`

business function A process or operation that is performed routinely to carry out a part of the mission of an organization.Series of logically related activities or tasks (such as planning, production, sales) performed together to obtain a defined setof results Main Business Functions Production Management Planning Organization & Procurement Control Financial Human Resources Sales & Marketing Legal R&D / IT Public Relations An Ethical dilemma is a complex situation that often involves an apparent mental conflict between moral imperatives, in which to obey one would result in transgressing another. This is also called an ethical paradox since in moral philosophy, paradox often plays a central role in ethics debates. Ethical dilemmas are often cited in an attempt to refute an ethical system or moral code, as well as the worldview that encompasses or grows from it.[ The term dharmasankat is used in Indian philosophy to represent a moral or ethical dilemma. Etymologically, dharma can mean morality, sense of justice, code of conduct, law and other similar concepts; sankat implies a trouble or problem. a business setting mangers are put to test when they face the challenge of resolving an ethical dilemma.

Often certain situations do not fall in the ambit of procedures or the official code of conduct and this is when the managers feel the heat. The problem with ethical decision making is that a decision in itself cannot be taken in a vacuum; one single decision affects lots of other decisions and the key is to strike a balance to ensure a win-win situation is arrived upon. Though there are no golden rules to resolve ethical issues but managers can take a number of initiatives to resolve ethical issues. A brief description is given below.

Know the Principles In ethical decision making there are three basic principles that can be used for resolution of problem. These three principles are that of intuitionism, moral idealism and utilitarianism. The principle of intuition works on the assumption that the HR person or the manager is competent enough to understand the seriousness of the situation and act accordingly, such that the final decision does not bring any harm to any person involved directly or indirectly. The principle of moral idealism on the other hand states that there is a clear distinction between good and bad, between what is acceptable and what is not and that the same is true for all situations. It therefore asks to abide by the rule of law without any exception. Utilitarianism concerns itself with the results or the implications. There is no clear distinction between what is good and what is bad; the focus is on the situation and the outcome. What may be acceptable in a certain situation can be unacceptable at some other place. It underlines that if the net

result of the decision is an increase in the happiness of the organization, the decision is the right one.

Debate Moral Choices Before taking a decision, moral decisions need to be thought upon and not just accepted blindly. It is a good idea to make hypothetical situations, develop case studies and then engage others in brainstorming upon the same. This throws some light into the unknown aspects and widens the horizon of understanding and rational decision making. Balance Sheet Approach In balance sheet approach, the manager writes down the pros and cons of the decision. This helps arrive at a clear picture of things and by organizing things in a better way. Engage People Up and Down the Hierarchy One good practice is to announce ones stand on various ethical issues loudly such that a clear message to every member of the organization and to those who are at the greater risk of falling prey to unethical practices. This will prevent the employees from resorting to unethical means. Integrating Ethical Decision Making into Strategic Management Morality and ethical make up for a perennial debate and ethical perfection is almost impossible. A better way to deal with this is to integrate ethical decision making into strategic management of the organization. The way the HR manager gains an alternate perspective rather than the traditional employee oriented or stakeholder oriented view.

Unethical Behavior in Business The sad truth is there are people who part take in unethical behavior within the workplace. Unethical behavior includes a variety of activities. Some unethical business behavior may include lying and changing the number of hours they have worked, making a long distance phone call on the business phones, and copying business software so they can use it at home. There can be more serious unethical behavior such as altering business records. There are also behaviors which are deemed as unethical and behavior that is illegal but ultimately is up to the business to decide if the behavior is illegal or not. When a employee discovers someone that is being unethical, it can sometimes test what their own ethical values are. Sometimes behavior that is unethical and not illegal can fall under a grey area such as, what is right or wrong and can make it difficult to know what to do when they encounter it. However, people will also have different opinions on what is ethical and what isn't. An example could be saying that it okay to say a white lie, and they make it okay because they can justify it their mind. The employees own sense of what is right or wrong, comes into play when they witness someone else doing something that isn't part of the companies standards. The employee will need to address how they are feeling about the activity and will they inform on the activity or do they turn a blind eye.

When the employee witness the employee doing something unethical a decision is made in what to do about it and so they are presented with a number of difficult options. Should they go and talk to the person or do they go and speak to the supervisor. There are techniques that are put in place to make it easier to help with the decision and manage unethical behaviors. The company needs to create a policy for the company, that is signed by each employee so, they are aware on what to do. This will minimize the awakened feeling of what to do when seeing someone act unethically. The second part is to show a outline of what will be expected of the person when they discover someone doing something unethical. It should also have the person that needs to be contacted and what the process is involved in doing so. Having a clear set instructions, will have a more proactive way on reporting on someone who is doing something unethical. So, by having this it can deal with this issue easily and quickly before it becomes a big issue. The consequences should be clearly stated of what the unethical behavior is. That way, the person who witness the activity is aware of what to do which lessens the risk of someone not reporting something that is unethical.

Corporate Ethics Strategy Since the 1990s, corporate ethics has been recognized as a primary function of organizations. Corporate ethics is divided into business ethics (BE) and corporate social responsibility (CSR). The two concepts are not synonymous but complement and support each other. Business ethics refers to the companys organizational behavior in an ethical and legal fashion. Corporate social responsibility is the behavior and action by a company in relation to society. In other words, an organization has to function ethically and maintain, develop social welfare activities. The Unethical Behavior of Management & Employees in the Workplace Unethical behavior in the workplace, whether by management or employees, is detrimental to a good working environment. Managers should take the ethical high road at every juncture, but the sad truth is that management often points to the bottom line to justify their bad behavior. Employees, on the other hand, may feel justified in cutting corners and fudging on important issues, blaming their unethical behavior on the pressure to perform. The Roots of Unethical Behavior

In discussing the root causes of unethical behavior, psychological traps cause unethical events, as Robert Hoyk and Paul Hersey suggest in an article for the "Graziadio Business Review" from Pepperdine University. In an article entitled "The Root Causes of Unethical Behavior," they identify three general types of psychological traps. The primary trap is based on obedience to authority. Personality traps center on personality traits that make a person vulnerable to bad behavior, such as a compulsive need for closure, which can lead to demanding definite answers, even

when there is none. Finally, defensive traps lead people to seek easy ways to fix situations after an indiscretion has occurred. Management and Employees Crossing the Line

Whether it is the overenthusiastic manager pushing employees too hard in an effort to please top management or an eager employee cutting corners to outperform coworkers and catch the boss' eye, the net results are bad for coworkers. A lack of ethical behavior by management can have a lasting impact on employees when employees lose jobs or face wage reductions. Employees who skirt safety standards in an attempt to increase their output run the risk of endangering themselves and others. The Pressure to Perform Unethical behavior in the workplace often stems from a constant pressure to succeed or increase results, according to the Business and Legal Resources (BLR) presentation "Business Ethics: What Employees Need to Know." Other pressures are generated from tight deadlines or pressure from fellow workers, customers or vendors. Complex issues can also create pressures from a lack of guidance or demands to come up with quick solutions, which can lead to bad choices in a moment of weakness. Steps to Curbing Unethical Behavior It has become common for companies of all sizes to create a written behavioral policy and require an endorsement signature on a copy from every employee. The aim is to eliminate any ambiguity as to what is considered unethical behavior, as well as giving employees a definitive course of action should they witness such behavior in others. One of the goals of these documents is to prevent any hesitation in reporting unethical activities. Company Philosophy and Ethics

People - Happy workers make happy teams and happy teams produce wonderful products. We actively encourage mutual respect and care within the workforce and the community. We are friendly and welcoming: We positively welcome the over sixties to our work force and equally we support business initiatives in local schools and welcome work experience students. We enjoy multi-cultural diversity within our workforce Family is important: we are family friendly operating part time work shifts to meet school and family needs Protection Of The Planet - We source the majority of our packaging from sustainable & recyclable sources. We actively reduce waste by sending all paper, ribbon fabric and decorative scraps to local schools for their art departments We recycle our toner cartridges, print on both sides of our printer paper, turn lights off when leaving the room and monitor heating requirements to avoid any excesses We reuse cardboard boxes for storage and encourage suppliers not to over package supplies We encourage the use of cycles and public transport by staff and car share whenever possible Animals deserve our respect and should not suffer on our behalf. No testing of products or ingredients on animals by us or any ingredient suppliers. No animal ingredients - suitable to vegetarians Safe Code Of Practice For Ingredients - No unnecessary preservatives or synthetic ingredients. No genetically modified ingredients. Wherever possible ingredients are sourced

organically and harvested form sustainable sources. Some formulations are preservative free. However in others it is necessary to use preservatives to protect against common pathogens including staphicocollus and candida (fungus). Where natural preservatives are inadequate we use minimal levels of food grade broadspectrum preservatives with a proven safety record. Producing small batches locally to ensure that that unlike our bigger colleagues we are not enduring a long period between manufacture and the use. Maintaining low miles to market & reducing timescales to ensure that we need use only the bare minimum of preservatives and stabilisers. Safety - All our products are formulated to be gentle even to those with sensitive skins. However as a common sense precaution we recommend spot testing prior to use. All products conform to the latest statutory regulations and meet the strict requirements of Trading Standards and The Medicines Control Agency Commitment - Premium level service as standard supplied by an enthusiastic and committed team. We are committed to ensuring your 100% satisfaction and in the unlikely event of any problems a director or senior member of staff will respond in person. Dispatch of your order on most occasions within 7 days Communication - Here at Potions & Possibilities, we thrive on feedback and interaction and love to hear from you Corporate social responsibility

Corporate social responsibility (CSR, also called corporate conscience, corporate citizenship, social performance, or sustainable responsible business/ Responsible Business)[1] is a form of corporate self-regulation integrated into a business model. CSR policy functions as a built-in, selfregulating mechanism whereby a business monitors and ensures its active compliance within the spirit of the law, ethical standards, and international norms. CSR is a process with the aim to embrace responsibility for the company's actions and encourage a positive impact through its activities on the environment, consumers, employees, communities, stakeholders and all other members of the public sphere who may also be considered as stakeholders. The term "corporate social responsibility" came into common use in the late 1960s and early 1970s after many multinational corporations formed the term stakeholder, meaning those on whom an organization's activities have an impact. It was used to describe corporate owners beyondshareholders as a result of an influential book by R. Edward Freeman, Strategic management: a stakeholder approach in 1984.[2] Proponents argue that corporations make more long term profits by operating with a perspective, while critics argue that CSR distracts from the economic role of businesses. Others argue CSR is merely window-dressing, or an attempt to pre-empt the role of governments as a watchdog over powerful multinational corporations. CSR is titled to aid an organization's mission as well as a guide to what the company stands for and will uphold to its consumers. Development business ethics is one of the forms of applied ethics that examines ethical principles and moral or ethical problems that can arise in a business environment. ISO 26000 is the recognized international standard for CSR. Public sector organizations (the United Nations for example) adhere to the triple bottom line (TBL). It is widely accepted that CSR adheres to

similar principles but with no formal act of legislation. The UN has developed the Principles for Responsible Investment as guidelines for investing entities.

Marketing ethics Marketing ethics is the area of applied ethics which deals with the moral principles behind the operation and regulation of marketing. Some areas of marketing ethics (ethics of advertising and promotion) overlap with media ethics.

Fundamental issues in the ethics of marketing [edit]Frameworks of analysis for marketing ethics Possible frameworks: Value-oriented framework, analyzing ethical problems on the basis of the values which they infringe (e.g. honesty, autonomy, privacy, transparency). An example of such an approach is the AMA Statement of Ethics.[1] Stakeholder-oriented framework, analyzing ethical problems on the basis of whom they affect (e.g. consumers, competitors, society as a whole). Process-oriented framework, analyzing ethical problems in terms of the categories used by marketing specialists (e.g. research, price, promotion, placement). None of these frameworks allows, by itself, a convenient and complete categorization of the great variety of issues in marketing ethics.

[edit]Power-based analysis Contrary to popular impressions, not all marketing is adversarial, and not all marketing is stacked in favour of the marketer. In marketing, the relationship between producer/consumer or buyer/seller can be adversarial or cooperative. For an example of cooperative marketing, see relationship marketing. If the marketing situation is adversarial, another dimension of difference emerges, describing the power balance between producer/consumer or buyer/seller. Power may be concentrated with the producer (caveat emptor), but factors such as oversupply or legislation can shift the power towards the consumer (caveat vendor). Identifying where the power in the relationship lies and whether the power balance is relevant at all are important to understanding the background to an ethical dilemma in marketing ethics.[2]

[edit]Is marketing inherently evil? A popularist anti-marketing stance commonly discussed on the blogosphere[3] and popular literature[4] is that any kind of marketing is inherently evil. The position is based on the argument that marketing necessarily commits at least one of three wrongs: Damaging personal autonomy. The victim of marketing in this case is the intended buyer whose right to self-determination is infringed. Causing harm to competitors. Excessively fierce competition and unethical marketing tactics are especially associated with saturated markets. Manipulating social values. The victim in this case is society as a whole, or the environment as well. The argument is that marketing promotes consumerism and waste. See also: affluenza, ethical consumerism, anti-consumerism. [edit]Specific issues in marketing ethics

[edit]Market research Ethical danger points in market research include: Invasion of privacy.. Stereotyping. Stereotyping occurs because any analysis of real populations needs to make approximations and place individuals into groups. However if conducted irresponsibly, stereotyping can lead to a variety of ethically undesirable results. In the American Marketing Association Statement of Ethics, stereotyping is countered by the obligation to show respect ("acknowledge the basic human dignity of all stakeholders").[5]

[edit]Market audience Ethical danger points include:

Excluding potential customers from the market: selective marketing is used to discourage demand from undesirable market sectors or disenfranchise them altogether. Targeting the vulnerable (e.g. children, the elderly). Examples of unethical market exclusion[6] or selective marketing are past industry attitudes to the gay, ethnic minority and obese ("plus-size") markets. Contrary to the popular myth that ethics and profits do not mix, the tapping of these markets has proved highly profitable. For example, 20% of US clothing sales are now plussize.[7] Another example is the selective marketing of health care, so that unprofitable sectors (i.e. the elderly) will not attempt to take benefits to which they are entitled.[8] A further example of market exclusion is the pharmaceutical industry's exclusion of developing countries from AIDS drugs.[9]

Examples of marketing which unethically targets the elderly include: living trusts, time share fraud, mass marketing fraud[10] and others.[11] The elderly hold a disproportionate amount of the world's wealth and are therefore the target of financial exploitation.[12] In the case of children, the main products are unhealthy food, fashionware and entertainment goods. Children are a lucrative market: "...children 12 and under spend more than $11 billion of their own money and influence family spending decisions worth another $165 billion",[13] but are not capable of resisting or understanding marketing tactics at younger ages ("children don't understand persuasive intent until they are eight or nine years old"[13]). At older ages competitive feelings towards other children are stronger than financial sense. The practice of extending children's marketing from television to the schoolground is also controversial (see marketing in schools). The following is a select list of online articles:

Sharon Beder, Marketing to Children[14] (University of Wollongong, 1998).

Miriam H. Zoll, Psychologists Challenge Ethics of Marketing to Children, (2000).[15] Donnell Alexander and Aliza Dichter, Ads and Kids: How young is too young?[16] [17] Rebecca Clay, Advertising to children: Is it ethical? (Monitor on Psychology, Volume 31, No. 8 September 2000), American Psychological Association [18] Media Awareness Network. How marketers target kids. Other vulnerable audiences include emerging markets in developing countries, where the public may not be sufficiently aware of skilled marketing ploys transferred from developed countries, and where, conversely, marketers may not be aware how excessively powerful their tactics may be. See Nestle infant milk formula scandal. Another vulnerable group are mentally unstable consumers.[19] The definition of vulnerability is also problematic: for example, when should endebtedness be seen as a vulnerability and when should "cheap" loan providers be seen as loan sharks, unethically exploiting the economically disadvantaged?

Ethics in Finance At the present time, the field of finance ethics is barely formed. Although standard business ethics courses give some attention to ethical issues in finance, few finance departments include a treatment of ethics in their courses. Interest in finance ethics is growing, however, and many people in finance believe that ethics should receive some attention in finance education. In the development of any area of applied ethics, critical questions arise about the subject matter of the field, the appropriate theoretical approach, and the suitable teaching materials. As the author of the first comprehensive textbook in finance ethics (Ethics in Finance, Blackwell Publishers, 1999), I propose a presentation, which is based on this textbook, that answers these

questions. In particular, I will explain my conception of the field of finance ethics and offer an outline of a course or module in finance ethics. The main goal of this presentation is to promote the teaching of finance ethics in standard business ethics courses and especially in the finance curriculum by providing practical guidance and materials. The presentation will cover: 1. The current state of finance ethics and the impediments to the development of the field, including the diversity of finance and the close regulation of financial activity. 2. A framework for organizing the main issues in finance ethics. Specifically, the field can be understood under the heads of (a) financial markets, (b) financial services, and (c) financial management. 3. The relevant theoretical approaches to finance ethics. Specifically, these are (a) fairness in market transactions, and (b) agency relations and fiduciary duties. 4. A listing of the main ethical issues that arise in finance and could comprise a course in finance. These can be organized as ethical issues in (a) financial services (which involve a professional and a client); (b) investment decisions (which are typically made by institutional investors); (c) the regulation of financial markets; and (d) corporate governance. 5. Suggestions for suitable case studies. Information ethics Information ethics has been defined as "the branch of ethics that focuses on the relationship between the creation, organization, dissemination, and use of information, and the ethical standards and moral codes governing human conduct in society".[1] It provides a critical framework for considering moral issues concerning informational privacy, moral agency (e.g. whether artificial agents may be moral), new environmental issues

(especially how agents should behave in the infosphere), problems arising from the life-cycle (creation, collection, recording, distribution, processing, etc.) of information (especially ownership and copyright, digital divide, and digital rights). Information Ethics is related to the fields of computer ethics [2] and the philosophy of information. Dilemmas regarding the life of information are becoming increasingly important in a society that is defined as "the information society". Information transmission and literacy are essential concerns in establishing an ethical foundation that promotes fair, equitable, and responsible practices. Information ethics broadly examines issues related to ownership, access, privacy, security, and community. Information technology affects common issues such as copyright protection, intellectual freedom, accountability, privacy, and security. Many of these issues are difficult or impossible to resolve due to fundamental tensions between Western moral philosophies (based on rules, democracy, individual rights, and personal freedoms) and the traditional Eastern cultures (based on relationships, hierarchy, collective responsibilities, and social harmony).[3] The multi-faceted dispute between Google and the government of the People's Republic of China reflects some of these fundamental tensions. Professional codes offer a basis for making ethical decisions and applying ethical solutions to situations involving information provision and use which reflect an organizations commitment to responsible information service. Evolving information formats and needs require continual reconsideration of ethical principles and how these codes are applied. Considerations regarding information ethics influence personal decisions, professional practice, and public policy.[4] Therefore, ethical analysis must provide a framework to take into consideration many, diverse domains (ibid.) regarding how information is distributed.

Ethics in Human Resource Management development related activities in an organization. Arguably it is that branch of management where ethics really matter, since it concerns human issues specially those of compensation, development, industrial relations and health and safety issues. There is however sufficient disagreement from various quarters. There are different schools of thought that differ in their viewpoint on role of ethics or ethics in human resource development. One group of thought leaders believes that since in business, markets govern the organizational interests and these interests are met through people, the latter are therefore at the highest risk. They believe that markets claim profits in the name of stakeholders and unless we have protocols, standards and procedures the same will develop into a demon monopolizing markets and crushing human capital; HR ethics are become mandatory. There is another group of ethicists inspired by neo-liberalism who believe that there are no business ethics apart from realization of higher profits through utilization of human resources. They argue that by utilizing human resources optimally, there is more value creation for the shareholders, organization and the society and since employees are part of the society or organization, they are indirectly benefited. Nevertheless ethics in human resource management has become a perennial debate of late! Discussions in ethics in HRD stem from employee relationships and whether or not there can be a standard for the same. Employee rights and duties and freedom and discrimination at the workplace are issues discussed and covered by most texts on the topic. Some argue that there are certain things in employment relationship that are constant others disagree with the same. For example, right to privacy, right to be paid in accordance with the

work (fair compensation) and right to privacy are some areas that cannot be compromised upon. Ethics and Market System The kind of market system affects business and HR ethics; the latter thus becomes negotiable. In occupations where the market conditions do not favor the employees it is necessary to have government and labor union interventions in order to control the possible exploitation. In free market system, employees and the employer are almost equally empowered, negotiation create win win situations for both the parties. Government or labor union interventions become harmful. Globalization has brought about the concept of globalizing labor, trade unions have started to decline and the role of HR as such in issues like employee policies and practices has become a debatable topic. In fact many people are of the opinion that HR is nothing but an arm of the stakeholders through which major strategic and policy decisions are divulged geared towards profit making! Thought there can be no single opinion on ethics in HR that is convincing. Market in itself is neither an ethical institution nor unethical and no policies and procedures alone cannot govern and align markets to human well being. However the requirement of such policies and procedures can also not be denied. In lieu of this HR ethics should take care of things like discrimination (sexual, religion, age etc), compensation, union and labor laws, whistle blowing, health and safety of the employees etc.

Environmental ethics Environmental ethics is the part of environmental philosophy which considers extending the traditional boundaries of ethics from solely including humans to including the non-human world. It exerts influence on a large range of disciplines

including environmental law, environmental sociology, ecotheology, ecological economics, ecology and environmental geography. There are many ethical decisions that human beings make with respect to the environment. For example: Should we continue to clear cut forests for the sake of human consumption? Why should we continue to propagate our species, and life itself? [1] Should we continue to make gasoline powered vehicles? What environmental obligations do we need to keep for future generations?[2][3] Is it right for humans to knowingly cause the extinction of a species for the convenience of humanity? How should we best use and conserve the space environment to secure and expand life? [4] The academic field of environmental ethics grew up in response to the work of scientists such as Rachel Carson and events such as the first Earth Day in 1970, when environmentalists started urging philosophers to consider the philosophical aspects of environmental problems. Two papers published in Science had a crucial impact: Lynn White's "The Historical Roots of our Ecologic Crisis" (March 1967)[5] and Garrett Hardin's "The Tragedy of the Commons" (December 1968).[6] Also influential was Garett Hardin's later essay called "Exploring New Ethics for Survival", as well as an essay by Aldo Leopold in his A Sand County Almanac, called "The Land Ethic," in which Leopold explicitly claimed that the roots of the ecological crisis were philosophical (1949).[7]

The first international academic journals in this field emerged from North America in the late 1970s and early 1980s the US-based journal Environmental Ethics in 1979 and the Canadian based journal The Trumpeter: Journal of Ecosophy in 1983. The first

British based journal of this kind, Environmental Values, was launched in 1992.

ETHICAL ATTITUDE OF INDIAN MANAGERS Business ethics (also corporate ethics) is a form of applied ethics or professional ethics that examines ethical principles and moral or ethical problems that arise in a business environment. It applies to all aspects of business conduct and is relevant to the conduct of individuals and entire organizations. Ethical education should be designed to produce

effective managers with the powers of insight and the courage Studies on ethical attitudes of managers The survey on ethical attitudes of Indian managers by Sadri, Dastoor and Jayashree Result: It was shown that 77.29% felt that managers get more unethical as they climb up the corporate ladder.

Studies on ethical attitudes of managers Professor Arun Monappa of Indian institute of management ,Ahemedabad, undertook a study Result: Indian managers seem to have high ethical standards for themself. If they have not put their belief into action, it is because the environment has not influenced them into doing so. CASE STUDIES EXAMPLE: Gita Garment Exports Gita Garment Exports had a flourishing business exporting garments to the USA. Suddenly, the US administration banned the imports because they found that the garments, made of synthetic material, could cause dermatitis, a skin disease. Faced with this debacle, Gita Exports explored other markets and found that several African countries may like to import this product. The profits would be lower but the company would prevent financial disaster.