Report on Important of Ethical Decision Making for the Company

Only available on StudyMode
  • Download(s) : 328
  • Published : May 24, 2011
Open Document
Text Preview
Report on Important of Ethical Decision Making for the company

As it was in the past, to do business ethically today is very important to guarantee success. Do the right thing and not expose the company into bad situations or possible lawsuits where the reputation and corporate image can be affected. Make a business with the only goal of bringing money and forgetting the importance of ethical principles has demonstrated that it only brings negative results. Why is important to have an ethical decision making in our company? Because like every other business , we are exposed to multiple situations in different levels of the organization with multiples dilemmas that need a resolution where all interest are met and all the possible solutions have been analyzed. .

Ethics is not solely based on what our employees think or feel or in following the law. Different situations required the correct conflict resolution and sometimes the law cannot guarantee a win situation for everyone. Likewise, in a corporate environment with multiple employees, it is important to maintain one corporate culture that is explained and visible to all new and current employees at all times.

We need to create our ethical standards using ethical decision making to provide guidance and support to all our employees in all levels of our organization. With these standards, every employee can use better judgment in daily situations while applying our ethical decision making to do the right thing.

I am proposing two strategies that the company can use to ensure that the ethical decision process takes place an all levels of our organization:

Identifying Stakeholders: One of the strategies that the company can adopt is to ensure the ethical decision making is the identification of the stakeholder. Who are the Stakeholders? the stakeholder are the people that can be affected with decisions later taken. For this reason is very important to identify all the people who have an interest in the outcome of a decision and the company before any decision is made

Recognizing consequences and prioritizing values: An important strategy for the Ethical Decision Making process is to recognize consequences and prioritize values. These two components decision makers can recognize how decisions can affect stakeholders and positive or negative outcomes In situations where different Stakeholders are affected. Evaluating the consequences can help the decision maker to select the most important value or factor that supports their decision.

Create and Adopt the Corporate Code of Ethics: The ethical expectation that customers and employees have defines the basic rules and principles to handle the daily operations of the business. It is important for us to create a Corporate Code of Ethics as a basis to operate successfully. With the code of ethics, we can create and promote high ethical standards of practice in all levels of the organization. We can establish a list of acceptable and unacceptable behaviors among employees, stakeholders, clients, and customers. The code of ethics will help us to build trust internally and externally. At the same time, It brings clarification and guidance from simple questions to complex ethical dilemmas.

Analyzing a Code of Ethics: Toys “R” Us

After Analyzing the Code of Ethics of Toys “R” Us I can determine the following main components as necessary to create a good Code of Ethics:

Title: create our own corporate title, instead of “Code of Ethics” For example: TOYS “R” US, INC. AND SUBSIDIARIES
BUSINESS PRACTICES AND CONDU (Toys “R” Us Inc. 2010. Code of Ethics, Toys “R” US, Inc., p.1)

Table of Contents: It is very important to have a table of contents so that the user can easily find each topic. Reader can access the document more easily and read the chapters of major interest first. Also it makes the document more accessible and...
tracking img