Ethical practise


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Ethical practise

  2. 2. ETHICAL PRATICES IN BUSINESS GROUP NO.3. DECLARATIONDECLARATION We, GROUP NO.3 student of MBA {full time} LN COLLEGE OF MANAGEMENT & TECHNOLOGY (Semester IST) hereby declare that we have completed this project on “ETHICAL PRATICES IN BUSINESS” in the academic year 2007-2008. The information submitted is true and original to the best of our knowledge. STUDENT OF LN COLLEGE MBA (FULL TIME) GROUP NO.3. CERTIFICATECERTIFICATE I, PROF MAHESH KAMBLE hereby certify that student of GROUP NO.3 MBA {Full Time} LN COLLEGE OF MANAGEMENT & TECHNOLOGY (Semester IST) has completed project in the academic year 2007-2008.The information submitted is true and original to the best of my knowledge. SIGNATURE OF PROJECT GUIDE MBA (FULL TIME) SEMESTER I 2
  3. 3. ETHICAL PRATICES IN BUSINESS GROUP NO.3. ACKNOWLEDGEMENT It gives us pleasure to present this project on “Ethical Practices in Business” to the student of MBA (full time). The subject matter is made more compact and logical. We are gratefully acknowledged the valuable efforts, suggestion and clarifications provided by many by making this project practical. It would be rather unfair on our part for not thanking our college LN College Management & Technology for having shown their continuous faith in us. We take this opportunity to express our sincere appreciation and gratitude to our college administrative staff that helped us. We express our grateful thanks to every one who have contributed even in a small way towards successful completion of this project. Last but not least, we would like to thank our parents for providing us with such good education and our group in the completion of this project. MBA (FULL TIME) SEMESTER I 3
  5. 5. ETHICAL PRATICES IN BUSINESS GROUP NO.3. GROUP MEMBERS MBA (FULL TIME) SEMESTER I 5 Sr. No. Roll No. Name Signature 1 F021 Ulhas More 2. F022 Manoj Nangalia 3. F023 Pavitra Palan 4. F024 Hemant Palav 5. F025 Kinjal Panchal 6. F026 Ekta Pandey 7. F027 Amit Panwar 8. F029 Pratiksha Parab 9. F030 Vidhi Pareek 10. - Dipti Nachane
  7. 7. ETHICAL PRATICES IN BUSINESS GROUP NO.3. SUMMARY The name of the book is “THE POWER OF ETHICAL MANAGEMENT.” Written by Kenneth Blanchard and Norman Peale. The main motive which encouraged the author to write the book was in 1988, the ethics in business was the most urgent problem faced by America. The book written by the authors proved, you don’t have to cheat to win, it shows today’s managers, ‘how to bring integrity back to the work place?’ It gives hard-hitting practical, ethical strategies that build profits, productivity and long term success. In this book there is a sales manager facing the problem of appointing a sales representative. For these, he discusses with the people having different opinions who offers him different advices which has confused him and sent him under the pressure. He was in complete dilemma that how to overcome these problem? One of the advices he comes across is to appoint that person. But the other opinion was, it will be an unethical practice i.e. if you appoint this person he may cheat you in future. The reason for not appointing that person was that he had already cheated the X Company by getting all the confidential information, in the company where he was an employee. Now getting all these suggestions he was under dilemma because he was an ethical person. After that he met an advisor who was a positive thinker. The advisor asked him,” How do you behave ethically when there are so many pressures to not to do so”. MBA (FULL TIME) SEMESTER I 7
  8. 8. ETHICAL PRATICES IN BUSINESS GROUP NO.3. Now he suggested the manager to learn the five core principles of ethical decision making, which the advisor calls as “THE FIVE P’s OF ETHICAL POWER”. The five core principles of ethical behavior are also the principles that are genuine, lasting for fulfillment in life. Highly successful, satisfied individuals practice these FIVE P’s with great consistency”. On these he raised a question that, ‘What are they? He replied that, the FIVE P’s of ethical power are 1) PURPOSE 2) PRIDE 3) PATIENCE 4) PERSISTENCE 5) PERSPECTIVE The 1st principle of ethical power is; PURPOSE: It means your objective orientation is something towards which you are always striving. The simple e.g. to know your purpose is to use mirror test Can you tell me what mirror test is? The Sales manager asked. The mirror test is a test where you stand in front of a mirror and stare in the eyes of the person, when you are right you can look yourself straight in the eye. But when you disregard your purpose and do something that you know is wrong, you won’t feel good about yourself. No matter how much rationalize your action, you will feel uncomfortable. “So a clear purpose is a foundation of upon which sound ethical behavior is built”. Now the 2nd principle is PRIDE: It is the sense of satisfaction that you get from your accomplishments, you should feel good about yourself. To hold your purpose you must believe in yourself and have your faith in your abilities. For an instance, to have pride we should believe in ourselves by being friend of yourself and avoid the people who always think negative and put you down. Now the 3rd is PATIENCE Once you have a clear purpose and pride than the 3rd principle ‘PATIENCE’ is directly achieved. It means patience is everything that should not happen right now, it will take some time to achieve purpose. For e.g., if we want to MBA (FULL TIME) SEMESTER I 8
  9. 9. ETHICAL PRATICES IN BUSINESS GROUP NO.3. plant a tree, in these case we should have patience because if we dig out the plant every day to check out the growth of the plant, it will not grow. For the growth of the tree, it will take sometime to grow so we should have patience to wait for the result. Patience is necessary but without the next principle i.e. PERSISTENCE it’s not sufficient to keep on track. In term of ethical behavior persistence means to stick to your purpose, keeping your commitments and making your action consistent with your guiding principles. For e.g. WINSTON CHURCHILL, good speakers said, ‘NEVER, NEVER, NEVER, NEVER GIVE UP’. This was the attitude that inspired England to fight in World War 2nd , to continue to fight when others have surrendered. Now after getting the above 4 principles clear the last most important principle is PERSPECTIVE: It means to listen to your inner self, see things more clearly and to decide what is really important in a given situation. That’s why the advisor says that the five principles are as wheels with perspective as the hub around which the other P’s rotate. At last the manager cleared with his 5 P’s of ethical power which helped him to take a right decision. The decision was not to select the candidate because he was thinking of future achievements and not short term goals. From this book, we come to know that by adopting the ethical principles the image of the organization develops amongst the society as well as it would expand their business along with consumer satisfaction. It avoids consumer exploitation. But in India one doesn’t practice ethical principles. But from long-term perspectives, company will do better by following ethical principles. MBA (FULL TIME) SEMESTER I 9
  10. 10. ETHICAL PRATICES IN BUSINESS GROUP NO.3. INTERPRETATION “The real meaning of the word ethics goes far beyond that. The oxford dictionary defines it as the science of morals in human conduct, a moral principle or code.” So the word ethics encompasses the entire spectrum of human conduct. Business ethics encompass how a person in business deals with employees, associates of all kinds. No business can really go to state of sickness if done honestly. There is always a margin available with which the business can sustain. The senior management of the company is often seen using company’s money for their own purpose. The MBA (FULL TIME) SEMESTER I 10
  11. 11. ETHICAL PRATICES IN BUSINESS GROUP NO.3. companies doing very well at one time are seen to be in red. Often the main reason is seen the purposeful misuse of the funds. Also it is seen that when the stock market booms, many scrupulous business persons make public issue of the equity and float a new company. These people take money from innocent public and bank. After 2 to 3 years these companies are out of scene. In the boom of 1992-93 many innocent people lost their funds. The term ethics refers to a code of conduct that guides an individual while dealing with other. It relates to the social rules and cardinal values that motivate people to be honest in dealing with other. Such ethical rules are determined largely by customs, traditions and fairness are universal and stable over centuries. Ethics directs human behaviour and also differentiates between good and bad, right and wrong and between fair and unfair human behaviour and actions. It creates decency and discipline in the behaviour of individuals and also in the society. The term ethics “is derived from the greek word ethos which refers to character. According to Webster dictionary, ethical means conforming to professional standard of conduct. Ethical action means an action, which is socially and morally good. Such actions are fair and not harmful to others. According to hurtly, ethics can be defined as system of moral values. It is concerned with that branch of philosophy, which deals with values relating to human conduct. Business ethics relates to the application of ethical or moral values to business activities. It deals with morality in business. Business activities need to be conducted as per well-recognized standards. Business ethics suggests a code of conducts, which businessmen should follow while dealing with fellow businessmen and others including customers, employees and local community. It suggests that businessmen should be fair to all social groups and give them satisfaction and welfare. It tells what is good and what is bad in business. Businessmen should support fair business practices and avoid the practices, which are socially undesirable. Every professional activity has its own ethical standards. Similarly, business has its ethical standards. Businessmen should follow them standards so that business will expand, get public support and will be useful to consumers and other social groups. Business ethics suggests certain rules (code of conduct) which are fair to all and should be followed by businessmen. MBA (FULL TIME) SEMESTER I 11
  12. 12. ETHICAL PRATICES IN BUSINESS GROUP NO.3. Definitions: (1)According to wheeler, “business ethics is an art or science of maintaining harmonious relationship with society, its various groups and institutions as well as reorganising the moral responsibility for the rightness or wrongness a/business conduct.” (2)Dr. C. B. Mamoria and dr. Satish Mamoria, defines business ethics as ‘ businessman’s integrity so far as his conduct or behavior is concerned in oilfields of business as well as towards the society and other business” Ethical practices: Business practices may be ethical or unethical. Ethical practices are different from unethical. Ethical means as per certain well recognised social rules and cardinal values. Business practices which are legally, morally and social fair and consumer friendly are ethical practices. Such practices are beneficial to all social groups. Ethical practices are not harmful to business as well as to different social group for example,to supply goods regularly, to charge fair prices, to pay fair wages to workers, to give them decent treatment and welfare facilities and to give fair return to shareholders (investors)are fair/ethical business practices. Such practices promote social welfare and create goodwill for the business. They also facilitate the expansion of business activities. Consumers always support ethical business pratices. MBA (FULL TIME) SEMESTER I 12
  13. 13. ETHICAL PRATICES IN BUSINESS GROUP NO.3. Business practices which are not fair (legally, socially and morally) are treated as unfair/unethical business practices. Unethical practices are used for exploiting cheating consumers and other social groups. They are used for profit maximization at the cost of social good. Unethical practices bring bad name and public criticism to business. Such practices are harmful to the growth of business. They also lead to social control on business. Consumers are against unethical practices as such practices are harmful and dangerous to consumers. Unethical practices Unethical practices relate to consumers, employees, shareholders, government and the society at large. The purpose is to exploit the specific social group for profiteering. For example, artificial scarcity, price rise,adulteration,misleading advertising are unethical practices in the case of consumers while low wages, bad working conditions and absence of welfare facilities are unethical practices in regard to employees. Usual unethical business practices used in India are as noted below:  Supplying inferior quality good to consumers.  Charging high prices by creating artificial scarcity for profit maximization.  Giving false, confusing and misleading advertisements of the products/services.  Adulteration and short weights and measures.  Misbranding, hoarding and black-marketing.  Supplying inadequate information on the packages.  Use of unfair sales promotion techniques.  Providing inefficient services to bank depositors/customers.  Paying low wages, providing inferior quality welfare facilities and indecent treatment to employees.  Disregard to labour laws and other right of employees including right to form trade union and right to make strike.  Lack of safety measures to workers and not gives them the benefits of permanent services.  Exploitation of child labour and women workers.  Paying low rate of dividend to shareholders.  Misuse of funds and mismanagement of the company with which the shareholders are closely linked.  Avoiding payment of taxes as pr existing laws.  Over invoicing. MBA (FULL TIME) SEMESTER I 13
  14. 14. ETHICAL PRATICES IN BUSINESS GROUP NO.3.  Formation of business combination for avoiding competition and creating monopolies.  Disregard to business laws, government policies and misuse of facilities and incentives offered by the government.  Giving bribes, gifts, donations, payment of kickback money to politicians and government officers for certain benefits.  Creating inconveniences to local people due to growing industrial activities without due care to local community.  Inadequate measures in regard to pollution control and violation of legal provision relating to pollution control. IMPORTANCE OF BUSINESS ETHICS AND VALUES The need for business ethics is more felt in recent years than ever before. The following points outline the importance of business ethics: (1) Survival of business: business needs to follow ethical values for its own good and survival. A firm cans short-term and quick gains by resorting to unethical means and disregarding social welfare. However, such firms grow fast and are out of business faster. On the other hand, organisation doing business ethically have continued to survive and prosper for a long time. MBA (FULL TIME) SEMESTER I 14
  15. 15. ETHICAL PRATICES IN BUSINESS GROUP NO.3. (2) Protection of consumer rights: the application of business ethics will help to confer and implement consumer right. This will enhance the strength of individual consumer against the powerful business community. Business ethics can be used to check malpractices like adulteration, unfair trade practices and to make the working of business consumer oriented. (3) Consideration of society’s interest: those firms, which follow business ethics in the society, would make every possible effort to produce well and services not only in the interest of the consumers, but also in the interest of the society. These firms would look in to not only the customers’ well being, but also welfare of the society. Therefore, they would make every possible effort to produce eco-friendly products. (4) Interest of small-scale industry: business ethics is necessary to safeguard the interest of small-scale business firms. The tendency of big business units is always to dominate the market and drive away the small and medium scale units from the market. Small-scale units can establish their position and firth for their rights if the industry follows a code of ethics. (5) Better relations with members of the society: business ethics is needed to develop good relationship between business and society. The relationship of business with society has various dimensions such as its relations shareholder, employees, consumers, distributors, competitors and government. Ethics is needed to maintain good relation among the firms on one side and between the firm and social groups on other. Business ethics will help to promote and protect the interest of various groups, associated with business activities. (6) Mutual benefit: business ethics benefits the business firm as well as the society the business firm that adopts business ethics get good name in the society. It may be able to increase confidence in the minds of the buyers who in turn would help to improve the sales of the firm. The society can also gain due to ethical practices on the part of the business. For instance, the consumers can benefit by way of quality goods at right prices, the employees can get fair treatment, and so on. (7) Other benefits: * Business ethics will help the firm to expand and grow. * It can motivate the employees to perform better. MBA (FULL TIME) SEMESTER I 15
  16. 16. ETHICAL PRATICES IN BUSINESS GROUP NO.3. * It can develop customer loyalty. * It can help to obtain funds easily from the investors. INDIAN CONTEXT: The following points indicate the position of business ethics in India: (I) limited attention to business ethics: in India, the principles of business ethics were incorporated in our ancient culture. however, at present, the business community does not give them much importance and attention in general. (ii) Unethical practices are used extensively: in India, the business community in general has failed to understand the importance of customers. Businessmen use various unethical practices for exploiting/cheating consumers, employees, shareholder and others connected with the business directly or indirectly. MBA (FULL TIME) SEMESTER I 16
  17. 17. ETHICAL PRATICES IN BUSINESS GROUP NO.3. (iii) Businessmen are severely criticized due to their unethical practices: businessmen gives too much importance to profit-making and desire to maximize profit even at the cost of consumer in India, businessmen has to face severe public criticism on government controls due to their unethical practices. Businessmen have been accused of scandals, bribery, tax evasion, illegal payments to politicians and environmental pollution. (iv) Businessmen have limited respect in the society: it is up to the businessmen to improve their social image by honouring business ethics. This situation also suggests the urgent need for the introduction of ethical standards in India business. (v) Businessmen take undue interest in socially undesirable activities: Indian businessmen are sometimes engaged in morally and socially undesirable activities. We have mass scale corruption in the country. Businessmen are partly responsible for using corrupt practices. Tax evasion, bribing government servants, links with antisocial element and donations to political parties/election funds are some more undesirable activities in which businessmen are involved. (vi) Socially conscious and progressive businessmen support ethical business: many of our businessmen are lured by fast-buck culture, i.e., to earn as much money and as fast as possible. However, there are some cultured businessmen who respect and follow business ethics with honesty. Tatas, Godrej, L$T are some companies which give protection to consumers, liberal wages and other facilities to employees, attractive dividend to shareholders, positive contribution to pollution control, ecological balance and community service activities. MBA (FULL TIME) SEMESTER I 17
  18. 18. ETHICAL PRATICES IN BUSINESS GROUP NO.3. (vii) Indian business must be made ethical: Indian business need to be made ethical. Legislation will not be useful for achieving this objective. Ethics cannot be enforced by law or by compulsion. The desire to follow business ethics must come from within. Businessmen in general should accept the basic principle of “good ethics is good business”. LN COLLEGE OF MANAGEMENT & TECHNOLOGY Questionnaire for “ETHICAL PRATICES IN BUSINESS” Name: Designation: - Contact No.:- 1. Can you tell us something about your business? MBA (FULL TIME) SEMESTER I 18
  19. 19. ETHICAL PRATICES IN BUSINESS GROUP NO.3. 2. How do you deal with your business? 3. Do you think is it possible to be an ethical person in this competitive world? 4. Can you suggest us any of your peers or a person who is following ethical pratices? 5. Can you give us some suggestion that we are after 2 years going to enter a business world to pratices ethical management? Project Guide Submitted By PROF. MAHESH KAMBLE GROUP NO.3. (HEAD OF DEPARTMENT) DABBAWALAS SOPAN MARE. CHAIRMAN (NMBIAT)  Our business area is cover from Kalyan to CST and Virar to church gate. Our timing of delivery of Tiffin is 8:45 to 12:45. There are 1, 50,000 delivery per day.  Actually we give whole knowledge in the training therefore it is quite easy to tackle problem. There is 3 months training period for recruits. In which MBA (FULL TIME) SEMESTER I 19
  20. 20. ETHICAL PRATICES IN BUSINESS GROUP NO.3. they gives whole knowledge of local-trains. The liquor should be restricted. The workers have to follow proper protocol during the working time  Yes, because in our business there are one equation that is same work same pay One Tiffin can hand over by each 5 people. One man delivers 30 to 35 Tiffin per day.  Only Marathi workers can recruits (specific 5 district of MAHARASHTRA)  If top management have ethics then its reflects to subordinate and also in the business. CONCLUSION At last I conclude that the business of dabbawala is very hard working but they do not make any mal-practice in business and don’t create stoppage in providing services to the people. Visited by Ms. EKTA PANDEY. & Mr. HEMANT PALAV. MAHARASHTRA STATE ELECTRICITY DISTRIBUTION COMPANY LTD. (MSEDCL) Mr. B. R. Dhawale. GM (ESTT)  I am now working as GM (ESTABLISHMENT). I am looking after the work of establishment of non-technical employees. The activities involved are transfer, promotions, claims, performance, appraisal etc. MBA (FULL TIME) SEMESTER I 20
  21. 21. ETHICAL PRATICES IN BUSINESS GROUP NO.3.  In the change scenario we are finding difficult to cope with the working of company culture  The thing is that we are having commercial attitude that’s why we have to think of the profit.  There are some subordinate which have do ethical practice because I am the head.  In every corner of field we are taking experience that is LPG (liberalization, privatization and globalization) has taken place and so many challenges are before them you should study the change going on. CONCLUSION Our overall view by visiting the organization is that first we had struggled a lot to reach the person but after listening to his views we found that the question asked by us to the Person was not up to the mark because he was really a professional viewer and he gave Us the straight forward answer in a calm manner. It was not difficult to interview a person like Mr. Dhawale because he was co-operative and he also gave the answer which we were not expecting from a general manager in a public sector. At last we conclude that having an interview with Mr. Dhawale has given us a back-up and the knowledge that a person can follow ethical practice at a individual level but Now a days there is so much competition so it is really difficult to have ethical practice in the business but we can try it sometimes because it will be wrong that we totally ignore the fact of ethical management. Visited by Mr. HEMANT PALAV & Ms. EKTA PANDEY. MAHARASHTRA STATE POWER GENERATION COMPANY LTD. Mr. KHAN GM (HR)  I am basically dealing with all the activities from the transfer to retirement stage that is performance appraisal, promotion, recruitment etc.  I don’t feel that there is any difficult in because it is my day to day experience helps me in that.  Yes, it is possible because I hadn’t faced any situation up still now. MBA (FULL TIME) SEMESTER I 21
  22. 22. ETHICAL PRATICES IN BUSINESS GROUP NO.3.  Yes my subordinates are there my steno is there. The basic thing here is that the head should practice the honest thing  You should accomplish your job with honestly let the other person do it any way you should not follow their food steps. CONCLUSION As a conclusion we can add that Mr. Khan hadn’t satisfied us with the answer because never the way we were finding an ethical person but not like this because there was answers which were not given by confidence and that made us confused about the things at last the thing here was you should follow ethical practice. Visited by Mr. HEMANT PALAV. & Ms. EKTA PANDEY. MAHARASHTRA STATE ELECTRICITY TRANSIMISSION COMPANY LTD. (MSETCL) Mr. NEKLIKAR. EE (EXECUTIVE ENGINEER)  We are dealing with transmission planning projects that is various working which are on going projects. That’s why the workers needs material to be procured in the market they plan that further others plans for proper electricity distribution is going on. MBA (FULL TIME) SEMESTER I 22
  23. 23. ETHICAL PRATICES IN BUSINESS GROUP NO.3.  No not at all. Instead of having number of problem we solve it.  The one thing I just want to say it is the first character of the person who is the working that is it.  Yes, many are there one is Mr. Bhosikar my colleague and there are many ethical person in my staff.  I want to tell that the person who are working do not believe that they are loyal but at the same time do not let them feel that they are not loyal because if a person is doing any unethical practice there is some reason behind it try to rectify that reason not the person because it can harm your relations sometime. CONCLUSION The answer given by Mr. NEKLIKAR was very satisfying and we felt that having interview with this person has gone up to the mark for the first time. Because being responsible employees he was performing the duty to give us the answer according to the company image and being and individual he has suggested the reference to be used in future. At last we can conclude that Mr. NEKLIKAR had really helped us by giving such a combination of answers and from this we can easily recognize that ethical management can be followed now also at a individual level and then it can be spread through the organization. Visited by Ms. EKTA PANDEY & Mr. HEMANT PALAV WESTERN REGIONAL POWER COMMITTEE Mr. PRAMOD .D.LONE ASSISTANT DIRECTOR  I am basically dealing with all the activities from the transfer to retirement stage that is performance appraisal, promotion, recruitment etc.  I don’t feel that there is any difficult in because it is my day to day experience helps me in that. MBA (FULL TIME) SEMESTER I 23
  24. 24. ETHICAL PRATICES IN BUSINESS GROUP NO.3.  Ethics is basically logical application of human behaviour without adversely affecting the other concerned certainly there are many hurdles in following the best ethical practices and progressive market.  Yes there are some people in our staff.  Ethical practices will definitely inculcate the self discipline. This self discipline is advantageous in the competitive market. It has many disadvantages in terms of success in the competitive market Visited by Mr. Ulhas More SHREE SADGURU DEVELOPERS Mr. PRASHANT BANDEKER PROPREITOR • Shree sadguru developers are in a construction business. They develop residential premises. This construction business is formed by four partners. o Prashant bandekar. o Shridhar palan. MBA (FULL TIME) SEMESTER I 24
  25. 25. ETHICAL PRATICES IN BUSINESS GROUP NO.3. o Dinesh Kumar. o Amardeep Singh Bindra. • Shree sadguru developers believe in dealing with business honestly. They believe in ethics and they follow too. They strictly abide by the commitments they make to all their customers. Because they think that, if customer is satisfied then that will be beneficial for their future in this competitive construction world. • Yes, basically they believe in ethics. So they think it is difficult sometimes but they always try to follow ethics in their business as well as in the personal life. Because, they feel that if, you behave unethically you will not get peace of mind and always tension will be there. So better to follow ethics to get long run success in your life. • Yes, ACCORD LAND DEVELOPERS PVT.LTD. believes in ethics • Because, they believe in ethical behaviors so they advised us to be ethical person in future, to get peace of mind, to get satisfaction and to get long run success. Because no doubt we can get success very quickly by behaving unethically but it won’t be stable. CONCLUSION We found that, they are very honest and sincere in their business. They believe in ethics, they find it sometimes difficult to behave ethically in today’s world but after behaving unethically there won’t be peace of mind and satisfaction. We had conversant with their workers also and they are satisfied. Visited by Ms. PRATIKSHA PARAB. ACCORD LAND DEVELOPERS PVT. LTD. MR. AMARDEEP SINGH DIRECTOR • They are in construction business. They have constructed several residential premises. And several other projects are in progress. Mr. Amardeep Singh is the director for the company. It is MBA (FULL TIME) SEMESTER I 25
  26. 26. ETHICAL PRATICES IN BUSINESS GROUP NO.3. ISO certified company. They are in this business from very long time. Mr. Amardeep Singh is very confident person and successful also. • Accord land developers are from very long time in this business. And they have high goodwill and reputation in the market. So, they always try to maintain their goodwill and name That why they believe that customer satisfaction is important as well as Profit. Because, if customer are satisfied & if you fulfill all Commitments which you make the them then it will be helpful for their Business. • Sometimes it is difficult to behave ethically specially in the construction line. So, it depends on the situation & on person. If that person is being unethical then we have to be so. There must be balance. But always try to be an ethical person to be successful. And that success which we get after being ethical & have worked that Means a lot. Mr. Amardeep describes him as 80% ethical person and 20% unethical. • Mr. Prashant bandekar. • He believes that always try and identify the situation & according to the situation you behave. And most important take right & perfect decisions which will be beneficial for your business. CONCLUSION After conversation with Mr. Amardeep Singh we come to a view that there should be balance, we should be an ethical person but our behaviors must be depending upon the situation. Visited by Ms. PRATIKSHA PARAB. BINDRA ENTERPRISE Ms. JOGINDER BINDRA DIRECTOR • Ms. Joginder Bindra runs this business. Her companies name is Bindra enterprises. Ms. Joginder is the director of this company. Even she runs the Mahanagar gas pvt. Ltd. From last 10 years she is in this business as an MBA (FULL TIME) SEMESTER I 26
  27. 27. ETHICAL PRATICES IN BUSINESS GROUP NO.3. agent. This woman believes that according to surrounding we have to run the business. But giving bribe is totally not satisfactory to me. • I am dealing as an agent in Mahanagar gas pvt. Ltd. This company is totally an ethical believer. They never sale their gas at black rate. Nor they have duplicate copy of anyone. Because of following ethical line we have started pipeline gas system. Ethical may give success slowly but that success will be of excitement and their will be no fear of anything. • Yes, I think us can if we want a nice sleep at night & happy surrounding around us then we should be ethical. What will happen the successful will take time. Let it take. Think about the happiness & satisfaction that we will get. • She said that,” I don’t know about others, I only believe in my own company • Being ethical or not is depending upon you all because it is your inner heart which tells you to be ethical or not. But be ethical not only in your business but also in your life to your parents, & also to your children. Visited by Ms. PRATIKSHA PARAB. & Ms. PAVITRA PALAN CITY NETWORK Mr. VIKAS ADATA. PROPRIETOR • International Courier Business. MBA (FULL TIME) SEMESTER I 27
  28. 28. ETHICAL PRATICES IN BUSINESS GROUP NO.3. • We follow all the rules and regulations for any business, your suppose to register first. Regular tax payments, regular salary to the employees. • Competition is everywhere but u should provide your best quality service. Ethical practice is necessary, for clarity in the business, for consumer satisfaction. Have loyalty in your work, trust your work. • Tatas to some extent are ethical. Some sme’s i.e., small medium enterprises and small scale industries are doing ethical business. • One should go for ethical practice as much as possible, unless and until u r not on the looser side, u should follow all ethics. But yeah, if sometimes, ethics comes in the way for sake of a good purpose, u can overlook it. CONCLUSION • After visiting this company, we have learnt that ethics are very much essential in management of any organisation. • From grassroots level itself, one should stress on ethical management as it gives rise to systematic work • By following ethics, reputation of the company rises. • Do your business honestly and you will get your outputs • For that matter, no need to cheat any body • Overlook the competition, just give your best. VISITED BY Ms. DIPTI NACHANE, Mr. AMIT PANWAR, & Mr. MANOJ NANGALIA SANJEEVANI PHARMACEUTICALS Mr. DILIP BAPAT PROPRIETOR MBA (FULL TIME) SEMESTER I 28
  29. 29. ETHICAL PRATICES IN BUSINESS GROUP NO.3. • Ayurvedic medicines, mostly in the form of tablets and powder. 13-14 products, all are patent medicines. E.g. Acidate for acidity Kaphari for arthritis (i.e. joint paints) Prolix as laxative A D pills for diabetes. • Appointed M.R.S (medical representation) to visit doctors and general medical practitioners. Have fix distributors to supply goods at various places. Marketing area is mainly Mumbai & some parts of Pune, Konkan, Ratnagiri, Sindhudurg, Raigad, Akola (Vidarbha).there are 20 employees in the factory. • We are through not 100% ethical, but slowly and steadily approaching towards good manufacturing pratices. We are trying to fulfill the requirements of FDA (food & drugs association). Our product testing is done by outsourcing. We don’t use any cheap quality raw materials; many times it is done by also well known allopathic doctors. Our raw materials distributors are fixed. 60 years of goodwill behind our business. • Cipla is to an extend ethical. They have separate raw materials room, own quality control laboratories, own well equipped quality assurance lab. • Dhoot Rameshwar at panvel which is in my opinion conducting an ethical business and earning good profit because quality of their products is very good. • Yes, it is very essential for the goodwill of organisation, for peace of mind. • Ethical works give a sense of satisfaction which is very much essential in business. CONCLUSION After visiting this company we understood that if u does your business honestly, naturally you get renowned for your good services and your business increases. Ethical pratices is necessary for sense of satisfaction. ARENA MULTIMEDIA AND PROMOTIONS Mr. SHABBIR SHAIKH PROPRIETOR MBA (FULL TIME) SEMESTER I 29
  30. 30. ETHICAL PRATICES IN BUSINESS GROUP NO.3. Event Management Company o We are since 2 months but in the past we are parent company of vazir box & co. Which is an event management industry. We organize events for our clients. recently one inauguration of aishwarya showrooms o We have tie up with our decorator’s vazir box & co. So we have our own assets for business, they provide us good quality raw materials & at a lower prices. o Competition is everywhere your ethics towards client should be genuine. You always get what you deserve. o Ethical person is the one who reveals his profit say for e.g. I will take 1% profit or so… o He has given as an example that when he had gone to purchase 10,000 CD at Mumbai centre at that time a person has given him cd and only earned 1% profit out of it. Now also he is earning profit because he belief in turnover and more & more sales. If sales will be there profit will be good automatically. VISITED BY Ms. DIPTI NACHANE, Mr. AMIT PANWAR, & Mr. MANOJ NANGALIA NEEDLE EYE Mr. Ram Singh PROPRIETOR  We supply inks & papers all over Maharashtra. MBA (FULL TIME) SEMESTER I 30
  31. 31. ETHICAL PRATICES IN BUSINESS GROUP NO.3.  We follow ethical pratices, 100% ethical pay Sales Tax, VAT, Income Tax.  Definitely, there are different ways to think. There are people who follow ethics, support customers. No doubt money is important, but one should believe on ethical pratices.  No corporate is ethical. Some small enterprises are ethical. They love their country, they do their business ethically. Not all people are unethical in a company. some are ethical but 1 is not. Even I do unethical pratices, I regret about it being ethical person, I see positives of a person.  Work hard, honestly, maintain relation. CONCLUSION After visiting this company, we have 50-50 ethical pratices in each company. VISITED BY Ms. DIPTI NACHANE, Mr. AMIT PANWAR, & Mr. MANOJ NANGALIA BANK OF INDIA Mr. PRADEEP NACHANE BANK OFFICER MBA (FULL TIME) SEMESTER I 31
  32. 32. ETHICAL PRATICES IN BUSINESS GROUP NO.3. • Bank of India is 100 hrs. Old. Established in 1906.I ST IT WAS catering to needs of rich people. Loans were granted to the people with high security. But, after nationalization it open many branches in rural sector & started catering to lower middle class people. Formally it was in loss but now it is in profit. Give 25% dividend to its share holders & at share price of Rs. Nearly 250. • In age of high technology bank has adopted itself giving choice to consumer, & making them facilities available. Facilities like core banking, internet banking, on-line banking etc. • Customers are very precious to us. We impart in best services that is providing them flexibility. The DD charges are listed in notice board of all the BOI branches in the world, interest rate are know to public. Senior citizens are provided some extra rate of interest. & customer needs are also look after. VISITED BY Ms. DIPTI NACHANE, & Ms. KINJAL PANCHAL UNITED DETECTIVE (INDIA) MR.R.R.MISHRA CEO MBA (FULL TIME) SEMESTER I 32
  33. 33. ETHICAL PRATICES IN BUSINESS GROUP NO.3. • UNITED DETECTIVE ( INDIA) basically provides detective services etc. This company also gives security services for the residential premises for commercial premises, for any occasion in all over Maharashtra We had met to CEO of this company Mr. R.R.Mishra. this company was established before 12 years it is registered company. • Mr.R.R.Mishra told us that they have been in this company from long time. Detective & security business is somewhere related to law & legal thing. So, they always try to complete all legal conditions about their work. • There is one advantages of being ethical is there will not be frustration & irritation of mind. If you are behaving ethically then you should not have to afraid of anyone. But sometimes if we don’t want to behave unethically then also we have to behave. • As far as possible you should be an ethical person but when there is no option the you have to be unethically. Whatever, but what important is to take right decision to become successful in your business. Visited by Ms. PRATIKSHA PARAB. & Ms. PAVITRA PALAN ROHAN ARTS MR.D.P.PARAB PROPRIETOR MBA (FULL TIME) SEMESTER I 33
  34. 34. ETHICAL PRATICES IN BUSINESS GROUP NO.3. • A Rohan art is a company of making different things of arts. They are wholesaler of artificial products like flowers. Their business has expanded overall Mumbai. We had visited to it’s workshop at Jogeshwari. We met to Mr.D.P.Parab who is the proprietor. Rohan arts have been working successfully from last 10 yrs. • They believe in better quality of product. From the beginning they always emphasis on the best quality production. They always try to fulfill all commitments made by them to the customers. • It is really tough to be completely ethical. Visited by Ms. PRATIKSHA PARAB. & Ms. PAVITRA PALAN PANTALOONS RETAIL INDIA LTD MR.ANKIT FALOR Assistant Manager MBA (FULL TIME) SEMESTER I 34
  35. 35. ETHICAL PRATICES IN BUSINESS GROUP NO.3. Import operations Q.1) Tell me something about your business?  It’s completely a retail business. Q.2) Do u think is it possible to follow ethics in this competitive world?  It is not easy but if one requires being ethical so one can follow. Q.3) Any e.g. of ethical practice?  I have seen it more in BLUEDART. They still practice business ethics. Q.4) Any suggestion u would like to give to us or future managers?  If you people follow ethics especially business ethics than only u will be able to succeed. Visited by Ms. VIDHI PAREEK. TATA CONSULTANCY SERVICES MR. VIPUL MAHESHWARI MBA (FULL TIME) SEMESTER I 35
  36. 36. ETHICAL PRATICES IN BUSINESS GROUP NO.3. Global consultant Q 1) Do you believe in ethics?  I only believe in personal ethics. Q 2) Do u think it is easy to be ethical in this competitive world?  Yes, it is possible but if it’s for organization than I will suggest to think for its profit than not of your personal ethics. Q 3) Do you appoint such person in your organization after listening to my story?  If organization demands than I need to think as I said we should always think of organization first. Visited by Ms. VIDHI PAREEK. L N COLLEGE OF MANAGEMENT AND TECHNOLOGY MR. MAHESH KAMBLE MBA (FULL TIME) SEMESTER I 36
  37. 37. ETHICAL PRATICES IN BUSINESS GROUP NO.3. Head of Department Q 1) Do u think young generation believes in ethics? I don’t think so as they believe in competition Q 2) Do u believe in ethics? Yes I do but sometimes it is difficult when organization profit comes but one needs to think what is wrong and what is right. Q 3) Any suggestion to future managers? Do hard works & believe in you and be successful. Visited by Ms. VIDHI PAREEK. Conclusion At last we conclude that doing ethical practices now-a-days in business is very difficult but it is not impossible; if we try we can MBA (FULL TIME) SEMESTER I 37
  38. 38. ETHICAL PRATICES IN BUSINESS GROUP NO.3. achieve a topmost level by using ethical practices suggested as follows;  Orderly functioning: business ethics ensures orderly functioning of a business enterprise due to less public criticism.  Favorable social image: it creates good social image for business through alertness as regards social responsibility.  Guidance to businessmen: business ethics offers guidance to businessmen in decision- making for social good and not simply for profit maximization.  Support from employees: management gets support and co-operation from employees as regards future plans and programs of the company.  Creates social consciousness: due to business ethics, businessmen are made conscious as regards honesty and social obligations in business.  Business expansion: business ethics facilitates the expansion and growth of business activities due to the support and co-operation from different social groups.  Fair business: it encourages businessmen to use fair business practices for the protection of consumers and the society. This will lead to expansion of business activities. Reasonable profit is possible even when ethical practices are respected /honored by businessmen/ business enterprises. BIBLIOGRAPHY MBA (FULL TIME) SEMESTER I 38
  39. 39. ETHICAL PRATICES IN BUSINESS GROUP NO.3. Book Referred:-- • Turnaround Management----------------------S.D.Aphale. Vipul Prakashan (Page No.99-105) • Strategic Management-------------------------Michael Vaz Manan Prakashan (Page No.284-290) • Power Of Ethical Management-----------Kenneth Blanchard And Norman Peale The Detail given by us in this Project Report is True to the Best of our Knowledge & the Information made to us during our project tenure. MBA (FULL TIME) SEMESTER I 39