FINAL REPORT
Maha Abubakr 16110047
Aeman Husain 16110051
Ziyad Sohail 16110044
Shoaib Jamshed 16110150
Tabeer Qazi 16110148
Shaharyar Ahmad Sohail 16110297
Contents
Introduction
(i) Background of the Organization (Page 2)
(ii) Background of the Problem (Page 3)
Root Causes of the Problem (Page 4-5)
Proposed Solutions
(i) Strict Leadership Approach
(ii) Non-Monetary Benefits
(iii) Participative Management Style
INTRODUCTION
Background of Organization
FAS Tube Mills and Engineering Industries in one of the leading companies in Pakistan engaged in the manufacturing of steel related products. It belongs to a group of companies associated with M/s Ahsan Brothers, Shahrukh & Company and Farrukh Brothers and
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Higher turnover is therefore decreasing FAS ' competitive advantage, hence adding to its problems.
Root Causes of the Problem
Due to the varying number of employees and regular changes in leadership, there has been fluctuation in actual production, leading to failure in meeting targets.
One of the main causes of this low level of allegiance among employees is that of economic uncertainty in Pakistan. This has occurred due to several macro-economic variables such as a high level of inflation, unemployment, terrorism and rampant corruption. Consequently, it has led to workers in Pakistan becoming more and more income and pay oriented, in order to safeguard their economic conditions and maintain their present standard of living. The concept of commitment has therefore become primitive among workers because their basic needs are not being fulfilled adequately. This can be elaborated upon by Hofstede 's Framework for Assessing Cultures, particularly the dimension of Long-term versus Short-term orientation. People who belong to long-term oriented culture look towards future, value prudence, perseverance and tradition. In a short-term orientation, people are more concerned with the present, accept change more readily and do not see commitments as barriers to change.
During the course of studying the organization, we identified that the management is quite lenient towards the workforce and would occasionally look the other way when something unethical would take place,
An ethical audit is important to establish the company’s current weaknesses and strengths concerning how it conducts itself in an ethical manner. An ethics audit will involve evaluating the company’s standard of ethic, it ethic climate, and how well the company’s employees follow ethical standards. One of the first things to evaluate in an ethics audit is if a company has a written code of ethics and how comprehensive it is. Moreover, the written code of ethics should apply to everyone in the company from the top down with a clear zero tolerance policy in place for ethics violations. Included in a comprehensive ethics code should be a method for
A multitude of factors influence unethical decision making and behaviors such as employment, dissatisfaction with wages and benefits, etc. In the case of Crestview, it is the organizational culture of getting the job done at any cost, which encourages disregard for ethical considerations in the interest of achieving outcomes (Holzer & Schwester, 2011).
Company X is committed to providing education for each employee to report unethical behavior and resolve conflicts without fear of retaliation. One such example would be the need to report employee theft. Employee theft is not only unethical but could also be criminal in nature. Regardless of employee status (entry level or upper management), each employee should feel it their responsibility to report any unethical behavior they observe. Employee theft can range from theft of money, time, office supplies or merchandise to providing proprietary information to unauthorized entities. These activities can result in a negative public image of Company X and should be reported as quickly as possible. Prior to reporting such offenses, each employee should ensure the accuracy of the evidence they will be reporting. There are various methods to report such abuses including but not limited to an anonymous toll free hot line number, verbal or electronic reporting to the local Human Resources office and the open door policy which encourages employees to approach members of management without the fear of
4.) Employee Compliance to the Code: The entire staff is expected to be compliant to the rules and regulations set forth by Company X. Reported accounts of non-compliance will lead to an internal investigation of both the accuser as well as the accused; disciplinary action will necessarily follow if company rules and regulations have not been adhered to or improperly dismissed. Granted that there are many different situations that could arise in which one would believe unethical behavior or misconduct transpired; therefore, it is suggested that first the issue in question is evaluated before presenting to one’s direct
An organization’s culture is based off the shared values and beliefs that are shaped by the organization and its managers. It is this culture that dictates the manner in which employees are to conduct themselves within the organization. Therefore, a culture that creates an environment that influences the employees to act unethically will allow them to do so without thinking of the outcome of their
The problem to be investigated is the application of business ethics. In the business world, ethics are extremely important. Ethics are prime elements that help a business to grow and to become more productive. It is by applying proper business ethics that a business can operate in a moral or ethical business environment and managed to conduct all activities in a manner that maximizes profits while not compromising all other non-economic concerns(Schwab, 1996). Businesses have over the years failed to nurture business ethics in order to fulfill shareholders' interests and to have a culture that is oriented towards profit maximization and high performance(Jennings, 2012; Sims & Felton, 2006). This has led business to have gray areas in their activities. Gray areas are those situations or problems that do not fit exactly into any ethical analysis. These are the activities which may be represented to be immoral as a result of lying and false representations on the part of the business.
Ethical theory will be outlined in relation to the example case with discussion on how the case poses an ethical dilemma in the workplace. Additionally ethical theory will be considered in light of the case with
Every organization also has a profession responsibility to conduct business honestly and ethically. Our readings reported, “Experts estimated that U.S. companies lose about $600 billion a year from unethical and criminal behavior” Kinicki and Kreitner (2009). The organization could avoid having ethical issues by meeting the
Ethics is the guiding force in any respectable organization. With a moral compass, especially in the leadership of organization, a company can become compromised and fall into a quagmire of legal issues, a tarnished reputation, and devaluation of company stock if it is a publically traded company. In pursuit of examine my own ethical lens I will analyze the ethical traits of an admired leader, my own traits as exhibited in the Ethical Lens Inventory, and how I make a decision concerning a particular ethical dilemma.
In order for the directors and executives in any company to know that their employees are acting in an ethical manner, they need a defined
2. Ethical Issues in Business. It seems that every day in the news we are hearing of new company that has acted at least unethically and possibly illegally in the operation and financial reporting of their company's business dealings. There are many ethical issues in business. One major issue that we see is over and under reporting net income. Companies like to show that every quarter the net income of the business has an increase or profit. In order to show this they adopt unethical or illegal means in the operation and financial reporting. One such method is the indiscriminate use of stock options for employees that enable companies to take employment costs off balance sheet and inflate earnings. With the recent ethical issues we have
Employees trust that the employer has the obligations to facilitate them the following: career advancement, incremental salary, salary based on the current working efficiency, upgrading, safe long-term employment, opportunities to build their career as well as support in case personal problems occur (Mario, Sandra and Dr. Ljiljana 2010, 233). On the other hand, the employees believe that they have the following obligations towards their employer: working overtime, staying loyal, taking initiative to take up new responsibilities at work, providing a beforehand notice when taking another position, be ready for transfer, rejecting support to rivalry, protecting confidential company information, spending a minimum of two years doing the routine (Mario, Sandra and Dr. Ljiljana 2010, 233).
I have been selected by the Dreamx Coffee Parlour for the purpose of conducting survey about the causes of ethical breaches by its employees and its impact on organizational culture. This coffee shop has been in operation since a decade. Coffee shop provides the coffee lovers a unique taste of Coffee with blend of ancient Italian roaster. The coffee shop also offers juices, sandwiches, snacks, chocolates, cakes as side orders. It primarily employs college students as its employees and the management of the coffee shop constitutes of senior students. So, its management lacks experience and skills of leadership and managing employees in a way that yields positive performance and results. Moreover, the organization is poorly structured that has resulted in the decline in its revenue and profit. The purpose of employing students as its employees is to get the work done in in-convenient hours and under low wages. These practices have demotivated employees resulting in escalation of their turnover intentions.
This uncertainty further breads a decreased level of job security -a central aspect of career development-. In his 1998 research paper, Satisfaction with job security as a predictor of organizational commitment and job performance in a multicultural environment, Darwish Yousef wrote on the impact of job security, regarding longevity, as it relates to factors such as performance. In this study, he found that “satisfaction with job security is positively correlated with both organizational commitment and job performance”. As such we can see that the security one feels within a position can have a direct result upon their ‘organizational commitment’; their likelihood of remaining, not only with a company but remaining productive and satisfied within their work environment for a longer period due to the reduced stress of uncertain employment.
This is because they fail in reviewing and predict the tone at the top and ensuring the executives is control the environment of the company. The company itself does not emphasize the importance of an ethical corporate culture in their daily duties during the Kozlowski era which later make the personal interest become the new culture of the corporate culture in Tyco International. The failure of review the whole environment of the company makes the unethical conduct become the usual norm to the employees in Tyco International.