Ethics and Social Responsibility

Doing the Right Thing

 Ethical behaviour
• Ethical behaviour is the practice of behaving in a manner that is in
accordance with the accepted principles of right and wrong that govern the
conduct of a profession or industry.
Ethical Behaviours in the Workplace.
By April Renfrow
https://www.youtube.com/watch?v=n5R98_hcyQE
 Key stakeholders in business
Stakeholders in a business are any individuals, groups, or organizations that
have a vested interest in the success or failure of the enterprise.

For more information on the key stakeholders in a business watch the video
below.

https://www.youtube.com/watch?v=XG38IsxMiiA
 Ethics and Social Responsibility
• Ethics and social responsibility are closely intertwined concepts. Ethics
refer to the moral principles that guide a person's or organization's
behavior. Social responsibility is an organization's duty to act in the best
interests of its stakeholders and the wider society.

Ethics and Social Responsibility By GreggU

https://www.youtube.com/watch?v=koRYhx9jKYI
Three levels of ethical standards

Pearson: 2016
 Benefits of Moral Management
• 1. Improved Employee Morale
• 2. Increased Productivity
• 3. Improved Reputation
• 4. Lower Employee Turnover
• 5. Improved Employee Engagement
 Why should you be ethical
• Ethical behavior helps to maintain the trust and respect of others,
promotes a fair and equitable society, and encourages individuals to act in
accordance with their values and conscience.
For more on importance of ethics in a workplace
By: Kris Matea
https://www.youtube.com/watch?v=VpadLU5dHqE
 Establishing an
Ethical Framework
 Triple bottom line (3BL): measuring
Step 1: Identify the personal moral and business performance using profitability,
ethical principles that shape all commitment to ethics and social
business decisions. responsibility, and its impact on the
environment (“profit, people, and planet”).
Step 2: Recognize the ethical dimensions
involved in the dilemma or
decision. Step 4: Generate alternative choices and
distinguish between ethical and
Step 3: Identify the key stakeholders unethical responses.
involved and determine how the Step 5: Choose the “best” ethical response
decision will affect them. and implement it.
Copyright © 2016 Pearson Education Ltd 2-8
 Results of ethical lapse
• The consequences of an ethical lapse at work can be serious.
• Depending on the severity of the breach, consequences could include
disciplinary action, such as a warning, suspension, or even termination of
employment.
• Other consequences may include damage to an employee's reputation,
decreased morale, and a decrease in trust among co-workers.
• Additionally, an ethical lapse could lead to legal penalties, such as fines or
jail time, if an employee is found to have violated laws or regulations.
 Features of Ethical Cultures
• 1. Respect
• 2. Accountability
• 3. Transparency
• 4. Integrity
• 5. Responsibility
 Establishing and Maintaining Ethical Standards

• Ethical tests for judging behavior:

• The utilitarian principle
• Kant’s categorical imperative
• The professional ethic
• The Golden Rule
• The television test
• The family test
Copyright © 2016 Pearson Education Ltd

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 References
• Yasin, R., 2021. Responsible leadership and employees’ turnover intention.
Explore the mediating roles of ethical climate and corporate image. Journal of
Knowledge Management, 25(7), pp.1760-1781.
• Al Halbusi, H., Williams, K.A., Ramayah, T., Aldieri, L. and Vinci, C.P., 2021.
Linking ethical leadership and ethical climate to employees' ethical behavior:
the moderating role of person–organization fit. Personnel Review, 50(1),
pp.159-185.
• Scarborough. N.M. and Cornwall. J.R. 2016. Essentials of entrepreneurship
and small business management eighth edition: Published by Pearson