Business Ethics and Social Responsibility

Sexual harassment in the workplace is a very serious problem that needs to be dealt with effectively. What is sexual harassment? Sexual harassment is defined as a form of sex discrimination, which is a violation of Title VII of the Civil Rights Act of 1964. It involves unwelcome sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature, especially when submission to this conduct is made a term or condition of one's employment (www.business.strose.edu). However, sexual harassment is not limited to sexual advances. It also includes the creation of a intimidating, hostile, or offensive working environment based on one's sex. Although men also face harassment,

The Cheesecake Factory has been one of the more successful chain restaurants in recent years because they have provided great food and outstanding customer service in a fun atmosphere. The cheesecake factory employs a high standard of general conduct and moral aptitude. As a chief executive officer in today’s society, it is my responsibility to ensure The Cheesecake Factory abides by the laws and ethical duties that are mandated by today’s society. There is a copious amount of benefits to being a chief executive officer, however there is an equal amount of risk as chief executive officers are held liable for almost any action or infraction that their company has induced.

Business ethics refers to the consideration of moral decisions and responsibilities in the process of operating a business. Business ethics, practiced throughout the deepest layers of a company, become the heart and soul of the company 's culture and can mean the difference between success and failure. Values drive behavior and therefore need to be consciously stated, but they also need to be affirmed by actions. Ethical business environments are created with foundations of integrity, accountability and commitment.

From a business ethics stance “corporate social responsibility” (Velazquez, 2007, pp. 23), refers to the social interest an organization manifest in the environment it operates. SoftMagic has not seized opportunities from corporate social responsibility. In the U.S., the use of pro-bono activities to develop networking is fundamental considering that multiple leaders of different firms participate and engage in activities that consequently offer an opportunity to market and increase the awareness of the organization. One more time, the cultural challenge seems to have affected the opportunities for SoftMagic.

The notion of ethics deals with people’s behaviors within a company. Social responsibility involves a company’s moral obligations and the manner in which the organization makes its decisions. Although ethics and social responsibility are similar on a conceptual basis, each has its own unique characteristics that express their differences and its independence of the other. Ethics and social responsibility have to be present and coincide with one another for a business to be ethically sound.

Each employee has the right to work in an atmosphere that promotes equal opportunity and prohibits unlawful discriminatory practices, including sexual and other harassment. Sexual harassment is defined as unwelcome sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature. For example, sexual jokes and innuendo; verbal abuse of a sexual nature; commentary about individual’s body, sexual prowess or sexual deficiencies; leering, catcalls or touching; insulting or obscene comments or gestures.

When an employer has a clear and written policy prohibiting sexual harassment available to all staff then everyone is aware that such negative behaviors will not be tolerated in the workplace.

Non-sexual harassment includes other actions regarding age, gender, religion, sexual preference and race. Behavior associated with making racist or negative comments can be construed as non- sexual workplace harassment. Instances of workplace harassment include discrimination such as: using racist phrases or slang, engaging in offensive gestures, talking negatively about other’s skin color or ethnic traits, sharing improper images that are offensive in nature, parading racist posters or drawings around the office that are offensive to certain ethnic groups, and wearing derogatory clothing that can be viewed as being hurtful. Non-sexual harassment includes any actions, comments, or behaviors that are viewed as intimidating, threatening, discriminatory, and disturbs or disrupts one’s work place environment. Workplace bullying/ non- sexual harassment needs to be addressed in the same manner that sexual harassment would be dealt with. Sexual harassment needs to be reported to the human resources office, and if the issue is not properly handled or it’s dismissed, a harassment claim needs to be filed with the Equal Employment Opportunity Commission (EEOC).

In his paper titled The Social Responsibility of Business is to Increase Its Profits”, Milton Friedman addresses the key issue of weighing social responsibility against profit maximization for shareholders. This conflict is the basis for Friedman’s whole paper, as he explores the two sides of the situation. In order to set up his argument, Friedman lays down a framework by explicitly stating a certain premise. This is that businessman view “social responsibility” and profit as not being mutually exclusive. In other words, the majority of businessman believe that they can operate a socially responsible operation, while still optimizing profits in the long run. Friedman argues in favor of this viewpoint by making a claim and providing a solid line of reasoning to support his claim. Friedman’s main claim in this paper is that corporate executives must conduct business with the aim to satisfy the desires and wishes of shareholders. He says that often the principal desire of shareholders is to maximize profits for the company, while still conforming to the rules of society. These rules can be purely legal, but can also be ethical and moral rules that are imposed by society. Friedman argues that any social responsibilities that go beyond the scope of maximizing profits is “pure and unadulterated socialism” (239). To reinforce his main claim, Friedman uses a logical flow of reasons that is predicated upon the role of executives and shareholders.

Is the deception of consumers worth making a profit? The Ford Pinto, popular car of the 1970s, made a profit off of a vehicle that endangered the lives of hundreds of people. In his essay “Pinto Madness” Mark Dowie, author and Pulitzer Prize nominee, exposed the unethical decisions made by Ford Motor Company. When it came to their customer’s safety and profit for the company, Ford made a decision that led to consequences their customers had to pay the price for. Should the business be held accountable for these actions? In his essay “The Social Responsibility of Business Is to Increase Its Profit” Milton Friedman, powerful economist, discusses what a business should prioritize in the economic system. Friedman declares what a business is responsible for and the guidelines they must follow. Due to Friedman’s view, he would not have condoned the actions and decisions that the executives at Ford Motor Company took.

Nowadays, the concern for business ethics is growing rapidly in the business community around the world. Business ethics are focused on the judgment of decisions taken by managers and their behaviors. The issue regarding these judgments is the norms and cultures that shape these judgments. Business ethics are concerned about the issue, how will the issue be solved and how will it move ahead along the transition analysis as well (Carroll, 2014).

Based on the EEOC guidelines, employers are encouraged to take every necessary steps in preventing sexual harassment from happening and these necessary steps can be but not limited to, affirmatively raising the subject, expression of strong disapproval, appropriate sanctions being developed, employees being informed of their rights to raise the issue of harassment under Title VII, and developing methods to sensitize all concerned. (EEOC 1989)

Sexual harassment is one of the most heard in the workplace and usually it occur when employees are subjected to unwanted and unwelcome treatment due to their race, colour, religion, sex, national origin, age or disability factor. Harassment usually included an offensive jokes, unwelcomed comments that related to a person’s protected class and lastly through the physical threat or contact.

ITC Ltd has worked exremly hard to start several procedures that have led to compliance of the standards of social responsibility. ITC’s dealings within the tobacco industry have contributed to the increase in company revenues and the company has worked towards following the triple bottom line and giving back to society. Most, businesses pay little attention to their social responsibilities and make it part of their overall strategy, instead they concentrate more on financial benefits from the sales of products. Consequently, managing business in a socially responsive manner contributes to the best combination of business success and societal acceptance, trust and loyalty. Giving back to the community in ways that benefits only society such as planting trees to curb pollution and help the environment or using biodegradable materials in packaging can reap financial benefits to a company by building loyalty among the community. The notion of business ethics and corporate social responsibility is becoming a defining concept in all industries worldwide. ITC believes in the Triple Bottom Line philosophy where the performance and perception of a corporation should not be judged only on the basis of its financial statements or revenues, but its environmental and social performance as well. ITC is one of the only companies in the world to be carbon positive, water positive, and conduct solid waste recycling. ITC provides water to areas where water is very

Nowadays, a business wants to exist and grow in a society, which business ethics and corporate social responsibility are sensitive and crucial objectives, the business should do what is right. Many people agree that business does not exist beyond society, it is a citizenship in the society. Therefore, business has to have many certain obligations and social responsibility. It generally means business have to do something good for the community, making social contribution, and using effectively resources in a way that next generations can continue to use them. Especially, business managers should pay attention not only their companies’ financial aspects, but also their social and environmental contributions. In the past, TideeKleen used to be a famous company in its fields, with strong reputation for social and environment responsibility. Unfortunately, the company hit temporarily financial and reputational issues. Standing among three tough choices, the company should make decision which satisfies all parties related, helping the company overcome the issue, and bringing the most benefits for the company about financial and reputational aspects.