EXECUTIVE SUMMARY

Companies need to answer to two aspects of their operations. Firstly, the quality of
their management - both in terms of people and processes (the inner circle). Secondly, the
nature of, and quantity of their impact on society and environment in the various areas.
Outside stakeholders are taking an increasing interest in the activity of the company. Most
look to the outer circle - what the company has actually done, good or bad, in terms of its
products and services, in terms of its impact on the environment and on local communities, or
in how it treats and develops its workforce.
Each organization must has its own code of ethics so that the organization would be
properly arranged. Mission, vision and objectives of the company will be achieved smoothly.
On the other hand, corporate social responsibility is the obligation to take action that protects
and improves the welfare of society as whole as well as organizational interests. According to
the concept of corporate social responsibility, a manager must strive to achieve both
organizational and societal goals. Social responsibility easily put is being responsible to
society. They have a responsibility to treat everyone they do business with well, be ethical,
make contributions to charities, help with social problems, and to make socially responsible
decisions all while earning profit.
An organization depends on its members for its success, the members depend on the
customers for their works and the customers depend on the organizations in their life. Each of
these elements is interrelated to constitute a good code of ethics which acts as a guideline and
the language to conduct the behavior of the managers and subordinates.
In our opinion, SIRIM Berhad is strict with its rules but tolerable. It vigilantly pays
attention to the employees’ problems in creating code of ethics and before subject the
employees to a certain disciplinary actions if the employees break the rules. SIRIM Berhad
also get involved together to help build stronger communities and conserve natural resources.

NO. SUBJECT PAGE

1 Table of Content
2 Executive Summary 1
3 Introduction 2–4
4 Contents in the Code of Ethics 5–7
5 Discussion 8 - 19
A Good Code of Ethics 9 - 10
Purposes of Code of Ethics 10 - 11
Importance of Code of Ethics 11 - 12
Approaches to Code of Ethics 12 – 13
Improvement of Organization Performance & 13 – 14
Environment Factors Using Code of Ethics
Consequences of Violation of Code of Ethics 14 – 16
Interrelation between Code of Ethics, 16 – 17
Company, People Inside & Outside
Level of Commitment Needed 17 – 18
Environment Factors in Developing 18 – 19
Code of Ethics
6 Analyses 20 - 23
Management Theories & Viewpoints 21 – 22
Islamic Perspective on Management 22 – 23
Recommendations
7 Conclusion 24
8 Appendixes
9 References

TABLE OF CONTENT