Business Codes of Ethics: Much Ado About Nothing, or the Real Deal “Starbucks Co
ID: 380369 • Letter: B
Question
Business Codes of Ethics: Much Ado About Nothing, or the Real Deal “Starbucks Code of Behavior” discusses the approaches and provisions this company has utilized in its attempts to establish a credible ethical environment. There seems to be a divergence of opinion on the value or lack thereof of a business code of ethics. Some have argued that business codes of ethics have little value or utility and are merely for public show and consumption. According to these proponents, corporations merely pay lip service to their codes of ethics. On the other hand, it has been argued that business codes of ethics are an essential and vital part of the ethical fabric of corporations. Using the aforementioned article as a starting point, what is your perspective on the value or lack thereof of a business code of ethics? Do you think such a code is merely for public show and consumption? Do you think a corporation simply pays lip service to its code of ethics? Why do you feel this way?
Explanation / Answer
Business Code of Ethics – Business code of ethics is defined as the code of conducts being used at the organization level, to ensure the ethical culture in the organization. These business codes planned to achieve the ethical environment in the organization. These are the well written statement of codes, which guides the employees during the ethical scenario in the organization. The purpose of these codes of conduct is to have well-written codes which needs to be followed by all the employees to develop the ethical culture and ethical environment in the organization.
Organization develops the ethical codes for the business. But the views of these codes are vary. Some thoughts that the business code of conduct are for show purposes and are not seriously implemented at the organization, there are only for show purpose, so that they can show to outsider or visitors that they have good code of conduct in the organization. On the other hand, some thought that the code of conduct are essential and important part of the organization and provides high value to the organization. The codes of conduct are very important in setting up the right behavior and culture at the organization level.
Our perspective on the Business code of ethics – our perspective is positive on the business code of ethics. We believe that the codes of ethics are very much essential and vital to the organization. It helps in setting up the right behavior, right culture and right environment in the organization. Since the employees works at the organization and all employees (human beings) are willing to have ethical cultural environment which helps to drive the employee synergy at the organization level. The ethical environment drives the better level of behavior and temperament among the employees. Employees will feel better and will result better productivity in the organization.
We do not think that the code is merely for public show – The ethical codes are key for developing the team work and right behavior at the organization. These are guidelines for the employees to follow at the work place. These develop the ethical culture among the employees. These ethical codes help the employee to feel better. Some organizations do shows the ethical codes without following at their individual organizations. These are only for show purpose to them. But these organizations do not have right culture and their employees are not satisfied with the non-ethical culture at such type of organizations. So in order to have better commitment from the employees, the ethical codes are the needed at the organization level.
We do not think that the corporation simply pays lip service to its code of ethics – Many corporations follow the codes of conduct adequately and use it as a tool for developing the right culture and environment at the organization level. Though some of the corporations simply pays lip services to their codes of ethics. So by doing this they also suffer a lot in terms of their employees management. The employees are not satisfied and will have adverse impact on the productivity. So codes of ethics are essential and vital for the organization and not for lip service. The ethical codes is a tool which helps the organization for long term survival. The organization needs right code of conducts which can develop the right environment which can last for long time. The organization which does not follow ethical code of conduct will not be able to survival in long term.
P.S. /
We have following two theories on ethics. These theories help to define the ethical action as below.
Utilitarian Theory – The utilitarian theory stats that a action which has a maximum utilization impact or which helps to utilize for various people (maximum) is known as an ethical action. So basically the ethical tag on a action can be put based on the outcome of the action. Thus an action which results maximum use, then the action is known as ethical action.
Kantian Theory – Kantian theory states that an action is ethical if the action is performed with meeting the moral, means it should be right action, without considering whether it has maximum utilization/ benefit or happiness among the people. It purely depends upon the nature of the action and it should be morally correct. The action should meet rights of human being and should not utilize any person for business purposes.
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