This presentation gives a detailed description about the importance of ethical values in business with a case study in the end.

1. ETHICAL VLAUES IN
BUSINESS
NIDHI GUPTA
106

2. MEANING OF ETHICS.
• Set of moral principles prescribing code, explains what is good and right, or
bad and wrong.
Character
of a man
Conduct
of a person
Series of
Actions
Good or
Bad,
Right or
wrong,
Moral or
Immoral
Moral
Standards
Decided by Leads to
Taken
together
Considered As
Known as
Moral
Judgement
Requires
By which
we can
Judge
again

3. HOW IS ETHICS RELATED TO BUSINESS?
• Ethics comprises principles and standards that guide behavior in the
world of business.
• Help identifying ethical issues , and recognizing approaches available
to resolve them.
• How to cope with conflicts between your own personal values and
those of the organization.

4. IMPORTANCE OF ETHICAL VALUES IN
BUSINESS.
• Business is a subsystem of society.
• Empowers all stakeholders concerned.
To retain a positive image, businesses must be committed to operating
on an ethical foundation.
• Important for organizations leaders because they influence the ethical
climate for the rest.

5. Employee
commitment
and trust
Investor
loyalty and
trust
Customer
Satisfaction
and trust
profits
Ethical
culture

6. Views on relationship between Business &
Ethics
• Business & morality cannot be separated and it must play by the rules of
ethics of the community
Moral Structure
Business
Moral Ethics

7. WHAT IF THERE WERE NO ETHICAL VALUES IN
BUSINESS?
• Some common acts that would have taken place in absence of ethical
values are:
lying and withholding needed information
abusive or intimidating behavior
misreporting time worked
discrimination and sexual harassment
stealing
breaking environmental and safety laws
falsifying records
drug or alcohol abuse
giving or accepting bribes

8. TATA GROUPS OF INDUSTRY.
• Tata is a rarity in the world community of corporations.
• Tata is a unique company even for India where there is government
corruption. Its rigid ethical standards are so well established that corrupt
officials typically don’t even bother asking Tata executives for bribes. The
company has walked away from industries, like Bollywood films, known for
questionable cash deals.
• Tata Group has more than a code of ethics, they have a Code of Conduct in
which a Code of Ethics is embedded. Since it specifically addresses
behavior, this is much stronger and further insures that ethical behavior
will take place. I can say without hesitation, Tata is company that ‘walks the
talk’ on ethics and integrity. -

9. • “What I feel most proud of is that we have been able to grow without
compromising any of the values or ethical standards that we consider important.
And I am not harping on this hypocritically. It was a major decision to uphold these
values and ethics in an environment that is deteriorating around you. If we had
compromised them, we could have done much better, grown much faster, and
perhaps been regarded as much more successful in the pure business sense. But we
would have lost the one differentiation that this group has against others in the
country. We would have been just another venal business house. Every employee
of a Tata company shall preserve the human rights of every individual and shall
strive to honour commitments.”
-RATAN TATA.

10. CONCLUSION
Hence I would like to conclude by saying that if ethical values are
followed in the business then code of conduct is automatically taken
care of.
But if ethical values aren’t followed one is compled to follow the code
anyways.
Ratan tata has already set an example of how by following the ethical
and moral standards a firm can be well established.
Ethical value form the roots of an organization.

11. THANK YOU.