1Introduction Ethics is the standards of how to deal with the relationship with each others. And the companies need business ethics to govern relationships with all aspects of stakeholders. The need for a company’s business activities followed the business ethics has positive impact to its stakeholders. 2What is ethics? The word “Ethics” originates from Greek terms “Ethos” and “Ethikos”.
1. INTRODUCTION Corporate governance, in general, refers to the set of mechanisms by which organizations are directed and governed, to ensure proper functioning of management and effective accountability to diverse stakeholders (Cadbury, 1992). It’s geared towards enhancing business prosperity and long-term shareholder value, whilst protecting the interest of other stakeholders (PSCG, 2012). Effective corporate governance would lead the directors and management to work towards achieving corporate goals and would promote effective control (OECD, 2004). 2.
Business must adjust their yearning to augment benefits against the needs of the stakeholders. Good business morals would mean moral standards acknowledged by the general public as right ought to be actualized throughout behaviour of corporate undertakings. Schedule IV of the Companies Act, 2013, deals with the code of independent directors. It deals with the guidelines of professional conduct and also with their role, functions and duties. Good business morals in the administration of the corporate undertakings would essentially include proper money related dealings in their managing which would in this manner help the organization to succeed.
ETHICS IN FASHION INTRODUCTION MEANING OF ETHICS Ethics reflect beliefs about what is right, what is wrong, what is just, what is unjust, what is good, what is bad in terms of human behaviour. Ethical principles serve as a guide to behaviour on a personal level, within professions, and at the organisational level. It is based on written or unwritten codes of principles and values held in society. BUSINESS ETHICS also called as corporate ethics is a form of ethics or professional ethics that examines the ethical principles and moral or ethical problems that arise in a business environment. It applies to all the aspects of business conduct and it is relevant to the conduct of individuals and the entire organisations.
Introduction To fully understand the statement we must first decide if corporate culture can affect personal ethics and secondly, whether that is a positive or negative. Firstly, we need to understand what is meant by ethics. The Oxford Dictionary defines Ethics “as Moral principles that govern a person 's behaviour or the conducting of an activity” whilst it can also be described “as a composite of the individual ethical values of managers and both the formal and informal policies on the ethics of the organization” (Hunt eta l 1989 as cited in Marta et al. 2012, p 230). Ethics has also been described as the discipline that examines one’s moral standards or the moral standards of a society to evaluate their reasonableness and their implications for one’s life.
The goal is to leverage your company’s unique capabilities in supporting social causes, and improve your competitive context at the same time. The job of today’s leaders is to stop being defensive and start thinking systematically about corporate responsibility.” Michael Porter, Professor, Harvard Business School, “Social responsibility is the responsibility of an organization for the impacts of its decisions and activities on society and the environment through transparent and ethical behavior that is consistent with sustainable development and the welfare of society; takes into account the expectations of stakeholders; is in compliance with applicable law and consistent with international norms of behavior; and is integrated throughout the organization.” Working definition, ISO 26000 Working Group on Social Responsibility, “The World Business Council for Sustainable Development has described CSR as the business contribution to sustainable economic development. Building on a base of compliance with legislation and regulations, CSR typically includes “beyond law” commitments and activities pertaining to”: • Corporate governance and ethics; • Health and safety; • Environmental stewardship; • Human rights (including core labor rights); • Sustainable
For the sense of business according to Joseph (2013), ethics are constructed and decided by each business and underpins decision that an employee makes. When it comes to the business’ environment, a well-constructed ethics is a key for a considerate and responsible decision making in a business (Bennett, 2014). Business Ethics is very important inside the company, it will show the moral standards that a company or business have whether it is right or wrong and good or bad. Every etiquette that a business has, will reflect on what kind of company or business you are. Thus, every company or business must show the proper and right etiquettes it should have, so that the customers will have that kind of trust and a good feedback on your company.
Therefore, a strong focus on manageable codes of ethic leads the company to a professional and ethical-driven performance out of the ethical competition environment. From the book of John D. Sullivan (2009), Focus 7, The Moral Compass of Companies: Business Ethic and Corporate Governance as Anti-Corruption Tools, “Business Ethic is an attempt to set out a standard by which all of the employees of a firm can know what is expected of them. But it is also an attempt to encourage employees, managers, and board members to think about and make decisions through the prism of some shared set of
From the Governance and Ethics Model of Cisco, it’s evident that the underlying objective is integrating CSR initiatives with its operation philosophy. Also, it ensures the same is communicated to the employees which can be deduced from the following findings: 92% of employees feel that Cisco takes ethical business concerns seriously & 86% think its CSR program has a positive impact on its global perception. But Cisco’s CSR perspective extends beyond its governance and extends to its other stakeholders through initiatives like its Security & Business Resiliency (SSBR) Team. It monitors calamities/incidents to protect Cisco employees and assets as exhibited in Hurricane Sandy incident in the US. Part II: Social responsibility integrated with the Business model CISCO has been very proactive in creating a business model in which CSR is integrated.
Concept of Ethical organization. Ethics are the principles and values an individual uses to govern his activities and decisions. In an organization, a code of ethics is a set of principles that guide the organization in its programs, policies and decisions for the business. The ethical philosophy an organization uses to conduct business can affect the reputation, productivity and bottom line of the business. Leadership is defined as a process whereby an individual influences a group of individuals to achieve a common goal (Northouse, 2007).