BUSINESS ETHICS
Moral principles of duty and virtue that prescribe how we should behavebehave; the foundation of our internal control.
IntegrityResponsibilityRespectFairness Excellence
Objectives of Ethics
Study of human behaviour and makes evaluative assessment about that as moral or immoral.
Establishes moral standards and norms of behaviour.
Makes judgment upon human behavior based on these standards and norms.
Prescribes moral behaviour and makes recommendations about how to or how not to behave.
Ethics will be different at different levels At the basic level, it is about
discipline, i.e.. to maintain punctuality, coming to work on time, behaving properly with superiors, colleagues and subordinates and not wasting time during working hours.
At the top level, it is about commitment and Protecting the interests of the organization.
Factors Influencing Ethics
IndividualIndividual OrganizationalOrganizational EnvironmentalEnvironmental
o ValuesValues
o Work Work BackgroundBackground
o Family StatusFamily Status
o PersonalityPersonality
oTop Level Mgmt. Top Level Mgmt. PhilosophyPhilosophy
oThe Firm’s Reward The Firm’s Reward SystemSystem
oJob DimensionsJob Dimensions
oCompetitionCompetition
oEconomic Economic
ConditionsConditions
oSocial/Cultural Social/Cultural
InstitutionsInstitutions
Sources of Ethics
1. Genetic Inheritance : the qualities of goodness is a product of genetic traits strengthened over time by the evolutionary process.
2. Religion : religious morality is clearly a primary focus in shaping our societal ethics.
3. Cultural Experience : individual values are shaped in large measure by the norms of the society.
4. The legal system : laws represent a rough approximation of society’s ethical standards.
5. Codes of Conduct : three primary categories of codes, a) company codes, b) company operating policies, c) codes of ethics.
Code of Ethics – American Marketing Association
• Responsibilities of Marketer : a) not to do harm knowingly, b) to adhere all applicable laws and regulations, c) the accurate representation of their education,
training and experience, • Honesty and Fairness : a) being honest in serving consumers, clients,
employees, suppliers, distributors and the public. b) no knowingly participating in conflict of interest
without prior notice to all parties involved, c) establishing equitable fee schedules including the
payment or receipt of usual, customary and/or legal compensation for marketing exchange.
Code of Ethics – American Marketing Association
Rights and Duties of parties :
a) products and service offered are safe and fit for their intended use,
b) communications about offered product and services are not deceptive,
c) all parties intend to discharge their obligations, financial and otherwise, in good faith,
Rights
There is a big
difference between what you
have a right to do and
what is right to do.
•It’s not about what we say, or intend, nor is it simply a written code or a framed
credo.
FAIRNESSFAIRNESS• ProcessProcess• ImpartialityImpartiality• EquityEquity
CARINGCARING• The heart of ethicsThe heart of ethics• It is scarcely possible to be It is scarcely possible to be
truly ethical and yet truly ethical and yet unconcerned with the unconcerned with the welfare of otherswelfare of others
CITIZENSHIPCITIZENSHIP• Duties that prescribe how Duties that prescribe how
we ought to behave as part we ought to behave as part of a community.of a community.
FAIRNESSFAIRNESS• ProcessProcess• ImpartialityImpartiality• EquityEquity
CARINGCARING• The heart of ethicsThe heart of ethics• It is scarcely possible to be It is scarcely possible to be
truly ethical and yet truly ethical and yet unconcerned with the unconcerned with the welfare of otherswelfare of others
CITIZENSHIPCITIZENSHIP• Duties that prescribe how Duties that prescribe how
we ought to behave as part we ought to behave as part of a community.of a community.
Foundations of Ethical Behavior
Treat others as you would be treated :-
Respect
Honesty
Trust
Taught in All Cultures
Judaism: What you hate, do not do to anyone.Islam: No one of you is a believer until he loves for his
brother what he loves for himself.Hinduism: Do nothing to thy neighbor which thou wouldst
not have him do to thee.Sikhism: Treat others as you would be treated yourself.Buddhism: Hurt not others with that which pains thyself.Confucius: What you do not want done to yourself, do not do
to others.Aristotle: We should behave to our friends as we wish our
friends to behave to us.Plato: May I do to others as I would that they should do unto
me.
TREAT PEOPLE THE WAY YOU WANT THEM TO TREAT YOU
Ethical Issues Relating to Business
Honesty—communication and behavior consistent with facts
Disclosure of information Promises/commitments Laws and professional standards Representation of others like shareholders
Unfair competition Refrain from bribes and excessive gifts Comply with “anti-trust” laws
Just compensation Respect intellectual property Treat employees fairly
Respecting rights of others Treat others with fairness and respect regardless of age,
religion, ethnic group, sex, economic status, etc., especially children, women, and subordinates
Respect others and future generations by treating the environment well
Values are important beliefs and desires that shape attitudes and motivate actions.
2000 Josephson Institute, Ethics in the Workplace
Values are general terms referring to those things which people regard as good, bad, right, wrong, desirable, justifiable etc.
Business is driven by values.
Managerial values are e.g. importance of good in organizations (like productivity, profit maximisation, employee welfare, industry leadership, organisational stability, organisational efficiency, organisational growth, social welfare etc.), groups within organisations ( like employees, customers, co-workers, superiors, subordinates, stock-holders etc.) and the personal goals of individuals.
ValuesValues
Core ValuesCore Values HonestyHonesty Being straightforward, sincere, truthful, free of Being straightforward, sincere, truthful, free of
fraud, deception or misrepresentationfraud, deception or misrepresentation
RespectRespect To give particular attention to, show To give particular attention to, show consideration for, or hold in high or special regardconsideration for, or hold in high or special regard
ResponsibilityResponsibility Moral Moral Leaders take responsibility for Leaders take responsibility for their own actions/failures . Involves a commitment to give their own actions/failures . Involves a commitment to give a quality performance and not making promises that a quality performance and not making promises that cannot be kept, such as committing to unrealistic delivery cannot be kept, such as committing to unrealistic delivery dates. Also calls for acknowledgment of implicit dates. Also calls for acknowledgment of implicit commitments, such as the protection of confidencescommitments, such as the protection of confidences
FairnessFairness Involves a elimination (or at least a Involves a elimination (or at least a minimization) of one's own feelings, prejudices and minimization) of one's own feelings, prejudices and desires, so as to achieve a proper balance of conflicting desires, so as to achieve a proper balance of conflicting interests. interests.
Relevance of Values in Managers1.1. Knowledge of business ethics will help managers in resolving ethical Knowledge of business ethics will help managers in resolving ethical issues/dilemmas as they arise.issues/dilemmas as they arise.
2.2. Knowledge of values will help managers in setting highly responsible Knowledge of values will help managers in setting highly responsible tone for the organization - in individual judgments and decisions tone for the organization - in individual judgments and decisions whether ethical or not.whether ethical or not.
3.3. It helps manager to realize their social responsibility. Many It helps manager to realize their social responsibility. Many organizations find it wise to go beyond their primary mission and organizations find it wise to go beyond their primary mission and take into the needs of the community. Business ethics make take into the needs of the community. Business ethics make managers more accountable for social responsibility.managers more accountable for social responsibility.
4.4. Knowledge and awareness of the concept and practices of business Knowledge and awareness of the concept and practices of business ethics is equally helpful to practicing managers in managerial ethics is equally helpful to practicing managers in managerial conduct and decision-making. conduct and decision-making.
Types of Values
VALUES
TERMINAL INSTRUMENTAL
refers to desirable end-states of existence, the goals that a person would like to achieve during his/her lifetime.
refers to preferable modes of behavior, or means of achieving the terminal values.
Importance of Values
1. Values lay the foundation for the understanding of attitudes and motivation because they influence our perceptions.
2. Individuals enter organizations with notions of what is right and wrong with which they interpret behaviors or outcomes
3. Values generally influence attitudes and behavior. Does your values match with your Job/Organization? How you will react?
Professional Values
Working within
the laws of India
Serving with competenceexcellenceefficiencyobjectivityimpartiality
Continual improvement of
quality of service,Respecting all stakeholders
Upholding transparency in
functioning while respecting
confidentiality
Ensuringproper,
effective use of
company money
Ensuring the means are
as important as the
ends
Ethical Values
Conserving,public trust inthe integrity, objectivity and
impartialityof government
Acting at all times in such a way as to
uphold the public trust
Resolving official duties vsprivate interest
conflicts in favour of the public interest
Taking all decisions
in the public interest
People Values
Exercising authority
and responsibility with
respect for human dignity
Demonstrating respect, fairness
courtesy in alldealings with citizens
and fellow public servants
Leading by participation, openness and
communication, with respect for
diversity
Treating people with fairness and
civility at all times
Fundamental inrecruitmentevaluationpromotion
Basing appointment decisions on merit
Drivers of Values & Ethics Performance
Achieving High Levels of Values and Ethics
Performance
Preventing and
Managing Values and
Ethics Problems
RESULTS
Leadership
People
Organizational Culture
Risk Assessment,Controls
Standards
Drivers
Achieving high levels of positive values and ethics performance for an organization involves three foundation pillars:
Leadership
Organizational Culture
People Management
Achieving high levels of ethics and values performance can lead to higher levels of public trust and confidence.
The Three Pillars of High Performance
Integrity
Doing the right thing when no one is looking
Fairness(Safety & Trust)
Individual & CollectiveAccountability
To ourselves & our professionTo each otherTo managementTo the Laboratory
Respect and Appreciation for the individual
One’s expertiseOne’s opinionA person’s uniqueness Reciprocal generosity -We encourage responsible & informed risk taking (judgment)
Shared Values
Why Ethical Behavior Adds Value Better information
Trust from investors Better allocation of resources Customers will be more loyal
Fair competition Lowers cost of business in economy Leads to better decision-making (do what’s
best for firm, not one individual) Improves competitive nature of a country’s
economy
Why Ethical Behavior Adds Value Just compensation
Attracts and retains better employees
Rights of others Draws upon talents of wider set of individuals Develops long-term respect from the
community Maintains the environment for long-term
value to all
It’s the right thing to do!
Can Ethical Values be Taught?Level 1: The Foundation
Personal Ethical UnderstandingRight/wrong, Fairness, Honesty, Personal Integrity, Respect for Others
Personal Ethical UnderstandingRight/wrong, Fairness, Honesty, Personal Integrity, Respect for Others
Personal Ethical Understanding
Concepts of right and wrong, fair play, respect for rights of others, honesty, personal integrity
Best learned in the home at an early age—and follow-up is needed throughout life
Institutions (churches, schools, etc.) can help
Application of Ethics to Business SituationsFraudulent Practices, Misleading Advertising, Unfairness
Application of Ethics to Business SituationsFraudulent Practices, Misleading Advertising, Unfairness
Level 2: Application to Business
Personal Ethical UnderstandingRight/wrong, Fairness, Honesty, Personal Integrity, Respect for Others
Personal Ethical UnderstandingRight/wrong, Fairness, Honesty, Personal Integrity, Respect for Others
Application of Ethics to Business Situations
Fraudulent practices, misleading advertising, unfairness
Can be taught in management education and organizations—provided students have a personal understanding of ethics
Can be reinforced by policies, codes of ethics, training
Application of Ethics to Business Situations
“Companies also have to further strengthen ethics management and social responsibility activities to improve their public image’’
Ethical CourageWillingness to Pay the Price for Ethics
Ethical CourageWillingness to Pay the Price for Ethics
Application of Ethics to Business SituationsFraudulent Practices, Misleading Advertising, Unfairness
Application of Ethics to Business SituationsFraudulent Practices, Misleading Advertising, Unfairness
Level 3: Ethical Courage
Personal Ethical UnderstandingRight/wrong, Fairness, Honesty, Personal Integrity, Respect for Others
Personal Ethical UnderstandingRight/wrong, Fairness, Honesty, Personal Integrity, Respect for Others
Ethical Courage
It is not sufficient to simply understand ethical principles
One must have the courage to pay a price for being ethical
Examples can be helpful—case studies showing people willing to stand up for ethical principles
Ethical LeadershipHelping Others to be Ethical
Ethical LeadershipHelping Others to be Ethical
Ethical CourageWillingness to Pay the Price for Ethics
Ethical CourageWillingness to Pay the Price for Ethics
Application of Ethics to Business SituationsFraudulent Practices, Misleading Advertising, Unfairness
Application of Ethics to Business SituationsFraudulent Practices, Misleading Advertising, Unfairness
Level 4: Ethical Leadership
Personal Ethical UnderstandingRight/wrong, Fairness, Honesty, Personal Integrity, Respect for Others
Personal Ethical UnderstandingRight/wrong, Fairness, Honesty, Personal Integrity, Respect for Others
Ethical Leadership
The ability and willingness to encourage others to behave ethically
Includes Developing an organizational climate that
fosters ethical behavior Structuring policies that encourages ethics Behaving ethically while facing the
pressures of leadership
The Importance of Ethical Leadership
Swing GroupCould Go Either Way
Swing GroupCould Go Either Way
Dishonest EmployeesPolicies Won’t Help Much
Dishonest EmployeesPolicies Won’t Help Much
Honest EmployeesWill be Honest Always
Honest EmployeesWill be Honest Always
Ethical Leadership will significantly impact an organization since the vast majority, in this view, can be influenced to behave ethically.
Importance of Ethical Leadership
Swing GroupCould Go Either Way
Swing GroupCould Go Either Way
Dishonest EmployeesPolicies Won’t Help Much
Dishonest EmployeesPolicies Won’t Help Much
Honest EmployeesWill be Honest Always
Honest EmployeesWill be Honest Always
Strong Ethical Leadership—induces the group to behave as if they were the honest employees.
Importance of Ethical Leadership
Swing GroupCould Go Either Way
Swing GroupCould Go Either Way
Dishonest EmployeesPolicies Won’t Help Much
Dishonest EmployeesPolicies Won’t Help Much
Honest EmployeesWill be Honest Always
Honest EmployeesWill be Honest Always
Weak Ethical Leadership—permits group to behave as if they were the dishonest employees.
The work ethos is the prevalent
outlook towards work or the value system with regard to the working environment and community’s value system, whether it is of an individual or a work group.
NEED AND IMPORTANCE OF BUSINESS ETHICS
I. Protection of Consumer rights:
Consumer is the centre of all business activities. In fact, business is essentially meant for satisfaction of consumer wants. Unfortunately, consumers are the most neglected and
exploited group. The application of business ethics will help to confer and implement
consumer rights. Business ethics can be used to check malpractices like adulteration, unfair
trade practices and to make the working of business consumer oriented.
II. Social Responsibility:
Business ethics is a means of making business socially responsible for its actions.
Exploitation of consumers, employees, discriminate use of natural resources, etc; is quite
common in all types of business. Compliance to ethical standards will ensure (a) protection of
consumer rights, (b) public accountability, (c) protection of worker’s interests, and (d) proper
utilization of natural resources.
III. Concept of Socialism:
The concept of socialism in business states that gains of a business must be shared
by all and just by the owner of business. Profit is a sing of business skill and talent. Profit is
also a result of group efforts. Employees, shareholders, consumers, Suppliers and others
contribute to the success of the business. Therefore, success should be shared by all concerned.
Contd……
IV..Consumer Movement:
The growth in consumer movement is also another important factor that has necessitated the need for business ethics. The spread of education and awareness among consumers about their rights has made the business community to conduct business on ethical principles.
V. Better Relations With the Society:
Business ethics is needed to develop good relations between business and society. The relationship of business with society has various dimensions such as its relations with shareholder, employees, consumers, distributors, competitors and government. Business ethics will help to promote and protect the interest to various groups.
CONCEPT OF BUSINESS ETHICS
1. Business Ethics towards Employees:• Payment of right wages and salaries.• Provision of proper facilities.• Proper personnel policies relating to promotion, performance appraisal,
transfers etc;
2. Business Ethics Towards Customers:• Right pricing.• Ethical promotion including advertising.• Provision of proper information about products etc.
3. Business Ethics Towards Competitors:• Fair competitive practices.• Restraining from instigating employees, suppliers or dealers or competitors
etc.
Contd…….
4. Business Ethics Towards Government:• Timely filing returns and other records.• Payment of proper dues including taxes.• Supporting Government in social development activities, etc;
5. .Business Ethics Towards Suppliers:• Proper supply contact.• Timely payment of dues.
6. Business Ethics Towards Dealers:• Timely delivery of products.• Proper dealer’ contact.
Contd…..
7. Business Ethics Towards Shareholders or Stakeholders:
• Provision of proper information.• Timely payment of dividend.• Restraining form insider trading on the stock
markets, etc;
8. Business Ethics Towards Financial Institutions:• Proper information about firm’s financial position.• Timely repayment of advances and interest, etc.
Ethics @ Workplace
Ethics in the workplace in its simplest terms means doing the right things that guide your behavior at work.
On-the-Job Ethical Dilemmas
Situation in which a business decision may be influenced for personal gain.
Telling the truth and adhering to deeply felt ethical principles in business decisions.
Businesspeople expect employees to be loyal and truthful, but ethical conflicts may arise.
Employee’s disclosure of illegal, immoral, or unethical practices in the organization.
Golden Rules of Ethics @ Workplace
Avoid Creating Disturbance Trust & Respect for Others Work Don’t Interfere In Others Work Respect the Privacy of your Co-workers Avoid Gender Biasness No/Least Personal Work During Work Hours
Five P’s of Ethical Decision-making
Perspective
PridePurpose
Pers
iste
nce
Patience
Five P’s of Ethical Power
PURPOSE:
I see myself as being an ethically sound person.
I let my conscience be my guide.
N o matter what happens, I am always able toface the mirror, look straight in the eye, andfeel good about myself.
Five P’s of Ethical Power
PRIDE:
I feel good about myself.
I don’t need the acceptance of other peopleto feel important.
A balanced self-esteem keeps my egoand my desire to be accepted frominfluencing my decisions.
Five P’s of Ethical Power
PATIENCE:
I believe that things will eventually work out well.
I don’t need everything to happen right now.
I am at peace with what comes my way!
Five P’s of Ethical Power
PERSISTENCE:
I stick to my purpose, especially when itseems inconvenient to do so.
My behaviour is consistent with my intentions.
As Winston Churchill said,“Never! Never! Never! Never! Give up!”
Five P’s of Ethical Power
PERSPECTIVE:
I take time to enter each day quietlyin a mood of self-reflection.
This helps me to get myself focused andallows me to listen to my inner self andto see things more clearly.
Decision-MakingDecision-Making
Ethical decision-making involves the ability to Ethical decision-making involves the ability to separate right from wrong along with the separate right from wrong along with the commitment to do what is rightcommitment to do what is right
Decision-Maker’s Personal Moral Philosophy (Moral Decision-Maker’s Personal Moral Philosophy (Moral philosophy involves systematizing, defending, and philosophy involves systematizing, defending, and recommending concepts of right and wrong recommending concepts of right and wrong behavior)behavior)
Ethical Decision Making Process
1 Recognizing a Problem & Define the problem
2 Identify the underlying principles, legislation and policies
3 Identify and consider the options4 Choosing a Solution 5 Implementation6 Evaluating the Solution
Define the problemGather as much information as you can that will
illuminate the situation. In doing so, it is important to be as specific and objective as possible. Writing ideas on paper may help you gain clarity. Outline the facts, separating out assumptions, hypotheses, or suspicions. There are several questions you can ask yourself:
What is difficult about the situation? What other factors are involved (e.g. whole of
government policy)? Who else is involved and what are their points
of view on the matter? Is there a need to work cooperatively?
What effect does your behaviour have on them
Identify the underlying principles
After you have clarified the problem, refer to the Code of Ethics to see if the issue is addressed there. If there is an applicable standard or several standards and they are specific and clear, following the course of action indicated should lead to a resolution of the problem. To be able to apply the ethical standards, it is essential that you have read them carefully and that you understand their implications.
If the problem is more complex and a resolution does not seem apparent, then you probably have a true ethical dilemma and need to proceed with further steps in the ethical decision making process. The following area can help to understand the Underlying Principles
Do your personal interests conflict, or reasonably appear to conflict, with the public interest?
What are your duties as a public sector employee? Does the Code of Conduct require you to behave in a certain way? Is there a relevant guideline, determination or policy? Are there any legal implications? Where necessary, seek legal
advice.
Identify and consider the optionsList all alternative options. For each option
apply risk management principles to identify the impact on different stakeholders, the legal implications and the relevant principles of the Code of Conduct.
For decisions that could have a large impact, or if you are still unsure as to the preferred action, get a second opinion from an independent, trusted person.
Where necessary, seek advice from manager, organisation’s human resources unit or ethics advisor, or other agencies.
Choosing a Solution Considering the information you have gathered and the
priorities you have set, evaluate each option and assess the potential consequences for all the parties involved. Ponder the implications of each course of action for the client, for others who will be effected, and for yourself as a counsellor. Eliminate the options that clearly do not give the desired results or cause even more problematic consequences. Review the remaining options to determine which option or combination of options best fits the situation and addresses the priorities you have identified.
What would your family or chief executive say if your actions were reported on the front page of a newspaper?
How will this decision be viewed by future generations? Would you be happy if this action was performed on you?
Implementation
Create a detailed, step-by-step plan for implementing the solutions you choose
Who will do what, when, how?
This should include a means of evaluating the solutions effectiveness by following ways
Your choice of action must be within the legislation, policies and guidelines both for your organisation and the whole of government.
Your behaviour must reflect the Code of Conduct. You must be able to justify your course of action.
Evaluating the Solution
This is done after the solution has been implemented and involves comparing the results of what happened to what you expected to happen.
In addition, you would want to consider what you might do differently if the situation were to occur again.
Benefits of Ethics
The list of potential benefits:
Fostering a more satisfying and productive working environment
Building and sustaining Organisation reputation Maintaining the trust of staff to ensure continued self-
regulation Providing ethical guidance for employees prior to
making difficult decisions Increased employee loyalty, higher commitment and
morale as well as lower staff turnover Reputation benefits (customers and suppliers) More open and innovative culture Generation of good-will in the communities in which the
business operates
HOW ORGANIZATIONS SHAPE ETHICAL CONDUCT
Ethical Awareness
Code of Conduct Formal statement that defines how the organization expects and requires employees to resolve ethical questions.
Ethical Reasoning
Codes of conduct cannot detail a solution for every ethical situation, so corporations provide training in ethical reasoning.
Ethical Action
Helping employees recognize and reason through ethical problems and turning them into ethical actions.
Ethical Leadership
Executives must demonstrate ethical behavior in their actions.
Personal Traits
Three personal traits act as moderators of an individuals personal values in decision making activities. They are
Ego strength Field dependence and Locus of control
Ego Strength
Ego strength is actually another term for self-confidences. Ego strength is associated with personal beliefs.
A person with high ego strength would be expected to rely more on his own personal values and beliefs of what is right and what is wrong and be less influenced by others.
Field dependence
The tendency to rely on oneself or the field as the primary referent for behavior is field dependence. People who have a tendency to rely on self as a primary referent for their behavior are field-independent people.
They are relatively cold and distant in relations with others, and more able to separate themselves from others and the environment. However, they have greater accuracy in personal perception, have a more articulated body concept, and have higher restructuring ability.
Locus of ControlThe degree to which people believe they are masters of their own fate.
Internals (Internal locus of control) Individuals who believe that they control what happens to them. Externals (External locus of control)Individuals who believe that what happens to them is controlled by outside forces such as luck or chance.
MoralityMorality can be explained in all these ways:
Morality can be defined as the standards that an individual or a group has about what is right and wrong, or good and evil.
Moral quality or character; rightness or wrongness, as of an action; the character of being in accord with the principles or standards of right conduct.
Morality is an informal public system applying to all rational persons, governing behavior that affects others, and has the lessening of evil or harm as its goal.
Stages of Moral DevelopmentThere are six stages of moral development and an
individual develops sequentially through the stages.
Stage one: actions that avoid punishment. Stage two: actions that serve one‘s needs Stage three: actions that gain approval from
others; Stage four: actions that abide laws and authority; Stage Five: actions taken to abide by social
contracts and Stage six actions supported by universal
principles. All six stages provide a rational moral Action
Moral JudgmentsThe Moral judgments should be
(i) logical, ( Moral judgments should be able to support our Moral judgments with reason and evidence. ) (ii) based on facts. ( Moral judgments should be based on facts. Adequate moral judgments cannot be made in a vacuum. We must collect as much relevant information as possible for making them.)
(iii) based on acceptable moral principles.
Global Ethical Issues
Wages and hours
Child labour
Discrimination
Legal and ethical business practices
Product safety and quality
Environment
What causes unethical behaviour Stress
Confusion
Pressure to perform at expected levels
Competition within the industry
No knowledge
Some of the Unethical Business practices are : Cutting corners on quality Covering up incidents Abusing or lying Lying customers Stealing from the company Taking credits from co-workers
ideas/work Taking or giving bribe
Unethical business practices (contd)
Government corruption Financial scandals Product safety Discrimination
“What’s in it for me to be ethical?”
-A more accurate perception of the world around you, follow your conscience.
-Have the courage to do what is right and do try new things even when it is hard or costly.
-Don’t loose heart if you fail or don’t get what you want
-A stronger personality, and greater likelihood of being happy in life
CONSIDER CONSEQUENCES
IS IT ETHICAL ?
IS IT LEGAL ?
IS IT OK ?
IS IT RIGHT ?
Is it fair ?
Does it hurt anyone ?
Have I been honest with those affected?
Can my conscience live with this decision ?
5 Part Structure of Business Ethics
Specifications of moral judgment Moral judgments and moral
standards Justification of moral judgement Logical reasoning and moral
judgement Moral judgement and moral
responsibility
ETHICAL RELATIVISM
The theory that suggest what is
right is determined by what a culture or society says what is right.
CONCLUSION
In the last few years we have seen a drastic change in society as well as in all facets of the business world. The consumer, today, is more aware of his rights and his requirements. He demands the best quality at the regular prices. Companies today need to incorporate a strong or responsible culture to face the instance reaction of the consumer.
Today’s market calls for stringent business ethics to be imposed in the corporate world.
Which Way Will Your Organization Swing?
“Good Ethics Means Good Business”