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Running head: CLIENT ETHICS PLAN: MONSANTO 1

Client Ethics Plan: Monsanto

Andrew Christopher

Kent State University

CLIENT ETHICS PLAN: MONSANTO: ANDREW 2

Introduction

The following pages include a proposed ethics plan to be implemented and distributed

amongst all Monsanto employees. The plan includes a detailed corporate profile and ethical

history to provide current and future employees a comprehensive review of key moments and

developments throughout Monsanto’s history. Following Monsanto’s corporate profile and

ethical history, you will find the plan’s strategic implementation and rationale. To ensure a

complete understanding of the proposed plan, employees are asked to carefully read and review

each page. Implementation is pending executive approval.


Monsanto Corporate Profile

The following corporate profile serves as an audit of necessary information compiled to

determine the best course of action in implementing and rationalizing a corporation-wide ethics

plan.

Company Synopsis

Monsanto is a publicly traded multinational corporation headquartered in Saint Louis,

Missouri, specializing in agriculture and biotechnology. Monsanto employs 21,183 employees

globally with 404 facilities, spread across 68 countries. Nationally, Monsanto employs 10,277

employees with 146 facilities across 33 states.

Mission Statement/Corporate Pledge

The following list was gathered via Monsanto’s corporate website: (monsanto.com/our-pledge).

The Monsanto Pledge is our commitment to how we do business. It is a declaration that

compels us to listen more, to consider our actions and their impact broadly, and to lead

responsibly. It helps us to convert our values into actions, and to make clear who we are and

what we champion.

Integrity

Integrity is the foundation for all that we do. Integrity includes honesty, decency, consistency,

and courage. Building on those values, we are committed to:

Dialogue

We will listen carefully to diverse points of view and engage in thoughtful dialogue.


We will broaden our understanding of issues in order to better address the needs and concerns of

society and each other.

Transparency

We will ensure that information is available, accessible, and understandable.

Sharing

We will share knowledge and technology to advance scientific understanding, to improve

agriculture and the environment, to improve crops, and to help farmers in developing countries.

Benefits

We will use sound and innovative science and thoughtful and effective stewardship to deliver

high-quality products that are beneficial to our customers and to the environment.

Respect

We will respect the religious, cultural, and ethical concerns of people throughout the world. The

safety of our employees, the communities where we operate, our customers, consumers, and the

environment will be our highest priority.

Act as Owners to Achieve Results

We will create clarity of direction, roles, and accountability; build strong relationships with our

customers and external partners; make wise decisions; steward our company resources; and take

responsibility for achieving agreed-upon results.

Create a Great Place to Work

We will ensure diversity of people and thought; foster innovation, creativity and learning;

practice inclusive teamwork; and reward and recognize our people.


Products

Though Monsanto has a long history as a chemical company, its current focus is

exclusively on agriculture and biotechnology. Monsanto has worked tirelessly, developing the

most technologically advanced products available to allow farmers the best possible yields.

Monsanto’s product categories consist of agricultural seeds, trait technologies, vegetable seeds,

and weed control. Many of the products below belong to uniquely named brands, however; all

of the products and brands listed belong to Monsanto.

Agricultural Seeds

Monsanto offers farmers a wide range of corn, soybean, cotton, wheat, canola, sorghum, and

sugar cane seeds based on the climate of each growing area (monsanto.com/products). All

product facts and descriptions are originally derived from Monsanto’s corporate website.

Asgrow: National wholesaler of high-yield soybean seed

Channel: Sells premium corn, soybean, alfalfa, and sorghum seed nationally

Dekalb: National wholesaler of corn, alfalfa, grain sorghum, and spring and winter

canola seed

Deltapine: Sells cotton seed to Southern U.S. growers

Fontanelle: Sells corn, soybeans, alfalfa, and sorghum seed to growers in Nebraska,

Iowa, Kansas, and portions of the surrounding states

Gold Country Seed: Sells corn, soybean, and alfalfa seed to farmers in Minnesota, the

Dakotas, Wisconsin, and Northern Iowa

Hubner Seed: Sells corn, soybean, and alfalfa seed to eastern U.S. growers


Jung Seed Genetics: Sells corn, soybeans, wheat, alfalfa, and silage corn seed to growers

in Wisconsin and Minnesota

Kruger Seeds: Sells corn and soybean seed to growers in Illinois, Iowa, Minnesota, the

Dakotas, Missouri, Kansas, and Nebraska

Lewis Hybrids: Sells corn, soybeans, wheat, and alfalfa seed to growers in Illinois, Iowa,

and Missouri

REA Hybrids: Sells corn, soybean, and alfalfa seed to growers in the Dakotas, Montana,

and Minnesota

Specialty Hybrids: Sells corn and soybean seed to growers in Indiana and Ohio

Stewart: Sells corn, soybean, and wheat seed to growers in Indiana, Kentucky, and Ohio

Stone Seed Group: Sells corn and soybean seed selected specifically for Illinois and

neighboring counties

West Bred: National wholesaler of high quality wheat and other small grain varieties

Trait Technologies

Monsanto uses its elite seed genetics and cutting-edge traits and technologies to create

products that meet farmers’ wants and needs.

Acceleron: Helps farmers maximize the performance potential of the seed and traits they

plant right from the start. Acceleron Seed Treatment Products can help improve plant

health through disease-fighting protection, insect protection, and improved early season

vigor.


Corn States: Monsanto’s U.S. seeds and traits licensing division – broadly licenses

germplasm and trait technologies and sells seed treatments to independent seed

companies across the country

Genuity: Monsanto’s trait master brand, which includes the latest technology in corn,

soybeans, cotton, canola, alfalfa, and sugarbeets

Integrated Farming Systems: Integrates Monsanto’s expertise in seed science, field

science, data analysis and precision equipment to develop solutions optimized for the

conditions of a farmer’s field

Vegetable Seeds

De Ruiter: Sells vegetable seeds for glasshouse cultivation of tomatoes, cucumbers,

sweet peppers, eggplant, as well as rootstock (rootstock is used to introduce

characteristics such as improved vigor, disease resistance, and improved fruit quality to

plants)

Seminis: Sells vegetable seed across the world; mainly Big Beef tomatoes and Valentino

green beans

Weed Control

Certainty Turf Herbicide: Weed control on managed turf and native grasses

Degree Brands: Applied preemergence or postemergence to corn in order to reduce early

season weed competition

Harness: Specifically designed for early-season weed control

Intrro: Used in Roundup Ready soybean systems, and for weed control in grain sorghum

Lariat: Season-long weed control for corn and grain sorghum


Micro-Tech: Season-long weed control for corn and soybeans

Outrider: Used in the fall to reduce weed populations before they can effect crop yield.

Roundup Custom: Effective in lakes, streams, ponds and other aquatic areas

Roundup PowerMAX: Offers enhanced, consistent weed control, weed to weed and field

to field; even hard-to-control weeds

Roundup Pro Concentrate: Keeps roads, public spaces and industrial areas clear of weeds

Roundup ProMAX: The most concentrated formula in the Roundup product line

Roundup QuikPRO: Used on parks and golf courses to provide fast burndown results

within 24 hours

Roundup WeatherMAX: Offers weed control in Roundup Ready Corn 2 System

RT 3: Reliable, consistent performance on tough-to-control Western weeds

TripleFLEX: Contains three modes of action for control on weeds preplant,

preemergence, early postemergence, and up to 11 inches for corn

Warrant Herbicide: Provides increased crop safety for cotton and soybeans

Earnings Summary & Stock Valuation

Monsanto’s net sales increased 10% from 2012 to 2013, growing from $13.5 billion to

$14.8 billion. Monsanto is traded publicly on the New York Stock Exchange (NYSE) as MON,

with an average stock price of $110 per share (monsanto.com/annual-report).

Key Stakeholders

Monsanto’s key stakeholders include its farmers, customers, employees, investors, and

subsidiaries. Though voiceless, the planet/environment is a very significant stakeholder for

Monsanto. Many organizations will speak loudly on its behalf.

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In the 1930s, Monsanto began producing PCBs (polychlorinated biphenyls), which were

used as coolants and lubricants in electronics (takepart.com). PCBs are now known to contain

life-threatening toxins that are carcinogenic and harmful to the liver, endocrine system, immune

system, reproductive system, developmental system, skin, eyes, and brain

(foodandwaterwatch.org). PCBs were banned in 1976.

During the Vietnam War, Monsanto produced the defoliant herbicide Agent Orange for

the U.S. government. Dioxin, an extremely potent carcinogen, is created as a byproduct of Agent

Orange’s manufacturing process. 18 million gallons of the toxic herbicide was dropped on

jungles and farms in Vietnam between 1962 and 1971 as part of an effort to eliminate cover for

enemy soldiers and create food shortages (takepart.com). Agent Orange has since been linked to

a long list of diseases, some of which include: Chronic B-cell Leukemias, Diabetes Mellitus

Type 2, Hodgkin’s Disease, Multiple Myeloma, Non-Hodgkin’s Lymphoma, Parkinson’s

Disease, Prostate Cancer, Respiratory Cancers, and Soft Tissue Sarcomas (publichealth.va.gov).

After Monsanto transitioned to a predominately agricultural company in the late '90s, it

abandoned its chemical factories all over the United States; 41 of them have since been classified

as superfund sites (takepart.com). A superfund site is essentially an overwhelmingly toxic

location. Monsanto also created EPA-designated toxic wastelands in Georgia, Idaho, Illinois,

Alabama, West Virginia, and Missouri that are laden with arsenic, radium, PCBs, dioxin and

many other carcinogenic poisons (takepart.com).

These lingering stigmas from Monsanto’s past as a chemical company may be the root

cause of scrutiny over its development of genetically modified organisms (GMOs). While

Monsanto cannot ignore its past, it must work to overcome an unpleasant history.


Several documentaries are widely accepted by the public as unequivocal truths regarding

Monsanto. The most influential documentaries include: Food Inc, Seeds of Death, Millions

Against Monsanto, The World According to Monsanto, Poison on the Platter, and David vs.

Monsanto: the Story of Percy Schmeiser. Countless YouTube videos also support many of the

views and opinions expressed in these feature-length documentaries.

The Food Inc documentary touches on each critical ethical issue Monsanto is scrutinized

for: GMO safety, farmer litigation (bullying), and its political influence. Brilliantly, Monsanto

clarifies some of the information surrounded by these claims through a specific webpage within

its own corporate site. Monsanto first thanks everyone for their concerns over these issues, and

expresses its concern for the health and well being of families, farmers, and the planet.

GMO Safety

In response to large concern over the safety of GMO foods, Monsanto replied with some

statistical reinforcement for GMO production and consumption, as well as a list of governmental

organization approvals. According to Monsanto, biotech crops and their food products have

been in use worldwide for about 14 years, since the first commercial planting in 1996. More

than two trillion meals containing ingredients from biotech crops have been safely consumed.

Each new agricultural biotech product is carefully reviewed before it is commercialized. Testing

of biotech crops before they are introduced to market generally takes about 6 to 12 years at a cost

of $6 to 12 million (monsanto.com/food-inc). These products have received independent review

by regulatory agencies and scientists throughout the world. The integrity of those studies has

been and continues to be a heated topic; one Monsanto should more actively defend.


The U.S. Food and Drug Administration, the U.S. Environmental Protection Agency, the

U.S. Department of Agriculture, and regulatory agencies in 25 different countries have

independently assessed these products and concluded they are safe for human consumption and

the environment (monsanto.com/food-inc). The United Nations Food and Agriculture

Organization, the World Health Organization, the International Council for Science, the French

Food Agency, the British Medical Association, the American Medical Association, the American

Dietetic Association, and the U.S. National Academy of Sciences have all declared biotech foods

safe for human and animal consumption (monsanto.com/food-inc).

Farmer Litigation (bullying)

Monsanto is often criticized for its perceivably strained relationship with some of its

farmers. Recent litigation over patent infringement has led to court cases deemed David vs.

Goliath battles. Monsanto faces this common question, “Why do you sue farmers for saving

seeds? Aren’t many of them forced to settle their cases because they don’t have the financial

resources to go up against a large corporation in a lawsuit?” (monsanto.com/food-inc).

Monsanto expressed its commitment to the success of farmers, and their significance as

the lifeblood of the company. Farmers buy Monsanto seed products because it consistently

provides them with the best array of technologies that offer the best value for their dollar. The

reason Monsanto takes patent infringement seriously is because it invests about $2.6 million per

day to ensure its technologies offer its customers safe, consistent, high-performing products.

Every effort is made by Monsanto to resolve the matter outside of the litigation process.


In closing, Monsanto writes, “We need to meet our obligations to all the farmers who honor their

commitments and who insist we maintain integrity in the market -- so they are not placed at a

disadvantage when competing for limited resources like land, investment capital and other crop

inputs” (monsanto.com/food-inc).

Finally, Monsanto directs all proceeds from these settlements to youth leadership and

scholarship programs. Of the 250,000 customers finding value with Monsanto each year, only

141 legal actions have ever transpired over the last 12 years in the U.S. (monsanto.com/food-

inc).

Political Influence

Monsanto often faces scrutiny over the influence its current and former executives have

on political policy-making. Critics refer to this issue as the “revolving door” of big business and

politics. The nation’s general distrust of government leaves cause for understandable concern

over this matter. Monsanto raises a valid point against this argument by stating, “Individuals

with expertise in a certain subject matter often work in both the public and private sector during

the course of their careers. However, federal laws carefully prevent conflict-of-interest situations

when private sector employees take government jobs” (Monsanto.com/food-inc).

The regulation of agricultural biotechnology is the result of hundreds of government

policy and subject matter experts in a number of agencies – that also consult with outside

scientists and universities – who evaluate the best information available and reach conclusions

(monsanto.com/food-inc). The U.S. government’s system for regulating biotechnology products

is not the result of work from a few individuals who could influence the outcome.


Monsanto has also given significant donations to fund political campaigns and lobbying

efforts. According to foodandwaterwatch.org, Monsanto gave $829,662 to fund U.S. political

campaigns, and spent $62, 356, 730 on U.S. lobbying expenditures from 2000-2012. These

numbers are another cause for public distrust, and should be addressed moving forward. I was

unable to find statements justifying these expenses on Monsanto’s corporate website.

Plan Implementation

Monsanto is regularly honored with awards recognizing its employees’ innovation,

leadership, and workplace satisfaction. This recognition generally reflects feedback provided by

employees and others in the respective communities. In the last six months alone, Monsanto has

received the following awards and rankings: Financial Times’ Most Innovative Law Department

for 2013; A 100% grade on the 2014 Corporate Equality Index (CEI) from the Human Rights

Campaign Foundation; FORTUNE magazine's 2014 list of "World's Most Admired Companies";

#46 on 2014 Top 50 Companies for Diversity; Corporate Responsibility Magazine’s “One of the

100 Best Corporate Citizens for 2014” (monsanto.com/awards-recognition).

The awards above are commendable and should be celebrated, but Monsanto’s ethical

ranking falls much shorter than its rankings for diversity and innovation. Covalence, a renowned

reputation index tracking agency, ranked Monsanto dead last, behind Philip Morris and

Halliburton on its list of the 581 most and least ethical companies (dailyfinance.com). My

proposed ethics plan will aid in defending Monsanto’s stance on highly scrutinized ethical issues,

as well as educate employees on those, and other issues. The following strategic plan covers:

planning, objectives, strategies, audiences, tactics, and evaluation metrics.


Planning

Based on Monsanto’s corporate profile, ethical history, and data gathered via Monsanto’s

corporate website and other secondary sources, I’ve proposed a 16-month plan with measurable

objectives to support an increase in both employee and public understanding of Monsanto’s

ethical stances and decision-making.

Objectives

Internal:

Increase employee awareness of Monsanto’s code of ethics by 20% by August, 2015

(the end of Monsanto’s fiscal year)

Increase employee involvement in ethics workshops, seminars, and activities put on by

Monsanto or other reputable ethics training organizations by 15% by August, 2015

External:

Improve Monsanto’s ranking on Covalence’s Annual Ethical Reputation Ranking by 10

places by its March, 2015 report

Increase Monsanto’s positive share of voice online under the keyword search “Monsanto

Ethics” by 5% by August, 2015


Strategies

Internal:

Provide employees the opportunity to confidentially communicate and share ethical

concerns with a Monsanto-appointed ethics counselor

Institute annual ethics training seminars for C-level and management level employees

from each of Monsanto’s 146 facilities

Encourage and reward employee attendance of ethics conferences and seminars

External:

Increase ethical transparency via corporate website

Reach out to influential voices within the agricultural sciences community

Increase ethical transparency via social media

Audiences

Monsanto employees

Corporate senior leadership

Media

Tactics

Internal:

Appoint an ethics representative within the Monsanto corporate offices, as well as within

each facility, to serve as a bi-weekly ethical counselor


Require employees to familiarize themselves with the code of ethics by developing

ethically challenging questions to be answered at the start of morning meetings

Require employee attendance to at least one reputable ethics training seminar other than

Monsanto’s each year

Reward attendance to more than one reputable ethics training seminar by providing

employees gift cards to local restaurants

External:

Allow seamless access to Monsanto’s codes of ethics and conduct by organizing the

webpage as a more prominent subhead within the “Who We Are” section

Reach out to influential agricultural scientists to help dispel false accusations of

Monsanto’s scientific and ethical credibility

Post ethics seminar information, links, and photos to social media outlets

Enlist media relations professionals for each ethics seminar

Evaluation Metrics

Objective 1: Increase employee awareness of Monsanto’s code of ethics by 20% by August, 2015

Awareness is often difficult to quantify, however, the following metrics will facilitate a more

accurate understanding of this objective:

Examine the notes taken by each appointed ethics counselor to gauge increased employee

understanding of Monsanto’s existing code of ethics over the 16-month plan

Measure webpage visits from individual corporate networks to Monsanto’s online code

of ethics


Apply a rating system to the employees’ ability to answer the ethically challenging

questions proposed at the start of morning meetings

Objective 2: Increase employee involvement in ethics workshops, seminars, and activities put on

by Monsanto or other reputable ethics training organizations by 15% by August, 2015

Require employees to provide proof of attendance to independent ethics seminars

Measure attendance of Monsanto-organized ethics seminars

Objective 3: Improve Monsanto’s ranking on Covalence’s Annual Ethical Reputation Ranking by

10 places by its March, 2015 report.

Compare Monsanto’s 2015 ranking to its ranking from 2014

Objective 4: Increase Monsanto’s positive share of voice online, under the keyword search

“Monsanto Ethics” by 5% by August, 2015

Utilize sites like socialmention.com or meltwater.com to track share of voice and online

sentiment (tone of Monsanto’s share of voice)

Purchase the right to use more robust online listening and measurement tools like:

Viralheat, Spredfsast, Sysomos, Sprout Social, or UberVU

Plan Rationale

I believe this plan has the potential to play a vital role in the future success of Monsanto.

Becoming a more ethically understood company will allow Monsanto success in the long run, as

it expands its business practices. My rationale for the strategic implementation of the proposed

plan is based on the vital need for clarification and transparency of Monsanto’s ethical stances

both internally and externally. The strategic plan goes beyond basic compliance, however.


This proposal is meant to serve as a guideline to be lived by and adhered to through every

employee action, for the safety and security of Monsanto’s reputation as an unethical company.

Ethical guidelines reinforced in this plan allow Monsanto employees to make difficult decisions

in many different right-versus-right scenarios.

The proposed strategic implementation process relies heavily on employee involvement,

particularly in regards to the internal objectives, strategies, and tactics. A potential problem for

my plan is a lack of willingness on the part of Monsanto employees to adhere with some of the

proposed requirements or incentive-based participation strategies. Another potential problem

lies in the external strategies regarding increased transparency. Activist groups and uninformed

publics may jump on some of the posts and hi-jack what we intend to be good press, and turn it

into a weak attempt at ethical behavior.

I hope you find this proposed ethics plan to be adherent with Monsanto’s existing

practices, and a critical addition to its current ethics planning program. I’m confident my

research and implementation strategies above will meet the Monsanto standard.


References

Arndt, M. (2010). Monsanto v. Food Inc. over How to Feed the World. Bloomberg Business Week http://www.businessweek.com/innovate/next/archives/2010/01/anyone_whos_see.html

Cesca, B. (2010) Monsanto Leads in Genetically Modified Agriculture, Trails in Ethics. Daily Finance

http://www.dailyfinance.com/2010/04/08/monsanto‐leads‐in‐genetically‐modified‐agriculture‐

trails‐in‐e/

Food and Water Watch. (2013). Monsanto: A Corporate Profile. Food and Water Watch.

http://documents.foodandwaterwatch.org/doc/MonsantoReport.pdf

Monsanto. (2014). Awards and Recognition. Monsanto Co. http://www.monsanto.com/careers/pages/company-awards-recognition.aspx

Monsanto. (2014). Food, Inc FAQs. Monsanto Co. http://www.monsanto.com/food-inc/pages/faqs.aspx#q1

Monsanto. (2014). Financial Highlights. Monsnato Co. http://www.monsanto.com/investors/pages/financial-highlights.aspx

Monsanto. (2014). Products. Monsanto Co.http://www.monsanto.com/products/pages/default.aspx

Monsanto. (2014). Monsanto Code of Business Conduct. Monsanto Co. http://www.monsanto.com/sitecollectiondocuments/code-of-business-conduct- pdfs/code_of_conduct_english.pdf

Monsanto. (2014). Code of Ethics for Chief Executives and Senior Financial Officers. Monsanto Co. http://www.monsanto.com/whoweare/pages/code-of-ethics.aspx

Monsanto. (2012). 2012 Corporate Social Responsibility and Sustainability Report. Monsanto Co.

http://www.monsanto.com/whoweare/pages/corporate‐sustainability‐report.aspx

Monsanto. (2014). Monsanto at a Glance Monsanto Co. http://www.monsanto.com/whoweare/pages/default.aspx

U.S. Department of Veteran Affairs. (2013).

http://www.publichealth.va.gov/PUBLICHEALTH/exposures/agentorange/conditions/index.asp

Monsanto. (2014). Stakeholder Engagement. Monsanto Co.

http://sustainability.monsanto.com/commitments/stakeholder‐engagement


Hess, A. (2013). A Noxious History: 5 of Monsanto’s Gravest Wrongdoings. Takepart.

http://www.takepart.com/photos/noxious‐history‐5‐monsantos‐dastardly‐deeds/pioneering‐

gmos

Barlett, L, D., Steele, B, J. Monsanto’s Harvest of Fear. Vanity Fair. http://www.vanityfair.com/politics/features/2008/05/monsanto200805

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