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UNIT 2

Ethics
Concept
• Ethics are behavioural norms or patterns that
spring from one’s view of good or bad, right or
wrong. It is an activity based concept.
Concept
• Ethics and morals relate to “right” and
“wrong” conduct. While they are sometimes
used interchangeably, they are different:
Ethics refer to rules provided by an external
source, e.g., codes of conduct in workplaces or
principles in religions. Morals refer to an
individual's own principles regarding right and
wrong.
Morality governs private, personal interactions.
Ethics governs professional interactions.
Decided
by Leads to
Taken
together
Character of Conduct of a Series of Good or bad,
a Man person Actions Right or wrong,
Moral or immoral
Considered
as

Known
By which we can as moral
judge Requires judgeme
Moral Standards
nt
Concept
• Personal Ethics
• Business Ethics
• Managerial Ethics
• Work Ethics
Five P’s of Ethical Power
Purpose

• Reflects in corporate mission flows from faith in professional management to


transform society.

Perspectives

• Establish ethical credibility, enhancing quality of life individually, professional


attainment, mission in line with national goals, respects for laws and excellence
through moral and performance touchstone.

Patience

• Wait for the right time.


• Long term existence and survival has to be the governing philosophy.

Persistence

• Uncertainty, pressure and failures come in the way of ethic approach but one
need to persist and struggle.

Pride

• Self-esteem on individual and collective basis is the basic tenet of ethical power.
Organisation Tools to Cultivate Ethics
• Suri and Joshi identified following practices to
cultivate work ethics:
▫ A well developed information system
▫ A wide spectrum of off-job welfare and cultural
activities
▫ Fair incentive payment system
▫ Carefully designed three tier grievance procedure
for quick redress of grievances
▫ Adopting problem solving approach
▫ Adopting MECOM : management employee
communication meetings
Organisation Tools to Cultivate Ethics
▫ A rational wages system with assured seniority
wages for all
▫ Absorbing wards of old employees
▫ Developing union-management forum
▫ Enriched role for front line supervisors
▫ Easy access to top management
▫ Frequent dialogue and
communication/interaction among employee at
all levels
▫ Instituting consultative mechanism and open
organisational culture
Organisation Tools to Cultivate Ethics
▫ Open style of management
▫ Applying quality circles
▫ Open door policy
▫ Uniform application of personnel rules and
procedures- including recruitment, training,
discipline, etc.
▫ Provision of welfare and civic amenities
▫ Make people more committed and loyal
▫ Workers involvement in decision making
Theories of Ethics

Teleological
Ethical
Theories
Deontological
Teleological
Deontological
Benefits of Managing Ethics in the
Organisation
• Attention to business ethics has substantially
improved society
• Ethics programmes help Maintain a moral
course in Turbulent times
• Ethics programmes cultivate strong teamwork
and Productivity
• Ethics programmes support employee growth
and meaning
• Ethics programmes are an Insurance Policy;
ensure policies are legal
• Ethics programmes Help avoid criminal acts of
Omission and can lower fines
• Ethics programmes Help manage values
associated with Quality Management, Strategic
Planning and Diversity Management
• Ethics programmes promote a strong public
image
• Overall Benefits of Ethics programmes
• Last and Most Formal Attention to ethics in the
workplace is the right thing to do.
Ethical Leadership