Case Study - Case Studies

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The case is written by Harsh Kumar Sharan (XLRI Alumnus) and is intended for discussion.
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Hi,
Why not share views and comments on this thread itself like any other topic. It would be great learning and sharing experience for all citehr members, leading to healthy discussion and argument.
I request citehr members to publicly share their views on case on this thread itself, instead of sending them on private email. Let your views be known to everybody and let others learn and give their comments.
Thanks & Regards

• This is a case where Contractor is already paying bribe to company employees to expedite work from them. Contractor complained to Works Manager only when the demands of employees increased and employees are caught red handed accepting bribe by laying trap.

• Since Contractor himself has accepted and informed Works Manager that he has been giving bribes earlier also, he is also at fault.

• Now Can of Worms is opened and this whole arrangement of Contractors, Transportation and Loading / Unloading needs to be thoroughly investigated in detail to find out the extent of rot in a system and to find out involvement of others in giving and accepting bribe. It is quite possible that even few more people at Supervisor and Manager level are also involved in accepting bribe.

• It is also clear that there are no proper Control Mechanisms set by Management hence employees are accepting bribes and by accepting bribes compromising on companies’ interests and image.

• There also seems to be a lack of transparency and trust between the dealings of Contractor and Company, otherwise Contractor would not have paid bribes in first place and would have complained at the very first instance of such demand.

• Firstly Contractor and employees involved in giving and accepting bribes should be suspended with immediate effect, pending enquiry.

• Management to revisit and review the entire process of Contractors, Transportation and Loading / Unloading to make it transparent, efficient and full proof with adequate controls.

• All above actions needs to be taken very quickly to emphasize the Managements view and philosophy of not tolerating corruption and to send a message that anybody involved in corruption will be dealt very seriously.

• Your views and comments are welcomed.

Thanks & Regards

yes i am fully agreed with vkokamthankar and as per my opinion-
1.Suspend the security guard immediately for allegation of accepting bribe, pending enquiry
2.Conduct enquiry
3.Strong warning letter to Kanu for threatening to sabotage
4.Deal with contractor for influencing the process of the company in his favour.
5.Control points to be created to enable proper justification of in and out time so that the truck driver does not wait unnecessarily
Thanks & Regards,
Richa

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vkokamthankar is rite i think risha give us a very good solution i appreciate her/him
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Management should enforce SOP for loading/unloading, and someone from company side should be held responsible for delay or damage of good.
Further a through enquiry should be done and Punitive actions should be taken against the cobtarctor and employees involved in this act.
Seniors Pls comment if I am right
Thanks
Rana

Management representative should investigate the case deeply. If Security staff is on outsourced then should be terminated after enquiry.
Most important fact management should know is why contractor is disclosing this racket now, if he had stopped bribing the staff or some other unforseen reason is their. Management should try to investigate what is unreveiled first than only proper action for the deed should be taken.
To prevent such practices in future company should go for at most automated processes.
Thanks
Rashee

• As I have mentioned earlier all those who are involved in giving and accepting bribe should be suspended.
• Moreover, in case employees involved are contracto'r employees then concern contractor and his contract also needs to be suspended. This action will send the right message and will clean the system.

Thanks

Hi,
This is a good opportunity to restructure the operational processes and staff planning.

In the immediate, strict action to be taken against the employees caught red handed. One should not get into witch hunting. Continuation of smooth operations is important.

Apropos the contractor, he would anyway become a pariah with your staff. Nobody would dare to take any money from him as they would not trust him and also due to the fear of getting caught .

One of the biggest reason in this case is that there are no systems in place and therefore the contractor is at the mercy of the staff.
Why is there no time fixed for clearing a vehicle. If there are no SOPs in place then how is the efficency of the staff measured. If it was there then why is there no check whether SOPs are being followed?

I am being candid and blunt when I say that, it is a given that corruption does exist and will exist if there are no counter checks happening.

Clearly the contractor is at the mercy of the staff and in this case he had to pay. Its only when it increased too much that he had to complain.
Why is there no 360degrees feedback?
These are some major issues which require to be tackled.

Its a clear case of systems failure.