Business Ethic

        Individual ethics is a basic principles or value used by an individual to guide their action, and to recognize any commitment and managerial ethics is standards of behavior to guide the individual about their work. In addition the individual can affect their work in. This classify them in term of three board categories. First it’s a behavior toward employees covers about hiring and firing, wages and working conditions and privacy and respect. Ethics and legal guidelines suggest required that no discriminate and not be fair to employees. Second about behavior toward organization. Ethics issues always happens form employees behavior toward employers especially in such as conflict of interest, honesty and confidentially. The conflict of interest occurs an activity giving benefit to the individual. Most Organization have policies so that employees must adhere when dealing with customers, suppliers and other parties outside of the organization. Last about it is behavior toward other economic agents. Ethics also important in the relationship between customer, competitor, stockholder, suppliers, dealers and unions. Many issues for ethical ambiguity in any business activity include advertising, financial disclosure, ordering and purchasing, bargaining and negotiation and other business relationships.

However, for evaluating ethical or unethical behavior, organization must gather the relevant factual information, analyze the facts to determine the most appropriate moral value and make an ethical judgment based on rightness or wrongness of the proposed activity and policy. The way to encouraging ethical behavior with involves adopting written codes of conduct and establishing clear ethical positions for the conduct of business, having top management demonstrate its support of ethical standards, provide ethics training programs, establishing ethical hotlines for reporting and discussion of unethical behavior or activities.

In organization, the concept social responsibility is a related concept the addresses the overall way in which business to balance its commitment and individual group in its social environment, including customers, employees, investors, suppliers and local communities.  There are responsibility toward the environment including issue associated with weather condition and air water and land pollution, responsibility toward customer, especially about consumer right, unfair pricing, ethics in advertising and green marketing, responsibility toward employees including legal and social commitments and the special case of the whistle blower and responsibility toward investor including concerns about improper financial management, insider trading and giving false of finances.

There have four general approaches to social responsibility and role of social responsibility in business. Some organization take an obstructionist stance to social responsibility to solve social or environment but have little will go to deny or cover up wrongdoing. Besides that organization also take a defensive stance  do everything in legally required, including admit to mistake and take corrective action but nothing more.  Organization accepts an accommodative stance in certain cases, its legal and ethical requirement. However some organization more social responsibility take proactive stance to take part in society and full commitment to improve the general social welfare.