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Gary Allison Accepted A Position At Sec

1668 words - 7 pages

Gary Allison accepted a position at SEC
[Institutional Affiliation]

Ethical Issues
There were several issues that Garry Allison faced when he accepted the position as project manager for the company but everything started with him accepting that part of his job was not to be an "ethical manager". The technical specifications stated by for the project indicated that the components should be able to normally operate through temperature range of -65 degrees F to 145 degrees F. However, their testing design showed that the material would not function above 130 degrees F. This means that initially they already have a problem with the material. Taking this up to ...view middle of the document...

Given that the contract awarded to the company is a Fixed Price Incentive Fee, there are valid reasons for Henry Larsen to suggest that SEC's proposal should state that it expected to be able to meet the specified performance standard. First is that under the Fixed Price Incentive Fee, there are specified criterion that must be met, in the case of the company Henry Larsen should suggest the specification for the material, so that alone should be enough for Larsen to suggest that SEC's proposal should state that that should be expected. Second, under this type of contract, bonuses are awarded for meeting the criteria. In this case, Larsen can ask for the specific amount of bonus for the criteria.
Since the contract was a Fixed Price Incentive Fee, Gary should have followed up on his ethical concerns because under the contract, clearly what is expected of the company is specified. This means that not telling the client about the problems with the materials is no longer just an ethical problem but a legal one. By not telling them about the problem, the company is already in breach of the agreement. Lying, this time, is tantamount to fraud because they are not deceiving the company for monetary gain. They are not simply lying to the company but they are also accepting the bonus that clearly they are not able to deliver.
What Gary should have done at this point was to talk to Larsen about the issue with the contract. At this point he should have discussed the terms of the contract and how the problem with the material and Larsen’s plan of lying to the customer constitutes deceit, or in this case, fraud. If Larsen wished to continue lying to the customer, Gary should have taken up the problem to the higher management. At this point, as the project manager, he has the overall authority about the project and this includes meeting what the contract stipulated.
Functional Organizational Structure
In the first place, Gary should not have accepted the position of project manager because he knew in himself that as the project manager he should be the leader of the team. By being a leader, it also means taking on the helm and not simply following what Larsen orders. Project managers are “change agents and they make project goals their own and use their skills and expertise to inspire a sense of shared purpose within the project team,” (Project Management Institute, 2016). Gary is clearly not this type of person. He cannot initiate change to meet project goals. He does not have the right skills and expertise to inspire a sense of purpose within the project team. He may have the right technical skills but he does not have the leadership skills, administrative skills and organizational management skills that are needed for a person to be an effective project manager.
When it comes to not allowing a project manager to return to his functional department, it is not just that it is not allowed, but what actually happens is that when the...

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