ethics – OM in the News

Location Decisions in Russia for Western Brands

The withdrawal of many Western businesses from Russia following its invasion of the Ukraine in February of 2022 has led to a new generation of Russian oligarchs purchasing these abandoned assets.

The ability of these new entrepreneurs to be successful in this endeavor remains to be seen. Operating the businesses that have been left behind poses significant challenges. The Kremlin will likely work hard to make sure that these businesses don’t go under.

Video Spotlight:

Defiant Russia […]

By Lisa M. Spencer|2022-11-02T06:27:51+00:00November 2, 2022|Tags: ethics, location planning, strategy, supply chain management|

American Airlines PA Glitch: Root Cause Unknown

Halloween came early on a September 2022, American Airlines flight from Los Angeles to Dallas. Unexplained moans and groans came across the aircraft’s public announcement system.

The “unsettling” noises began just before takeoff and continued throughout the flight. Pilots and flight attendants assured passengers that everything was under control and there was no need to worry.

Video Spotlight:

American Airlines flight interrupted by sounds of ‘moaning’ PA system (Sep 26, 2022, KTLA 5)
Passengers report […]

By Lisa M. Spencer|2022-10-27T01:36:52+00:00October 27, 2022|Tags: design for maintenance, ethics, product safety, quality, service design|

Worker Safety Affects Starbucks Location Decisions

Crime, drug use, and homelessness are impacting Starbucks’ location choices.

The company is closing 16 stores in Los Angeles, Seattle, and Portland, citing concerns about employee and customer safety. In a crime ridden area of Sacramento, one Starbucks stills provides only take-out, long after COVID restrictions were lifted. Because of safety concerns, the restrooms are closed and there is no indoor seating.

Video Spotlight:

Starbucks closing 16 stores due to safety concerns (July 12, 2022, NewsNation)

This […]

By Lisa M. Spencer|2022-09-25T20:59:25+00:00September 25, 2022|Tags: capacity planning, ethics, location|

Why Child Labor Continues in the Chocolate Industry

Despite pledges by the global cocoa industry to eliminate the use of child labor by 2020, the number of children employed in such work appears to have actually increased in countries like Cote d’Ivoire and Ghana.

Mondelez International, formerly known as Kraft Foods, owns Cadbury. Fresh allegations and video footage depict children working to farm the cocoa that many enjoy during Easter, even though Mondelez decries the use of child labor and has programs in place to prevent it.

This difficult problem […]

By Lisa M. Spencer|2022-06-06T04:55:37+00:00June 5, 2022|Tags: ethics, location planning, supply chain management, sustainability|