Parmal is a small but underdeveloped district. It has rocky terrain that is not suitable for agriculture, though some subsistence agriculture is being done on small plots of land. The area receives adequate rainfall and has an irrigation canal flowing through it. Amria, its administrative centre, is a medium sized town. It houses a large district hospital, an Industrial Training Institute and some privately owned skill training centres. It has all the facilities of a district headquarters. A trunk railway line passes approximately 50 kilometres from Amria. Its poor connectivity is a major reason for the absence of any major industry therein. The state government offers a 10 years tax holiday as an incentive to new industry. Critically analyse the story of APW and state the ethical issues involved. Do you consider APW as a role model for development of backward areas? Give reasons.
In 2010 Anil, an industrialist, decided to take benefits to set up Amria Plastic Works (APW) in Noora village, about 20 km from Amria. While the factory was being built, Anil hired the required key labour and got them trained at the skill training centres at Amria. This act of his made the key personnel very loyal to APW.
APW started production in 2011 with the labour drawn fully from Noora village. The villagers were very happy to get employment near their homes and were motivated by the key personnel to meet the production targets with high quality. APW started making large profits, a sizeable portion of which was used to improve the quality of life in Noora. By 2016, Noora could boast of a greener village and a renovated village temple. Anil liaised with the local MLA to increase the frequency of the bus services to Amria. The government also opened a primary health care centre and primary school at Noora in buildings constructed by APW. APW used its CSR funds to set up women's self-help groups, subsidize primary education to the village children and procure an ambulance for use by its employees and the needy.
In 2019, there was a minor fire in APW. It was quickly extinguished as fire safety protocols were in place in the factory. Investigations revealed that the factory had been using electricity in excess of its authorized capacity. This was soon rectified. The next year, due to a nationwide lockdown, the requirement of production fell for four months. Anil decided that all employees would be paid regularly. He employed them to plant trees and improve the village habitat.
APW had developed a reputation of high quality production and a motivated workforce.
Critically analyzing Amria Plastic Works (APW) reveals a largely commendable development story, despite one ethical slip.
The primary ethical issue involved was APW's use of electricity in excess of authorized capacity. While quickly rectified upon discovery, this indicates a period of non-compliance with regulatory norms. A truly exemplary model would demonstrate complete adherence to rules from the outset, making this a minor blemish on an otherwise positive record.
Despite this, I do consider APW a significant role model for backward area development.
Reasons are compelling: APW provided crucial local employment and facilitated skill development for its key personnel, addressing a fundamental need in an underdeveloped district. Its exemplary corporate social responsibility (CSR) is evident in reinvesting sizeable profits to visibly improve Noora village – a greener environment, renovated temple, and constructing buildings for government-opened health and primary education centers. Anil's proactive liaison for increased bus services and using CSR funds for women's self-help groups (SHGs), subsidized education, and an ambulance highlights a genuine commitment to holistic community welfare. Furthermore, maintaining employee welfare during lockdown, ensuring regular pay, and engaging them in village habitat improvement exemplifies high ethical leadership and employee care. APW's reputation for quality production and a motivated workforce solidifies its positive footprint. While the electricity lapse is a learning point, APW's overwhelmingly positive and holistic contributions to community empowerment and sustainable development far outweigh this isolated instance.
Answered By:
Sarvesh Jha
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