provide. BD is trying to increase their attention...
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...Analysis from Society’s Perspective Society can be defined through many different factors. The simplest of all is the general, dictionary definition that states: ‘People in general living together in organized communities, with laws and traditions controlling the way that they behave towards one another.’ (Macmillan Dictionary, 2014) The crucial parts in this definition are the’ laws and traditions’ that control the society. We can easily interpret these as Government and Culture in contemporary society. Through Culture we have interests, task divisions and roles, and we can say that nowadays Businesses play a big part of a nation’s Culture. In addition we can say that both Government and Business are parts of Society, while Society is being influenced by both sectors nonetheless, creating a cycle of actions and reactions. In this case society represents the organisations and the people under their care. The organisations fall under either business or government sector, even though they are societies on their own, and part of a bigger society altogether. On one side we have the hospitals, on the other, businesses and in between them the regulating bodies. The society that I will be talking about in this report represents all the people involved, the business people, the government and the rest of society, the common folk. Society has different faces. Society can be the victim; it can be the harasser and finally the peace maker. The role it will take depends on what roles...
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...Main Problem Certainly the main problem of Becton Dickinson is that going into a transnational business evolves many upsets among the managerial force, from all different levels of the organization and also all around the globe. Another very big issue is like since most of the revenues were earned in the local U.S. market, this local market has a priority than its other business in Europe, Asia and Latin America; local managers in foreign nations where frustrated because they did not get enough resources to satisfy its local market, and at the same time the headquarters wanted more profits and get more market share to their other locations. Company's situation Becton Dickinson Company a medical manufacturing company, with operations worldwide, and revenues of over $2 billion dollars, almost half of it from outside the U.S. B.D. is a supplier of two main product lines of clinical products, divided in medical and diagnostic. The U.S. domestic production was starting to give way to international sales, making necessary a European division, which in the 1980's the company, was divided by local business divisions centralized with decisions made in the U.S. focusing production mainly in the U.S. market needs, given the remains to other divisions like Europe and Asia. Recommendation An excellent recommendation is that the company should take more in consideration of create a new environment of cooperation among colleges from all over the world, the firm should mold...
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...hen Thomas Shaw gets worked up, he twists in his chair and kneads his hand. Or he paces about in his tube socks grumbling, “They’re trying to destroy us,” and “The whole thing is a giant scam.” And Shaw, the founder of a medical device maker called Retractable Technologies, spends a lot of time being agitated. One of the topics that gets him most riled up these days is bloodstream infections. And with good reason—while most people rarely think about them, these are the most dangerous of the hospital-acquired bugs that afflict one in ten patients in the United States. Their spread has helped to make contact with our health care system the fifth leading cause of death in this country. A few years ago, Shaw, an engineer by training, decided he wanted to do something to help solve this problem and quickly homed in on the mechanics of needle-less IV catheters. Rather than using needles to inject drugs into IV systems, most hospitals have moved to a new design, which involves screwing the threaded tip of a needle-less syringe into a specially designed port. The problem is that if the tip brushes against a nurse’s scrubs, or a counter, or the railing of a hospital bed, it can pick up bacteria. And the rugged threaded surface makes it difficult to get rid of the germs once they’re there. Often, the bacteria go straight into the patients’ bloodstream—which explains why, according to some studies, the rate of bloodstream infections is three times higher with needle-less systems than...
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...MII INVESTMENT MEMO TO: FROM: SUBJECT: DATE: McIntire Investment Institute Michael Nugent, COMM 2010 Election Memo – BDX December 1, 2008 Becton, Dickinson and Company Sector: Healthcare | Industry: Medical Equipment and Supplies | NYSE: BDX Thesis: A global leader in medical devices, Becton, Dickinson and Company presents a long-term investment opportunity for the McIntire Investment Institute because of the resilience of the firm’s sales in economic downturns, the solid performance of the company driven by innovation, the boon that healthcare reform in the United States should provide, and strategic acquisitions. I. Financial Summary Share Price 11/28/08 Shares Outstanding Market Cap LT Debt P/E (forward) 52 Week Range Float Short Interest Avg Daily Volume (3m) Beta $63.53 243.57 million $15.47 billion $955.7 million 11.74 $58.14 - $93.24 241.22 million 1.12 million 1,963,240 0.73 II. Business Overview Becton, Dickinson and Company (BD) manufactures and sells a host of medical devices, diagnostic equipment, and cell analysis products to healthcare institutions, clinical laboratories, and private consumers. Incorporated in New Jersey in 1906, the company is divided into the BD Medical, BD Diagnostic, and BD Bioscience product segments. BD Medical comprises the majority of the firm’s revenues and includes Medical Surgical Systems, Diabetes Care, Ophthalmic Systems, and Pharmaceutical Systems. As the secondary sales-generating division of the company, BD...
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...Mgt 350 Week 3 Decisions in Paradise, Part I Decisions in Paradise I am Nik and I work at Becton Dickinson (BD). I just graduated from college with my degree and I am really happy I landed a job in a solid organization. During the first week at BD, I received the overview of the company along with HR procedures, organizational processes, an overview of Kava, and flight arrangements. The second week I will fly to Kava and no one could tell me what I would be doing there. I will work with Alex, the director of strategic planning and Chris Morales will be helping us out. In this paper, I will define the issues of the scenario, discuss the forces, and describe the organizational and environmental obstacles which will affect the stakeholders impacted by the decision. Kava is a significant island located in the South Pacific. The population of Kava has 50% under the age of 15 and has a diverse ethnic mix. The economy is supported by coffee, cocoa, bananas, tourism, fishing and inexpensive quality labor. Businesses, faith-based groups, community based organizations, and government are Kava's helping organizations. Once Nik landed in Kava, there was a mess all over, the island was a mess and also the company's office was a make-shift office. Alex greeted Nik at the inside and Alex is also the receptionist. After the introductions, Alex gave Nik an overview of the island and Nik pointed out the disaster of the island. The disaster threats could be from tidal waves,...
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...had a good time in Round Rock, Texas. A few weeks ago, I was there along with Dr. David Simchi-Levi of MIT to film our Videocast that was broadcast Wednesday on Dell's Supply Chain Transformation. The team at Dell, from Annette Clayton, VP of Global Supply Chain and Operations, to a number of supply chain, communications and video professionals, was first rate and universally friendly (thanks Bruce Raven). You can see an on-demand version of this outstanding broadcast here: Dell's Supply Chain Transformation Videocast. It was our biggest event ever, and I believe the largest on-line event in supply chain history. We had a huge audience from around the globe. I frankly learned a thing or two. When Dell announced in 2008 that it was moving into the retail business and making other related changes to its supply chain, it really did seem to me like the end of an era. The primary corporate icon of supply chain excellence was giving up on its legendary make-to-order model, outsourcing large swathes of manufacturing, and seeming to move back to the supply chain field it had been previously outdistancing by many lengths. But as many of our readers noted at the time, the customer has to drive the supply chain. There was a significant portion of the market, especially globally, that wanted to buy a different way. To grow, Dell had to expand its customer value proposition to reach different market segments. That required different supply chain strategies across multiple dimensions...
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...Leadership Style Faye D. Baker HCS/475 – Leadership and Performance Development December 16, 2013 Shawn Matheson, MBA, LNHA, FACHA Leadership Style Transformational leadership is particularly important in the health care industry in today’s modern world because of past reputations. Some time ago the health care industry went through negative change. The health care industry was known as uncaring and cold toward patients. Transformational leadership style is known as a new effective model which was greatly needed to implement change in every aspect of the health industry. This paper will provide further research information on how transformational leadership style implements new change to the health care industry effectively. Someone Who has a Successful Leadership Style A person who is responsible as transformational leader would be successful because the leadership transforms, inspires, and motivate followers. Transformational leadership emphasizes the importance of interpersonal relationships and how change can become effective within organizations and human services. Transformational leaders focus on desires, values, goal, and emerging motives ( Sullivan and Decker, 2009). This style of leadership goal is to generate employee’s commitment to the vision or ideal rather than themselves as a leader. A successful leader enhances morale, motivation and performance through a various mechanisms, this includes connecting the...
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...AIDS and Needles Becton Dickinson, one of the largest manufacturers of medical supplies, dominates the US market in disposable syringes and needles. In 2005, a nurse, Maryann Rockwood (a fictional name), used a Becton Dickinson 5cc syringe and needle to draw blood from a patient known to be infected with HIV (Human immunodeficiency virus). Ms. Rockwood worked in a clinic that served AIDS patients, and she drew blood from these patients several times a day. After drawing the blood on this particular day, she transferred the HIV-contaminated blood to a sterile test tube by sticking the needle through the rubber stopper of the test tube, which she was holding with her other hand. She accidentally pricked her finger with the contaminated needle. She is now HIV positive. A few years earlier, in 2000, Becton Dickinson had acquired exclusive rights to a patent for a new syringe that had a moveable protective sleeve around it. The plastic tube around the syringe could slide down to safely cover the needle. The Becton Dickinson 5cc syringe used by Maryann Rockwood in 2005, however, did not yet have such a protective guard built into it. The AIDS epidemic has posed peculiarly acute dilemmas for health workers, including doctors and nurses. Doctors performing surgery on AIDS patients can easily prick their fingers with a scalpel, needle, sharp instrument, or even bone fragment and can become infected with the virus. The greatest risk is to nurses, who, after routinely removing an intravenous...
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...Harvard Business School 9-496-007 Rev. April 28, 1999 D O Becton Dickinson (E): An Assessment of Strategic Human Resource Management Profiling N Since 1988 when Strategic Human Resource Management (SHRM) profiling was first introduced to Becton Dickinson, it had been implemented in eight line divisions, two staff functions, the diagnostic sector, and at the corporate level. In several divisions a second profile had also been employed. Most of these profiles were conducted by managers in the company's human resource and strategy function. O In 1992 Ray Gilmartin, CEO of Becton Dickinson (BD), wondered whether SHRM profiling was fulfilling its objective of developing an organization capable of implementing and reformulating strategy. Becton Dickinson undertook an assessment of SHRM in cooperation with Professor Michael Beer and Russell Eisenstat of the Harvard Business School. T The evaluation of SHRM focused on 10 units (eight divisions, the diagnostic sector, and the corporate organization) that had undergone at least one SHRM profile. Conclusions were drawn based on the following sources of information: • The experience of management and profilers with all SHRM profiles. • Interviews with top management and members of the employee task force (ETF) in each unit by a research assistant. CO • Questionnaires administered to the Operating Committee (OC), the ETF, and employees interviewed by the ETF in the 10 units. In all, over 1,000 employees received a questionnaire...
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...Rangkuman Etika Produksi dan Pemasaran Konsumen Dalam pendekatan pasar untuk perlindungan konsumen, keselamatan konsumen di ibaratkan sebagai barang yang paling efisien yang disediakan melalui mekanisme dari pasar bebas dimana penjual harus merespon tuntutan konsumen. Pasar monopoli dan oligopoli dapat mengekstrak keuntungan abnormal tinggi dari konsumen dengan memastikan bahwa pasokan dalam jumlah yang memadai untuk memenuhi permintaan. Menurut pandangan kontrak, hubungan antara perusahaan bisnis dan pelanggan pada dasarnya merupakan hubungan kontrak, dan kewajiban moral kepada pelanggan, mereka itu diciptakan oleh hubungan kontrak. Kontrak adalah perjanjian gratis yang memaksakan pada partiers tugas dasar sesuai dengan ketentuan perjanjian. Menurut pandangan biaya sosial, biaya sosial ada apabila produsen harus membayar biaya dari setiap luka yang diderita melalui cacat pada produk, bahkan ketika produsen melakukan segala perawatan dan pencegahan untuk memperingatkan pengguna dari setiap bahaya yang tak terduga pada sebuah produk. Iklan komersial adalah komunikasi antara penjual dan pembeli potensial yang dipublikasikan ditujukan kepada khalayak massa yang bertujuan untuk mendorong audiens ini untuk membeli produk penjual. Iklan bisa menjadi benar atau menipu. Orang mempunyai hak untuk privasi untuk menentukan apa, kepada siapa, dan mengaktulisasikan diri tentang diri mereka sendiri . Privasi ini melindungi individu dari rasa malu, gangguan, dan lain-lain. Secara umum...
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...MII INVESTMENT MEMO TO: FROM: SUBJECT: DATE: McIntire Investment Institute Michael Nugent, COMM 2010 Election Memo – BDX December 1, 2008 Becton, Dickinson and Company Sector: Healthcare | Industry: Medical Equipment and Supplies | NYSE: BDX Thesis: A global leader in medical devices, Becton, Dickinson and Company presents a long-term investment opportunity for the McIntire Investment Institute because of the resilience of the firm’s sales in economic downturns, the solid performance of the company driven by innovation, the boon that healthcare reform in the United States should provide, and strategic acquisitions. I. Financial Summary Share Price 11/28/08 Shares Outstanding Market Cap LT Debt P/E (forward) 52 Week Range Float Short Interest Avg Daily Volume (3m) Beta $63.53 243.57 million $15.47 billion $955.7 million 11.74 $58.14 - $93.24 241.22 million 1.12 million 1,963,240 0.73 II. Business Overview Becton, Dickinson and Company (BD) manufactures and sells a host of medical devices, diagnostic equipment, and cell analysis products to healthcare institutions, clinical laboratories, and private consumers. Incorporated in New Jersey in 1906, the company is divided into the BD Medical, BD Diagnostic, and BD Bioscience product segments. BD Medical comprises the majority of the firm’s revenues and includes Medical Surgical Systems, Diabetes Care, Ophthalmic Systems, and Pharmaceutical Systems. As the secondary sales-generating division of the company, BD...
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...Written Assignment: Becton Dickinson: Ethics and Business Practices (A) By David Pachner Becton Dickinson’s stance on gifts, entertainment, and conflicts of interest is generally thorough and easy to understand. However, it does require tweaking, especially in terms of its application to cultural differences. While I believe a uniform global policy is important, the fact is that cultures differ in regards to how they do business. As one manager points out, “a gold pen that would be appropriate in the U.S. environment would be an insult in Japan.” L.S., Paine, Becton Dickinson: Ethics and Business Practices (A), (p. 10). As Trevino and Nelson explain in their book Managing Business Ethics, in Japan “giving gifts is considered to be an important point of relationship building.” (p. 402). Accordingly, I believe it would be appropriate for some of the terms to differ depending on the country in question. While the language of the policy could remain the same, a subsection could be included to specify how much money is appropriate to spend on a gift in that particular country. The same could be done for entertainment. While the BD Business Conduct and Compliance Code stipulates “you should not entertain lavishly” (Paine, p. 18), it does not go in to detail about what is considered lavish. This is where a subsection could be inserted to give the reader a more specific idea of BD’s expectations. For example, the Unites States version might read something like “When taking a supplier...
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