wilson chemicals case

WILSON CHEMICALS LTD

Axel Mouterde – Alexandre Pradon

Exhibits

• Dialogue between George Teele, Gerald Howard and Ian Thomas

• Exhibit 1 : Cover letter from Sylvia Appleby

• Exhibit 2 : Letter from M Okono to M Howard

• Exhibit 3 : Chart showing the gross sales of the company

• Exhibit 4 : Measures taken by the Rawlings Government

Overview

• British company • Established in Ghana since 1962• Produce chemical fertilizers

Hierarchy

G. Howard President

G. Teele V.P International division

I. ThomasDirector West African Division

J. OkonoGhanaian Subsidiary Director

Mr. Flight Lieutena nt RawlingsNew president of Ghana

Situation• High demand for fertilizers in Ghana• Hire more and more local workers• Hire Joseph Okono in 1972– Respected and successful manager– Tripled profits in 10 years

Controversial methods : Bribery

Communication

Good internal communicationOkono has good relation with the

employees

Lack of communication between Okono and the leaders

Intercultural differences

Okono is really trusted in GhanaHe knows both

cultures

The government is unstable

Different point of view on bribery

Ethics

A way to protect jobs

Benefits among the rest

It’s again ethicsHarmful for the

image of the companyIt’s illegal

BRIBERY

Management

Okono knows how to do business in

GhanaAutonomous and

motivated

Okono has a lot of liberty

Not much supervised

Statement of the problem

Despite the excellent results and considering the ethical issue of bribery :

Should we keep working with M. Okono ?

Option 1 : We do nothing

Advantages• Potential lawsuits• Ethical issues• End of the subsidiary

Drawbacks• Keep Okono in place• Maintain sales

Option 2 : Stop Bribery

Advantages• Sales could decrease• Not Okono way of making

business• May not overcome crisis

Drawbacks• Keep Okono in place• Preserve the integrity of

Wilson

Option 3 : We Support him

Advantages• Illegal practice• Bad reputation• More risks of being caught • Difficult with the new

government

Drawbacks• Possible huge increase in

profits• The company keeps making

money

Option 4 : We Fire Okono

Advantages• Loss of a competent

director• Risk of losing (a lot of)

money

Drawbacks• No Bribery anymore• No risks for lawsuits• Protect the reputation of

the company

Option 5 : We Change the organization

Advantages• Loss of competent directors• Loss of benefits• Loss of Ghanaian market

Drawbacks• No more ethical issues