Tuesday, November 5, 2013

Who Will Eliminate Blackhearted Merchants Syndrome?

Who Will Eliminate Blackhearted Merchants Syndrome?
United Daily News editorial (Taipei, Taiwan, Republic of China)
A Translation
November 6, 2013


Summary: Obsolete legislation, cowardly officials, and greedy industries are accomplices in a consumer nightmare. We have endured repeated food safety crises. We hope new legislation will close the loopholes, as soon as possible. We hope the business community can collectively rehabilitate itself, and eliminate the sickening Blackhearted Merchants Syndrome.

Full text below:

Recently business leaders have been issuing obsequious apologies to the public. These are among the most nauseating theatrics the Taiwan public has ever been forced to endure. They include the toxic starch and Top Pot Bakery scandals. They include adulterated cooking oils from the Chang Chi Foodstuff Factory and power outages on the Taiwan High Speed Rail System. These differ in degree. But they all hurt the interests or health of consumers. The theatrical apologies and lame excuses show that businessmen no longer have any ethics and no longer care about maintaining brand image and product quality.

It is no exaggeration to describe this erosion of business ethics "Blackhearted Merchants Syndrome." Two years ago the plasticizer scandal erupted. These crimes, committed with malice aforethought, turned society upside down. Consumers panicked. But many businessmen remained indifferent. They continued to defraud and deceive the public as they did before, This is why wave upon wave of food safety crises ensued.

Take the recent adulterated cooking oil scandals. Over 90% of the cooking oils manufactured by the Chang Chi Foodstuff Factory was adulterated. Kao Cheng-li, the man in charge, brazenly adultered everything the company made. He gave the public an insight into the black heart of these merchants. Just when observers  thought the storm had passed, other well-known manufacturers such as Ting Hsin and Formosa Oilseed Processing concealed the truth about using Chang Chi Foodstuff Factory cooking oils. As a result their products were removed from the shelves for several more days, and once again aroused consumer indignation. Ting Hsin and Formosa Oilseed Processing are companies that the Ministry of Health and Welfare assured us made quality cooking oils. These companies knew their products contained adulterated cooking oils. Yet they misled both government officials and consumers. Such practices have exposed their complete lack of social responsibility.

A positive corporate image takes long years to build. But destroying a gold standard takes only the wave of a hand. How can one not remain vigilant? In the food industry for example, products must comply with food safety regulations. But these are merely minimums. In the pursuit of product excellence and consumer loyalty, one must be innovative in one's research and development. One must abide by the spirit of fair trade and exercise care, day after day, year after year. Only that can result in a business that meets the highest standards.

Recently many businesses have engaged in deceptive advertising, false labeling, and outright fraud. Some sought short-term profits. Some sought reduced costs. Some sought a sudden windfall. But as everyone knows , such violations are inevitably discovered, sooner or later. Those who seek a sudden windfall will have to pay a higher price in the end. Yesterday Wei Ying-tung, head of the Ting Hsin Group, offered an online apology. He said "The food industry is definitely an industry which requires a conscience." This remark was dead on. But an industry which requires a conscience also requires constant scrutiny. Otherwise, overnight it can become a Blackhearted Merchants Industry.

Blackhearted Merchants Syndrome is epidemic within the business community. It is not difficult to understand why Taiwan's economy has stalled in recent years. Many factors form a chain. One. Businesses are overly concerned with profits. Driven by the profit motive, they blindly pursue market share and cost reduction. Quality control is gradually moved down the list of priorities. Two. Too many large scale enterprises are OEM. This results in lax quality control, and inadequate government inspections. OEM outsourcing also offers a loophole by which to evade responsibility and pass the buck. Three. Industrial products involve complex processes. Inspection has become more difficult. This provides businesses with opportunities to cheat. Government regulators are inefficient and timid. This makes inspection even more difficult. Four. Businessmen have lost their sense of ethics. This has led to an overemphasis on advertising and an underemphasis on quality control. The public is often unscientific in its attitudes and unable to see things for what they are. This makes it difficult to separate the wheat from the chaff.

In all fairness, the public on Taiwan has long respected and trusted Taiwan's large scale enterprises. But the cowardly or arrogant behavior of some businesses at this crucial moment, is not worthy of respect. How companies treat consumers determines how loyal consumers will be to the companies. This is an iron law of cause and effect. It applies to the adulterated cooking oil scandal as much as it does to the Taiwan High Speed Rail System power outage fiasco. The Taiwan High Speed Rail System enjoys monopoly status. It can unilaterally raise prices. Taiwan High Speed Rail System passengers can only express anger and frustration. But when power failures result in Taiwan High Speed Rail System passengers being trapped, the cost in time and energy is inestimable. The Taiwan High Speed Rail System must make more equitable compensation arrangements. This is its duty and responsibility. Many passengers were unable to make their connections. Yet the High Speed Rail System imposed harsh restrictions on refunds. If passengers are able to show when the High Speed Rail System failed to provide them with promised services, of course they have the right to demand compensation and refunds. This is beyond dispute.

Obsolete legislation, cowardly officials, and greedy industries are accomplices in a consumer nightmare. We have endured repeated food safety crises. We hope new legislation will close the loopholes, as soon as possible. We hope the business community can collectively rehabilitate itself, and eliminate the sickening Blackhearted Merchants Syndrome.

誰來醫治惡劣廠商的「黑心症候群」
【聯合報╱社論】
2013.11.06 03:28 am

企業負責人出面向社會大眾鞠躬和道歉,是台灣近期頻繁到令人倒胃口的戲碼。從毒澱粉到胖達人風波、從大統黑心油的流散到高鐵跳電事件的賠償,雖然程度各有不同,共同點都是企業侵害消費者權益或健康。一齣齣的道歉戲碼,拙劣的託詞,顯示企業家維護品牌形象與產品品質的倫理正快速流失。

這種企業倫理流失的現象,名之為「黑心病症候群」,恐不為過。因為,經歷過兩年前塑化劑風暴那樣重大的衝擊,人們看到一個惡意的犯罪攪得整個社會天翻地覆,消費者陷入集體恐慌;但許多企業經營者卻未因此自我警惕,有人造假如故,有人欺瞞如故,才會讓食品危機一波波襲擾不止。

在這波假油事件中,大統公司超過九成油品的攙假添偽,負責人高振利的膽大妄為與無所不假,讓民眾見識到黑心企業家之極致。然而,就在外界以為風暴即將停歇之際,卻又傳出知名廠商頂新、福懋等刻意隱瞞使用大統油品的真相,導致通路下架時間延誤多日,再度激起消費者的憤慨。頂新和福懋都是稍早向衛福部切結保證油品品質無虞的廠商,但在明知自家產品摻用大統假油的情況下,竟還以欺瞞手段誤導政府官員和消費者。這種作法,又表現了什麼社會責任?

企業優良形象的建立,須經長年累月的經營打造;但要破壞一塊金字招牌,卻是舉手投足之間的事,豈可不慎?以食品業為例,讓產品符合食品安全法令規定,只是企業對品質要求的「低標準」;要追求產品的卓越與消費者的高認同,則必須絞盡腦汁去創新研發,要用童叟無欺的精神日復一日地謹慎呵護,這才是企業經營的「高標準」。

然而,從最近的事件看來,企業犯下的錯誤包括宣傳不實、標示不實、到造假攙偽乃至無所不用其極,有人貪圖的是短期暴利,有人追逐的只是降低成本,有人為的是一時儌倖;殊不知,凡不合法的情事遲早都將被揭發,一時的儌倖則要付出更大的代價來贖償。頂新集團負責人魏應充昨日在網上道歉時說,「食品絕對是良心事業」,此話一點不假;但是,「良心事業」若不時刻警惕檢省,一夕就可能淪為「黑心事業」,不是嗎?

當「黑心」成為企業界的流行病,人們即不難了解,台灣近年經濟為何深陷泥沼而難有起色。其間有幾項關鍵因素環環相扣:第一、企業過度重利,在利潤動機驅使下,一味追求市場占有率的擴大及生產成本的降低,從而使品質的控管逐漸被推到後面的位置;第二、大企業過多的「委外代工」,造成品質失控,而政府法令的不周全,也讓代工成為企業規避責任的「巧門」,可一推了之;第三、工業產品製程的複雜化,導致檢驗工作難度升高,相對給了企業投機取巧的空間;而行政部門的低效率和怕事心理,又增添了查緝的困難。第四、企業家社會倫理的消沈,導致了重宣傳、輕品質的歪風;而社會輿論無法就事論事的反科學取向,又助長了風波的虛實難辨及是非夾纏。

平心而論,台灣民眾對於大企業一向保持應有的敬意與信任;但是,在關鍵時刻表現懦弱、苟且或傲慢的企業,卻不值得人們尊重。企業如何對待消費者,會如實反映在消費者看待企業的態度上,這是不變的因果定律;假油風暴如是,高鐵跳電事件亦如是。高鐵因享有壟斷地位而可以片面調高價格,這點,高鐵乘客只能徒呼無奈;但是,當跳電導致高鐵旅客受困,其精神和時間成本的損耗,高鐵公司自應提出更公平的賠償辦法,這是義務也是責任。試想,對於趕不上班次的旅客,高鐵訂出那麼嚴苛的退票限制;那麼,當高鐵應允提供的班次服務跳票時,旅客當然也有權要求相應的賠償和退費,這是不能打折的原則。

落後的立法、懦弱的官員和貪婪的業者,是消費者惡夢的共犯結構。歷經一次次食安風暴,我們希望法律面與執行面的缺口能夠儘快彌補,更期待企業界能集體重建倫理,掃除令人掩鼻的「黑心病症候群」。

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