Principal Based Decision Model Harvard Case Solution & Analysis

Principal Based Decision Model

Define the Situation

Mr. Alek Lychenko is the captain of the large oil tanker Petrograd. It is registered under the Panamanian flag to the Russian shipping company, Volganove line. As the ship makes its way into the open waters of the Atlantic Ocean, hence, Alek Lychenko experienced a feel of relief.  Alek Lychenko was found quiet depressed and he was expecting that the next assignment will be less difficult as compared to the previous 5 months. During these months the tanker had been under charter to the Seiagustus Limited, which is a UK-based company that has dedicated itself in treatment and trading of oil, chemical products and most importantly chemical waste.

The story had begun five months ago when the Petrograd had pulled out  from a Venezuelan processing plant, a freight based on coker gasoline (coker naphtha) which is a by-product of a procedure linking to the pulverization of coke. This by-product is extremely sulphurous but the coker naphtha can be altered into a poor quality petroleum spirit. This spirit can be sold at a great profitability in terms of fuel in many of the developed countries in the world but may not sold in the EU or in other highly developed countries. However, the chemical conversion requires the rigorous application of caustic soda to decrease the sulphuric material of the coker naphtha because of the risks linked with this powerful chemical agent and the horrible stink procedure. This practice is hardly allowed in any part of the world because it has some serious concerns regarding the health of the humans. The sulphuric material of this inferior fuel would have been far too elevated to meet Europe’s environmental standards for fuel and oil industry but it could meet the conventional African standards no trouble that authorize ten times superior a sulphuric material in fuel sold for common use. After a couple of months, the inferior fuel was unloaded at the sea in Tunis and attractive revenue was made by Seiagustus on the deal. Boris, who was the second commander on the ship has ordered that under any conditions he must not reveal the detail about the source of the cargo and under no situation he should attempt to unload the slops in Tunis.

Furthermore, on the other hand Boris had thought that how much about this dangerous waste he should tell Alek. Since, he has been asked to preserve a strict confidentiality about the off-shore conversion procedure of the coker naphtha that had already been conducted in the Mediterranean and he was moderately sure that Alek must not have been told about this either by Seiagustus or Volgaline. At the same span of time, he felt a duty of faithfulness to his coworker and long-time association to let him be acquainted with just how complicated the coming phase of authority was expected to be for Alek, what was the ultra toxic elements whose real nature was only known by Boris.

Now the command has been taken by Alek. During the trip, Alek and Boris have been asked to change the location few times because no other country was ready to let the toxic slops disposed at their port. The ship entered the port of free town and tied up by 16:30. The concerned authorities reached the ship and confirmed Alek that the fleet of lorries would start the transferring process by 19:30. Alex allowed the two staff members to go and have fun.   While having fun at the local bar, Petru met a beautiful girl who later on told him that she really had an un-pleasant feeling earlier this evening. She further added that she lives in the slum part of the city where she lived with her relatives; she added that at 20:30 there had unexpectedly been an eruption of an enormously foul and all insidious stink that had rapidly led to intense nausea and was disturbing everyone in the slum region where she lived. Everybody was argumentative related to the burning eyes, many citizens were vomiting and few immature children had in fact lost their conscious. Anyhow Petru closed the discussion and left towards the ship.  On the other hand, Alik at the ship smelled the un-usual smell in the air which made him sure about the un-appropriate process that had been followed.  The procedure which they followed was extremely un-professional because these dangerous toxic slops were simply being transferred from ships to the tanker lorries and were disposed off into the open rubbish at the slum area of the city.

Now Alik was feeling really guilty and he was considering several options in his mind regarding this extremely unethical and dangerous act. He thought of calling the Seiagustus and Volgaline but he quickly realized that now it was of no use because it was too late as well. He also considered the option of having the press briefing and disclosing this dangerous and unethical scandal of disposing this toxic waste on the unprepared population, as he returned to home..............................

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