DIPLOMA IN BUSINESS STUDIES

MGMT 102- BUSINESS ETHICS

Chapter 1: Introduction to Business Ethics
Lecturer : Mdm Nurhidayah
 GIC/ACAD/DLE/1013/22/09/001

COURSE LEARNING OUTCOMES (CLO)

CLO 1 - Explain the fundamental concept in the socially responsible corporation, corporate
responsibility, company policies, social responsibility, managing social responsibility programs,
cost benefit analysis, ethics and law and ethics.

CLO 2 - Demonstrate a role play that related to the above-named topics.

CLO 3 - Discuss the use of ethical decision-making process relevant to modern business practice

ver.Sept2022
Learning outcomes

At the end of this chapter, you should be able to:

 Define and differentiate between ethics and morality
 Understand how ethics is developed in an characteristic of
moral standard
 Recognize ethics and its importance in the business nature
CONTINUOUS ASSESSMENT TIMELINE

WEIGHTAGE EXPECTED
NO. ASSESSMENTS
(%) DATELINE

1 TEST 20 7th WEEK

2 PRESENTATION 10 11st WEEK

3 ASSIGNMENT 20 11st WEEK

4 FINAL EXAM 50 16th WEEK

Ethics in definition?

 The term “ethics” is derived from Greek word ethos,

which means character, spirit and attitudes of people or
culture.
 A set of principles that contains behavioral code to
determine what is right or wrong.
What is business ethics?

 Business ethics is an oxymoron: it brings together two

contradictory concepts, such as in ‘a cheerful pessimist’.
 It is about what is morally right or wrong.
 Morality

Sense of behavioral – Moral Value – Help in Moral standard –

Conduct that differentiates
understanding how, why and created to keep society
intentions, decisions and
to what degree human should functioning in an optimum
actions between those that are
value things. way.
good and bad
Characteristics of Moral Standards

I. Deal with serious injure or benefit.

II. Not formed/changed by the decision of particular
authoritative bodies.
III. Moral obligation even.
IV. Everyone’s interest are impartially counted as equal.
V. Re-associated with special emotions.
 Differentiate between ethics and morality.

Is concern with the norm, value and belief

Morality embedded in social processes which define right or
wrong for an individual or a community.

Is the study of moral standards whole explicit

Ethics purpose is to determine, as far as possible, whether
a given moral standards or judgmental based on that
standard is more or less
Business and Business Ethics

 Principles and business standard that guide behavior in

business field.
 Often determine by stakeholders.
 Money is the major deciding factor.
 Public to make sure that company adheres to correct
business ethic.
Factors that influences ethical value of an
individual

Socialization
Experience and
Upbringing process (behavior
critical reflection
of surrounding
process)

The explicit and

implicit standards Religion
of culture
Universally Accepted moral values
Good Values Explanations

Compassion The virtue of empathy for the suffering of others

courage Ability to faced danger, pain and other test of life without
showing fear.

Respect for human and Politeness or manners towards any individual’s feelings in any
non human kind of relationship

Self control Ability to control desires through strong willpower

Honesty Telling the truth, not lying, cheating or stealing.

Integrity Being upright, honest and uphold good of principles in life.

Benefits of managing ethics in the workplace

1. Attention to business ethics has substantially improved society.

2. Ethics programs help maintain a moral course in turbulent times.
3. Ethics programs cultivate strong teamwork and productivity.
4. Ethics programs support employee growth and meaning
Benefits of managing ethics in the workplace

5. Ethics programs are an insurance policy – they help ensure that

policies are legal
6. Ethics programs help avoid criminal acts “of omission” and can
lower fines.
7. Ethics programs help manage values associated with quality
management, strategic planning and diversity management.
8. Ethics programs promote a strong public image.
 Reference
• Linda, K.T, & K.T & Katherine, A.N. (2021). Managing Business Ethics: Straight
Talk about How to Do It.
• Praveen, P. (2018). Business Ethics. Routledge Taylor & Francis Group.
• Stephen, M.B & Kurt, S. et al (2019). Business Ethics. OpenStax. .