DJ/IME/2013-2014 Introduction Ethics Ethics is the moral principles that govern a person's behaviour or the conducting of an activity.

Ethics, also known as moral philosophy, is a branch of philosophy that involves systematizing, defending and recommending concepts of right and wrong conduct.[1] he term comes from the !reek word ethos, which means "character" and from latin word mores which means customs. #n philosophy ethics defines what is good for individual and for society and establish the nature of duties that people owe themselves and one another. Ethics seeks to resolve $uestions dealing with human morality%concepts such as good and evil, right and wrong, virtue and vice, &ustice and crime. What is Ethics? Ethics is the branch of study dealing with what is the proper course of action for man. #t answers the $uestion, "'hat do # do(" #t is the study of right and wrong in human endeavors. )t a more fundamental level, it is the method by which we categorize our values and pursue them. *o we pursue our own happiness, or do we sacrifice ourselves to a greater cause( #s that foundation of ethics based on the +ible, or on the very nature of man himself, or neither( Why is Ethics important? Ethics is a re$uirement for human life. #t is our means of deciding a course of action. 'ithout it, our actions would be random and aimless. here would be no way to work towards a goal because there would be no way to pick between a limitless number of goals. Even with an ethical standard, we may be unable to pursue our goals with the possibility of success. o the degree which a rational ethical standard is taken, we are able to correctly organize our goals and actions to accomplish our most important values. )ny flaw in our ethics will reduce our ability to be successful in our endeavors.

DJ/IME/2013-2014 What are the key elements of a proper Ethics? ) proper foundation of ethics re$uires a standard of value to which all goals and actions can be compared to. his standard is our own lives, and the happiness which makes them livable. his is our ultimate standard of value, the goal in which an ethical man must always aim. #t is arrived at by an e,amination of man's nature, and recognizing his peculiar needs. ) system of ethics must further consist of not only emergency situations, but the day to day choices we make constantly. #t must include our relations to others, and recognize their importance not only to our physical survival, but to our wellbeing and happiness. #t must recognize that our lives are an end in themselves, and that sacrifice is not only not necessary, but destructive. Business ethics +usiness ethics .also corporate ethics/ is a form of applied

ethics or professional ethics that e,amines ethical principles and moral or ethical problems that arise in a business environment. #t applies to all aspects of business conduct and is relevant to the conduct of individuals and entire organizations. +usiness ethics has both normative and descriptive dimensions. )s a corporate practice and a career specialization, the field is primarily normative. )cademics attempting to understand business behavior employ descriptive methods. he range and $uantity of business ethical issues reflects the interaction of profit-ma,imizing behavior with non-economic concerns. #nterest in business ethics accelerated dramatically during the 1012s and 1002s, both within ma&or corporations and within academia. 3or e,ample, today most ma&or corporations promote their commitment to non-economic values under headings such as ethics codes and social responsibility charters. )dam 4mith said, "5eople of the same trade seldom meet together, even for merriment and diversion, but the conversation ends in a conspiracy against the public, or in some contrivance to raise prices." !overnments use laws and regulations to point business behavior in what they perceive to be beneficial directions. Ethics implicitly regulates areas

DJ/IME/2013-2014 and details of behavior that lie beyond governmental control. he emergence of large corporations with limited relationships and sensitivity to the communities in which they operate accelerated the development of formal ethics regimes. Ethical issues Ethical issues include the rights and duties between a company and its employees, suppliers, customers and neighbors, its fiduciary responsibility to its shareholders. #ssues concerning relations between different companies include hostile take-overs and industrial espionage. 6elated issues include corporate governance7 corporate social entrepreneurship7 political contributions7 legal issues such as the ethical debate over introducing a crime of corporate manslaughter7 and the marketing of corporations' ethics policies. )ccording to #+E8 #psos 9:6# research published in late ;21;, the three ma&or areas of public concern regarding business ethics in +ritain are e,ecutive pay, corporate ta, avoidance and bribery and corruption. Importance of ethics #t is now recognized that it is good business to be ethical. )n ethical image for a company can build goodwill and loyalty among customers and clients 1. Ethical motivation : #t protects or improves reputation of the organization by creating an efficient and productive work environment. )t a time of mass corporate downsizing, one of the most effective ways to appeal to the fragile loyalty of insecure employees is to promote an ethical culture, which gives employees a greater sense of control and appreciation. 2. Balance the needs and wishes of stakeholders : here is pressure on business to recognize its responsibilities to society. +usiness ethics re$uires businesses to think about the impact of its decisions on people or stakeholders who are directly or indirectly affected by those decisions. <ompanies build their image by acting in accordance with their values, whatever they might be. <reating a positive public image comes from demonstrating appropriate values. 5ublicizing and following a company=s

DJ/IME/2013-2014 values allows stake holders to understand what the company stands for, that it takes its conduct as an organization seriously. 3. Global challenges: +usiness must become aware of the ethical diversity of this world because of increasing globalization of the economy. #t must learn the values of other cultures, how to apply them to its decisions, and how to combine them with its own values. #n a world where transnational corporations and their affiliates account for two-thirds of the world=s trade in goods, and employ >? million people, corporations cannot afford to ignore the reality of multicultural ethics. 4. Ethical pay-off: hey serve to protect the organization from significant risks, and to some degree help grow the business risks such as breaches of law, regulations or company standards, and damage to reputation were perceived to be significantly reduced. 5. Employee etention: he loss of :ne of the ma&or costs in business is inappropriate turnover.

valuable e,perience and development of new personnel is a cost companies can control. 'hat would a company give to retain valuable employees( 'ith a successful program, the employees work with managers and supervisors in making decisions based on the company=s values. ) successful +usiness Ethics program establishes a culture that rewards making the right decision. 6. !revention and eduction of "riminal !enalties :

he @nited 4tates 4entencing <ommission !uidelines state that to receive a A2B reduction in federal penalties, a company must have Can effective program to detect and prevent violations of the lawD. E,ecutives cannot always be aware of everything done in a company=s name. Eeffrey Faplan in his article he 4entencing !uidelinesG he 3irst en Hears points out that recent cases also show that prosecutors are electing not to pursue some actions because the companies in $uestion have sound programs in place. his is a tremendous asset to companies under regulatory scrutiny. 7. !reventing civil lawsuits

DJ/IME/2013-2014 9any times employees that e,perience issues in the workplace first try to resolve these issues internally. #f their complaints are ignored, employees feel compelled to go to an outside advocate. hat could be a private attorney, government regulator or news agency. !iving employees an internal outlet can solve problems without the event becoming public knowledge or an issue for the courts. Iaving the values permeate the company culture enhances the staff=s trust in senior management. 'ith an effective program, the staff recognizes that management also operates within these appropriate values. 8. #arket $eadership 'hen a company fully integrates its values into its culture, $uality rises due to the employee=s about focus the on values. <ustomers see that the employees care customer=s concerns. Employees reflect

appropriate values in their attitude and conduct. 6oy Foerner in his article 'ant 9ore 5rofit( ry Ethical +usiness 5ractices points out that businesses demonstrating the highest ethical standards are also the most profitable and successful. General information %rgani&ations and Ethics )s in other social entities, ethics are inevitable in organizations. 6esearch has already shown that ethics do pay. 4ince unethical practices cost industries billions of dollars a year and damage the images of corporations, emphasis on ethical behavior in organizations has increased over the recent years. 4ocietal e,pectations, and pressures from legal and professional bodies have forced organizations to be more concerned about their social responsibilities and ethical practices. #n the mid-1002=s 4hell faced one of its worst public relations nightmare due to its unethical business practices in Jigeria. #n100> the 3inancial imes in its annual survey of Europe=s most respected companies identified 4hell=s ethical problems as the key reason for the company=s dramatic drop in rankings. 4hell turned upside down in the aftermath of these unfavourable e,periences and thus started correcting itself for sustainable growth. Kike 4hell, many other organizations whose business practices are perceived to be unethical and their products are considered to be 5

DJ/IME/2013-2014 harmful to the consumers .e.g. cigarettes/ face strong social condemn. #n recent corporate history, the Enron and )rthur )nderson episodes, stress the importance of ethical practices in business. Ethical problems are problems of choice. Ethical problems arise not because of people=s tendency to do evil, but because of the conflicting nature of standards and interests, which are valid in themselves. 5roblems in ethical decision-making and behavior occurs only when individual interests and social norms conflict with each other. Every organization has its own accountability towards its stakeholders L employees, capital investors, consumers, government, competitors, suppliers, and other community Benefits of Ethics #f the company does adopt an ethical approach, it may have a number of benefits includingG

#mproved motivation among employees - many employees will be more committed if they can see an ethical approach adopted by the company 6educed labour turnover - improved motivation is also likely to result in improvements in the recruitment and retention of staff ,who will be more loyal to an ethical company

#mproved customer perception - consumers will often react positively to a more ethical approach and this may be used .as it is by many 3air rade companies/ as a uni$ue selling point for the business. #t also helps provide the brand with a more positive association, which should enhance brand value.

) growing number of investors do not want to invest in companies which pollute or damage the environment, deal in the arms trade, or support oppressive regimes. 9any also don't want to support tobacco companies or those that profit from gambling, pornography or the production of alcohol. 9ore recently people have begun to e,press concern about general business ethics and how companies conduct their day-to-day business practices. hese are no longer minority interests.

DJ/IME/2013-2014 )s a conse$uence there are a growing number of companies that specialise in ethical investments. hey promise to e,amine the ethical credentials before they invest their clients' funds. :ne such firm is 3M<, which lays out its investment criteria in its guide to ethical investing. Iowever, an ethical approach to business operations may have a number of potential problems. hese may includeG

Iigher costs - using ethically sourced raw materials, or producing in a way that is more ethical, is likely to raise costs. #f the company is able to use the ethical considerations to develop the brand, then this may not be a problem, but if they are in a highly price competitive market then it may be more of an issue.

5roblems with suppliers - suppliers may not hold the same ethical views as the firm and this may lead to possible conflicts. #t may also make sourcing supplies more problematical.

Kower profit - if the higher costs cannot be passed on to the consumer, then this is likely to lead to lower profitability for the firm. 4takeholder conflict - not all stakeholders will be keen on an ethical approach if it compromises their ob&ectives. 3or e,ample, some investors may withdraw if they feel that the ethical stance of the company is affecting its long-term viability or profitability.

6emember that ethics may be a sub&ective concept, varying from country to country and culture to culture and, of course, from individual to individual. Even within a single firm there will be a huge range of opinions about what is right and what is wrong. he only difference though between a business and everyday life, is that employees should know a little about the firms values before they &oin, and to some e,tent are signing up to these. Ethics also covers different areas than that covered by the law. #t is possible for a business to act legally, but in a manner that many would consider unethical. 4elling cigarettes or weapons, for instance, fits into this category.

DJ/IME/2013-2014 What do you mean by situation ethics and pragmatism? )n approach that evaluates theories or beliefs in terms of the success of their practical application.

5ragmatism is a philosophical tradition that began in the @nited 4tates around 11>2.[1] 5ragmatism is a re&ection of the idea that the function of thought is to describe, represent, or mirror reality. #nstead, pragmatists develop their philosophy around the idea that the function of thought is as an instrument or tool for prediction, action, and problem solving. 5ragmatists contend that most philosophical topics%such as the nature of knowledge, language, concepts, meaning, belief, and science%are all best viewed in terms of their practical uses and successes rather than in terms of representative accuracy. What is ethical dilemma? )n ethical dilemma is a comple, situation that often involves an apparent mental conflict between moral imperatives, in which to obey one would result in transgressing another. his is also called an ethical parado, since in moral philosophy, parado, often plays a central role in ethics debates. Ethical dilemmas are often cited in an attempt to refute an ethical system or moral code, as well as the worldview that encompasses or grows from it.

"hapter ' opics

Nalue oriented Iolistic 9anagement #mportance of character Nalues 'holeness !oodness <ourage 4elf discipline Kiving by inner truth *harma of organisation8 9anagement Nalue driven 9anagement

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E,ploitation of nature 9an machine e$uation #ndian culture and wisdom Ethical8 4piritual Nalues 9anagement effectiveness based on values Jeed for value based holism in management in #ndia Ever changing world. :ur future

What is holistic management ? #ncreasingly people are coming to understand that management needs to be holistic, meaning management needs to embrace social, environmental and economic comple,ity and cannot be reductionist, or directed to limited ob&ectives or aims without producing unintended conse$uences. <urrently everything we CmakeD using some form of technology is generally successful and increasingly so if we measure success only by achievement of the ob&ective. Iowever, globally we are e,periencing cumulative unintended conse$uences to society, environment and economies L some beneficial some damaging. Everything we CmanageD from the global economy to agriculture, natural resources, forests, oceans, fisheries, etc. are seen, if we look at them honestly, to be running into problems culminating in agriculture producing far more eroding soil than food, global desertification, biodiversity loss and climate change. Iolistic 9anagement involves using a Cholistic frameworkD # developed working with many scientists, wildlife biologists, ecologists and pastoralists over half a century. @sing the holistic framework people manage culture8social aspects, the environment and economy together not as isolated aspects as we have traditionally done. his results in management decisions that are socially, environmentally and economically sound for them in their situation both short and long term. his can be done from a family in a city not dealing with land, to a national or international level in any management situation, policy or development pro&ect and of course by people on the land managing crops, livestock, forests, etc.

DJ/IME/2013-2014 'hen managing any situation holistically all ob&ectives of management .policy or development pro&ects/ are aligned with what is called a Cholistic conte,tD defined by the people in that specific situation. he people=s holistic conte,t defines how those people want their lives to be, based on their culture and values, what they need to produce from their resource base to live such lives and what the environment supporting them needs to function like centuries from now for their descendants to be still living such lives. his holistic conte,t is needed for management ob&ectives, goals, policies, etc because all ob&ectives and goals need a clear conte,t to be fully achievable and not lead to unintended conse$uences. #n conventional management and government policies actions always have an ob&ective as they should, however why management runs into problems so commonly is because the conte,t for our actions or goals is that we CneedD or CdesireD something or we are Caddressing a problem.D 'hile such conte,ts serve us well with everything that we CmakeD using technology in some form, these are not realistic conte,ts for ob&ectives and goals in management situations. he reason for this is because management always involves comple,ity L social, environmental and economic. !iven a holistic conte,t in any situation we find that our ob&ectives and goals become much more likely to be achieved without unintended conse$uences. 'hen using the holistic framework, especially when dealing with nature, we automatically assume our actions are wrong and in that manner determine what to monitor to detect as rapidly as possible anything going adrift to correct it. his leads to holistic management being proactive, producing the desired results rather than reactive or adaptive management as management has tended to be for centuries. 4uch proactive management is proving encouragingly successful wherever practiced. #t is profoundly simple but not easy. Jot easy purely because it is a new way of thinking for us, and changing our paradigms does not come easily. 'here the management of land involves livestock needed to sustain people, or where there is no other possibility than using livestock to reverse land degradation, restore river flow, springs or underground water or loss of wildlife habitat the same holistic framework and process is used with holistic planned grazing as the planning process to address that comple,ity involved 10

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What is a value? (alues Nalues are that which we seek to achieve or maintain according to our life as the standard of evaluation. Nalues are the motive power behind purposeful action. hey are the ends to which we act. 'ithout them, life would be impossible. Kife re$uires self-generated action to sustain itself. 'ithout values, one could not act, and death would follow. Nalue specifies a relationship between a person and a goal. ) value re$uires a valuer--a particular person who aims to achieve or maintain something. )n ob&ect cannot have value in itself. Nalue is relational, and so re$uires a person and a goal. he goal to which one aims is called the "value", but the his means an ob&ect cannot be a value in relationship is always re$uired. it. Nalues are essential to ethics. Ethics is concerned with human actions, and the choice of those actions. Ethics evaluates those actions, and the values that underlies them. #t determines which values should be pursued, and which shouldn't. Ethics is a code of values. )piritual values ) spiritual value can be defined as a moral value, .whether secular or religious in nature/. #n most instances the term "spiritual value" is used in reference to religious values that emanate from a divine source, .!od/. 6eligious, spiritual values are a result of being spiritually connected to !od and through that relationship, Iis spiritual influence upon us is what defines our spiritual values as we are in submission to Iim. 3rom this spiritual union, spiritual values e,press who we are as a person, .our spiritual essence/, not &ust what we believe.

itself. #t only gains the title of value when a person acts to achieve or maintain

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DJ/IME/2013-2014 he term "spiritual values", in the secular conte,t, is simply moral values that have been instilled or developed in the individual person, .not connected with a religious ideology or !od/. #t is an inner moral conviction that e,presses who the person is and how they conduct themselves. 9oral values are certainly not limited to religious persons. here are e,ceptional, moral people that do not have a relationship with !od.

+oth religious and non-religious persons can obviously share some spiritual .moral/ beliefs. wrong. he overwhelming ma&ority of the population, secular and religious, believe that stealing, bearing false witness, .lying/, and killing is hose are moral .spiritual/ values. ) person's spirituality is generally e,pressed through their personality, .although not always consistently/. )ttributes such as honesty, selflessness, gentleness, humility, sincerity, patience, thankfulness, consideration for others and the ability to sympathize or empathize with others are a result of spiritual values.

he moral or spiritual values of any two people are rarely identical. here will be a natural variation due to the person's life e,periences, intelligence, and personality. 4piritual values define us as a human being and are an e,pression of our inner self. 4ociety would be in utter chaos without spiritual and8or moral values. )piritual values are human values he values of truth, righteousness, peace, love and non-violence are found in all ma&or spiritual paths. career. "ourage <ourage is the ability to act in the face of danger and uncertainty. )lthough it is more of an emotion or state of mind, it is an important part of one's life. his is because the future is always uncertain. 'e can ac$uire understanding of the world, but there are too many factors to accurately predict the future. :r hese spiritual values are also human values and are the fundamental roots of a healthy, vibrant, and viable work

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DJ/IME/2013-2014 more importantly, to be certain that our prediction will come to pass. his is because we can make predictions that end up being accurate .even guessing works sometimes/, but we have no means of knowing whether it will really occur. Even danger is constantly present. here is no completely reliable way of

avoiding danger. 'e can lessen the risk in many respects, but we cannot avoid it entirely. Even staying in our homes constantly does not remove risk. Jor would we want to. Kife is not &ust about avoiding death. #t is about achieving values and happiness. <ourage must overcome both the fear of danger and uncertainty. hey must be pushed aside in order to get on with the business of living. Kiving with courage, in this respect, is virtuous. )elf *iscipline #t is the ability to control one's feelings and overcome one's weaknesses.4elfdiscipline can be defined as the ability to motivate oneself in spite of a negative emotional state. Oualities associated with self-discipline include willpower, hard work, and persistence. 4elf-discipline is the product of persisted willpower. 'hereas willpower is the strength and ability to carryout a certain task, self-discipline is the ability to use it routinely and even automatically .as if through refle,/. )n analogy for the relationship between the two might be defined as followsG 'here willpower is the muscle, self-discipline is the structured thought that controls that muscle. #n most cultures, it has been noted that self-discipline is the ultimate path towards success

(alues and Work he values of truth, righteousness, peace, love and non-violence are found in all ma&or spiritual paths. hese spiritual values are also human values and are the fundamental roots of a healthy, vibrant, and viable work career.

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DJ/IME/2013-2014 :ur collective business e,perience showed us that these five human values were the fundamental roots of a healthy, vibrant, viable organisation L and of healthy, vibrant, viable individuals. 3or e,ampleG

ruth fosters trust and honest communications. 6ighteousness fosters high $uality work. 5eace fosters creative and wise decisions. Kove fosters self-less service based on caring for others' well being. Jon-violence fosters win-win collaboration. Het we have chosen to call them human values rather than spiritual values. C4piritual valuesD implies that they are something that human beings need to aspire to and hopefully someday achieve. 'e are well aware that most people see human nature as anything but spiritual L they typically see it as limited, imperfect, and so on. Iowever, we know that we are spiritual beings first and foremost and that Cto be human is to be spiritual.D 4o, by calling these spiritual values Chuman values,D it reminds us that they are inherent in our spiritual nature. We emphasise three principlesG

1.

hese human values do not need to be taught or learned7 rather, they must be evoked or unveiled, sometimes by unlearning the ways we keep them hidden.

;. ?.

hese human values represent humanity at its fullest. hese human values can be understood from three perspectivesG heir spiritual essence, based on the principle that *ivinity resides in all of creation. heir cross-cultural e,pressions, which we find in all societies though there may be variations and different emphasis from culture to culture. heir individual .personal/ e,pressions, which reflect the attitudes and motivations beneath our uni$ue personalities and behaviour.

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'hile the spiritual essence of the human values is inherent within us, the cross-cultural and individual e,pressions are learned, developed and practised throughout our lifetime in the social environments we live and work in. +y e,ploring the cross-cultural and individual e,pressions of these five human values, we can bring them forth in our everyday life and work. :ne point we found $uite interesting is that since these human values come from a common spiritual foundation, they are an indivisible whole7 one human value cannot e,ist apart from the others. our work. 4o, what does each of these human values look like when e,pressed in the typical workplace(

his integrated wholeness of the

human values gives us tremendous strength as we seek to bring them forth in

) professional would tell the truth about errors or delays, even if it meant a temporary reprimand. ) clerical person would do his or her best $uality work, even if no one were watching. )n e,ecutive would continually strive to find creative new ways to deliver goods effectively and efficiently, without adding undue costs to his or her customers.

) sales person would actively seek to serve people rather than hide behind bureaucratic rules. ) manager would seek to keep the environment clean and unpolluted by wastes from the business. +ow can we practice all five human values in a practical way?

1.

ruthfulnessG speak honestly with co-workers and customers. well as customers.

;. 6ighteousnessG keep your agreements with your manager and co-workers, as

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DJ/IME/2013-2014 ?. #nner 5eaceG practice e$uanimity, even in crises, in times of profit or loss, and in times of praise or blame. A. KoveG listen generously and compassionately to others rather than being &udgmental. P. Jon-NiolenceG find win-win solutions to problems, rather than winning at another=s e,pense. (alue *riven #anagement he original meaning of "leadership" is to go on a &ourney in the company of others. Nalues determine the rightness and the direction of the organisational vision and the way it conduct itself at all times to serve and achieve its purpose8mission. Nalue-driven leadership is based on a very specific notion that the performance and behaviour of management leaders in the organisation are guided by the adherence and practice of "leaders and organisational core values" which would include that of integrity, honesty, fairness, consistency, accountability, due care, fiduciary duty, professionalism and ethical practices amongst others. #t recognises that an organisation cannot survive in the long term by not doing the "right and proper thing" and without the participations of all the stakeholdersG employees, customers, investors, government, local and global communities which are bonded by a value system. What is (alue-*riven $eadership, #anagement Nalue-driven leadership is about realising that the pursuit of profit is one of the many essentials for sustainable organisation success and growth but not necessary the only motive. Nalue-driven leadership combines personal principles, values and corporate ethics with commercial sustainability consideration. #t acknowledges that it is necessary to create wealth but also that monetary or commercial wealth creation is not the only necessity for long term sustainable business. he value in value-driven leadership alludes to the nature of the relationship between the organisation and others that it does business or has relationship with. 3or e,ample, one employee might e,perience the valued relationship with an organisation if the organisation

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DJ/IME/2013-2014 paid a fair wage and gave the employee time off to care for a sick parent or relative, etc., another employee might perceive the relationship as valuable if the organisation gave the employee sufficient training and career development opportunities for them to grow in their personal and career development, and to rise $uickly within the management ranks based on e,cellent performance and meritocracy. he leadership in value-driven leadership suggests a connection between how well an organisation creates value in its relationship - with its stakeholders and the relative rate of return that the organisation offers its investors. :rganisations battle to create competitively superior value for the Qbest' employees, customers, investors and communities. 'inning these battles yields competitively superior returns for investors because the best and value-empowered people with synergistic collaboration and co-ordination can generate the most effective and efficient solutions to customer needs and problems. he end results would be profits generated. )nd through profit sharing and stock ownership, employees and investors share in the gains from these value-solutions. Why (alue-*riven $eadership, management? Nalues-driven leadership is a must in modern flat organisations characterised by transparency and easy availability of information. )s 4teve Eobs, the cofounder of )pple <omputer, asserts, " he only thing that works is management and leadership by values. 3ind people who are competent and really bright, but more importantly, people who care e,actly about the same things you care about." Eim <ollins wrote in his best-seller !ood to !reat that "Kevel P leaders channel their ego needs away from themselves and into the larger goal of building a great organisation. #t's not that Kevel P leaders have no ego or self-interest. #ndeed they are incredibly ambitious-but their ambition is first and foremost for the institution, not themselves". Kevel P leaders preach and practice value-driven leadership which enhances the relationship between how an organisation behaves relatively to its employees, customers and communities.

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DJ/IME/2013-2014 Implementation of (alue-*riven $eadership, #anagement JestlR for e,ample preaches value-driven leadership and inculcates the values to its employees as a guide in developing, managing and evaluating all management staff based on its corporate values emphasizing on high performance. #n airline industry, some customers value cheap fares, on-time flight departures and arrivals and pleasant people. his is a classic case of the success of )ir)sia, the leading low fare airline in )sia with their value tagline and philosophy that QJow Everyone <an 3ly' and they continuously seek and deliver Qvalue innovation' to deliver their mantra and value proposition. +elow are some management insights that you can consider to implement value-driven leadership8 9anagement in your organisationG #anagement Insight -.: Inspiring !eople with /ey (alues0 9anagement leaders in the organisation must be able to lead, develop and inspire its people. Nalue-driven organisations will tend to develop value-driven leaders and value-driven leaders will create value over time for their organisations. Nalue-driven leaders must be able to practice what they preach and create e,plicit and intrinsic value for their organisation that goes far beyond mere shareholders value. hey believe they do not lost sight of profitability as an important corporate goal - as a value - but it is integrated with other intrinsic and performance values in their leadership behaviour that are integrated into organisational process and permeate the organisation's decision making, actions and performance behaviours. #anagement Insight -1: *ealing with %thers0 Nalue-driven leaders engage in pro-active co-operation when dealing with others in and outside the organisation. hey are able to influence, impact and convince others with their ethical dealings, and look at the future as a source of opportunity and business sustainability. #nternal or e,ternal customers get better service from employee in value-driven organisation that en&oys their

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DJ/IME/2013-2014 &ob. Ience, their belief that value-driven business is long term good business. <ompanies such as 4outhwest )irlines invest significantly in identifying the characteristic of people who will en&oy serving customers. hey hired people who can embody its values and convert it into actions thus making it more successful than its peer )merican )irlines that is very difficult to replicate. here is a saying in recruiting peopleG "'e hire people for what they know and fire them for who they are." herefore, when we hire people with the same values, we spend less time managing their deviant behaviours. #anagement Insight -': 2dding (alues across the Board0 Nalue-driven leaders are able to add value to articulate their own values and that of the organisation by consistently practicing what they preach. hey are result focus, continuously interacting with their stakeholders and improving by seeking and introducing value innovation to satisfy their customers' e,pectation. 3or e,ample, e,ecutive seeking to enhance employee's satisfaction and deliver e,cellent customer service can benefit best from valuing human relationship and fostering teamwork by professing and practicing their value culture. E,ecutives seeking to improve market share, accelerate earning growth and return on e$uity, and enhance shareholder values can embrace the principle Q'in through multiple means'. <ustomers are very astute these days and they prefer to patronise and do business with companies and people who are ethical and practice good values. #anagement Insight -3: %pening 4p for )ustainability0 Nalue-driven leaders must walk their talk, be transparent by knowing themselves, have good customer service orientation, business insights, unending curiosity and unwavering courage. his is because value-driven hey are able to leadership is interactive, engaging and synergistic.

conceptualise the highest level of Qwin-win' outcome where individual and the organisation are becoming more valuable and it is more challenging to keep people constantly satisfied. Nalue-driven leaders have the ability to influence their people to be value-fulfilled throughout the individual's and their work lifetime, and for their organisation they leave behind their strong value

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DJ/IME/2013-2014 footprints in organisation perpetual succession. he value-driven leader and

their management team create their own strong and intrinsic, intangible capital which continue to be enhanced by each generation that is imbued and immersed in their strong value culture. have the capacity to live forever. hese are the organisations which

*harma of the %rganisation, #anagement *harma and *harmic #anagement : he word S*harma= is a 4anskrit word and has no e,act e$uivalent in the English language. #t defies a simple translation into English. hough sometimes it is used as an e$uivalent for the word Sreligion=, it is not only that. ) number of words come very close to e,plaining its meaning. hese include % right action, truth in action, righteousness, morality, virtue, duty, the dictates of !od, code of conduct and others. Iawley .100?/ defines *harma, *harmic and *harmic 9anagement in his landmark work S*harmic 9anagement=. Ie states, S he concept of *harma is affi,ed to integrity, drawing to it the energies of goodness, spirit, and fearlessness, creating a sort of super integrity. he word *harmic is 4anskrit for deep, deep integrity % living by your inner truth. *harmic 9anagement means bringing that truth with you when you go to work every day. #t=s the fusing of the spirit, character, human values and decency in the workplace and in life as a whole.= *harma is not the same for all. #t differs based on one=s age and stage in life. he ancient #ndian scriptures highlight a large variety of differences in the nuances of *harma based on *esha-Fala- 5aristhiti .place, time and circumstance/. hese various types of *harma are G

Nyakti *harma % 6elated to the individual !rihastha *harma % 6elated to the family life 4ama&ika *harma % 6elated to the society 6a&ya *harma % 6elated to the nation

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)shrama *harma % 6elated householder or renunciant

to the stage in life viz. student,

Narna *harma % 6elated to one=s profession Fula *harma % 6elated to one=s lineage 9ata *harma % 6elated to one=s religion )apat *harma % o be followed in times of danger8crisis 9anava *harma % :ne=s duty as a true human being

Iawley in the same seminal work makes his observations in this conte,t. Ie states, C*harma is personal. #t is not a one-size-fits-all set of ethical standards. #t=s an inner formula for only the individual. 'e each have our own law, or *harma, peculiar to ourselves. #t=s as much a part of us as our body is, probably more. )s with any law, we have to comply with it or suffer the conse$uences.D )gain, one=s *harma is determined by one=s stature and status in one=s organisation and in society and one is e,pected to act in accordance with that for efficient functioning of the society as a whole. #n this regard Iawley states that one=s present status and level of achievement, or role in life, also affect one=s *harma. )n individual=s *harma differs according to where he or she is in life. he *harma of the <3:, for e,ample, is different from the *harma of the accountant. #t=s not that the accountant is inferior and the <3: superior. #t=s &ust that they are in different places in life at this moment. his will change with time. 3or now, the differing responsibilities and leverage that each brings to the table of life earn each of them a distinct *harma. 'hatever may be one=s stature or status, position or situation in life, true perfection is e,cellence in action. he +hagavad !ita, one of the most revered spiritual te,ts of #ndia also highlights this. #t states % SHogaha Farmasu Foushalam=, which means S rue Hoga is 5erfection in )ction=. Jo matter what one=s duty in life, one must do it and do it well. 'hether one is a minister or a clerk, no matter what one=s particular role, one must carry it out to the absolute limit of one=s capacity for e,cellence.

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Individual *harma and %rganisation *harma : his #ndividual *harma can be e,tended to the organisation as a whole and be termed as :rganisational *harma. his is because an organisation is nothing but a collection of individuals working together towards achieving certain common goals and ob&ectives. Each of these are bound by certain rules and regulations based on the roles and responsibilities allocated to them and they have to achieve the commonly chalked out goals which are in the larger interest of the organisation keeping these in mind. #n this light the organisation can collectively be said to have a *harma. he collective traits8virtues of an organisation, which are its uni$ue features and characteristics are in recent times represented as the organisation=s vision, mission and core values statements. hey are the essential fabric of the organisation and form the core of its culture. 9any organisations have a credo or an organisation charter which they adhere to and follow at all times and under all circumstances. :ne such e,ample is of the Eohnson M Eohnson credo which the company follows and sticks to even in times of the famous ylenol crisis. #anagement *harma : Eust as the organisation has its own *harma, so do the managers working within it have theirs. heir *harma as individuals differs from their *harma as managers working in the organisation. )s managers, they are the representatives of the collective value system of the organisation and they are trustees of the organisational wealth. Ience, they too have a *harma. Iawley e,presses a similar opinion. Ie highlights the fact, C here is a particular *harma for managers because they are in the responsibility seat. heir actions impact other humans and affect the economic and physical wellbeing of the organisation and, beyond that, the well-being of the environment and even the planet. 'ith that power comes a greater measure of accountability. 9anagement *harma, like individual *harma, matches one=s life station. 9anagers can=t e,pect to take the bigger &obs and not take on a

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DJ/IME/2013-2014 broader *harma. he manager=s *harma is more demanding, more obligated to rightness, more careful .i.e., more full of care/.D he recent concept of 4ervant-Keadership coined and defined by 6obert !reenleaf highlights the same fundamental. #t emphasises the role of a leader as a steward of the organisations= resources .human, financial and others/. #t encourages leaders to serve others while staying focussed on achieving results in line with the organisation=s values and integrity.

2 *harmic %rganisation and 5rikaranashuddhi : )n organisation which can be called *harmic or a truly ethical organisation or the one pursuing business ethics in its day-to-day practice is the one which tries to ensure to the e,tent possible, the welfare of all its stakeholders. he true purpose of an organisation as highlighted by a number of studies is to 5areto optimise the welfare of the organisational stakeholders, as they are the ones, who in reality contribute towards the long-term growth and sustenance of the organisation. S o ensure the welfare of all concerned= has been the endeavour and a part of the #ndian culture and tradition right from the very beginning. 4ukhaya .for the benefit and welfare of all/. he #ndian scriptures have always hailed the ideal of 4arva&ana Iitaya, 4arva&ana he e,cerpt from the Faivalya @panishad given below gives an insight into the allencompassing approach of the #ndian culture which has enabled the #ndian civilisation .the longest and the only surviving ancient civilisation/ to survive the last P222 years and more. 4wasti 5ra&abhya 5aripalayantaam, Jyayena 9argena 9ahim 9ahisham !ou +rahmanebhya 4hubhamastu Jityam, Koka 4amasta 4ukhino +havantu [9ay all the 4ub&ects and their 6ulers be prosperous7 9ay the 6ulers rule on the 6ighteous 5ath7 9ay the cows .resources/ and the +rahmins .individuals desirous of right living/ be safe always7 9ay all the beings in all the worlds be happy.] 23

DJ/IME/2013-2014 he great leaders who got freedom to #ndia and laid down their lives for such a glorious cause and the founding fathers of the #ndian <onstitution, believed in such noble approach to e,istence. he following scriptural in&unction has been engraved on the entrance wall of the #ndian 5arliament G )yam Ji&ah 5arovaiti !anana Kaghu <hetasam, @dara <haritaanaam u Nasudhaiva Futumbakam. .#t is only petty-minded individuals who fail to rise above selfishness and keep counting that this is mine and that is yours7 on the other hand the largehearted ones treat the entire humanity as members of their own family./ #n the light of the above it can be said that the complete accord in the corporation=s thought, word and deed % S rikaranashuddhi.= i.e., its intention of ensuring stakeholders= welfare, framing policies commensurate with the aforementioned and communicate the same across the organisation, and ultimately undertake activities for realising this intention, is the righteous conduct of the organisation % the *harma of the company. scriptures declareG S9anasyekam, Nachasyekam, he Nedic Farmanyekam

9ahatmanaam= which means, S) great individual is the one whose thought, word and deed are in complete unity.= he same can be e,tended to a great corporate entity. )n organisation whose intentions, communication and actions are in complete unison can truly be called a *harmic :rganisation. #t is such scriptural in&unctions which inspire and prompt one and all to set high standards of righteous conduct and put into practice these e,altations in dayto-day lives, thereby ensuring the welfare of all concerned % whether at home or at work. 6Business should not be swayed by e7cess profits and wealth ma7imisation for a few8 but should realise the significance of social responsiveness0 5herefore8 corporate philosophy should be guided by *harma 9 ighteousness:0 2 business organisation is to be treated as a place of worship8 wherein the entire workforce8 by means of sincere work8 offers worship to God0; .4ource G 9an 9anagement G ) Nalues-+ased 9anagement 5erspective % +ased on the *iscourses of 4ri 4athya 4ai +aba/ 24

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Indian "ulture and wisdom

Wisdom What do you mean by wisdom and insight? What 2re the *ifferences Between /nowledge8 Wisdom8 and Insight? Fnowledge, 'isdom, and #nsight may sound like synonyms, but they are not. hough they all refer to the mind and an accumulation of thoughts and e,periences, they have some very real differences in the essence of their meanings and their applications in our life. /nowledge () Wisdom () Insight Fnowledge is the accumulation of facts and data that you have learned about or e,perienced. #t=s being aware of something, and having information. Fnowledge is really about facts and ideas that we ac$uire through study, research, investigation, observation, or e,perience. 'isdom is the ability to discern and &udge which aspects of that knowledge are true, right, lasting, and applicable to your life. #t=s the ability to apply that knowledge to the greater scheme of life. #t=s also deeper7 knowing the meaning or reason7 about knowing why something is, and what it means to your life. #nsight is the deepest level of knowing and the most meaningful to your life. #nsight is a deeper and clearer perception of life, of knowledge, of wisdom. #t=s grasping the underlying nature of knowledge, and the essence of wisdom. #nsight is a truer understanding of your life and the bigger picture of how things intertwine. #n a nutshellG #f knowledge is information, wisdom is the understanding and application of that knowledge and insight is the awareness of the underlying essence of a truth.

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DJ/IME/2013-2014 4adly we can gain a lifetime of knowledge, yet never see the wisdom in it. 'e can be wise, but still miss the deeper meaning. <hristopher 6eiss does a great &ob of summing up the differences on OuoraT Fnowledge is measuring that a desert path is 1;.A miles long. 'isdom is packing enough water for the hike. #nsight is building a lemonade stand at mile U. Fnowledge is knowing how to manage your money, budgeting, spending, saving. 'isdom is understanding how money impacts the $uality of your life and your future. #nsight is realizing that money is simply a tool to be used, that it has no inherent meaning beyond its usefulness. Fnowledge is learning how to paint and using that skill to cultivate a livelihood. 'isdom is e,pressing your passion through painting and understanding that art is a form of communication that touches the lives of others. #nsight is perceiving that all things can be art and that creating your art contributes to the understanding and the e,pression of the essence of the world around you. Fnowledge is knowing which things, practices, people, and pleasures make you happy. 'isdom is knowing that while those things may bring you pleasure, happiness is not derived from things or situations or people. #t=s understanding that happiness comes from within, and that it=s a temporary state of mind. #nsight is knowing that happiness is not the purpose of life, that it=s not the marker of the $uality of life%it=s merely one of the many fleeting states of mind in the spectrum of full emotions. lives7 they are merely e,periences. hose emotions don=t make up our

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DJ/IME/2013-2014 Fnowledge, wisdom and insight all are valuable and all have a place in our lives. he difficulty lies in the fact that many of us are unclear as to their differences, often percieving the terms and their application to be interchangeable. +eing clear and consciously aware of how our minds are engaged may be important to getting the most out of all three. 'hile ac$uiring and applying information is valuable in and of itself, we also need to distill and &udge that information, and ultimately find the deaper meaning and relevance to the whole of our lives. 5erhaps the truest form of knowing is in ac$uiring all three, and understanding how they each enhance the $uality and e,perience of life. eligious <uotes "#f a man sings of !od and hears of Iim, )nd lets love of !od sprout within him, )ll his sorrows shall vanish, )nd in his mind, !od will bestow abiding peace." --4ikhism ") 9uslim is one who surrenders to the will of )llah and is an establisher of peace .while #slam means establishment of peace, 9uslim means one who establishes peace through his actions and conduct/."--#slam " he Kord lives in the heart of every creature. Ie turns them round and round upon the wheel of 9aya. ake refuge utterly in Iim. +y his grace you will find supreme peace, and the state which is beyond all change." --Iinduism " he whole of the orah is for the purpose of promoting peace." --Eudaism ")ll things e,ist for world peace." --5erfect Kiberty Fyodan "+lessed are the peacemakers for they shall be called sons of !od." --<hristianity "5eace ... comes within the souls of men when they realize their relationship, their openness, with the universe and all its powers and when they realize that at the center of the universe dwells 'akan- anka, and that this center is really everywhere, it is within each of us."--3rom he 4acred 5ipe, by +lack Elk, Kakota 4iou, 9edicine 9an

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#orality is a Guide to $iving <hoosing to live is a pre-moral choice, after which, the $uestion becomes "Iow(" his is the same as "'hat do # do(" :ne can either go about it hat methodology is randomly or with a methodology designed for success. called morality. )n e,plicit morality allows one to choose rationally among values. #t makes the selection of values rational by providing a method to evaluate them. Nalues are compared to a moral standard, and prioritized according to how well they promote that standard. o make decisions easier, we develop virtues which are moral habits which tend to help gain values. Iistorically, the concept of morality has often been used negatively as a list of thou shall not's in check against ones actions. he stance taken is often that it doesn't matter what you do, as long as you don't violate any moral edicts7 but the source of these moral edicts is often mystical or arbitrary. ) list of prohibitions, even if founded in reason rather than mysticism, is not a sufficient outline for success. 9orality should be positive rather than negative. Jot 'hat shouldn't # do( +ut 'hat should # do(. few problem areas. he problem with defining morality negatively is that pretty much anything goes provided one avoids a his is not useful because within the sphere of pretty much anything goes, there is no methodical way to choose which action is best, whereas positive morality sets forth habits which lead to the achievement of values and methods for choosing what to value which is the way to live and thrive. 'ith ones own life as the standard of value, morality is not a burden to bear, but a prudent and effective guide which furthers life and success.

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