topic 20 - ethical and environmental issues

Question 1

describe being ethical

Answer 1

this means businesses that show moral consideration for other when making decisions

Question 2

advantages of being ethical

Answer 2

• awards can be granted for being ethical, which can be used for promotional purposes
• businesses with an ethical reputation can attract customers and quality staff who agree with their principles

Question 3

disadvantages of being ethical

Answer 3

• audits are needed to ensure standards are met and maintained, which may be time consuming
• decision-making could be more complex and time consuming as many possible solutions may not be appropriate because they are not ethical

Question 4

describe philantrophy

Answer 4

this means having a ‘love for humanity’. in other words giving to those in need. this could be through charitable donations, giving away goods or setting up a charitable trust as part of the organisation

Question 5

describe animal welfare

Answer 5

the moral considerations of an organisation need not only refer to how people are treated; increasingly these concerns are also around the treatment and wellbeing of animals. This might include the conditions that animals are kept in, the way they are handled, animal testing and the use of animal-derived ingredients.

Question 6

ways an organisation can prove their contribution to animal welfare

Answer 6

• the ‘leaping bunny’ symbol awarded to products that are entirely cruelty free
• the free range classification of eggs and egg-derived products
• the use of synthetic materials rather than leather, fur or wool.

Question 7

describe fair trade

Answer 7

this is when suppliers of raw materials recieve a guaranteed and fair price for their goods. fair trade also ensures that employees in the supply chain are treated fairly.

Question 8

advantages of fair trade

Answer 8

• businesses are awarded the Fairtrade mark on their products, which can appeal to customers.
• stocking fair trade goods demonstrates the retailers ethical commitment to its customers.
• businesses that are fair trade have a positive impact on the producers of the raw materials with which they work and have a better relationship with the supply chain.

Question 9

disadvantages of fairtrade

Answer 9

• losing a Fairtrade mark after gaining one will result in bad publicity
• fair trade products are often more expensive
• the business has a more limited choice of suppliers.

Question 10

describe environmental issues

Answer 10

organisations should do their bit to help with the environment.

Question 11

advantages of being environmentally friendly

Answer 11

• the organisation plays a part in looking after the environment that will hopefully sustain their activities for the future.
• having a positive effect on the environment will ensure the organisation gains a positive reputation.
• awards can be granted for being ‘environmentally friendly’ which can be used for promotional purposes
• renewable energies save costs in the long run as fuels such as oil, petrol and gas don’t need to be paid for

Question 12

disadvantages of being environmentally friendly

Answer 12

• investment in environmentally friendly measures will be expensive in the short term, e.g. installing solar panels.
• new procedures may have to be adapted to be more environmentally friendly, which can take time.
• most environmentally friendly procedures rely on the natural environment, which may not be sufficient, e.g. lack of win, solar energy etc.

Question 13

describe carbon footprint

Answer 13

this refers to the impact that using fossil fuels, such as oil and gas, has on the environment.

Question 14

examples of ways that organisations can prove their commitment to reduing their carbon footprint

Answer 14

• using alternative sources of ‘renewable’ energy, such as solar and wind, for example to power premises
• using low emissions vehicles or EVs for deliveries and company cars
• using altogether more environmentally friendly methods of distribution

Question 15

describe being sustainable

Answer 15

this refers to ensuring that the raw materials used by a business activity are not being depleted. As well as respecting the natural environment and gaining a good reputation, this will ensure that the business can source raw materials in the future.

Question 16

examples of ways that organisations can prove their commitment to this

Answer 16

• replanting raw materials that are used in production
• reusing or recycling materials to be used in production
• using sustainable resources
• utilising renewable energies

Question 17

describe waste

Answer 17

not only does committing to dealing with waste appropriately help the environment, it is a legal responsibility to store, transport and dispose of waste without harming the environment.

Question 18

organisations complying with the duty of care when dealing with waste

Answer 18

• segregate waste appropriately, for example, keeping apart chemicals that may react
• store waste appropriately, for example securing waste
• transport waste appropriately and securely

Question 19

describe packaging

Answer 19

as well as being part of good PR, the packaging of products should be designed to be as environmentally friendly as possible. the ‘green’ qualities of packaging can even be promoted to help the product gain a good image.

Question 20

describe ways packaging could be environmentally friendly

Answer 20

• being reusable. this means the packaging can be used again in its current format, e.g. ‘bags for life’
• being recyclable. this means the packaging can be recycled easily into something else, saving the use of fresh raw materials, for example, Lush recycle their plastic containers into scarves.
• being biodegradable. this means used packaging can break down more easily. for example, businesses replacing their plastic straws with paper ones.

Question 21

describe the use of technology in operations

Answer 21

• IT, for example laptops/tablets/smartphones and email, can be used to purchase supplies quickly.
• the internet can be used to research supplier prices.
• EPOs can be used with computerised inventory control to automatically re-order depleted inventory
• computerised devices can be used by warehouse staff to check and find inventory
• automated systems can track deliveries for both the business’s and the customers information
• spreadsheets can be used to accurately and quickly produce production budgets.
• CAM (computer aided design), such as robotics, can be used in automated production.
• emerging technologies such as solar energy, wind energy and EV can be used to harness renewable energy.