Assignment #2: “Ethical and Socially Responsive Business” Shadiek Brown
Bus100 - Intro to Business
DR. MARIA EMILIA GAMBUZZA
December 9, 2014
The Cheesecake Factory Business Ethics
The Cheesecake Factory established in the 1940s by Oscar and Evelyn Overton. Mrs. Overton began making cheesecake in the basement of her home in Detroit, using cream cheese as one of her main ingredients to give it, its scrumptious taste it has today. In 1972, the Overton’s moved there business to Woodland hills suburb of Los Angeles. By the end of the year, Cheesecake Factory moved from their previous location to its new headquarters in Calabasas Hills, California, which they hired additional staff members to increase productivity. The New facility was 45,000 square feet. Forty years later The Cheesecake Factory business has grown and had over 170 store locations around the world. In fact, each year the company had revenues over $100 million. A large corporation like The Cheesecake Factory needs a solid Human Resource team which will be an important key factor to maintaining the business success. (Factory, 2014)
As CEO of Cheesecake factory, “OUR PEOPLE” is the most valuable asset of the company. Without people, we wouldn’t be successful; we wouldn’t be able to operate, and we wouldn’t be able to help the people who are in need of our assistance. However, this is why we value our people and continue to invest in them. Key areas that are significant importance to The Cheesecake Factory is the general standard of conduct on how employees should be treated. In our code of ethics part 2 paragraph A, it states: “Our Company encourages a relationship of trust, loyalty, honesty, and responsibility among our staff members at all levels. We believe that all staff members deserve to be treated with dignity and respect. We are committed to celebrating the diversity of our workforce and guests and respecting each other as we work together to achieve excellence in our business.” (Cheesecake, 2014) In addition, this will create a more positive environment that will uplift the attitudes and morale of our staff members.
The code of ethics was established to protect the company’s asset as an essential responsibility of all personnel members. We are committed to investing our people to build close a relationship with our workers, as well as the community in which our restaurant is located. The code of ethics applies to every employee including managers, Chief Executive Officer, Chief Financial Officer, and Chief Accounting Officer. It serves as a guideline for the performance of their duty and also give employees the information they need in order to make ethical decisions. Any employees who violated the code will be subjected to disciplinary action that could lead to suspension, demotion, or discharge. This is why we created the code of conduct. Keep in mind that everyone has their set of moral ethics that they live by and tend to take those same principles to the workplace. Although, it is important when writing the code of ethics it should cover every staff members from the top corporation to the lowest level of employee. Our desire is for all employee to continue embracing these principles throughout their lives. We do this through two key principles: Our company culture and having a zero tolerance policy when our code of conduct are violated. A quote from Forbes magazine that published in 2013, explain why it’s important to develop others to build upon the success of our company with great talent and thriving culture. Victory Lipman quotes from an article in the Business Review called, “Why Top Young Managers Are in a Nonstop Job Hunt” by Monika Hamori, Jie Cao and Burak Koyuncu that stated: “Dissatisfaction with some employee-development efforts appears to fuel many early exits. We asked young managers what their employers do to help them grow in their jobs and what they’d like their employers to do, and found some large gaps. ...
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The Cheesecake Factory – Investor Relations – Our Mission & Vision. (n.d.). Retrieved from
Burning, K.C., & Allen,J. (2014). What is the role of Business Ethics? (with picture). Retrieved from http://www.wisegeek.com/what-is-the-role-of-business-ethics.htm
Lipman, V. (2013). Why Employee development Is Important, Neglected And Can Cost You Talent – Forbes. Retrieved from http://www.forbes.com/sites/victorlipman/2013/01/29/why-development-planning-is-important-neglected-and-can-cost-you-young-talent/
Farfan, B. (2014). The Cheesecake Factory Restaurants Mission Statement - Mission, Vision, Values, Headquarters, Founders Facts, and Trivia About The Cheesecake Factory Upscale Casual Dining Restaurant Chain. Retrieved from http://retailindustry.about.com/od/retailbestpractices/ig/Company-Mission-Statements/Cheesecake-Factory-Mission---Vision-.htm
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