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Ethics in Business:
Answering the call
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Group Members:
Sadaf Naz BB-09-21
Samina Khan BB-09-33
Aimen Sajid BB-09-51
Sunya Ramzan BB-09-95
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Introduction
Are higher standards than the lawneeded?
Can religious beliefs be used as possiblehigher standards for business ethics?
Which elements of modern corporate
culture need to be modified to attain higherlevel of morality in business?
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Ethics in Business
Business Ethics is a subfield of Ethics
Standards of Business Ethics vary fromculture to culture
Concept of Business Ethics is not new,
Adam Smith wrote a book namely TheTheory of Moral Sentiments
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Standards of Ethical Behavior
1 Law
2 Organizational Policies
3 Professional and Trade Associations
4 Communitys idea of Morality
5 Individuals own perception about ethics
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The Role of Law
Laws act as contractual frameworkwithin which businesses operate
Whether law is necessary andsufficient standard of business ethics?
Are there higher standards of morality
which must also be met?
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Levels of
corporate responsibility
Economicresponsibility
Legalresponsibility
Ethicalresponsibility
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Social Responsibility Strategy
Obstructionist
strategy
Defensivestrategy
Accommodative
strategy
Proactive
Strategy
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The Role Of Religion
What is role of religion?
Theories demonstrating the role of religion.
Baelz theory.
Zinbarg theory. Stackhouse concept about role of religion.
Summarization of concept.
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Corporate Bureaucratic Culture
William H.Whyteepublished the book The
Organization Man.
Noceroopinion about the William H.Whyteebook
Jackall undertook in depth case studies of three
large American for profit corporations.
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Some of the concerns expressed by Jackall
in his book:
1.Corporations are persons only in a legal sense.
2.Business organizations are typically establishedto make a profit, this can affect their moralculture
3.Most large business corporations are organizedby bureaucracies, this tends to distribute authorityin ways that may be counterproductive
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4.Business managers, particularly those at themiddle levels and below have little control overtheir own time
5.Many corporate managers have a very shortterm time perspective
6.Problems of psychological distance andmultiple stakeholders also diffuse responsibilitywithin the bureaucratic business firm
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The types of misconduct most observed include
abusive behavior, misreporting hours worked etc.
Employees in transitioning organizations observe
misconduct.
Proportion of employees satisfaction .
Despite of increase in reporting of misconduct, still
some non-management do not report the misconduct
Results from weak organizational cultures
where ethics is not properly emphasized
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Creating an ethical organizational
culture Adopt a code of ethics.
Provide ethics training.
Hire and promote ethical people.
Correct unethical behavior. Take a proactive strategy.
Conduct a social audit.
Protect a whistle blowers. Empower the guardians of integrity.
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Demonstrating CSR
What is CSR?
SEVEN internal responsibilities. SEVEN responsibilities from outside business.
Novak vision of CSR.
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Providing servant leadership
What is servant leadership? Autry six ideas about servant leadership.
Leadership is not about controlling people,it is caring for people.
It is not about being a boss , it is aboutserving people.
It is not about holding of a territory, it isabout letting go of ego.
Creating a good place for work.
Matter of paying attention.