RAHUL A. PANELIYA

PREPARED BY:

BUSINESS ETHICS

BUSINESS ETHICS defined as written and unwritten codes of

principles and values that govern decisions and actions within a company.

It asks what is right or wrong behavior in business and what principles or rules can be used as guidance in business situations.

Companies and business people who wish to thrive long-term must adopt sound ethical decision-making practices.

CONTINUE……. In many cases, doing the right thing often leads

to the greatest financial, social, and personal rewards in the long run.

In the increasingly conscience-focused marketplaces of the 21st century, the demand for more ethical business processes and actions is increasing.

Simultaneously, pressure is applied on industry to improve business ethics through new public initiatives and laws (e.g. higher UK road tax for higher-emission vehicles).

TWO CHARACTERISTICS

Tells people what they ought to do

Set of principles or rules

FOUR LEVEL OF ETHICAL QUESTION IN BUSINESS1. SOCIETY

2. STAKEHOLDER

3. INTERNAL POLICY

4. PERSONAL

1. SOCIETY There are some duties/ethics of Business

Organisation towards the society Environment 

Waste – re-cycling? burning? Energy use – renewable energy,  

Reduce the use of non-renewable resources Global Warming – Pollution: - try to reduce the following

pollution Noise Air Land Water

2. STAKEHOLDER Responsibilities to stakeholder groups: Shareholders – Generate profits  

and pay dividends Customers – provide good quality products  

at reasonable prices. Safety, honesty, decency and truthfulness

Employees – health and safety at work, security, fair pay

Suppliers – pay on time, pay fair rates  for the work done, provide element of security

    

  

CONTINUE…….. Government – abide by the law, pay taxes, abide

by regulations

Environment – limit pollution, congestion, environmental degradation, development, etc.

 

3. INTERNAL POLICY include Company’s relation with the

employees. Fair employment contract with employee. Give some rights to employees. Give motivation, benefits, work rules and

perfect leadership.

4. PERSONAL

How people should treat one another within the organisation.

Deals with the day-to-day issues of life in organisation.

THE TOOL OF ETHICS VALUES

RIGHT AND DUTIES

MORAL RULES

HUMAN RELATIONSHIP

VALUES When you value something, you want it

or you want it to happen.

Values are relatively permanent desires that seem to be good in themselves, like peace or goodwill .

RIGHTS AND DUTIES Right means “sphere of autonomy.” Claims that entitle a person to take a

particular action. Rights are rarely absolute; Ordinarily, you have a right to speak freely-until you make false statements about another person

Rights correlated with duties.

CONTINUE….. Whenever some one has right, also has a

duty to respect it. Obligation to take specific steps or obey the

law.

MORAL RULES Moral rules guide us through situations

where competing interests collide. You might think of moral rules as “tie

breakers”-guidelines that can resolve disagreements.

Moral rules, which are rules for behavior, often become internalized as values

HUMAN RELATIONSHIP Human beings connected to others in web of

relationships. Relationship exits for mutual supports and

achieve our goals. Decisions reflects our values and our concern

for ethics.

COMMON MORALITY Common morality is the body of moral

rules governing ordinary ethical problems.

These rules are used to understand managerial problems in ethical terms.

BASIC PRINCIPLES Promise Keeping:- Without the simple convention of promise

keeping, social interaction would grind (break up) to a halt; business would be impossible

CONTINUE….. NONMALEVOLENCE :- Among other things, rights and duties

provide ways of preventing violent conflict.- Morality requires us to avoid violence in

settling disputes

CONTINUE…… Mutual AID :- Human communities are sustained by the

recognition that people depend on each other and help each other

CONTINUE……. Respect for Persons :- Treating people as ends involves taking them

seriously, Accepting their interest as legitimate, and regarding their desires as important.

CONTINUE……. Respect for Property - Underlying the idea of property is the

principle that most people, most of the time, should get the consent of others before using their property.

CONCLUSION For the smooth running of business, Ethics is

necessary. By the ethics, we can grow our business. Ethics solving problems of business, help to

implement them.

THANK YOU