Ethics is a study of behaviours, actions and standards that people ought to follow to measure a better life. The justification of ethics is determined by the moral standards, notions of right and wrong or good and bad. Behaviour is an ethical manner to distinguish between right, wrong or fair instead of whats acceptable.( ) Business ethics observes the moral and ethical principles that occur in an organisation, which is intended to minimize of any underlying damage in order to prevent the employees from harm in the communities where they work. Hiring ethical is only a minor factor towards creating and sustaining an ethical workplace and there are many other factors such as ethical leadership where they make employees see them as ethical role models, good organisation culture where they can be influenced by their peers in a positive way and a strong code of ethics for all employees to uphold organisation values and do the right thing.
Paragraph1.-The organisation itself needs to be ethical also with a strong organisation culture.(formal and informational cultural systems)
What is organisation culture
Organisation culture is a set of standards, beliefs, principles and ways of behaving that give each organisation a unique characteristic.(Brown, 1995). There are many definitions regarding organization culture, but one of the common definition is “the way we do things around here”(Lundy& Cowlings, 1996). Organisation culture is established how each organisation operates, it should be known as the correct way which things should be approached and accomplished (Sun.S, 12-2008, pp.137-140)
Why should organisations be concerned about their ethical culture?
In order for a decision to be unethical it is dependent an individual’s choice, it has little relation to the organisation; however, the ability to check and respond ethically could also be connected additional to attributes of company culture than to attributes of individual workers.( Chen.A.Y.S, Sawyer.R.B & Williams,P,F,1997, pp.855-865)
How does a good organisation culture improve ethics.
An ethical culture increases trust and lowers risks. It could be said that adults make decisions dependent to themselves, but research has shown peoples act depending on the environment they are in and the standards set by their leaders and peers. Even though it means compromising their personal ethical ideas. In the workplace, leaders have the most powers and they strongly influence behaviours by regulating employment, outstanding(retained), fired or promoted. Colleagues communicate information to who they wish to obey, who they respect (Ethics Resource Center, 2009)
Ethical Leadership-who also makes ethical decision making process.
What is an ethical leader
To create and sustain an ethical organisation, leaders who wish for the organisation to promote ethical values can also influence others to act ethically. There are two type of ethical leaders, one who is structural component uses a strategic planning process for policies, decision making process, consulation, accountability and ethical standards, ongoing assessment and monitoring are used to leaders and followers are ethical (Williams.L.L, 2006, pp.30-37). Substantive components transform leader’s powers in a positive way by emphasising a good role model, they must have ethical leaders for employees to look up to, moral managers must be put in place to help communicate the continuing importance of ethics and deal with ethical issues. An ethical organisation must have ethical leader for people to look up to with a strong moral person and strong moral manager.
Why it is important to have an ethical leader
The code of ethics can be crucial to remind individuals in an organization to engage in ethical practices. All staffs in an organisation are assigned with different roles and status levels to