Fire on the Mountain: An Application of the Pyramid of Corporate Social Responsibility

Author
Stephanie Owings
Topic
Ethics & Social Justice
Strategy & General Management
Length
9 pages
Keywords
financial analysis
ethics
levels of social responsibility
Student Price
$4.00
Target Audience
Faculty/Researchers
Graduate Students
Undergraduate Students

The 416 Fire burned over 50,000 acres near Durango, Colorado in the summer of 2018.  The fire caused evacuations.  Employees were furloughed.  Tourists had taken their dollars and gone elsewhere.  Some said the fire started near the train tracks right after the Durango & Silverton Narrow Gauge Railroad, the historic coal-fired train, passed by.  Al Harper, owner of the railroad, had to determine the future best course for the train and for the town he loves.  His choices included continuing with the historic coal-fired engines, choosing diesel engines, or choosing oil-based engines.

Learning Outcomes

1. Identify the issues and challenges raised in the case that were facing D&SNGR in choosing to operate the train in a socially responsible way.

2. Analyze the financial decision facing the D&SNGR using expected value techniques.

3. Analyze the interrelationships between the choices facing Al Harper, CEO of D&SNG.

4. Evaluate the financial and other tradeoffs using the pyramid of corporate social responsibility.

5. Develop recommendations for Al Harper, CEO of D&SNGR.