Kobe Steel is one of Japan's third largest steelmakers. In a rising scandal the company admits that they falsified data with several car companies such as Nissan, Ford, Toyota, Honda, Mazda, and Subaru. This scandal is still on the rise releasing new information this past fall. (2017) The scandal begins with the quality of the products being made. Kobe performed safety checks over looking the data on Copper and Aluminum strength as well as durability for cars, aircrafts, and rockets. In turn some of the employees of Kobe were skipping the safety checks and falsifying the data. The data was released to the companies, and shipped to customers. This poses safety threats because they are producing products for transportation companies. These products could fail, create fatalities, accidents, and create even more of a scandal. Ford uses the aluminum for the hood of certain sedans. It hasn't been released if they have had safety issues with it, however Ford is being cautious with Kobe to protect their company. In a company in Tokyo, a power plant had improperly certified copper piping made by Kobe. This is a very serious company at stake because if something went wrong with the power plant, it could cause an explosion, gas leak, and not only threaten the company but civilians, and people around the company. And Kobe is responsible because their company is supposed to ensure safety checks and guarantees. An internal investigation is currently going on for Kobe Steel to find out exactly why the proper certifications and tests weren't being performed. The company is facing a great loss already. Their stocks have dropped forty percent since the start of the falsified data scandal. The company hasn't released a number of profit they have lost, but they have spoke out to their partnering companies and are paying for recall damages to the aircrafts and automobiles. This scandal started off as a small one, just with copper and aluminum, and it eventually worked into steel products as well. The data was configured to have positive reports on safety checks. It has been said to be going for over ten years. Having companies going extra miles and finish what Kobe steel should have done.
Stakeholders are people that are affected by a certain company. In this specific case we could identify the stakeholders as Kobe Steel, the official company. Kobe steel is a stakeholder because their company is the one at fault, and the company that began the scandal. Kobe Steel's stakeholders can be Hiroya Kawasaki the CE of Kobe. The employees who did not perform the data checks, other employees even if they did perform the checks because the company will do an investigation on everyone. The companies that had been affected by Kobe Steel such as car manufacturers. Customers of those companies, because they could be getting falsified transportation that could be a safety hazard. People around those affected by the Kobe Steel Scandal. The stakeholders really took a negative affect on this because the company has been around for 112 years. The companies reputation is at stake, employees and their family relies on this income to survive, if the company was shut down because of this scandal, everyone would loose everything.