All posts by admin

Business Ethics is a moral responsibility

[ad_1]

ethical business conduct standards are related to moral judgments apply to people engaged in commerce related sites (Gitman, 2012). Shareholders and interested parties are two different groups of investors who have a vested interest in the success of the company. Shareholders are investors who are not employed by the company, have bought shares (stock) in company with the hope of increasing their investment. Stakeholders include customers, employees, owners, creditors, vendors, who actually do the job of the company, or have a direct economic impact on the company’s success (Gitman, 2012).

Ethics plays a big role in the success or failure of the company. For example, if a company files will profit or loss in the financial statements to show a more favorable picture to its shareholders rather than actual financial data, shareholders lose confidence in the company and sell their shares. Also, if stakeholders are treated unfavorably or not paid on time, the turnover and the inability to secure credit will also affect the company’s bottom line. Some argue that managers have required only to please their owners, because the group provides much of the money needed for the activity (Gitman, 2012). However, if stakeholders are unhappy with the operation of an important cog in the wheel is missing and will eventually cause the company to fail.

Examples of misrepresentation to investors, banking failures and the housing market crash of 2008. Mortgage securities are real mortgages that are sold by mortgage brokers, packaged as securities, offered by financial institutions for investment (Brigham & Ehrhardt, 2011). Mortgage securities contributed to the global economic crisis by being presented as a lower risk than the mortgage is security really were. (Brigham & Ehrhardt, 2011). Buy this letter expect a healthy return on their investment, but instead was to buy mortgages that were at risk of default. These mortgages were risky because mortgagees not be able to provide loans for floating rate, or fraudulent lending practices engaged in by the mortgage banks misrepresented information to clients. Also, when the demand for housing began to fall due to the number of defaults on mortgage loans and unemployment, home prices fell and the number of short sales and foreclosures forced the closure of several banks. Lending slowed dramatically and this could affect US companies, individuals and other countries around the world.

management has primary responsibility for both its shareholders and stakeholders in order to ensure maximum profit and growth within the company. It is the duty of managers, directors and officers of the company to maintain a high standard of ethics so that both shareholders and stakeholders have confidence in the company and want to remain investors and committed to their goals. Both of these groups have a huge impact on earnings per share of stock of the company, and both are important in the growth and maximum profitability.

re

Brigham, E., Ehrhardt, M. (2011). Financial Management: Theory and Practice

(13 ed.) Ohio: Cengage Learning. ISBN-13: 978-1-133-66500-7

Gitman, Lawrence J. & Zutter, Chad J. (2012). Principles of Managerial Finance. 13.

Edition.

Prentice Hall.
[ad_2]

How To Build A Business Ethics Program

[ad_1]

Recent financial scandals have highlighted the importance of business ethics and compliance. Yet a recent National Association of Corporate Directors (NACD) survey of 280 corporate CEOs and directors found that “only one of three directors felt that they were highly effective in ensuring compliance with the law.”

Ethics in Business

Most companies realize that they need to develop and implement a business ethics and compliance program

An effective program is :.

o Bring protocol that reduces the risk of criminal behavior

o Identify injustice, foster quick investigations, minimize the consequences of

o demonstrate ethical / legal philosophy of the company during the investigation

o Reduce fines if company is found guilty of wrongdoing

o Increase business reputation and stature

Looking at Options

But how to build an effective system? Companies find themselves with three options to build applications

o Develop in-house from scratch

o Hire external consultants

o Use pre-written manual

And most of these companies learn a few lessons -. sometimes the hard way

Making Strong Company Policy

Development program from scratch can be very time consuming and expensive. Also, the company might not have the knowledge or understanding of the complexities involved. But hiring an outside consultant is not always a cost effective option either. So what’s left?

develop business Ethics Program

By using pre-written template or manual, many companies have found it easier to develop business ethics program. And to do this, they look for what a strong program needs

A very effective tool to create, plan and execute sound business ethics and compliance program should provide :.

o Sample policies and procedures

o Step-by-step guide for the development of a program

o A business ethics training program outline with classroom materials and follow a detailed session leader is

o Business Ethics and Compliance Officer position description

o Templates for the involvement of employees

or Sample Code of Conduct

Implementation of Business Ethics Program

If the Board is committed to a strong ethics and compliance program, the next step is to put the manual in the hands of corporate executives responsible for implementation. Used properly under advice of counsel, this efficient tool will yield a solid program that the board understands, assign, and monitor effectiveness.

with step-by-step instructions and follow the examples of policies, procedures, training program, and poll worker, an effective tool provides an excellent road map for the implementation of the ethics and compliance initiatives.

Maintaining a Culture of Ethics

Companies should ensure that their ethics compliance manual provides fully editable MS Word files with sample policies, surveys, forms and training session outlines. Also, companies should ensure ethics compliance system manual is to be fully supported by the National Association of corporate executives (NACD) as a tool to maintain a culture of integrity.

[ad_2]

Business Ethics – 6 Principles of Business Etiquette

[ad_1]

One of the most important, if not the most important factor in determining the likelihood of success in any business or commercial activity is the ability to behave properly with people. Even in the early 1930s Dale Carnegie noted that the success of a man in their finances, even in technical or engineering are fifteen percent dependent on professional knowledge and eighty-five percent of his ability to communicate with people. In this context, it is easy to explain the efforts of many scientists to formulate and justify principles of ethical business relations, or, as they are often called, commands personal public relation or “business etiquette”. Business etiquette or process to live and deal in the business world could be explained in the following six principles:

  1. Punctuality (do all the time). Delays affecting the work and there are signs that one can not rely on. The principle of making all the time applies to all service project. Experts investigating the organization and distribution of working time recommend adding an extra 25 percent for the period necessary to perform assigned tasks.

  2. Privacy (not show too much). In the institutions, companies or specific deals are secrets to be as good as those of a personal nature. There is also no need to recall someone heard from a colleague, supervisor or subordinate performance or his personal life.

  3. Courtesy, friendliness and affability. In all situations, it is necessary to behave politely, good and benevolent with customers, clients, customers and colleagues. This is not, however, need to be friends with everyone you interact in a work environment.

  4. Attention to people (think of others, and not only by you). The attention of people around you to cover colleagues, superiors and subordinates. Respect the opinions of others; try to understand why they have formed a certain point of view. Always listen to criticism and advice colleagues, superiors and subordinates. When someone questions the quality of work, show that you value the opinions and experiences of others. Trust does not prevent you being modest.

  5. Appearance (dress as expected). The main method is to fit in your environment at work and within the environment – the level of contingent workers. You should look at the best way, is to dress with taste, choose matching colors. Carefully choose the accessories is important.

  6. Literacy (speak and write good language). Internal documents or letters to outside parties shall consist of paying attention to the correct language is used, and all proper names transferred without error. Do not use offensive words. Even if you only quote the words of another person around, they will be considered part of their vocabulary.

[ad_2]

The benefits of a good Business ethics

[ad_1]

Business Ethics reflect on the principles that form a particular company. This includes all fields in the business environment which includes finance, on the environment, human resources and sales and marketing, among others. The company is obliged by law to follow established rules and procedures in their quest to realize the goals and objectives.

Good business ethics is characteristic of quality that can be unmeasured successful commercial organization. When good behavior and morality are applied in all phases of the reconstruction agency, that is, from junior staff to management, the company is likely to be a success.

Any forward thinking advertising company that is determined to be in the market for a long time will have to hire a good ethical methods of communication with customers. This will include putting in mind the rights of consumers, workers and the interests of society as a whole. Consumers nowadays are familiar with their rights and the law applicable to the company in connection with their protection; Therefore, a good relationship with customers will keep them coming back.

Good emerge goodwill from customers and the public in general. Goodwill earned over time can mean profits for the company. People will tend to do business with a company that values ​​and cares for them. Return on investment means the sustainability of the respective investment market.

Some of the principles admirable practice in a commercial environment: trust, respect, open-mindedness, community involvement and maintain accounting control. Customers will always want to make communication with companies they trust for both quality of services and products they offer. Trust organization will be reflected in its ability to deliver and how it delivers.

Participation in community based issues will give the company a good view from the community. It is considered as a way to give back to the community and customers will definitely see that they are perceived as valuable people of the company. Advertising, brochures, magazines and communications sent to the public should be crafted in a professional and accurate manner in order to avoid problems with other competitors in the market.

Maintaining better ethical practices in the company prevents a company from too many lawsuits. Customers and employees are nowadays clearly educated about their rights and most of them can choose to go to court when they realize their rights are violated. Realizing the importance of ethics as a tool to achieve the objectives and goals of the company is the beginning of success for any business. All transactions and branch agency must follow ethical practices in order to have a successful trade balance!

[ad_2]

Ethics and Character in Business

[ad_1]

This is a new era in the world. There was a time, back in the 1950s, where ethics and the nature of the transactions were not unusual, but the norm. The United States was largely Christian population and moral society was “salted” with the “salt” of Christians. Prayer and Bible reading were allowed in schools and the Ten Commandments were placed. 1960 began the revolution take God out of the schools and the community, and look at where we are today.

net effect of the cultural revolution is that many companies, businesses, banks and governments, or at least some individuals within them, have cut the cord ethics. We find more and more ethical offense, especially when we look at the news coming out of Washington, DC We see it happening that would have been unthinkable 30 or 40 years ago.

That, in turn, often puts people, the workers, in a difficult position. Here is an example. Recent debates and court rulings on abortion have been doctors and nurses in the state either work against individual beliefs in this area, or sent to a common policy to work. The end result is that some risk.

In other cases, the company fights for the freedom to live according to their own conscience. Hobby Lobby is an example of this. They took their right to live their own religious conscience of their convictions to the Supreme Court. We now see recent incident involving Meriam Ibrahim, Christian doctor who was in prison for their Christian faith. Much prayer and international legal work involved in setting her free.

in many ways, we are in a similar position when the pre-WWII. Many, probably many more than World War II, are aware of the problem today. We see the lies and corruption clear, but the pre-WWII era. This creates a situation where they come out as whistleblowers are often threatened with their jobs, and sometimes their lives. They can lose the promotion, advancement and retirements will not “go along to get along”. Remember, at the beginning of this debate was the moral changes in society and in business since 1950 and since the Bible had authority over inspections great majority of the population.

Because of this, it is worth considering to own your own business. By being a successful business owner, you avoid the pitfalls corporation to tell you that operate outside the ethics of your conscience and character. Not only that, in today’s economy, where workers are expendable, since companies would rather get rid of long-term employees and give them any retirement, owning your own business will be a way to preserve your economic future. Owning your own business is one way to handle the current difficulties involving ethics and character in business.

[ad_2]

Business Ethics and Customer Service

[ad_1]

Although the increase in small business entrepreneurs is no doubt great for the US economy, the unfortunate aspect is that many companies now regularly participate in unethical or ethically questionable practices under the guise of “customer service.” If you are starting your own business, or already running a small business, this kind of questionable behavior is no doubt going to hurt you in the long run.

Successful companies almost always adopt strict protocol and implement it in all areas of their business, including customer service. The best customer service policy is always to adopt high ethical standards, and practice them exactly.

Customers who consider themselves treated fairly, honestly and properly will return. Customers who believe they have been cheated, lied or abused will never come back. Worse, they will tell others to avoid business because you’re a crook!

Ethical Support

best customer service policy is to be honest with your customers. Never make a promise to the customer that you will not be able to deliver on. If you can not do something for a client, there is a good chance you’re going to lose some business. Unfortunately, many small business owners think they can not afford to lose customers, and consequently they are, telling customers that they will do what they know they simply can not. In the short term, companies can make some more money, but long term it is devastating.

When it comes down to it, good morals in customer service may be painful in the short term, but you will avoid problems down the road. If you want to be in business for a while, and thrive, the best mantra phone may not be the “customer is always right.” Instead, make sure you do not over promise and under deliver.

Instead of telling your customers what they want to hear, to be honest. Tell them what you can do for them. If a customer asks for something you can not do, tell them, and explain why.

If a customer asks you to do something you know is wrong, tell them that their request is wrong and why it is wrong. In many cases, customers are not aware that some of their requests could be wrong or illegal.

If the customer keeps asking you to do what you know is wrong, but to you, it really is the customer you want or need? Fortunately, so customers are a tiny minority that successful business can do without.

Honest Customer Service

Hand-in-hand with ethical customer service is honest customer service. Indeed, the best customer service strategy is the simplest and easiest to implement: integrity. Be honest with your customers and you will win their respect, their trust, and more importantly their business.

Ask yourself, would you do business with anyone who lied to you or trying to deceive you? If the answer is no, then you know why honesty is the cornerstone of every customer. The way to win customers is to win their trust.

This means that you should check out the customer support strategy and eliminate anything that encourages you to lie to or deceive customers, such as the aforementioned “the customer is always right” policy. Unfortunately, many analysts customer service and books actually recommend policies that lead to to lie and deceive

One last piece of advice :. You will never be able to please all customers. Just do what you can not and do not promise impossible.

[ad_2]

Need and Importance of Business ethics

[ad_1]

Business ethics seeks to prohibit certain conduct as a company, firm managers and employees should not be involved in. Ethics is a source of guidance beyond law enforcement. It is clear and uncontroversial to companies and their employees shall not engage in unlawful acts, such as selling harmful or defective products, and ignorance of the law can not be used as justification for the unlawful acts. Business and management ethics goes beyond the law see to provide guidance on what is acceptable behavior in business. Be based on values, however, it is often not clear what ethical behavior is and what it is not that different people may have different values.

For example, you should report to your supervisor affair between two of your co-workers? Some would say yes, but others would think it’s none of their business. What about selling a product abroad has proved harmful to health and is not allowed lo be sold in the United States? Or buy foreign products made with child labor? Or polluting abroad in a way that is not allowed at home? These issues are important for the company because, regardless of the moral candlestick, that they could have a serious impact on the bottom line if, for example, lead the angry consumers to boycott the company.

Today, most large companies established codes of ethical conduct for employees of the company and created an “ethics officers” or guardians of corporate integrity, the task of keeping their employees upright than the law requires. A company with such a code of conduct and ethics officer is more likely to hear of unethical behavior in the company before it becomes legal problems or before it leads to reaction of consumers, both of which can damage the image and performance of the company. There have been many such cases, such as when it became clear that Nestle (Swiss multinational and the largest food manufacturer in the world) pushed infant formula in many poor countries when the mother’s milk would be healthier for the baby, or when Nike was to be paid poverty wages many developing workers make high-priced sneakers her.

An important additional incentive for many companies establish rules of conduct for its employees and creating ethics officers was the creation of sentencing guidelines replaced the courts in 1991 as reduced fines for white-collar crimes committed by employees of companies which had established a comprehensive ethics applications. Such ethics programs try to indicate as clearly as possible the behavior of the company regards as unethical and employees are encouraged to avoid. This is a telephone company for personal use, taking office supplies home, lying about being sick is missing work, reporting the illegal behavior of other employees, give or accept gifts, and many others.

Since it is almost impossible to list all types of hypothetical behavior that companies would consider unethical and come up with a universally accepted code of ethics, by listing many such examples, providing some companies broad guidelines “do not do it if it does not feel right or if you want to be embarrassed to read about it in the local newspaper or hear about it on the local evening news. “Today, the professions, such as medicine, law, and accounting of professional ethics. Despite this, a number of spectacular financial frauds were exposed.

It would be better to change the structure or architecture of the company so that foster ethical behavior. This could be rewarding its CEO more with stock options that tie rewards to long-term profitability but with the salary relationship with current profits; require the founders of the company to hold a large position in shares of the company to ensure that their interests are in line with the new investors, rewarding employees for the production of both quality and quantity, and not just quantity; provide bonuses for the sales force to have satisfied customers and not just to maximize sales; and rewarding rather than punishing employees exposing illegal behavior by the company.

Many groups of consumers want companies to go further and have a social conscience and use some of its resources to remedy social ills, such as by helping the poor, promote education, funding crime-prevention programs, reducing general environmental pollution, funding of public projects, and so on. Some of these measures can directly benefit the bottom line of the company; By helping schools, for example, the company gets a better trained worker than another (thus saving on training costs it), or it may benefit indirectly by establishing a reputation for the company as a “good citizen” (so as to attract more customers and leads to more sales).

[ad_2]

Using Solid Business ethics in the corporate world

[ad_1]

Solid business ethics should never be something that is considered a burden or a hindrance to the advancement of the individual in the business. Corporate managers should rely on their talent, their intelligence, their knowledge and their dedication to the craft instead of trampling on others to get to the top. When people who intend to work in the corporate world are getting the education they need to take courses that focus on business ethics. This course will outline the subject, focus on the aspects of business ethics that will affect them and how to use corrupt methods never creates life-long or even short-term success. Those who are most respected in the business field are always those who are respected by their peers, superiors, and especially those below them.

People who do their best to run their business in a moral and ethical style are more likely to succeed in career goals than those who do not. Poor ethical standards create more of the same, especially in business. When dealings are shady, management is working with shady individuals. This does not create a good atmosphere for any company in any industry.

Corporate executives want to feel proud of the work they do. They want to be appreciated and recognized. Many will work for years and years to get to the position they want. When they are at the top, they will be the most vulnerable for the last discrepancies arise and destroy what they have built. Good solid base should always measure all corporate career. Companies should be conducted with the highest standards from the very concept of the idea. This creates an atmosphere conducive to success, longevity in your chosen industry and to earn the respect of colleagues and like-minded individuals.

The corporate world is often riddled with individuals who will do anything to get to the top. They will trample on the work of others, stealing concepts and ideas and deliberately destroy the careers and lives of others for the sake of making money. This kind of attitude inevitably leads to destruction and unhappiness. It is impossible for people who have no moral standards to be truly happy and they are not as productive as they could be. Anyone looking to succeed in business to business should keep in mind that there are some ruthless people vying for the same position that they are hoping for. With a strong will, good business and strong perseverance, success is found in the corporate world.

[ad_2]

Christian Business Ethics

[ad_1]

What are Christian business ethics? In short, it means running your business in a way that is upright and is based on Christian principles.

Today, there are many dishonest dealings made by the company. They may have rates that are too high, less than quality product, or make requirements that are simply not true. I shudder at the business scams that prey on people who are desperate for a better way. This is not the way to please people or God.

Christian business ethics must include honesty, fairness and treating others with kindness and respect. I believe these are the basics, but if we really want to run our business on Biblical principles, we should go beyond the basics. What about the excellent customer service and turn the other cheek when someone is nasty to us?

Running our company is based on Christian standards does not let people walk all over us. I think we can look at Jesus our example in this. Jesus was firm but good. He did not let people get away with just anything, but always responded in a way that was what was right. He gave when he had the opportunity, but he also worked as a carpenter for a living. So, I think he worked to provide for his needs and also to have something to give to others when needed.

There will be times when, as a Christian business owner, you will have the opportunity to share some of your income with others who need it. Do not let the opportunity pass! Will you be happy in the long run when you give to others willingly.

There may be other times when you feel someone is trying to take advantage of you, praying for all for free. You need to be wise about when God is calling on you to help someone out when you need to be firm and not give anything away.

Ask God for wisdom in this and he will give it to you. “If any of you lack wisdom, let him ask God, who gives generously to all without reproach, and it will be given him.” James 1: 5

Christian business ethics is not intended to burden you, but to give you life and blessing

[ad_2]

The role of ethics as a management tool in the Retail Business

[ad_1]

Retailers expect their employees to be honest in dealing with the company and with their colleagues. Customers expect the company and its employees to be honest and ethical in their dealings with them. Employees expect the company, its owners and managers to be honest in our dealings with them.

These are reasonable expectations for all.

Outside what people expect of each other, are crucial to sound business ethics for it is sound and deserves ethics that many practices are established.

Poor ethics demonstrated by the business owner or senior managers can educate others about the company is willing to cut corners or compact gray areas between what is right and what is wrong. This can lead to employees themselves by this behavior and working against the company, but to do no worse than they have seen more older man made.

Every day, business decisions that show the position of ethics. Take recycling. If a company publicly said it is committed to a certain recycling but behind closed doors is ready to act differently, those who see this will know that the company takes dishonesty.

Every decision is an opportunity to act ethically or not, it is important that companies not only for how it portrays itself to the public, but more importantly for the way it portrays moral obligations to employees.

One way to meet the ethical challenge of company heads in the case of ethics to employees. Create a framework around which ethical questions can be raised and discussed. Bring a group – by email or face to face – where ethics can be discussed in the context of specific transactions. Consider installing various scenarios in the group and offer dialogue to test the moral status of the company and the individuals involved.

One of the first tasks of the group convened to discuss the ethics of the business could be the development of ethical standards. This need not be a long document. Something simple that commits the company and its employees of behavior should be enough to provide guidance on the day-to-day decisions.

best approach, if ethics is important to you and your business is to live life as if in a Fishbowl, hope that everything you say or do, and can be observed by others. This ensures a level of care about the potential ethical issues that may be missed otherwise.

Companies that take the time to discuss and organize around ethics are well served in most of the issues faced.

[ad_2]