Question

Not all ethical behavior lies with the employees, or even the managers. The company as a whole must assert a socially responsible image to truly meet ethical guidelines. Managers should lead by example not only to employees, but also to customers and the company’s community.

How should managers foster ethical behavior though their own actions? What can a company as a whole do to build an ethical reputation? How can being ethical and socially responsible benefit a company as well as its stakeholders?

Answer 1

Answer

✓ it is true that not all the ethical behaviour lies with employees, or managers. The firm need to assert a socially responsible image to comply the ethical guidelines. Ethical environment in the workplace helps to manage the business operations and management effectively and also to keep the stakeholders satisfied.

Managers should lead with examples, not only to the employees but also to the customers and community. The managers can foster ethical behaviour through their actions by appreciating the efforts, of the employees, considering their complaints and providing them with easy reporting. They can promote ethical environment by supporting the employees to handle difficult tasks and eliminate all sort of discrimination, harassment issues, and make the employees comply the policies guidelines strictly. They need to ensure quality and respect the customers, as well as provide them with what they need, without harming their health.

A company needs to build an ethical reputation by applying ethics in true sense in all its dealing, management, and business operations. It needs to promote social responsibilities, and take initiative to protect the environment, community and stakeholders Interest.

Being ethical and socially responsible, can be beneficial to the company as well as it's stakeholders. The external and Internal (employess) customers will be happy to stay with the company which is socially responsible and values people. Investors will be secured that there money is used for ethical purpose, hence more investment is made and new investors are attracted. Company doing business with ethical standards and practices will not have unnecessary government interference, tax and legal issues.