Many of Monsanto’s agricultural seed products are genetically modified for resistance to herbicides, such as glyphosate, which Monsanto sells under the brand, “Roundup” – Monsanto calls these seeds “Roundup Ready”. Monsanto’s introduction of this system (planting glyphosate-resistant seed and then applying glyphosate once plants emerged) provided farmers with an opportunity to dramatically increase the yield from a given plot of land, since this allowed them to plant rows closer together. Without it, farmers had to plant rows far enough apart to control post-emergent weeds with mechanical tillage. Farmers have widely adopted the technology – for example over 90% of maize (Mon 832), soybean (MON-Ø4Ø32-6), cotton, sugar beet, and canola planted in the United States are glyphosate-resistant, as described in the GM crops article. Monsanto has also developed a Roundup Ready wheat (MON 71800). *Such products are touted as increasing agricultural productivity and yields.
Some say such solutions from companies like Monsanto will feed the world. *In the 1970s, Monsanto began manufacturing the herbicide Roundup, which has been marketed as a safe, general-purpose herbicide for widespread commercial and consumer use, even though its key ingredient, glyphosate, is a highly toxic poison for animals and humans. *In August, 2003, Monsanto and its former chemical subsidiary, Solutia, Inc. (now owned by Pharmacia Corp.), agreed to pay $600 million to settle claims brought by more than 20,000 residents of Anniston, AL, over the severe contamination of ground and water by tons of PCBs dumped in the area from the 1930s until the 1970s. Court documents revealed that Monsanto was aware of the contamination decades earlier. *If Monsanto hid what it knew about its toxic pollution for decades, what is the company hiding from the public now? Questions.
1. On the outside, Monsanto seems to be following ethical corporate responsibility. They are giving back to the community, and making sure that they do not pollute the environment. The company used the concept of Social responsibility and Business ethics to create a reputation of value to various stakeholders. Monsanto has a committee that maintains an ethical culture , and they can respond to various stakeholders, but I do not think that they can effectively respond on a timely manner.
**Monsanto Company is the world’s largest seed company. They specialize in genetic manipulation of organisms. Monsanto was founded by John E Queeny in 1901 in St. Louis, Missouri. The company’s first product was artificial sweetener. At the start of World War 1, company leader realized the growth opportunities of industrial chemicals. In 1970’s, Monsanto had produced a chemical known as Agent Orange. Agent Orange contained dioxin; a chemical that caused a legal nightmare for Monsanto, a lawsuit was filed against Monsanto on behalf of hundreds of veterans. The repercussions of dioxin would plague the company for years. In 1981 Monsanto leaders determined that biotechnology would be the company’s new strategic focus, so in 1994 they introduced the first biotechnology product. In 1997 Monsanto spun of its chemical business as Solutia and changed its name to Pharmacia.
Two years later, a new Monsanto, focused on agriculture. The New Monsanto was tainted by disturbing news about the company’s conduct. Monsanto had been covering up years of environmental pollution. A paper trail showed Monsanto had known about the pollution since 1960, but didn’t stop the dumping. *In August, 2003, Monsanto and its former chemical subsidiary, Solutia, Inc. (now owned by Pharmacia Corp.), agreed to pay $600 million to settle claims brought by more than 20,000 residents of Anniston, AL, over the severe contamination of ground and water by tons of PCBs dumped in the area from the 1930s until the 1970s. Court documents revealed that Monsanto was aware of the contamination decades earlier.
Hugh Grant took over the company in 2003. But because of the scandals and stakeholders uncertainty, the price of Monsanto’s stock had fallen by 50 percent, and they lost $1.7 billion dollars. Grant knew by strategic focus on GM foods, the company would recover. Monsanto’s Pledge and Code of Ethics:
The Monsanto Pledge is to listen more, to consider their actions and their impact broadly, and to lead responsibly. The Monsanto Code of Ethics placed a special rule for Chief Executive and Senior Financial Officers it was adopted by the Board of Directors of the Monsanto Company stating that the Chief Executives and the senior leadership of the Finance Department must follow in addition to Monsanto’s Code of Conduct.