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According to Linda Ferrel, Corporate
culture is a set of values, beliefs, goals,
norms and ways of solving problems by
the members of the organisation.
Influences ethical cunduct at workplace.
Embedding ethical values in dominant
cultures helps to guide employees of an
A branch of philosophy that involves
Moral principles that govern a
person's or group's behavior.
“Business Ethics” can be defined as
the critical, structured examination of
how people & institutions should
behave in the world of commerce.
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Each organisation develops its own
culture partially based on the values
its founder wants to transmit in
A set of assumptions that the
members of an organisation share in
common also forms the organisational
Organisational culture differs from one
organisation to another.
Strong cultural and ethical standards
of an organisation results in positive
ethical behavior of managers.
Ineffective organisational culture
may result in unethical behaviour.
Admittedly, strong ethical behaviour
may cost the organisation.
Top executives having strong ethical
and social conscience inspire their
subordinates to exhibit these values
by their thoughts and deeds.
How to create Ethical Organisational
Selecting the right leader
A clear purpose and strategy
A focus on doing the right thing
Hiring the right people
Firing the wrong people
Run ethical training courses
‘Reward’ people for doing the right thing
Tolerate mistakes (but not when they are
My point of view
Fact: The National Business Ethics Survey, conducted
by the Ethics Resource Center, found that despite
rising employee awareness of formal ethics and
compliance programs, standards of ethical conduct
remained unchanged - or even worsened.
Statement: The so called unethical people are not
necessarily ignorant of the ethical and moral values
but are so because of the culture they follow in the
Eg': Curruption became a part of various government
sectors because it was the culture that prevailed
starting from polititians at the top level to the clerks
and other bottom line workers.