1. Abstract
This assignment reviews the producing and supporting ethical culture and the climate through human resource management by conferring ethics in the business environment and examining human capital influence in the equivalent situation. This assignment indicates different aspects of ethical issues and challenges that occur in organisations and what human resource needs to do in order to manage them in the same context. It also discusses the ethical decision making of organizations in integrating the ethics into strategic human resource decision making process.
2. Introduction
Ethics are an important aspect in the life of individuals and business. They attempt to distinguish right from wrong and good from bad. They constitute desirable conduct, moral codes, norms, beliefs and practices. Ethical organizational culture and climate are important in order to guide ethical employee behaviour in achieving organizational goals and objectives. Ethical policies, procedure and practices on issues of employee
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A key consideration in the nature of ethics in the business environment is the core values that exist in an organization. These are values articulated and reinforced by top management, imparted to new members of the organization and spread throughout the organization. Organizational values have a substantial influence on employee performance. Organizational values are communicated via socialization and code of ethics. If people do not agree on or do not know the norms and values of their organization then a weak corporate culture exists (Finegan, 1994). Chief executives must communicate, encourage and show pride in the organization ethical standards to inspire and show employees that the organization appreciates a person for acting in accordance with the standards. Business ethics applies to all aspects of business conduct and
Paying attention to business ethics is crucial to all companies, including business owners. Human resources functions and associates directly with most ethical challenges in the workplace. (Ingram, 2015) Human resources deals directly with employees of a company, meaning human resources deals with and handles the numerous ethical pitfalls that can lead to a company's demise or put a dent in the reputation or financial sustainability or a company or business if not handled properly. (Busse, 2014) Understanding the importance of ethics in human resources is crucial for any company and business owner, whether in a local startup or a multinational place of business. (Ingram, 2015)
Every business develops a set of ethical principles that they abide by. The business ethical principles intentions: it construct the business certainty in the community , maintain the employees liveried in what the business attempt to have as structural conducts and aid the employees consume principles to make ethical choices that guards the business. In a culture with a diverse assessment structure and augmented judgment visibly by companies with changeable ethics and interests, there appears to be further difficulties on business individuals to make tougher ethical assessments. In our day-to-day performances, we depend on on our ethical principles to monitor us in the correct path and do the correct things. The substance of any efficacious and perpetual business is they segment a mutual ethical matter concentrating on presenting and generating value along with allocating their business values with the citizens they network with on a day-to-day basis.
This paper primarily consists of a personal response to a few questions about ethics in business. Describing the meaning of ethics sets the criteria for evaluating if actions are ethical. Looking at current and future career work, the concept of ethics is applied to predict ethical challenges. Based on this coursework, and outside research, resources will be identified that may be beneficial when business ethical challenges arise. The coursework on ethics covered law, conflict of interest, accounting, environment, finance, marketing, management, reputation, and corporate social responsibility. All of these topics are corporate concerns. Some topics may present dilemmas during the course of business. The responses in this paper
Ethics deals with the moral principles and standards that evaluate actions or events of an individual or group. Companies with strong ethics have the ability to influence the success of their business such as their reputation. They can act and evaluate their ethical environment to improve and maintain their short-term and long-term goals. They can scope out the danger signs by developing written code of ethics, impose financial costs, design a quick fix solution to ethical issues and solely focus on the legalities issues or public relations. Having an ethical environment can also improve the morale of the employees and the violations can be detrimental to the company financial portfolio. The written ethic policy is developed
Ethics are extremely important in the workplace to maintain order, ensuring that a company runs properly and efficiently. According to authors Colquitt, LePine, & Wesson, ethics is noted as, “The degree to which the behaviors of an authority are in accordance with generally accepted moral norms” (Colquitt, LePine, & Wesson). The decisions that individuals make on a daily basis have a great deal morality within. Characteristics that aid in the ethical decision making process include dedication, integrity, conduct, and many more. Every company makes its values and ethics known immediately after hiring an employee, or specifically, during the interview process. In many businesses, no matter how well an employee performs, workplace values and ethics are
“Past research suggests that organizations must rely on their cultural environment to promote employee ethicality” (Sekerka, 2014). Corporate policies communicate organizational values and offer standardized guidance to employees for exhibiting acceptable behaviors and attitudes. In order for an ethics training program to be successful the following must be present, “help people understand ethical judgment philosophies and decision-making heuristics; address areas of ethical concern within their industry/profession; teach the organization’s ethical expectations and rules; help people to understand their own ethical tendencies; take a realistic view, while also elaborating on difficulties in ethical decision making; and have people use the material in the workplace, then
People do know that there are business organizations that have disregarded ethical standards and encounters ethical issues inside their company. There are times that ethical standards or norms have to be set aside to achieve something worthwhile for the company. Lately, businesses recognize the importance of ethics to help establish the integrity of the
The ethical principles can be employed to address organizational issues regarding financial ethics, business entities, confidentiality, and decision-making. In which, the organizational ethics are expressed the values of the organization to its employees and stakeholders. The ethical principles would influence by external pressures; as well as the organization’s ethical climate affects employee and management performance (Al-Khatib, Rawwas & Vitell, 2004, p. 1).
Ethics is defined as the moral principles, values, and beliefs that a person uses to interpret a given situation and then decide the appropriate course of action based on these values (Jones). When we think about ethics, we usually think of honesty and doing the “right thing.” Ethics is an important facet in any business environment. When a company behaves ethically in communicating with its stakeholder, both internal and external, the organization gains trust and is able to build a strong, solid reputation. Many books and news articles are available online which discuss making ethical decisions and the importance of maintaining a high level of ethical standards in business.
Ethics in business is defined as the principles to distinguish right from wrong and to choose ethical actions. It is the standard governance to all concerned to practice mutual respect and to establish morality in order for the entire organization to benefit. This leads to the development of code conduct that must be followed by the organization. It is highly important that the top senior management and leaders must set the standard attitudes and behavior in the entire organization to press ethical concerns. Because of the consequences of ethics in different organizations, senior leadership’s responsibility is to provide ethics because of their authority and responsibility; this has evolved significantly as a primary influence to change (Ciulla, 2004).
Ethics in the workplace and sometimes the lack thereof can significantly influence the success of an organization. Effective leaders often approach ethical dilemmas by identifying alternative actions and their consequences on stakeholders. The aftermath of the disasters caused by Enron, WorldCom, and other businesses, once prominent companies, resulted in a significant loss of confidence in business leader’s conduct. Organizations in today’s highly competitive business environment must develop an ethical culture to withstand the ever increasing scrutiny by customers, governmental regulatory agencies, and their competition. In order for companies effectively to navigate through the ethical
Today’s business world presents numerous ethical issues. In today’s world above board/moral ethics in organizations do not often materialize intuitively. Organization must strive to provide employees with a clear understanding of the overall company vision. This will aid employees in practicing the code of ethics, policies and procedures in the workplace. Companies must be unwavering in continuously delivering the uppermost ethics of provision in which customers, applicants and employees are entitled to under fair business practices. One major core value is to uphold responsible and fair business practices.
A code of ethics and ethical values are key elements of the internal control process of public companies. The adequacy of an ethics system and the way of life of an organization should be a matter of concern and top priority to the Board of Directors and CEO. Having a code of ethics although is not a guarantee against corporate misconduct. An effective ethics system involves constant reinforcement of strong values. One of the roles of a CEO in a company is to develop and sustain a corporate culture that encourages ethical values and integrity therefore encouraging a culture of ethical corporate conduct. Another role of theirs is to help uphold and protect their corporation’s reputation with clients, the public, and government and regulatory organizations. Ethical leaders like CEO’s are perceived to be moral people and because they are at the top of the corporate chain they are seen as honest and trustworthy.( Mastracchio,2015) The decisions that that make should be based on ethical decision rules and values, and they
In an organization, factors influencing business ethics are :- Leadership, strategy and performance, individual characteristics, corporate culture and environment. One of the key sources of organizational influence is the degree of commitment of the organization’s leader to ethical conduct. Which is also called code of conduct. This commitment can be communicated through a code of ethics, speeches, publications, Supervisory behavior, policy statements and written rules, peer group norms and behavior, etc. (Trevino and Nelson, 2014)
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