Sunday, September 15, 2019
Ethics and Social Responsibilities of Business Essay
It is cardinal fact that the â€Å"emergence of management as a distinct and identifiable activity in the modern era has had an important impact on the society with which it developed†(Massie 29). Even during the early the early days of the 20th century, most of the business corporations were predominantly concerned with their singular objective of profit maximization. As a matter of stark reality, business corporations are open system and, resultantly, they need to continuously interact with the society. Hence, many social activists began to question this singular motive of organization during the later part of the previous century. Many scholars like Bowen, pointed out that since the corporations drive their existence from the society, it must possess certain obligations towards the betterment of the later. Gradually, in the modern times, business ethics and corporate social responsibility (CSR) became a ‘science of conduct’ for almost all the business units (McNamara).            In very simple terms, business ethics is a â€Å"study of morality and standards of conducts†(Fred and Richard, 480). By the term ‘ethics’ we generally used to refer to the rules or principles which define right and wrong code of conduct. According to Walton, â€Å"business ethics is concerned with truth and justice and has variety of aspects such as expectations of the society, fair competition, advertizing, public relations, social responsibilities, consumer autonomy, and corporate behavior in the home country as well as abroad†(qtd. in Paul, 66).            In the modern era, the expectations and demand of the customer’s and the society as a whole has changed a lot, and hence, most of the business organizations have become more and more aware of their ethical and social responsibilities towards their interest groups. According to Kenneth R. Andrews, the term ethical and social responsibility mean the â€Å"intelligent and objective concern for the welfare of society that restraints individual and corporate behavior from ultimately destructive activities, no matter how immediately profitable, and leads in the direction of positive contribution to human betterment†(qtd. in Ray 24). Thus along with promoting its own interests, business should always behave in a responsible manner towards the interests and betterment of its employees, customers, creditors, government, shareholders and the society as a whole. Thus, as Davis and Robert have rightly observed, â€Å"corporate social responsibility indicates the management’s commitment towards upholding the interests of direct stakeholders and to behave in an economically and environmentally responsible manner†(Davis and Robert, 1975). To What Extent Should Business be involved in fulfilling Social Obligations For more than two centuries, the debate has still been going on about whether business should possess social and ethical responsibilities towards the society. If so, then the question naturally arrives – to what extent business should involve itself towards the betterment and welfare of the former? An analysis of facts and arguments are sure to make this point crystal clear. These are discussed hereunder as follows: Arguments against Businesses’ Involvements:            First of all, the principal objective of business is to generate profit and, hence, any involvement in social affairs or much ethical behavior is surely directed against this motive. In the views of Milton Friedman, only people can have responsibilities; business as a whole, considered as artificial person, cannot be expected to possess such responsibilities. The only responsibility that business should have is to maximize its profits (Friedman 1970).            Secondly, businesses have to incur excessive cost for any social involvements. But, where from this cost will come? This cost is generally adjusted by increasing the selling price of goods produced and services rendered by the business. Hence, â€Å"the corporate executives would be spending someone else’s money for a general social interest†(Friedman 1970). Hence, as a result of businesses’ involvement in social affairs, the society itself has to bear the burden of this excess cost. As Levitt puts it, the results would be socially less desirable than the previous days when firms were predominantly concerned with their only objective of profit-maximization (1958).            Thirdly, since any social involvements is sure to increase the price of products, the MNCs operating at overseas markets may face stiff competition from the local counterparts which may not be involved in fulfilling ethical and social obligations. This may create an weakened international balance of payments (BoP).            Fourthly, too much social involvements may immensely enhance the power and authority of business through political and social means itself. This can ultimately corrupt them in the subsequent times (Richard and Fred 480).            Fifthly, business executive lacks social skills and are not effective in handling social affairs. According to Friedman, the managers should concentrate on what they know the best – ‘how to make profits’ (1970).            Finally, there are no specifically defined parameters of ethical and social responsibility. â€Å"What does it mean to say that the corporate executive has a ‘social responsibility?†(Friedman 1970). There is no agreement that clearly defines what type of social, ethical and moral responsibilities that businesses should undertake. Arguments for Social and Ethical Responsibilities: The modern world has witnessed a drastic change in the expectations of the society. First of all, every business organization is a part of the social system. It earns its profits from the society in which it operates. Organizations should, therefore, always consider the impacts of its decisions on the society. Since businesses earn their profits from the society, the former must possess certain responsibilities to the later. Secondly, both the society and business are equally benefited when a symbiotic relationship exists between the two. The society gains through economic developments and reduction of unemployment rate, and, on the other hand, business is benefited through the customers and workforce supplied by the society. Thirdly, a positive social image helps the business to increase its brand image in the eye of the consumers and thereby increasing the number its loyal customers. A favorable public image helps the business to attract and retain skillful employees, great investors etc. Fourthly, a favorable public image helps the business to avoid the vigil eyes of the government and other regulatory agencies. It certainly provides greater independence and flexibility in the mode of their operations. Fifthly, social responsibility involves the conservation of natural resources which is very much beneficial not only to the society, but also for the business itself. Many products, like cans, bottles etc., which were considered as wastes in the earlier days, can now be recycled and profitably used. Sixthly, business possess considerable amount of power and authority – the exercise of this power should be balanced through a simultaneous display of ethical responsibility. Finally, business should prevent social problems for its own interests. Instead of allowing large scale unemployment leading to social political unrest, which can eventually spoil the operations of business in the subsequent times, business organization can rather become the source of employment for qualified and eligible people. Social and Ethical Responsibility on Interests Groups The International Seminar on Social Responsibility of Business has rightly observed that business corporations should be responsible to the following interests groups: Shareholders: The shareholders provide the prime resources i.e. the capital to the business for its existence, growth and development. Hence, the later must protect interests of the former. Employees: Employees are the most important assets for any organizations. It is through the employees that the business runs itself. In the earlier days, the management regarded its employees as only a factor of production and, therefore, denied their true rights. However, modern managements have rightly understood that unless the employees are happy, it is very much difficult to reach high levels of customer’s satisfaction. Customers: The most successful businesses of the world put the customer first, ahead of the investors (Mackey 2005). Modern organizations have realized the importance of keeping the customers satisfied. The growth of consumerism has contributed much to this realization. Creditors: The major inputs like machine, money, materials etc. are supplied by the creditors. Hence, business must behave ethically and responsively towards them. Society: Every business corporations, being open systems, operates within a social system. It draws its resources from the society in which it operates. Hence, it must be socially responsible for the welfare of the later. Government: It is the government of a country of state that provides the primary facilities for the growth and development of the business. Most of the governmental decisions are subjected towards the growth and betterment of the business. Hence, the business, in its turn, should behave ethically and in a socially responsible way towards the government. Conclusion Every business organization is a part of the economic and political system and not an isolated island without any foreign relations. It is the core of a network of relationships to individuals, groups, and things (Reddy and Tripathy 295). Hence, the management should always consider the impacts of their decisions on all the interest groups with which it is closely bonded. The business should operate as a trustee for the wellbeing of its employees, customers, the government, suppliers and creditors, shareholders and the society as a whole. In fact, the management’s duty is to mediate among all these social stakeholders in order to ensure that each of them gets a square deal and none of their interests and benefits are unduly sacrificed to those of the others. Social and ethical responsibilities â€Å"are management’s responsiveness to public consensus†(Adolph 1963).            Every civil citizen must possess some social and ethical responsibilities. True that the business corporations are considered as ‘artificial persons’ – but does that mean it should not possess any obligations towards the welfare of the system in which it grows and develops? Obviously, to increase profit is one of the prime motive of every business and from this point, any social involvements reduces the percentage of profit for the business. But, from a wider perspective, it can be concluded that, business corporations should â€Å"behave ethically and contribute to economic development while improving the quality of life of the workforce and their families as well as of the local community and society at large†(Holme and Watts). References Adolph, A.B. The American Economic Republic, Harcourt Brace and World, New York, 1963 Corporate Social Responsibility: Evolution of a Definitional Construct: Carroll Business Society.1999, 268-295 Davis, K. and Robert, L. B. Business and Society, Environment and Responsibility, Revised  Edition, Tata McGraw Hill Book Company Inc. New York, 1975 Friedman, M. The Social Responsibility of Business is to Increase its Profit, New York  Times Magazine, 13 September, 1970 Friedman, M. ibid, 1970 Friedman, M. ibid, 1970 Holme, L and Watts, R. The World Business Council for Sustainable Development, Making  Good Business Sense – http://www.mallenbaker.net/csr/CSRfiles/definition.html Levitt, T. The Dangers of Social Responsibility, Harvard Business Review, Sept, 1958. Mackey, J. (qtd. in) Rethinking the Social Responsibilities of Business, October 2005            http://www.reason.com/news/show/32239.html McNamara, C. Complete Guide to Ethics Management: An Ethics Toolkit for Managers http://www.managementhelp.org/ethics/ethxgde.htm Massie, J.L. Ethical and Environmental Foundations, Essentials of Management, Fourth Edition, Prentice-Hall of India, New Delhi, 1995, 29 Paul, C. Ethics in Business, Introduction to Management, Modern Book House, Calcutta,            India, 1989, 66 Ray, S.M. Corporate Social Responsibility, An Introduction of Management Thoughts, Oriental Publications, New Delhi, 1979, 24 Redddy, P.N. and Tripathy, P.C. Social Responsibilities of Business, Principles of Management, Tata-McGraw Hill, New Delhi, 1995, 295 Redddy, P.N. and Tripathy, P.C. ibid, Richard, M.H. and Fred, L. Ethics and Social Responsibilities, International Management, Third Edition, McGraw Hill International Editions, 1997, 480 Richard, M.H. and Fred, L. ibid, 481 Stehi, S.P, Dimensions of Corporate Social Performance, An analytical Framework,  California Management Review, Vol. 17, No. 3, 1975, p. 58-64 The International Seminar on Social Responsibilities of Business: (qtd. in Mukharjee, P.B. Social Responsibilities of Business, 1994, 09
Saturday, September 14, 2019
Code of ethics on Work Essay
A. Develop an applicable standards and procedures section that includes four elements of acceptable or unacceptable behavior found in a code of ethics. Acceptable Standards 1.Integrity- We will always do what we say and say what we do. We must always be consistent, credible and act with integrity. Employee’s actions should maintain high integrity in all activity related to this organization. 2.Diversity- Our culture is based on mutual respect and we value the differences that each employee brings to their position. Employees will treat others with respect and should build an environment of mutual respect. Employee differences and disagreements should always be handled peacefully and professionally. Employees will respect cultural and racial differences and work support an environment where all employees are respected for their contributions. 3.Open Communication- If you have questions, concerns or complaints, you are encouraged to talk to your manager. We value you as an employee and want to ensure that each employee’s working environment is pleasant, productive and that your feedback is heard and acted upon. Should you prefer to speak to someone other than your manager, you can contact your Ombudsman at any time. 4.Accountability- Employees will take accountability for their actions and contributions to the business and should hold each other accountable for maintaining ethical behavior that is in line with our code of ethics. B. Develop a section that identifies at least three specific elements for an ethics training program. Ethics Training Program 1.Departmental Training- We require all departments to provide regular training to ensure understanding and awareness of corporate standards related to ethical decision making. Training should be focused on employee awareness of ethical standards and understanding and use of resources for employees. These departmental training sessions will be manager or peer led sessions and will be done on a quarterly basis. 2.Annual Company Wide Training- We will require annual ethics training and certification for all employees. The training is required to be completed annually and will be mandatory to all employees. Manager bonus programs will be dependent on department/team participation. 3.Managerial Training- Managers will be required to be certified annually to show understanding and alignment with our existing ethics programs and any ongoing changes to the program. C. Develop a section that explains the processes for each of the following: 1. Monitoring employee misconduct 2. Auditing employee misconduct 3. Reporting employee misconduct Employee Misconduct Managers will be required to monitor employee conduct in several ways, including regular interaction, performance reviews and evaluation of quarterly surveys. Regular interaction with the team will ensure that managers are engaged in the over-sight of their department and able to interact and coach employees before issues escalate. Quarterly survey results will be used monitor employee conduct and behavior. These surveys will help to identify possible team issues and allow employees to share anonymous feedback on a regular basis. Surveys also give the employees the ability provide feedback on the department, manager or any issues that may be taking place as well as to leverage or engage human resources. Performance reviews will be used to coach through behavioral issues, including ethical issues as well as to monitor the professional growth, contribution and alignment with corporate and ethical goals. Executives will oversee the managers and will work to identify issues/conflict in their department through quarterly skip level interviews, anonymous reporting options, and access to cross segment feedback on individuals. Both Managers and Executives will be supported by corporate HR which will also have visibility and oversight into the employee feedback shared through various anonymous feedback sources. The Human resource department should constantly look for early signs of ethical conflict with corporate standards with the goal of supporting a healthy environment. Both the HR department and the executive team shall have cross segment visibility and oversight into employee behavior with the goal of identifying risks to the corporate culture and standards. Auditing Employee Conduct Employee conduct will be audited via several means including but not limited to surveys, coaching, web training, employee performance reviews and anonymous reporting options. This will ensure corporate visibility and oversight into the adherence of employees to our ethical standards. These mechanisms will have a weighted score attached to the result as follows: †¢Quarterly Survey’s 15% †¢Managerial Coaching 30% †¢Web Training 15% †¢Employee performance review 30% †¢Anonymous reporting results 10% Web training and surveys will be tailored to gather specific data based on corporate priorities at the time of these actions. Managerial coaching sessions, employee performance reviews, and anonymous reporting will be used to audit employee support and adherence to our ethics program. Audit scoring will be on a 1 to10 point scale. The Human Resource department will compile the results and produce an enterprise wide report which shall be released quarterly. Departments that do not meet the standard of 90% or higher will need to create a plan of action. Managers, directors, and a representative of human resource will create a plan of action along with a timeline for remediation and this will be managed by the HR department. In addition, an outside auditor must review the ethics program annually to confirm that ethical standards are being followed and maintained as expected. Reporting Employee Misconduct All employees will have access to a corporate website, toll free phone number and an ombudsman that employees should use to report misconduct or violations of the corporate ethics policy. In addition, managers may use all other corporate communication tools such as email, instant messenger or phone conversations to gain visibility to and to report misconduct. D. Develop a section that explains your plan to do the following: 1. Evaluate the effectiveness of the ethics program after implementation. 2. Provide suggestions to improve the ethics program after implementation. Ongoing Evaluation of our Ethics program During our annual third party audit, the auditing company will review the overall effectiveness of our ethics program to show annual performance trending from the previous year as well as a comparison to industry results. Upon completion of the third party evaluation, we will use the information to identify strengths and opportunities in our corporate ethics program which will be used to build the following years plan metrics and priorities. Ongoing Improvement of our Ethics Program We are a pay for performance organization and as such, Executive bonus plans will be tied to successful achievement of our corporate, ethical standards. Ten to thirty percent of Executive bonus plans will be paid at a multiplier of (2X) as long as the third party assessment shows 90% or greater achievement of corporate ethics targets. In addition, we will provide company wide, quarterly reports to share our performance with the employees and we will adjust key manager incentives to ensure alignment of departmental ethics goals to company goals.
Friday, September 13, 2019
Discuss how federal policies towards band government (Aboriginal Essay
Discuss how federal policies towards band government (Aboriginal Band's) have changed over time, especially during the 20th c - Essay Example Apparently, it is evident that the development of the Indian status has sidelined the recognition of communities that were historically identified as aboriginals from their rightful status. This status may be considered essential to the identification of an individual, however it does not carry the main concerns centred along the governance if the aboriginal bands. Evaluation There exists an overwhelming list of aboriginals in the records of Canada. The subsequent treatment accorded to these individuals formulates the centre of attention that accords its evaluation. However, the first concern that calls for address is the interference if the federal government tone the running of the policies adopted by the aboriginals developed programs. Such programs are developed at the central governance level. The general contribution imposed by this perception is that the central government constantly fails to allocate sufficient funds that are necessitated in the realization of policies adopte d towards the favour of the aboriginals and other ancient groups. An evaluation on the performance of the aboriginal programs initiated at the lower governance levels seems to be fully out of existence. This includes policies that seek to ensure political, social and economical stability of these individuals in the nation. Evaluations of the policies that can be identified at the regional government level are identified at the commencement of the late phase of the 20th century. This century had witnessed the developed of the Indiana act that sought to identify and address the challenges experiences by the members of various aboriginal bands in the nation. Apparently, there exists a differing perception on the contribution of the governing authority towards the realization of these policies. The chief question is centred on the exact input that should be pegged to the execution of the authorities, especially the central government. Initially, the central government was tasked with th e role of ensuring that the regional governance access funds to support various aboriginal programs. Unfortunately, hiccups in logistics and delivery of services marred the whole process. Apparently, the bureaucracies of accessing the funds designated for the funding of aboriginal programs had proved to a rather cumbersome effort. This implied that there desired a need to establish a new set of instruction upon which the realization of the aboriginal programs can be ascertained. This may be described as the fuelling factor that has promoted the development and the subsequent adoption of various legislation that seek strengthen the Indiana Act. Several new assumptions have been enlisted into the act. The central concern has been the diversity of the act in terms of covering the stretching needs of the aboriginal community. The central challenges that were first addressed by the evaluation team include the quantification of the groups that fall under this category. Apparently, some co mmunities shared the perception that their constitutional and national privileges were challenged upon the failure of their inclusion in the list of the recognized members of the aboriginal community. The intense efforts of enlisting all the communities that are interlinked under the aboriginal recognition bracket has been placed in consideration all along. The previous century has witnessed increased
Thursday, September 12, 2019
Courage at work Essay Example | Topics and Well Written Essays - 500 words
Courage at work - Essay Example Though the task was monumental for me at that early age, I gained courage and effectively rose to the big task that awaited me. I perfectly run the hospital well for two consecutive years. After completion of my first two years, an extremely critical decision that I have never faced in my entire career faced me. Overreact senior member in the ministry of health came knocking at my door with a hefty offer. The gentleman wanted me to append my signature as a sign of acceptance for the ministry to import Anti-revival drugs from United State. The deal showed that the government was importing first class drugs from United State. So the gentleman wanted to collude with me as a senior doctor so that he could import counterfeit drugs from China. There stood a conflicting situation on whether to agree to deal or to follow my conscious and act on the welfare of the patients. Luckily the urge inside me to protect the patient welfare won. I gained courage and disagreed to the deal. Luckily I tricked the officer, and I managed to record the conversation on my computer. After reputing the deal, I got demoted. I was transferred, to an exceedingly local dispensary in extremely remote area. However I did not regret my courageous action to protect the innocent patients who in the beginning of my professional I swore to. They successfully managed to forge their way though and luckily succeeded in importing the counterfeit drugs. Before they got distributed to relevant hospitals, the quality department issued an order to stop the distribution of drugs. A thorough research followed, and drugs were found to be counterfeit. I was asked to testify. I used the recorded conversation with the senior guy who had made me got demoted. The senior gentleman and his puppet who was appointed after my demotion lost their job. They were held by police for further investigation and prosecution.
Wednesday, September 11, 2019
Market research Essay Example | Topics and Well Written Essays - 2000 words
Market research - Essay Example One of the easier methods of new product development is brand extensions. In 1980, the company launched cornflakes in the UK market. Buoyed by its huge success, it has been regularly expanding this market through the strategy of brand extensions. Crunchy Nut clusters launched in 2003 was followed by Crunchy Nut Bites which hit the market in 2008. All these brands have been hugely successful for Kellogg’s. This paper traces the success story of Kellogg’s. It outlines the importance of marketing research, provides for a critique on the four-stage research process at the company and also presents the salient findings from marketing research undertaken for the Crunchy Nut Bites and the new Coco Pops brand. 2.0 Introduction Kellogg’s is a world leader in the cereal market. With nearly 500 successful brands in its portfolio, it believes in a domineering market presence through the all-important strategy of innovation complemented by marketing clout. Truly, a transnatio nal corporation, it has manufacturing facilities in 18 countries which enables it to cater, far and wide, to over 180 countries, globally. Kellogg’s introduced Crunchy Nut Cornflakes in the UK market in 1980. Over the next two decades, this brand generated huge sales of around ?68 million. In 2003, Crunchy Nut Clusters, a product extension, was launched in two varieties – Milk Chocolate Curls and Honey and Nut. This strategy was highly successful as it enabled Kellogg’s to garner annual revenues of ?21 million. Riding on this success, in 2008, Crunchy Nut Bites, arrived in the market. Achieving a record of nearly ?7 million in its very first year of full sales, the newest launch was also a major hit. The most critical factor in the success of Kellogg’s new product initiative is its elaborate, marketing research. Research is, unfailingly, undertaken for every single step of the way right from idea generation to market commercialization. Primary as well as Secondary research is carried out. Both forms of research, namely, qualitative and quantitative research is given due importance. A unique four-stage approach commencing with discovery and leading onto selection of the best product idea, is followed by transforming the idea into a complete new product and concludes with a forecast of sales for the new product. This comprehensive research framework has stood the company is very good stead, over the years. It enables it to maintain constant interaction with the most important stakeholder of any organization, irrespective of form, nature and size, the consumer. This consumer-marketer interaction and interface enables Kellogg’s to regularly tap the consumer’s pulse and identify their wants and needs. This mode of consumer empowerment translates into strong consumer advocacy of the Kellogg’s brand and goes beyond customer satisfaction leading to consumer delight. Consequently, consumer retention becomes easier and ne w customer attraction is also facilitated through product promotions and other marketing efforts. In days of reduced market research spending (Quelch 2009), its reliance and stress on the need and efficacy of marketing research, has paved the way for a sustained competitive advantage (Porter 1965), for Kellogg’s. 3.0 Contents Innovation refers to creation or introduction of something new. Though innovation and creativity is used synonymously, innovation is greater than
Tuesday, September 10, 2019
Environmental Legislation of the European Union Essay
Environmental Legislation of the European Union - Essay Example The essay "Environmental Legislation of the European Union" talks about the EU Environmental legislation which addresses issues like water and wastes pollution, noise pollution, air quality, thinning of the ozone layer and acid rain. The institution for European Environmental Policy approximates the body of EU environmental legislation totals to over 500 Decisions, Regulations, and Directives. According to the Commission and Document, environmental legislation comes into power as soon as it is printed in the approved Journal of the European Union. The main aim of this legislation is that it will set out the environmental policies or goals that are needed to be attained by the member states. Major areas of this environmental policy include the Water Framework Directive is a type of a water policy, aiming for coastal and ground waters, lakes, and rivers to be of good quality, the Habitat Directive entails the protection of natural habitats and biodiversity, and lastly the Birds Directi ve. The environmental legislation of the European Union should be centered on a particular agreement article or articles which are placed in the Treaty on the Functioning of the European Union (TFEU) or the Treaty on the European Union (TEU) that is denoted as its legitimate base. The legitimate or legal base recommends the legislative process and the type of directive that can be implemented. The main purpose of the environmental policy of the European Union is to make sure that the environment is taken care of efficiently.
Monday, September 9, 2019
Future of Employee Training and Development -3 Research Paper
Future of Employee Training and Development -3 - Research Paper Example Several organizations, therefore, use a large percentage of their resources for permanent and continuous employee training and advancement. Organizations that are constantly developing knowledge, extending it to the entire organization, and implementing it inside the new technology develop high quality products and excellent services. These activities portray the company as a learning institution with constant innovation in its business activities. These are organizations that have realized that learning and employee development is a key determinant for their business. The increasing complexity and uncertainty of the business environment requires different and advanced knowledge. Modern business activities require improved skills and knowledge that are still inadequately present in the formal school education. The gap between business requirements and training acquired at school is increasing. Current customers are highly selective, and organizations cannot continue with mass product ion. Increased and sophisticated customer demands require new solutions and knowledge. Organizations have to constantly revise their products and service mix due to increasing competition. Dynamic competition, sophisticated technology, knowledge economy, and globalization have changed the importance of employee training in organizations (Gitman and McDaniel, 2009). Differences between organizations are caused by differences in human capital. This has transformed employee knowledge and development to become the most reliable source of competitive advantage. Other factors of production are still valid, but employee skills are more relevant in the current environment. Employee training and development has become an important aspect for future organizational development. Learning and developmen
Subscribe to:
Posts (Atom)