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Organizational Ethics - Week 3
Organizational Ethics - Week 3
Organizational Ethics - Week 3
Organizational Ethics - Week 3
Organizational Ethics - Week 3
Organizational Ethics - Week 3
Organizational Ethics - Week 3
Organizational Ethics - Week 3
Organizational Ethics - Week 3
Organizational Ethics - Week 3
Organizational Ethics - Week 3
Organizational Ethics - Week 3
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Organizational Ethics - Week 3

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  • 1. Business Ethics & SocialResponsibilityMGMT 447
  • 2. Business Ethics• Differ from general ethics ▫ Stakeholders vested in the ethical performance of the organization ▫ Your work environment may provide situations that clash with your personal value system
  • 3. Organizational Culture• The values, beliefs, norms shared by employees of the organization• Sums up the policies and procedures of the functional departments within the organization
  • 4. Value Chain• R&D• Manufacturing• Marketing• Sales• Customer Service
  • 5. Value Chain cont…• Human Resource Management• Finance• Information Systems• Management
  • 6. R&D• Create new products ▫ Incorporate customer feedback ▫ Competitive feedback ▫ Strategic input• Ethical Dilemma ▫ Creating products of the highest quality, safety, & reliability all within a predetermined manufacturing cost
  • 7. Manufacturing• Build the designs created by R&D• Ethical Dilemmas ▫ Build it fast or build it right?
  • 8. Marketing• Includes ▫ Advertising ▫ PR ▫ Sales• Ensures the product reaches satisfied customers• Ethical Dilemmas ▫ Do customers really “need” these products ▫ Is this manipulation or placing a product in the hands of customers to better the customers’ lives?
  • 9. Marketing cont…• So who does a company owe responsibility to? ▫ Stockholders ▫ Customers• AMA Code of Ethics ▫ http://www.marketingpower.com/AboutAMA/Pa ges/Statement%20of%20Ethics.aspx• DMA Code of Ethics ▫ http://www.dmaresponsibility.org/guidelines/
  • 10. Human Resources• Job description• Recruitment/Selection of “right” candidate• New employee orientation• Payroll and benefits management• Performance review documentation• Disciplinary/training documentation• Career Development Program Plan• Final Paperwork/Benefit Severance/Exit Interview
  • 11. HR Cont…• Ethical Dilemmas ▫ Arise when there’s a failure to plan ahead• Should HR be at center of corporate code of ethics as its voice of reason? ▫ Ensure ethics is a top priority ▫ Ensure leadership selection & development ▫ Ensure proper programs & policies are in place ▫ Aware of ethical issues (legislation, etc)
  • 12. Finance• Financial transactions• Accounting function• Auditing function ▫ Internal ▫ Conflict of Interest

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