Ethics During Change Essay

1178 Words Nov 24th, 2013 5 Pages
Ethics During Change
Trisha Goodhue
June 26, 2013
Jennifer Post
University of Phoenix

Introduction Organizational change is when companies are undergoing or have undergone a transformation to some degree. While implementing change into a business environment, many issues arise that test ethics and morals alike. In today’s world, organizations must introduce change in their business in order to advance and compete with the fast moving business world around that surrounds us. Companies must carefully introduce changes while at the same time considering the ethic implications of the changes introduced (Ramanathan, 2008). The list of changes that can be made within a company is endless and continually being added to.
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Mergers or Acquisitions is next on the list. This is when a business decides to combine their business processes with those of competitor firms, or buy an existing business (Sonenshein, 2009). The ethical implication of the changes that arise from mergers or acquisitions in the business include; employees risk losing their jobs due to human resource restructuring measures, employees are forced to face a completely new environment and structure, employees might also face a workload increase or decrease causing stress at work and in their personal lives. Consumers may also be effected with a fear of monopolies and exploitation. Downsizing, this is brought up when there is law demand for the companies’ products at a set cost. Downsizing brings to light a loss of jobs, which increases the unemployment rate and in turn effects the economy as a whole for both the working and unemployed. (Hassin, 2010). On top of that, while the organization downsizes in employees, the production requirement does not, leaving the same amount of work to be done with less manpower to achieve the task. Another form of change comes from introducing a new product line. As a result of market demands or diversification measures, changing the product line increases profit as well as market…