Ethical Issues in Business Essay

The issue of h 1st fashion is one of the perish ch anyenges facing organizations today. A redeeming(prenominal) commentary of ethics includes the thought of doing what is morally acceptable or what is good and unspoiled as opposed to doing what is bad or injure (Sims, 1992). besides wherefore ar these issues a concern for organizations? What back end they do to promote good manner from their employees? Organizations should be concerned with ethical behavior for m either reasons. level off though ethical decisions are not always black and w trip upe, ethical behavior is important to the organization because ethical behavior enhances the corporate genius, helps pass talented employees, and enhances the corporate image. First, there is evidence that profitability is enhanced by a reputation for honesty and corporate citizenship (Kinicki, Kreitner, 2009). After all, the number one reason for business is to make a profit, thus returning respect to its share holders. Consu mers are more likely to buy goods or function from a reputable family then one with a reputation for unethical behavior.The Ford Company in the 1970s was a good example of lost sales due to an unethical decision. When the Ford Pinto was hit in the rear, the gas tank would often explode. Ford was slow to fuck the problem. By the time Ford admitted that they had a flawed design, many consumers had halt buying Fords. Another reason organizations should be concerned with ethical behavior is its ability to attract talented employees. In a recent succeed eighty three percent of those polled rated a companys demonstrate as very important when deciding to accept a line offer (Kinicki, Kreitner, 2009).Hiring and keeping innovative, creative and talented employees is essential for businesses as they organize out to compete in this global economy. Without talented people, organizations lead be at a disadvantage when it comes to competing for future business. Being good corporate citi zens is another(prenominal) reason that organizations should be concerned with ethical behavior. Businesses induct many stakeholders that depose on them. These include shareholders, authoritative and former employees, customers, suppliers and communities where facilities are located (Kinicki, Kreitner, 2009).Businesses are more than just profit centers today. When making decisions, businesses must consider the social, political, and environmental effects as well as the profitability aspect. The challenge to be a good corporate citizen has put the emphasis on world an ethical company, with every decision made. Ethics is an important organizational issue, just ethics starts with the individual. We make decisions based on a combination of our record characteristics, values and moral principles (Kinicki, Kreitner, 2009). Each of us curbs what is right or reproach as we grow up.Our moral compass is set by what we learn from parents, teachers, grandparents, siblings and society. We take our observations and experiences and use them to form our opinion as to what right and wrong means. We then use our moral compass to make decisions as we fix employees and managers of business. Organizations should do everything necessary to address ethical issues up front. If they are unrewarded in eliminating issues before they happen, organizations should be forthright in communicating any possible wrongdoing. Consider an example shared recently in the fence Street Journal.Defense contractor DynCorp International Inc. recently admitted that it may have violated Foreign Corrupt Practices when it tried to speed up the issuances of visas and licensing colligate to work for the U. S. government overseas (Cole, 2009, p. B. 4). This possible violation, if legitimate, was committed by sub-contractors works for DynCorp. By proactively disclosing possible wrongful behavior, DynCorp is sending a message that it impart not tolerate unethical behavior by its employees or sub-contr actors. But organizations sack do more than address possible issues after they occur.They nominate impact ethical behavior in a positive mood through various means. By utilizing different measures organizational goal can be affected in a positive way. Ethical behavior starts at the top (Sims, 1992). The ethical tone of an organization is set with its top managers. How top management acts when faced with an ethical dilemma, strongly effects how the peacefulness of the organization will react when they face questionable issues. By locomote the walk and talking the talk, organizational leaders can show their subordinates what they stay in the area of ethics.Actions and words by top executives will set the tone for the entire organization. Another way an organization can positively affect ethical behavior is through a corporate scratch of ethics. This code of ethics should be shared with all employees throughout the organization. The company that I work for emails the code of et hics to all employees annually. A noble ranking executive will send the code out for all to read. Each employee then is required to electronically sign indicating that he or she understands the code. This annual process sends the message that unethical behavior will not be tolerated.Organizations have much to do to be a productive, fat entity in todays global economy. Building an organizational culture that supports ethical decision making through active leadership, positive alliance actions, and employee involvement will go a long way toward concourse business goals. With a strong culture in place, organizations will be seen in a positive light by their customers, future and current employees, and by the communities where they do business. Being a good corporate citizenship will lead to a well liked, responsible, financially supported organization that can be competitive in the twenty first century.