Case Study : Coffee Shop And Its Impact On Organizational Culture

There has been increasing numbers of concerns with the ethical leadership of organizations due to historical problems with company’s downfalls due to management. The unethical conduct of leadership is typically found when the organization does not enforce the ethical climate once determined as important. The paper focuses on different approaches for strengthening the leadership for the organization and enforcing the ethical climate. In addition, the important factors for a strong ethical climate are derived based on a solid foundation for an the organization’s policies and procedures and code of conduct. Organizations can accomplish ethical leadership and behaviors by enforcing and practicing the code of conduct and having a high level or integrity in the leaders that run the organization.

One of the great challenges encountered in relation to organizational ethics is that of individual ethical values. Individual factors are essential in the resolution of ethical issues of concern.

The culture of an organization has a bearing on all levels of management, and employees and their behavior in making decisions concerning the organization (Mathis & Jackson, 2011, p. 13 ). In creating a code of ethics, begin by acknowledging actions that may create concerns, contemplate which are considered to be of moral value, such as matters in regard to esteem, objectivity and trustworthiness.

There are several steps corporate and governmental leaders can take to promote ethical behavior to include developing a code of ethics and implementing ethical policies. Maintaining and supporting open communication with stakeholders and employees builds trust so that concerns are brought forward without fear of retaliation. Establishing systems and processes that support and do not sabotage ethical practices is significant to safeguarding against fraudulent and unethical behavior. However, even with the proper policies and reporting mechanisms, companies are not guaranteed that unethical behavior will not occur. With systems in place, a company is able to address issues and take action to discontinue the behavior. The most effective way to promote ethical behavior is through leadership commitment, training and demonstrating appropriate behavior. (Center for Ethical Business Cultures, 2008)

In today’s modern world managers from all companies have to take into account the works of ethical decision making, ethical decision making is an idea that will dramatically help any manager that takes this issue seriously. In the standpoint of the internal customer, ethical behavior improves the actual atmosphere at the job and helps motivate the actual employees, sets an example to the actual employees, and evokes a feeling of pride with the company and improves it is image within the eyes with the employees. From the standpoint of outer customer, ethical behavior improves the image of the company and enhances the overall progress of honourable behavior within the organization. Ethical behavior demands an atmosphere where it can be performed. Furthermore, it necessitates a knowledge about basic fundamentals of honourable behaviour. Eventually it contributes to cultural and behavioral enrichment amid internal staff with the organization.

Brickman and Sims evaluate the result of how unethical behavior can affect the organizational culture. The article is credible because if demonstrates the effects of negative and unethical behavior on an organization and how to counter act them. Robert Sims is an author, Floyd Dewey Gottwald Senior Professor of Business Administration at Mason School of Business and has a PhD in Organizational Behavior from Case Western Reserve University. Johannes Brickman Professor in the Department of Strategy and Entrepreneurship at Norwegian School of Management BI, Sofienberg, Oslo, Norwayship. Their backgrounds in leadership, business, ethics and business assist them to be specialist in their field and credible sources for research. This paper shows

Culture, climate, and ethical decisions are a significant part of the organizations. The organizational culture refers to the values and the beliefs that exist in an organization for a long time and the beliefs of staff and the foreseen value of their job that will influence their behavior and attitude. The organizational climate is considered as the shared perceptions of and meaning attached to the practices, policies, and the procedures employees experience and behaviors they observe getting the reward, and that are expected and supported. The organizational culture and organizational climate tend to be two alternative aspects for conceptualizing how people experience and describe their work settings. The organizational ethics are considered as the standards and principles in which the business operates. The organizational ethics is normally dependent on organizational culture. Ethical organizational culture does consist of employees and leaders who adhere to the code of ethics.

Companies are supposed to be able to achieve and demonstrate an ever increasing performance showing improvement on leading in their industries to acquire competitive advantages. Having a high level of performance could be greatest achieved with competent and motivated employees. The conduct of business in an organization with an ethical manner is of great importance to secure an increasing performance as well. Organizations functioning towards ethical standards should ensure unbiased applications of business and recall a sense of justice to stimulate motivation among their employees. Employees that are motivated through a positive ethical organizational climate and leadership do much better than a less motivated employee. This promotes the organizational achievement that causes

Moral and ethical integrity is a major factor that affects the success and productivity of an organization because of its impact on the functions of management and the management team. As organizational ethics has increasingly become an issue of major focus resulting in organizations to face huge dilemma, there have been several questions on who should manage ethics and integrity in the firm (Segon, n.d.). In most cases, organizations tend to delegate the ethics function to the human resource management practitioners or department. This is primarily because organizational ethics is largely related to the type of employees within an organization. Notably, the development and establishment of organizational ethics is regarded as a complex

The purpose or aim of every organization is to establish such an organizational culture and behavior among its employees that helps in achievement of ideal ethical standards. There are certain determinants that play a critical role in helping achieve the right organizational culture. Some of these include personal moral intensity, social ties, codes of ethics, locus of control and Machiavellianism. These

In their personal and professional lives, people can and, unfortunately, sometimes do go against their moral and ethical standards. Ethical standards are what it means to be a good person, the social rules that govern our behavior. Ethics in business is essentially the study of what constitutes the right and wrong or the good or bad behavior in the workplace environment. A business is an organization whose objective is to provide goods or services for profit. The organization has a group of people that work together to achieve a common purpose. The moral challenges that these men and women face each day along with a whole range of problems that could occur, are why ethics plays such an important

The Coffee Clubs first cafe opened in 1989, since then more and more stores have been opened worldwide. The Coffee Club has two different styles of stores those being either a small cafe or a restaurant. There are many stores scattered around New Zealand from Otago to Auckland with 55 outlets being in New Zealand and 350 plus worldwide.(Franchise New Zealand Limited, 2015) As an organisation their vision is to be a global leader in retail food, coffee and franchising. This means they want to lead by example to other companies in the same industry. Their mission is to provide good food, great service and excellent coffee and a welcoming meeting place with an inspiring contemporary lifestyle to its

How do ethical values shape behavior in organizations? According to Saleem (2014), ethical values and behaviors of an organization are made up of organizations institutionalized philosophies along with the moral ideologies of its members. In addition, the codes of ethics help to enhance the moral reasoning of employees while shaping their behaviors towards morally questioning unethical situations. Organizational leaders are encouraged to build cultures of trust with leadership who establish concerning goals employees pursue y setting examples for others to follow (Crosbie, 2008). The leaders whom are able to build training and development throughout their organization helps design and build relationships characterized by collaborative behaviors those results in mutually beneficial outcomes (Crosbie, 2008).

There have been consistent reports of scandals in corporation because of incidents with employees making unethical decision or partaking in an unethical behavior. Some common examples are the misrepresentation of performance, and theft from one’s organization or employer. According to the US Chamber of Commerce (2012), employees’ stealing from their employers was estimated to be about $40 billion yearly. Values are the motivational construct for what we consider important in our lives (Hannah et al, 2013). It provides a guide for ethical behavior but difference in the values and expectation of a group in an organization may trigger unethical behavior in employees; therefore, this report seeks to explain how work unit influence group member’s unethical behavior.

Starbucks is one of the most successful coffee chain which was founded in the year 1971 in the Seattle’s Pike Place market. This small stores tend to offer the best bean coffees in the city and draws the customers. In the year 1981, Howard Shultz became a part of the franchise. Since the early years, Starbucks garnered the attention which many companies desired. Further, numerous start-up companies aimed to emulate the success of Starbucks, but failed to reach even closer to that kind of success. There existed numerous factors and important decisions which made Starbucks a success in the past. This paper will be focusing on the key elements of the organizational culture at Starbucks along with the effective decision making process. The