Unethical Behaviour by Financial Reporters in an Organization

3600 Words May 3rd, 2011 15 Pages
Introduction
The word "ethics" is often in the news these days. Ethics is a philosophical term derived from the Greek word "ethos" meaning character or custom. This definition is germane to effective leadership in organizations in that it connotes an organization code conveying moral integrity and consistent values in service to the public.
Formally defined, ethical behaviour is that which is morally accepted as "good" and "right" as opposed to "bad" or "wrong" in a particular setting.
For an individual to exhibit ethical behaviour, the mechanism must have adequate provisions to ensure that there is no victimization of employees who follow this procedure. It also suggested that companies should take measures to ensure that this right of
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The First Issue Related to Ethics is Human Rights.
Corporate codes of conduct governing general corporate behaviour and treatment of the workforce in particular are not new. Their modern manifestation began in the mid-twentieth century in the form of codes from the International Chamber of Commerce and other collective codes (Donaldson, 1989, p. 55). Their popularity surged once more in the 1990s in response to pressure from NGOs, the emergence of corporate social responsibility as a key consideration for firms and the phenomenon of socially responsible investment and shareholder action. Whatever form they take, codes are necessary for the positive public image of international company and they demonstrate that the company reconciles doing business and acting ethically. Codes need to comply with a number of conditions before they can be said to operate equitably and with credibility (DeGeorge, 1993, p. 88): 1. the contents of the code must be clearly worded and, at a minimum, comply with core standards; 2. The company adopting the code must be committed to it and be prepared to provide the resources to ensure its implementation, including training, information systems for monitoring and compliance and staff to implement new procedures; 3. Knowledge of the code throughout the organization is essential to its implementation: in particular, employees of the firm and its subcontractors and suppliers must know of the contents
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