four approaches to business ethics

Many businesses behave in divert or different ways depend on the way its formed by the owners of the business. Most people will want to do business with any organisation that abide by the business ethics especially organisation that cater for all its stakeholders and give them maximum satisfaction in all its dealing. Introduction Most people will not want to do business with the organisation and also this will have the stakeholders since they are part of the organisation. Workplace misbehaviour: This includes choosing what activities a company should or should not engage in, how to manage a business so that it treats its employees and stakeholders fairly, and what the broader social responsibilities of a company are. Rights theory is based on the idea that all individuals have certain rights, which must be respected at all times. These are the ethical issues that need to be addressed in an organisation so that there will be equal opportunity to all no matter the age, sex, religion or color. INVESTMENT AND GROWTH: When business is done properly both the organisation and the stakeholders are affected because the business will grow and also many people will want to invest into the business and also the business will be known in the market and therefore there is possibility for expansion which will make the organisation to be well known and be the major player in the industry. Explain the four ethical approaches: Right Approach, Utilitarian approach, Justice approach, and Common good approach. 1 Introduction To make matter worse social responsibility covers a range of issues many of which are ambiguous with respect to right or wrong. Study of Ethics. However, you may visit "Cookie Settings" to provide a controlled consent. Cultural Relativism suggests that ethics are nothing more than the reflection of a culture. Scandals. He has a B.A. What are 3 ways to make ethical decisions? Many would argue the basis of modern capitalism is the opposing idea of self-interest, which is the belief that individuals tend to pursue their own best interests. Implementing a code of conduct: Company codes of conduct often utilize utilitarianism and rights theory to ensure the . Virtue Ethics There are four major ethical theories: deontology (or duty), utilitarianism, rights, and virtue. Illustrate your answer with reference to examples. How Philosophy & Morality Inform Ethical Behavior, Ethical Considerations Related to Patient-Centered IT, What is Phantom Unemployment? Try refreshing the page, or contact customer support. 9:10; Col. 3:22-24 ). The organisation will have value and most of the stakeholders will always want to do business with such organisation because they know they have good business ethics. The second major meaning behind the term is . The justice theory suggests that ethical decisions should be made from the perspective of a "veil of ignorance" to ensure equitable and fair outcomes. 3. . Ethics Rights. Several different theories are applied in the practice of business ethics. BUSINESS FAILIURE: A business that has a bad reputation and will have a negative effect on the business, the business will lose some of its potential customers and sales will drop which can result into closing up of the business since they are not operating ethically. Most people use four different approaches when making ethical decisions. Some belief that abortion should be encouraged in our society other feel it is taking of human life. . To view or add a comment, sign in, Ethical behaviour in the utilitarian approach is guided by what will result in the greatest good for the greatest number of people. This as to do with ethical issues relating to health care provider who are in charge of health care of individual or group of people. Instructor: Leah Feor. PRINCIPILISM: This is ethics that focuses on medical healthcare. Discuss straw men approaches to business ethics. In simple terms, the way moral values and ethical beliefs guide the decisions of an organisation through various laws, rules, and regulations, it is called business ethics. 4 What are 3 ways to make ethical decisions? The nature of business ethics is known. This theory can be applied to various ethical dilemmas, ranging from product safety to marketing practices. Virtues. Both parties in a business should show ethical behaviour in a business so that the business can be productive and successful, they should be sincere in all their dealings and they should work hand in hand so that the aims and objectives of establishing the business can be achieved by all the stakeholders. Race gender age and religion all play a role in a persons ethics. 1) The utilitarian approach: for the greatest good. Here's a list of ethical issues in business and what you need to know to cope. 15 ethical principles in business. Business ethics benefits the bottom line. The cookie is used to store the user consent for the cookies in the category "Performance". This means considering the effects of decisions and actions on stakeholders, customers, suppliers, employees, competitors, the environment, and the community. This theory holds that people have the right to pursue their happiness and well-being as long as it does not infringe on the rights of others. The four approaches also cover parts of each other. The Friedman Doctrine states that the only social responsibility of business is to increase profits, staying within the law. . Organisation should provide after sales service and offer its customers and show ethical behavior towards its customers at all time. How do alternative values guide people's decisions about ethical behaviour? The Rights approach to ethics is another non-consequentialist approach which derives much of its current force from Kantian duty-based ethics, although it also has a history that dates back at least to the Stoics of Ancient Greece and Rome, and has another influential current which flows from work of the British empiricist philosopher John . This essay is about examining ones of set of ethics and comparing them to the four approaches to ethics that are outlined in the text. I will briefly outline two types of theoretical approach to ethics and their implications: principle-based approaches, and character and relationship-based approac . For example, the Sarbanes-Oxley Act of 2002 was enacted to improve corporate governance and prevent accounting fraud. Three common theories are known as utilitarianism, rights theory, and justice theory. Ethical behaviour in the utilitarian approach is guided by what will result in the greatest good for the greatest number of people. Each of these theories takes a different approach to the ethical practice of business and stems from a different philosophical root. succeed. Ethics programs align employee behaviors with those top priority ethical values preferred by leaders of the organization. Management, What is Business Ethics? A well-implemented ethics program can also reduce losses. I shudder at the scam business opportunities that prey on people who are desperate for a better way. DEVELOPMENT: When business is done properly by an organisation and the organisation ensure business ethics is practice within the organisation, both the organisation and the stakeholders work together to ensure things are done properly there will be development in the organisation which will result development of the organisation. Corporate ethics codes often include subjects like social responsibility, insider . Business ethics (also known as Corporate Ethics) is a form of applied ethics or professional ethics, that examines ethical principles and moral or ethical problems that can arise in a business environment.It applies to all aspects of business conduct and is relevant to the conduct of individuals and entire organizations. In either case, the approaches are usually chosen unconsciously. Just. Misbehaviour in this sense is also said to be about breaching broader yet far from clearly defined or fully shared societal norms or moral order. Current Issues in Business Ethics, Peter W. F. Davies . Fabricating product quality data Harassment and discrimination are arguably the most prominent contemporary ethical issues in business today. It seems that there is no true uniformity in short term earnings and each felt that rules could be bent by manipulating operating procedures accounting methods deferring expenditures budget target or by changing the short term earnings in sales and expense, Premium Analytical cookies are used to understand how visitors interact with the website. compliance approach. Work is to be approached wholeheartedly and done well ( Eccl. Honesty Ethical theories and approaches in Business. What are the benefits of ethical conduct? Case Study 1. Business ethics theories refer to the moral principles that a company implements to ensure that employees within in a company act with acceptable behavior. Get unlimited access to over 84,000 lessons. 278 Teaching Business Ethics: The Principles Approach 2.1. What is the formula for calculating solute potential? New York NY: McGraw-Hill/Irwin - pgs. Management, Law vs. Ethics Necessary cookies are absolutely essential for the website to function properly. Learn about business ethics and understand its importance. Exchange is fundamental to business. Case Study: The Coca-Cola Company Struggles with Ethical Crisis, Individual Privacy - A Right Masked as Luxury, Importance of Ethics in Business Management Practice, Business Ethics Case Study: The Volkswagen Emissions Scandal, Business Ethics Case Study: Caterpillar Tax Fraud Scandal, Carroll's Pyramid of Corporate Social Responsibility. To achieve consistency, we must work to shape our desires to produce a kind of internal harmony. REFERENCES: Business ethics are based on the core concepts of respect for people, the environment, and society. This is made up of different people from different national origin and nationality. Business ethics PROFITABILITY: The aims and objectives of every business is to make profit although some organisation are formed for charity purpose but most business are formed because they want to make profit and meet the demand of its customers at all time. While a "teleologist" focuses on doing what will maximize societal welfare, a. 1.1 Describe the structure and culture of the company and evaluate the inter-relationships between the different process and functions. Several years ago he made contact with someone who could put him in touch with a professional burglar although the burglar had, Unit 2 Essay Assignment: FOUR APPROACHES TO DECIDING ETHICAL DILEMMAS NAME: HON HAO KONG If people are not given equal opportunity in a workplace it can affect the operational activities of the business because most of the workers will not be happy and diligent at work because they know they are not been treat with fairness and justice at work so therefore they will have nonchalant attitude to work and they will not want to work with seriousness because they know they are not been treated with equal opportunity. A Framework for Ethical Decision Making. In this approach, the attitudes model of business managers is the focus of . Business ethics can be described as principle and standard that is guiding behavior of people in the business. Companies can use several different ethical theories to guide ethical decision-making in business. Both the organisation and the stakeholders always work hand in hand if the stakeholders to comply with the rules and regulation led down by the organisation both parties achieve positive result and improvement in various areas especially within the organisation. Ethics is more than a matter of individual behavior; it's also about organizational behavior. It is an ethical code that businesses should follow to maintain a healthy and successful environment. culture. Plato, Aristotle and Thomas Aquinas were major advocates of Virtue ethics. New York, NY: McGraw-Hill/Irwin - pgs. Psychological Research & Experimental Design, All Teacher Certification Test Prep Courses, Examples of Approaches to Business Ethics, Understanding Global Economic Environments, Exchange Rate Determination & Forecasting, Crisis Management & International Business, Ethics & Social Responsibility in International Business, Philosophical Approaches to Business Ethics, DSST Principles of Public Speaking: Study Guide & Test Prep, Praxis Family and Consumer Sciences (5122) Prep, High School Business for Teachers: Help & Review, Business 104: Information Systems and Computer Applications, Unethical Behavior in Business: Definition & Examples, What is Ethics in Philosophy? More specifically, this paper begins by arguing that discrepancies in efforts to situate engineering ethics in global context often derive from . 5 What are the benefits of ethical conduct? In some part of the world some beliefs in circumcision of women while other feel it is barbaric and immoral. Ethics in Management The drawback of this approach, however, is that it may result in damage to workforce morale and the loss of employees with experience and skills-actions not so readily measurable in dollars. Business ethics Abstract The goal of this paper is to bring greater clarity to the field by conceptualizing and synthesizing some of the most fundamental and prevalent approaches to engineering ethics in global context. 3 How does an ethical approach benefit individuals? PDCA These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc. The way in which a business is formed brings about ethical behavior. From the earliest moments of recorded human consciousness, the ethical discipline has exhibited four fundamental "approaches" These four approaches are often called "ethical decision-making frameworks:" Utilitarian Ethics (outcome based), Deontological Ethics (duty based), Virtue Ethics (virtue based) and Communitarian If the stakeholders contribute effectively to the development of an organisation there will be development, and the moral of the company will be build and also increase the productivity of the organisation. Step 6: Consider possible and probable courses of action. Thus, Rawls suggests that decisions should be made from the perspective of the "veil of ignorance" to ensure equitable and just outcomes. The general belief is that it is wrong to say that one culture or belief of individual is superior to another culture. Actually, it is legal for employers to listen to business phone calls and monitor all non-spoken personal communications that are made using the business's resources. Three critical factors have combined to accelerate the ecological crisis facing the world community and to make sustainable development more difficult. The perception of ethical behavior can increase employee performance, job satisfaction, organizational commitment, trust and organizational citizenship behaviors. Justice, INTERNATIONAL JOURNAL OF SCHOLARLY ACADEMIC INTELLECTUAL DIVERSITY VOLUME 12 NUMBER 1 2010 It is written by a duo of authors combining decades of experience in both theory and practice. Chron.com comments that 'Managerial ethics is a basic part of business ethics. Interpersonal relationships, Premium After reading about the ethical considerations considering interpersonal and group communication there are many similarities. . TREATMENT OF EMPLOYEES: They should treat its employees with fairness in all its dealing by provide an enabling environment, give promotion to employee at when due, they should also provide training and recruitment should be done without bias or sentiment, these are some of the ethical behavior that should be adopted by an organisation in order to show employees that the organisation support issues regarding corporate social responsibilities. Friedman doctrine - the only social responsibility of business is to . The consequentialism can be describe as an act that tell us whether the consequence of a behaviour is morally or ethically right and it can also be right or wrong. There are various stakeholders who are part of the success and management of every business in an organisation. Finance It is the social responsibilities of an organisation to show that they provide a conducive environment and protect the image of all its stakeholders by promoting unfair trade, good working conditions. Eg. Direct Selling. Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet. Distelhorst, M. (2000). LECTURER: DEVIKA A/P NADARAJAH Log in or sign up to add this lesson to a Custom Course. A business owner can improve the company culture by, Premium The following are five universal approaches to consider when making those decisions: Utilitarian Approach - What benefits and what harms will each course of action produce, and which alternative will lead to the best overall consequences? Some people use one approach predominantly; others vary their approaches according to circumstances. Which ethical framework is best? 1. November 13, 2017. copyright 2003-2023 Study.com. ABSOLUTE ETHICS: The belief that there is only one truth and code of conduct which people generally belief in, which everyone obey and is the truth and everyone must obey it and people must be aware of it. Business or Professional ethics in a nutshell: Ethics is the branch of philosophy concerned with the meaning of all aspects of human behavior. I feel like its a lifeline. As more attention is paid to the importance of an ethical . Employment law can affect a business and it might even make a business to collapse therefore it is necessary that we should apply business ethics in organisation while dealing with employment and employees within the organisation to make the policies and structure of the organisation work in line with the aims and objectives. Table of Contents They contribute to the development of a business and they take active roles in the development of the business and they ensure they contribute their own quota to the development of the business. Human approach towards anticipation for maximizing of pleasure and elimination of suffering and pain brings about the fundamentals established in the realm of moral philosophies that date back to a distant past (Robertson & Walter, 2007). CONSEQUENTIALISM: This is the theories which result into the consequences of a particular action which has a valid and moral judgement about the action. It focuses on moral rules and duties. Consumer safety is a major factor in considering ethical theories in business. In 2010 it published seven volumes (volumes 91 to 97) and 39 separate issues, each containing several articles. All rights reserved. An . 5 Different Approaches towards Ethical Behaviour in Business 1. Business ethics is the prescribed code of conduct for businesses. When applying social responsibility with ethics we must look at it from multiple sides; lets use an example Robert was interested in learning about the workings of professional burglars.

Richard Russell Transcript, Patrick Francis Lynch Jane Curtin, Tinder Matching With Someone You Didn't Swipe On, Geography News Articles Bbc, What Vision Centers Accept United Healthcare?, Articles F