Stakeholder Theory
Added on 2022-11-28
4 Pages512 Words474 Views
Running head: STAKEHOLDER THEORY
STAKEHOLDER THEORY
Name of the Student
Name of the University
Author Note
STAKEHOLDER THEORY
Name of the Student
Name of the University
Author Note
STAKEHOLDER THEORY
1
The stakeholders are the most important part of the business organizations and their
involvement helps the business organization to manage the operations of the business in a
successful manner. Any kinds of scandals can be harmful for the organization. The best
example in the following case is the protest by the hundreds of the students in Wellington in
demand of providing sexual harassment free workplaces (stuff.co.nz. 2019). The stakeholders
of the organization can thus be affected from such protests. The protests regarding the issue
can lead to the reputation loss for the company as well as the stakeholders. As the customers
are a major stakeholder, the company has to look after the interests of the stakeholders in the
most proper manner.
The particular case took place during summer of 2015-16, where the summer clerks
were hired in the Russell McVeagh at their Wellington office (stuff.co.nz. 2019). Later, in the
July of 2018, Dame Margaret Bazely describes the inappropriate work culture prevalent at the
office, and sexually harassment charges against the female interns surfaced. Incidents like
these always affects the stakeholders groups like customers, the firm, competitors,
government, employees and the general public as well. The proper existence of a stakeholder
theory framework of the law firm would have helped in resisting or influencing the impacts
of this case on the stakeholders (stuff.co.nz. 2019). The stakeholder’s reactions relating to
these unethical practices include the customers on whom a direct impact can happen. Some
customers can have faith and retain to have legal services from the firm, while others can
refrain from. The firm first must apologize for whatever has happened and continuously try to
improve the services provided, and change the prevalent culture of the organization
(stuff.co.nz. 2019). The competitors of the law firm, continuously tries to measure necessary
improvements required in the field of work culture in the respective firms. The government
with its stringent anti-harassment laws in any firm should pressurize the firms to keep the
ethical standards and morals of the workplace environment high. The public like the people
1
The stakeholders are the most important part of the business organizations and their
involvement helps the business organization to manage the operations of the business in a
successful manner. Any kinds of scandals can be harmful for the organization. The best
example in the following case is the protest by the hundreds of the students in Wellington in
demand of providing sexual harassment free workplaces (stuff.co.nz. 2019). The stakeholders
of the organization can thus be affected from such protests. The protests regarding the issue
can lead to the reputation loss for the company as well as the stakeholders. As the customers
are a major stakeholder, the company has to look after the interests of the stakeholders in the
most proper manner.
The particular case took place during summer of 2015-16, where the summer clerks
were hired in the Russell McVeagh at their Wellington office (stuff.co.nz. 2019). Later, in the
July of 2018, Dame Margaret Bazely describes the inappropriate work culture prevalent at the
office, and sexually harassment charges against the female interns surfaced. Incidents like
these always affects the stakeholders groups like customers, the firm, competitors,
government, employees and the general public as well. The proper existence of a stakeholder
theory framework of the law firm would have helped in resisting or influencing the impacts
of this case on the stakeholders (stuff.co.nz. 2019). The stakeholder’s reactions relating to
these unethical practices include the customers on whom a direct impact can happen. Some
customers can have faith and retain to have legal services from the firm, while others can
refrain from. The firm first must apologize for whatever has happened and continuously try to
improve the services provided, and change the prevalent culture of the organization
(stuff.co.nz. 2019). The competitors of the law firm, continuously tries to measure necessary
improvements required in the field of work culture in the respective firms. The government
with its stringent anti-harassment laws in any firm should pressurize the firms to keep the
ethical standards and morals of the workplace environment high. The public like the people
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