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1) Building Ethical Organisational Culture -

What is Organizational Culture?

  A system of shared meaning held by members that distinguishes the organization from other 

organizations. It is the basic pattern of shared assumptions, values and beliefs consideredto be the correct way of thinking about and acting on problems and opportunities facing

the organization.

 

Organizational culture passes down from long serving staff to new hires and becomes

embedded in how the organization operates. Thus, organizational culture is influenced

and impacted not just by written regulations, rules and policies, but also by the unwrittencode of how we really do things around here.!

Ethical Organizational Culture-

An ethical organizational culture isAn ethical organizational culture is

• what guides decision"making when no one is looking#

•  it is what staff will rely on when there is no rule in place to address the dilemma being

faced#

• it is what supports open discussion of difficult situations

•  it is what sustains trust when information is unclear or facts are not known.

 

An ethical organizational culture builds staff loyalty, fosters a sense of responsibility to

deliver results through ethical means as well as to protect the image and reputation of the

organization. It also promotes the commitment needed to manage the organization!s mostdifficult challenges or to adapt to new circumstances.

Why Ehtical Organisational Culture

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•  $orporate wrongdoing and scandals can wipe millions off the value of businesses as well as

wreck reputations that have taken decades to build.

•  Any boss who still doubts the importance of prioritising building an ethicalculture should

note that customers and employees are increasingly choosing ethical companies to do

 business with and work for.

•  In the %&'& (thics in the )orkplace! *urvey +available to subscribers at sallybibb.comthe

majority of respondents said that they believed it was important to have an ethical culture.-ut what eactly is an ethical organisational culture and how do you build one.

• (thical organisations are characterised by leaders who role model integrity,open and honest

communication, an atmosphere where people speak up about wrongdoing and a pride in high

ethical standards.

Beyond the code of conduct – eight steps to building an ethical organisational culture-

1 !he right leader" An organisation can never be ethical unless its bosses role model ethical

 behaviour and set the standards. They have to be clear about their values and demonstrate

them in actions as well as words.

%. A clear purpose and strategy" /arvard -usiness *chool professor 0ichael -eer researched

the difference between companies that achieve high performance levels over long time periods and those that fail when they reach a certain size. /e analysed the companies that

failed in the %&&1 financial crash and suggested three core reasons# the companies lacked

a higher purpose +they were focused on short term gains not long term value, they didnot have a clear strategy and they badly mismanaged risk.

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2. A focus on doing the right thing "3or an ethical culture to prevail, employees also need to

feel responsible and accountable for their actions. In the (thics in the )orkplace!

survey , 4&5 of respondents believed that it is important that employees feel responsiblefor and committed to ethical practice. /owever only just over 6&5 believed that

employees in their organisations actually did feel responsible.

)ithout a sense of personal accountability people can blame their boss, the organisation

or someone else. $reating an environment where people are epected to stand up for what they believe is right and take responsibility is crucial. )ithout it there can be no

ethical culture as small and large daily wrongdoings will go unchecked.

6. #iring the right people " /iring people with the right values as well as the right skills and

knowledge is important. Interviews and assessment processes should eplore what people

have done in certain situations as well as asking them about their rationale for their 

actions.

$ %iring the &rong people " If you don!t fire people for wrongdoing you send a message that behaving ethically does not matter all that much. Actions speak louder than words and

 people become very cynical if they see senior managers espouse one thing and do

another.

7. 'un ethical training courses. It can be difficult to spot an ethical situation in the first place,

let alone knowing the best way to tackle it. All employees need to have the knowledgeand skills to identify and tackle ethical situations as well as the permission! to raiseconcerns when they have them. 8unning mandatory ethics training for everyone in the

company signals that ethics is a high priority.

4. ('e&ard people for doing the right thing and challenge the* &hen they do the &rongthing It can take a lot of courage to raise concerns about the actions of colleagues.

9eople need to be encouraged to do so by being rewarded in the form of appreciationfrom management including a positive mark in their performance appraisal. 9eople often

don!t challenge wrongdoing for fear of ostracism from colleagues and management. They

need to be actively encouraged to do so.

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:. !olerate *ista+es ,but not &hen they are *ade repeatedly) If people are afraid to make

mistakes they will either always play it safe! +which is not always good for the business

or cover any errors up for fear of punishment!. One company gives an annual award for the best mistake made last year ; it is the mistake from which the corporation learned

most. It co

odel for Ethical Culture building-

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.) C/0!/'A0 2E342O34

50OBE 6'O7EC!-

•8esearch on the relationship between culture and leadership resulted in the GLOBE research program. 

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• istance

• ?ncertainty avoidance

>escription"

• Asserti8eness9 >egree to which people in a culture are determined, assertive,

confrontational, and aggressive in their social relationships

•%uture orientation9 >egree to which individuals in a culture engage in planning, investing,and delaying gratification.

• 6erfor*ance orientation9 >egree to which organization or society rewards group members

for improved performance and ecellence

• #u*ane orientation9 degree to which a culture encourages and rewards people for being

fair, altruistic, generous, caring, and kind to others.

• 5ender differentiation :egalitarianis*9 >egree to which organization or society

minimizes gender role differences B promotes gender e@uality

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• 2n-group collecti8is*9 The degree to which people epress pride, loyalty, and cohesiveness

in their organizations and families.

• 2nstitutional collecti8is*9 The degree to which an organization or society encourages

collective action, collective distribution of resources and collective action.

• 6o&er distance9 The degree to which power is stratified or degree to which members of a

group epect and agree that power should be shared une@ually

• /ncertainty a8oidance9 (tent to which a society, organization, or group relies on

established social norms, rituals, and procedures to avoid uncertainty. The use of rules,structures, and laws to make things more predictable.

A6602CA!2O34

• /elp understand own cultural biases B preferences

• /elp understand what it means to be a good leader.

• /elp communication across cultural and geographic boundaries.

• odel pro8ides infor*ation on &hat is uni8ersally accepted as good and bad

leadership

/ofstede!s $ultural >imensions"

9ower >istanceC

D Ine@uality is fundamentally good

D (veryone has a place, some high some low

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D 0ost people should be dependent on a leader 

D 9owerful should have privileges

D 9owerful should not hide their power 

?ncertainty Avoidance

D $onflict should be avoided

D >eviant people and ideas should not be tolerated

D =aws are very important

D (perts and authority are mostly correct

IndividualismC + ?*, $anada, Australia, >enmark and *weden

D 9eople are responsible for themselves

D Individual achievement is ideal

D Eo emotional dependence on organizations and groups

$ollectivism in India, 9akistan, Indonesia

0asculinityC

D

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T8O09(EAA8*! 38A0()O8F"

  !ro*penaars; *odel of national culture differences is a framework for cross cultural

communication applied to general business and management, developed by 3ons

Trompenaars and $harles /ampden"Turner.

This model of national culture differences has seven dimensions C

'elationships &ith people"

• ?niversalism vs particularism

• Individualism or $ollectivism

• *pecific vs diffuse

•  Eeutral Gs. Affective

• Achievement Gs Ascription

6erspecti8e on !i*e

7. *e@uential vs *ynchronic

'elationship &ith the En8iron*ent

4. Internal vs (ternal $ontrol

(planationH

1 /ni8ersalis*

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  +8ules Gersus 8elationships

 /ni8ersalis*" 9eople place a high importance on laws, rules, values, and obligations. They try

to deal fairly with people based on these rules, but rules come before relationships.

3ollowed in ?.*., $anada, the ?.F, the Eetherlands,

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  4pecificC 9eople keep work and personal lives separate. As a result, they believe that

relationships dont have much of an impact on work objectives, and, although good

relationships are important, they believe that people can work together without having agood relationship.

  3ollowed in ?.*., the ?.F.,

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  Ascription " 9eople believe that you should be valued for who you are. 9ower, title, and

 position matter in these cultures, and these roles define behavior.

  3ollowed in 3rance, Italy, Kapan, and *audi Arabia

4e@uential !i*e

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=) 23!E'3A!2O3A0 COE4 O% CO3/C!" CA/ 'O/3 !AB0E D A'C!/'/4

CA/ 'ound !able 6rinciples for Business Conduct

• 3ounded in '1:7 by 3rederick 9hillips, former 9resident of 9hillips (lectronics and Oliver 

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• #u*an dignity relates to the sacredness or value of each person as an end, not simply as

the means to the fulfillment of others! purposes or even majority prescription.

• The $au 9rinciples aim to operationalize the t&in 8alues of living and working together and human dignity by promoting free trade, environmental and cultural integrity and the

 prevention of bribery and corruption.

• $au 8ound Table 9rinciples for *takeholder $onstituencies under the following topicsC

$ustomers.

(mployees.

Owners investors.

*uppliers.

$ompetitors

$ommunities.

CA/ 'ound !able 5eneral 6rinciples" !OWA'4 WO'0W2E B/423E44

• The responsibilities of business are beyond shareholders and towards stakeholders.

• (conomic and social impact of business to world commission

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•  -eyond the chapter of law and towards a spirit of trust.

• 8espect for rules

• *upport multinational trade +

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CA/ 'ound !able 5eneral 6rinciples" !o&ards E*ployees

• )ork conditions to be fair and improved consistently.

• /ealth and dignity of worker to be borne in mind.

• Open in dealings, share all but classified information

•=isten and act when grievances are received

• In conflicts ; Ngood faith negotiation and not legal tangle

•  Eo discrimination on any ground

• (rgonomics ; in practice

• ?pdate their skills and knowledge

• *ensitive problems to be tackled amicably

CA/ 'ound !able 5eneral 6rinciples" !o&ards 2n8estors

• 3air and competitive return on capital by efficient management.

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• >isclose relevant information ecept Nclassified

• $onserve, protect and increase owners! assets

• 8espect their complaints for solutions.

CA/ 'ound !able 5eneral 6rinciples" !o&ards 4uppliers

• 9ricing to be fair

•  Eo coercion or litigation

• =ong"term stability

CA/ 'ound !able 5eneral 6rinciples" !o&ards Co*petitors

•  $ompete on @uality or innovation

•  $ompete on positive brand e@uity

•  3air and open marketing and pricing

•  Eo abuse of market power 

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•  Eo use of governmentMpolitics to gain market power 

•  Eo ac@uisition of commercial information by unethical means

•  Eo violation of anti"monopoly and similar laws

•  Eo illicit payments to obtain a competitive advantage

CA/ 'ound !able 5eneral 6rinciples" !o&ards Co**unity

• 8espect and maintain human rights

•

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•  Arcturus identifies current and emerging issues in order to launch targeted improvement

initiatives.

What is Arcturus

• The Arcturus Corporate 'esponsibility Assess*ent 4ur8ey provides companies with a

27&"degree self assessment of their corporate responsibility and sustainability performance

 based on the individual assessments of directors, senior eecutives andMor employees. It

enables companies to identify and prioritize environmental, social and governance risksand opportunities to enhance long"term business profitability and value.

• Arcturus comprises 61 @uestions structured to assess performance and risks for key

stakeholders " customers, employees, shareholders, suppliers, competitors, and community" and against the Cau 'ound !able 6rinciples for BusinessG first published by the $au

8ound Table in '116.

• An inventory process asking @uestions of board members, eecutives, management team,

employees, etc., of a company to assess and diagnose various risks and opportunities.

• The Arcturus eecutive @uestionnaire can be completed in about 7& minutes and the

Arcturus full @uestionnaire can be completed in about 2& minutes per stakeholder.

• 8isks and opportunities are diagnosed from the perspective of the $8T seven general

 principles and the stakeholders groups.

• )hat is diagnosed is the etent to which a company has fulfilled its duties under the seven

general $8T 9rinciples and promoted its relationship with each of its stakeholder constituencies.

• The diagnosis will allow management to consider issues the company is confronted with

from the different perspectives of all stakeholders.

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• 0easured outcomes create new goals for corporate improvement.

• (g" Eissan 0otor $o. of Kapan recently completed its first use of Arcturus +known in Kapan

as $*8 Innovation. This assessment process served as the basis for its new focus onimplementing $*8 globally.

Arcturus" A fi8e step process

• 4tep 2-6re 'esearch D Custo*ization"  $ompany research by Arcturus team to

understand company history and values+Annual report, *ustainability report , 9re

interviews

• 4tep 22-ata Collection" (ecutives B employees answer 61 @uestions.

• 4tep 222"2n8estigation D Analysis"  8esponses to the 61 @uestions and the interview

content to be eamined and analyzed.+(valuation MAssessment

• 4tep 2

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• Awareness of issues impacting the company is collected in @uantitative form on a & to :

 point scale and in @ualitative form by written comments on activities, policies and concerns

which is called language data.

• (ach respondent scores the company in each of the 61 areas of investigation.

• (ach respondent adds @ualitative comments on key areas of concern.

• The $8T staff and project team facilitate the in@uiry process.

>) En8iron*ent 6rotection-

• En8iron*ental protection  is a practice of protecting the environment, on individual,

organizational or governmental levels, for the benefit of the natural environment and +orhumans.

•9rotection of the environment is needed due to various human activities.

• En8iron*ent 0a&s- /uman pollution may harm the environment and the focus of 

 pollution laws is to limit or prevent humans damaging the environment.

En8iron*ental 6ollution-

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It is a popular issue after )orld )ar II. It can be said that pollution is the result of our social

development through the means of science. 9ollution is the product of our scientific

achievements being applied for the improvement of human facilities.

6ollution-

9ollution is defined +(nvironmental 9rotection act '11& as N the release into the environment

medium of any process or substances which are capable of causing harm to man or any other living organism supported by the environment.

!ypes of 6ollution-

• Air 6ollution C It is caused by the release of chemicals and particulate matter into theatmosphere.

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• 9ollution sources that are stationary include chemical plants, coal"fueled power plants,

 petrochemical plants, oil refineries, nuclear waste disposal, large live stock farms,

incinerators, factories producing 9G$, metals, plastics and other heavy industry.

• 9ollution from agriculture comes from clear felling, burning and spraying of pesticides and

herbicides. /umans are the primary cause of global warming since '1&s.

• *oil contaminants include chlorinated hydrocarbons, heavy metals, solid hospital wastes,

lead, fuel. Ordinary landfills are the source of chemical substances entering the soil

environment.

• )ater pollution can be caused by discharge of toic pollutants like pesticides, heavy metals

and non"degradable chemical compounds into fresh or ocean waters.

• The sources of these can be industries, chemical, heavy metal, hospital wastes. They also

can be untreated or partially treated sewage water.

4o*e En8iron*ental 6rotection 0a&s

• Air +9revention and $ontrol of 9ollution Act, '1:'P%Q

• -iological >iversity Act, %&&%

• (nvironment +9rotection Act, '1:7

• 3orest $onservation Act, '1:&

• Indian 3orest Act, '1%4

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•  Eational wellers +8ecognition of 3orest 8ights

Act, %&&7

•)ater +9revention and $ontrol of 9ollution, '146

• )ild =ife +9rotection Amendment Act, %&&%

• )ildlife 9rotection Act of '14%

•  Eoise 9ollution Act

• /azardous waste /andling and management act, '1:1

3ational 5reen !ribunal ActG .H1H

• 3ational 5reen !ribunal ActG .H1H +E

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• An Act to provide for the establishment of a Eational

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Objectives

• 9roviding for the protection and improvement of the environment

• 9reventing environmental pollution in all its forms

• To tackle specific environmental problems that are peculiar to different parts of the country.

• To improve the @uality of life by protection of environment.

• To appoint environment officers to check environmental pollution

• To co"ordinate the activities of the various regulatory agencies already in eistence.

• To protect the forests and wildlife in the country.

Air ,6re8ention and Control of 6ollution) ActG 1IJ1

• An Act to provide for the prevention, control and abatement of air pollution, for the

establishment, with a view to carrying out the aforesaid purposes, of -oards, for conferringon and assigning to such -oards powers and functions relating thereto and for matters

connected therewith.

• )/(8(A* decisions were taken at the ?nited Eations $onference on the /um an

(nvironment held in *tockholm in Kune, '14%, in which India participated, to take

appropriate steps for the preservation of the natural resources of the earth which, among

other things, include the preservation of the @uality of air and control of air pollution#

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•  It etends to the whole of India.

• “the prevention and control of air pollution at its source is the primary responsibility of 

State and local governments.”

Objectives

• 9rotect and enhance the uality of air resources.

• 9rotect public health and welfare while fostering a beneficial productive capacity.

• 9revention, control and abatement of air pollution .

•

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• The Act provides for the protection of wild animals, birds and plants# and for matters

connected therewith or ancillary . It etends to the whole of India, ecept the *tate

of Kammu and Fashmir which has its own wildlife act

• The %&&% Amendment Act which came into force in Kanuary, %&&2 have made punishment

and penalty for offences under the Act more stringent.

2ndian %orest ActG 1I.

• The 2ndian %orest ActG 1I. was largely based on previous Indian 3orest Acts

implemented under the -ritish. The most famous one was the Indian 3orest Act of ':4:.-oth the ':4: act and the '1%4 one sought to consolidate and reserve the areas having

forest cover, or significant wildlife, to regulate movement and transit of forest produce, andduty leviable on timber and other forest produce. It also defines the procedure to be

followed for declaring an area to be a 'eser8ed %orest, a 6rotected %orest or a

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• The Kharkhand forest department has taken up a move to check deforestation by providing

=i@uefied 9etroleum

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• $hhattisgarhC .7 million hectares

• 0aharashtraC .&7 million hectares

• OdishaC .&2 million hectares

• India’s five states with largest area under forest cover 

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$) Ethics Co**itteeGEthics Officers and Ethics anagers

-usiness (thics 0anagement

•It is the direct attempt to manage ethical issues and problems through special policies, practices and programs.

• $omponents

0ission or value statement

$ode of ethics

8eporting andMor advice channels

8isk analysis and management

(thics managers, officers, committees

(thics consultant

(thics education and training

*takeholders dialogue, partnership B consultation

Auditing, accounting and reporting

/ierarchy C

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(thics $ommittees

1.$haired by an eternal advisor and includes key management from head@uarters and groupoperations.

2.Take the position that the committee is the responsible authority for ethics compliance in itsarea of jurisdiction.

3.-e the final voice concerning interpretations regarding the organizations ethics andcompliance standards and procedures.

4.0ake recommendations on improving the eisting compliance mechanisms.

5.Oversee the use of due care in delegating discretionary responsibility.

6ossible 'oles for An Ethics Co**ittee

'. $ontribute to the continuing definition of the organizations ethics and compliance

standards and procedures.

%. Assume responsibility for overall compliance with those standards and procedures.

2. Oversee the use of due care in delegating discretionary responsibility.

6. $ommunicate the organizations ethics and compliance standards and procedures,

ensuring the effectiveness of that communication.

. 0onitor and audit compliance.

7. Oversee enforcement, including the assurance that discipline is uniformly applied.

4. Take the steps necessary to ensure that the organization learns from its eperiences.

(thics Officers

(thics officers should, as a minimum, be appointed as senior managers, but preferably as aneecutive, of the organisation in which they serve.

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Aside from being a specialist in the field of business ethics who possesses the ability toinfluence others to act or behave in a specific manner.

/eMshe also needs to be seen as a type of symbolic leader and somebody who is respected as

the ethical benchmark.

-eing an eecutive of an organisation and having a seat on the eecutive committee, assistsin setting and integrating the ethical tone and strategy of the business from the top down.

/e lends credibility to the function, as well as allows the ethics officer to effectivelydischarge hisMher responsibilities.

(thics Officers

The ethics officer needs toC

establish an ethics function within the workplace#

design and implement a communication strategy for ethics#

conduct ethics training for all employees including senior and eecutive management#

integrate ethical behaviour and decision making criteria in the organisation!s reward system#

market ethics throughout the organisation in newsletters, corporate magazines and brochures,screen savers on desktops and by way of posters in canteens and other common spaces# and

monitor and report on ethics performance by the company, to the board andMor ethics +socialand ethics committee, plus stakeholders.

(thics 0anager 

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0anagers hold positions of authority that make them accountable for the ethical conduct of those who report to them.

They fulfil this responsibility by making sure employees are aware of the organizations

ethical code and have the opportunity to ask @uestions to clarify their understanding.

0anagers also monitor the behaviour of employees in accordance with the organizationsepectations of appropriate behaviour.

They have a duty to respond @uickly and appropriately to minimize the impact of suspectedethical violations.

0anagers make themselves available as a resource to counsel and assist employees who faceethical dilemmas or who suspect an ethical breach.

7 COE O% E!#2C4COE O% E!#2C4

What is a Codes of Ethics

• $odes of ethics are voluntary statements that commit organizations, industries, or 

 professions to specific beliefs, values, and actions andMor that set out appropriate ethical behavior for employees.

• A Code of conduct is a set of rules outlining the responsibilities of or proper practices for 

an individual, party or organization.

• 9rinciples, values, standards, or rules of behavior that guide the decisions, procedures and

systems of an organization in a way that

contributes to the welfare of its key stakeholders, and

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 respects the rights of all constituents affected by its operations.

• N$onstitution of the organization

4ignificance of Code of Conduct

$ode of $onduct is the standard of epected ethical behaviour for the companysmanagement and employees. 2t is about holding oneself to the highest standards of ethicalbusiness beha8iourK

Typically $odes talk about epectations toC

• obey the law,

• conflicts of interest,

• insider trading,

•  preserving confidential information,

•  bribery,

• corporate opportunities,

• competition and fair dealing among other things

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!ypes of Ethical Codes

• Organizational or corporate codes of ethics - These are specific to a single organization .

*ometimes they are called codes of conduct or codes of principle, but basically these codes

seek to identify and encourage ethical behaviour at the level of the individual organization.

• 6rofessional codes of ethics - 9rofessional groups also often have their own guidelines for 

appropriate conduct for their members. )hilst most traditional professions such as medicine,

law and accountancy have long ; standing codes of conduct, it is now also increasinglycommon for other professions such as marketing, purchasing or engineering to have their 

own codes.

= 2ndustry codes of ethics – As well as specific professions, particular industries also

sometimes have their own codes of ethics .

• 3or eample, in many countries the financial services industry will have a code of conduct

for companies andMor employees operating in the industry.

• *imilarly, at the international level, the electronics industry has developed a code of conduct

to ensure that working conditions in the electronics industry supply chain are safe, thatworkers are treated with respect and dignity, and that manufacturing processes are

environmentally responsible!.

• The code of conduct was developed by a number of companies engaged in the manufacture

of electronics products, including >ell, /ewlett 9ackard and I-0.

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• It has since been adopted by a range of multinationals such as Apple, $isco, Intel, =ogitech,

0icrosoft, *amsung and *ony.

> 6rogra**e or group codes of ethics – 3inally, certain programmes, coalitions, or other sub" grouping of organizations also establish codes of ethics for those participating in

specific programmes.

3or eample, a collaboration of various business leaders from (urope, the ?*, and Kapanresulted in the development of a global code of ethics for a business called the $A?R

8oundtable principle of -usiness.

3or instance, companies wishing to use the 3airtrade 0ark must meet international 3airtradestandards which are set by the 3=O, the international certification body, 3airtrade =abelling

Organizations International.

Code of Ethics focuses on four *ain issues "

• 9revalence of corporate codes of ethics.

• $ontent of codes of ethics.

• (ffectiveness of codes of ethics.

• 9ossibilities for global codes of ethics.

5eneral Obser8ations for being ineffecti8eness of Code of Conduct

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• 0ajority of employees are ignorant of the code of conduct#

• =ack of ade@uate and regular education of employees about code of conduct affected its

 practice#

• *enior managers never practice what the code of conduct says#

• $ode of conduct is just on paper not being practiced#

•$ode of conduct has brought about very little or no change into the behaviour of publicservants#

• Too many inconsistencies and impartiality in administering code of conduct have made it

unsuccessful#

• $opies of the codes are not made available to staff#

• The language of the code of conduct is too difficult to comprehend#

• $ode of conduct is obsolete#

• The administrative culture does not encourage good behaviour 

Co*panies and their Code Of Ethics"

• A*azons $ode of $onduct or (thics

  In performing their job duties, Amazon.com employees should always act lawfully, ethically,

and in the best interests of Amazon.com

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• /nile8ers $ode of $onduct or (thics

  )e conduct our operations with honesty, integrity and openness and with respect for thehuman rights and interests of our employees. )e shall similarly respect the legitimate

interests of those with whom we have relationships.

• 0in+ed2ns $ode of $onduct or (thics

  To help reinforce the importance of =inkedIns culture and values, we!ve re"designed our $ode of $onduct to bring the way we do business into even sharper focus.

  Our $ode is the playbook for not only complying with the law, but for setting a higher bar for ourselves and helping us to manage through the inevitable grey areas that arise in the

workplace.

• 5oogles $ode of $onduct or (thics

  N>on!t be evil. on!t be evil is much more than that. It!s about providing their users unbiased access to

information, focusing on the needs and giving them the best products and services that they

can. -ut it!s also about doing the right thing more generally ; following the law, actinghonorably and treating each other with respect.

  The on!t be evil into practice. It!s

 built around the recognition that everything we do in connection with our work at

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• They create the common understanding of what the organization means and epects when it

re@uires employees, leaders and board to do the right thing.

•  $or instance, 4tarbuc+s, its mission and vision statement describes 7 guiding principles that

helps this organization in being ethical.

9rovide a great work environment and treat each other with respect and dignity.

(mbrace diversity as an essential components in the way we do business.

Apply the highest standards of ecellence to the purchasing, roasting and fresh delivery

of our coffee.

>evelop enthusiastically satisfied customers all of the time.

$ontribute positively to our communities and our environment.

8ecognize that profitability is essential to our future success.

• !oyotaG its mission and value describes principle which helps in being ethical.

/onor the language and spirit of the law of every nation and undertake open and fair corporate activities to be a good corporate citizen of the world.

8espect the culture and customs of every nation and contribute to economic and socialdevelopment through corporate activities in the communities.

9ursue growth in harmony with the global community through innovative management.

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 %utshell & Ethical organi'ational climate and culture rest on mission vision and values of the

organi'ation

J) C/0!/'E A3 E!#2C4-

(thics ; 

• (thics is a code of behavior that a society considers moral and appropriate for guiding

relationship with one another.

•  (thics are standards of right and wrong, good and bad. (thics are concerned with what

one ought to do to fulfill one!s moral duty. There are two aspects to ethicsC

  -eing able to determine what is right or wrong, good or bad ,B ,

  $ommitment for doing what is right and good.

$ulture and (thics ; 

• $ooperation is easier and conflicts are limited when people share convictions. )e

therefore need to look for ethical principles that are shared worldwide.

•  *tandards and values are an integral part of any culture# hence, culture is the bedrock 

supporting every development.

• $ulture can obstruct progress, but it can nevertheless be a tool for emancipation.

•  $ulture is also a goal in itselfC it gives meaning to our eistence.

• The same holds true for e@ual rights, responsibility for future generations, freedom of speech, and democracyC they stimulate progress, but are also the objective of 

development.

• (ffects Of $ulture ; 

• >etermines how people communicate

• >etermines how people interact

•

>etermines how people relate to one another 

• etermines what is appropriate behavior 

• >etermines how power and status are allocated

• $ultural (thics"

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$ode of $ultural (thics ; 

•   There should be a process of actively developing and practicing appropriate, relevant,

and sensitive strategies and skills in interacting with culturally different persons.

•   There should be a set of congruent behaviors, attitudes, and policies that come together 

in a system, agency, or among professionals and enables that system, agency, or those

 professionals to work effectively in cross"cultural situations.

•   There should be an integration and transformation of knowledge about individuals and

groups of people into specific standards, policies, practices, and attitudes used inappropriate cultural settings to increase the @uality of services, thereby producing better 

outcomes.

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J) !he 2nternational 6artnership for the 4atoya*a 2nitiati8e ,2642) is a partnership made upof '74 member organizations dedicated to working together to realize societies in harmony with

nature.

In many parts of the world, people have developed ways to utilize and manage their surrounding

natural environment to sustain and improve their daily lives and production activities such as

agriculture, forestry and fisheries. -ased on knowledge and practices locally accumulated in such

human"nature interactions over a long time, production activities and their managementmechanisms have created elaborate systems that have continued to support local communities by

 providing foods, fuels, and other materials, nurturing traditions and culture, and maintaining

ecosystems and biodiversity. /owever, they have been increasingly threatened by rapid socio"

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economic changes in recent years. 0any have been converted into more uniform, efficient and

large"scale production systems that often cause environmental degradation and loss of cultures

and traditions. Therefore, it is important to eplore ways and means for using and managingnatural resources sustainably that benefit current and future generations.

To tackle this critical issue, the 0inistry of the (nvironment of Kapan +0O(K and the ?nited

 Eations ?niversity Institute for the Advanced *tudy of *ustainability +?E?"IA*C formerly the?nited Eations ?niversity Institute of Advanced *tudies jointly initiated the *atoyama

Initiative. This international effort promotes activities consistent with eisting fundamental

 principles including the (cosystem Approach. I9*I was established in %&'& in order to undertakeand facilitate a broad range of activities to implement the concepts of the *atoyama Initiative by

diverse stakeholders.

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" 0ulti"stakeholder participation and collaboration in sustainable and multi"functional

management of natural resources and ecosystem services

" $ontributions to sustainable socio"economies including poverty reduction, food security,

sustainable livelihood and local community empowerment

?sing this approach, I9*I provides a platform for the *atoyama Initiative to promote activities toconserve and rebuild *(9=* with the ultimate goal of realizing societies in harmony with nature.