An organization’s ethics are the collective
behaviour of its employees.
Golden & Platinum Rules:
1.
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•
Golden Rule - Treat others as you would have
them treat you.
Platinum Rule – Treat other people as they
want to be treated.
Four-Way Test:
2.
When you are faced with an ethical dilemma,
ask yourself the following:
•
•
•
•
•
Is it the truth?
Is it fair to all concerned?
Will it build goodwill and better friendship?
Will it be beneficial to all concerned?
Stakeholders’ Approach to Ethics
3.

When making decisions you try to create a winwin situation for all relevant stakeholders so
that everyone benefits from the decision.
Going Beyond the Stakeholders’ Approach
to Ethics
4.

Some managers go beyond creating a win-win
situation and make self-sacrifices for others’
benefit.
 Managers
develop their organization’s
guidelines for ethical behaviour, set the
example, and enforce the rules they want to
play by.
 But
finally, individuals are responsible for
their own behaviour and must pay the
consequences, including being fired and
going to jail.
Codes of Ethics:
1.

Also called codes of conduct.

State the importance of conducting business in
an ethical manner and provide guidelines for
ethical behaviour,

Knowing and following the code can help keep
you honest and out of trouble.
Support and Example of Top Management
2.

If is the responsibility of management from the
top down to develop codes of ethics, to ensure
that employees are taught what is and is not
considered ethical behaviour, and to enforce
the company’s code of ethics.
3. Enforcing Ethical Behaviour



If employees are not punished for unethical
behaviour, they will continue to pursue
questionable business practices.
To help keep people honest, many
organizations create ethics committees.
Such committees act as judge and jury to
determine whether unethical behaviour has
occurred and what the punishment should be
for violating company policy.