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Ethics - It is a discipline that examines the moral standards practiced by an individual or a corporate or a society. some activities may be legal but may not be ethical. ethics represent the practiced value system. If ethics at the societal level is not strong, it affects the performance and ethical climate of organizations, which in turn influences individual actions and work and life negatively. e.g. bluffing, discrimination, undue advantage, favors, benefits, influencing decisions from power positions etc.
Organizational Ethics
Giving due consideration to and performing up to the expectations of different stake holders of the companies is essential for an organization. These stake holders and a few expectations can be Customer safety, value for money, fair price, disclosures and information. Stock holders return on investment, transparency in financial dealings. Employees fair and adequate wage, safe working conditions, nondiscrimination. Host country / society following local laws and regulation, respecting cultural practices,
Political and business nexus Manipulation of stock markets Lobbying Fudging of accounts and balance sheet Product piracy Surrogate and deceptive advertising Discrimination in selection, compensation and promotion, Practice of product liability and safety standards.
Issues arising out of employer - employee relationship rights and duties. Discrimination issues based on gender, race, religion, disability etc. Traditional view of at-will employment. Representation of employees and democratization union busting, strike breaking etc. Issues concerning privacy of employee ( work force surveillance, drug testing) and employer( whistle-blowing) Matters of fairness of employment contract and balance of power between employee and employer slavery, indentured servitude, employment law. Hiring and firing methods and practices
selection of top members after through investigation into background. Incorporate ethical behavior in appraisal system. Superior and subordinate discussion for achieving results. Establish ethical awareness programs. Training and workshops on ethical practices and related topics. Executive reward and punishment based on ethics. Working environment supportive of ethical behavior. Establish ethical code and insist commitment.
Different standards need to be applied when evaluating the behavior of different groups.
Adulteration and loss of quality for any reason. Environment and pollution control. Employment of women, children and minorities. Employment of local citizens. Remuneration, pension or severance benefits. Management-union relationship. Taxation and financial controls. Purchase of local and foreign materials. Purchase, lease and location of building and plant.