Business ethics Essay Example for Free

Business ethics Essay -Ethics derived from the Greek word ethos – which refers to the conventional customs and norms of a given culture – the term ethics can be understood in two ways: †¢ as a traditional field of philosophical inquiry dating back to ancient Greece, which is concerned with values as they relate to human conduct; and †¢ as the systematic study of norms and values that guide how people should live their lives. -Ethics is to do with what is good and bad or right and wrong. The study of ethics can be either descriptive or normative. Descriptive ethics involves empirical research or inquiry into the actual rules and standards of a particular social group. Normative ethics is concerned not only with what people believe they ought to do, but also with what they really ought to do. It therefore entails taking a position. Nevertheless, it must be recognised that these two categories are in actual fact intertwined, as even the most empirically minded individuals engage in prescription as well as description. There is therefore no conceptual barrier to combining descriptive with normative ethics. -Business ethics theories include the moral principles or codes a company implements to ensure that all individuals working in the company act with acceptable behavior. Business owners and managers can use an ethics theory they deem most appropriate for use in their operations. A few different business ethics theories exist, such as the utilitarian, deontological, rights, justice, common good and virtue approach. These theories can be used on their own or in combination with each other. Each theory includes specific traits or characteristics that focus on specific ethical principles that can help companies correct business issues. -The utilitarian approach focuses on using ethical actions that will promote the most good or value among a society while limiting the amount of harm to as few people as possible. Among the business ethics theories, this is typically seen as the oldest theory, as it was propagated by many philosophers, such as Jeremy Bentham (1748-1832) and John Stuart Mill (1806-1873). Businesses can use this theory to ensure the outcome of various situations helps the maximum amount of stakeholders. The â€Å"rightness† or â€Å"goodness† of ones action is not inherent in the action per se, but can only be judged by its consequences (or ends). Utilitarianism is the dominant ethical perspective in the business sphere, and can be seen as a â€Å"calculating approach† to ethics (Fisher and Lovell, 2006). A common example of business utilitarianism is the adoption of ethical principles – not because it is the â€Å"right thing to do† – but because of the image enhancement which this may produce, in view of societys increased demand for ethical conduct in the business sphere. A positive company image creates what is known in the literature as â€Å"reputational capital† or advantages accruing to companies from a good reputation which may lead to positive outcomes in areas such as improved employee morale, increased strategic flexibility and enhanced financial performance. -The deontological system (Immanuel Kant: 1724-1804) is based on the assumption that actions must be guided by universalisable principles and rules which apply regardless of the consequences of the actions. For Kant, the â€Å"moral person† is one of good will, who makes ethical decisions based on â€Å"what is right†. From this viewpoint, nevertheless, an action can only be morally right if it is carried out as a duty – not as an expectation of approval or reward. -The rights ethical approach is based on the belief that all individuals have rights in life and should be treated with respect and dignity. Morals play a large role in this because individuals must personally use ethical behavior in order to achieve the end goal without mistreating people. -Justice as an ethical approach is where all humans are treated equally through society, regardless of rank, position, class, creed, or race. This is also known as the fairness approach in business ethics theories. If people are not treated fairly — such as one employee receiving higher compensation than another — a justifiable reason must exist, such as higher technical skills or the exclusiveness of a job position. -The common good approach attempts to promote the common values and moral or ethical principles found in a society. This varies from place to place, based on countries specific cultural or societal beliefs. For example, the moral principles found in Japan will often be different than those in the United States. Business owners and managers often implement these principles to ensure their company’s overall mission is in sync with society as a whole. -The virtue approach (Aristotle 384-322 BC) is a bit more difficult for businesses to implement, as its approach focuses on following ethical principles that should be evident in society. These principles or virtues seek to replace the current values if they do not bring about the most good or best development of humanity. Businesses can implement this approach, although it may run against the grain of society until the values take hold among the general public. -Business ethics is the behavior that a business adheres to in its daily dealings with the world. The ethics of a particular business can be diverse. They apply not only to how the business interacts with the world at large, but also to their one-on-one dealings with a single customer. -Good business ethics should be a part of every business. There are many factors to consider. When a company does business with another that is considered unethical, does this make the first company unethical by association? Some people would say yes, the first business has a responsibility and it is now a link in the chain of unethical businesses. -If a company does not adhere to business ethics and breaks the laws, they usually end up being fined. Many companies have broken anti-trust, ethical and environmental laws and received fines worth millions. -Therefore, business ethics is concerned with good and bad or right or wrong behavior and practices that take place within a business context. -In short, business ethics refers to â€Å"values, standards and principles that operate within business†. Unethical behaviour -It is a sad truth that the employees of just about every business, in every business, will occasionally encounter team members who are taking part in unethical behaviors. Such unethical behaviors include a wide variety of different activities. Among the most common unethical business behaviors of employees are making long-distance calls on business lines, duplicating software for use at home, falsifying the number of hours worked, or much more serious and illegal practices, such as embezzling money from the business, or falsifying business records. -Though there is sometimes a difference between behaviors that are unethical and activities that are actually illegal, it is up to the business itself to decide how it deals with unethical behavior legal or not. -As unethical behaviors are manifested by upper-level management, workers throughout the organization note them, and unethical behavior becomes a cultural norm. Ultimately, this culture results in detrimental behaviors. Leadership -Leadership is the primary way companies foster proper ethical behavior. Leaders and executive managers have a responsibility to set the tone for ethical behavior by conducting business in an ethical and moral manner. If a leader fails to display a proper ethical behavior, workers may be unwilling to accept the companys ethical guidelines. -Leaders who act ethically ensure that problems and issues in the company are identified quickly and handled appropriately by managers and employees. Proper leadership ethics also maintain an organizations long-term viability and business environment, because customers are more willing to embrace an ethical company. Company Culture -A company culture is the intangible business environment created by leaders and executive managers. Leaders use the companys culture to pass on the mission, goals and objectives and how employees should approach jobs when helping the company reach its goals. Important elements of a strong company culture include integrity, trust, leadership, professional behavior and flexibility. Leaders and executive managers should weave these elements into company culture to ensure employees understand and follow ethical business principles. -Companies can teach employees the companys culture by using manuals or informal meetings. These mediums give management an opportunity to explain the importance of ethical business behavior. -A whistleblower (whistle-blower or whistle blower) is a person who tells the public or someone in authority about alleged dishonest or illegal activities (misconduct) occurring in the business organisation. The alleged misconduct may be classified in many ways; for example, a violation of a rule, regulation and/or a direct threat to the stakeholders, such as fraud, health/safety violations, and corruption. Whistleblowers may make their allegations internally (for example, to other people within the accused organization) or externally (to regulators, law enforcement agencies, to the media or to groups concerned with the issues). -Businesses have a Code of Conduct and/or Code of Business Ethics that are actively promoted to the corporation’s employees and that are entrenched in its corporate values. As a business grows and as the business model gets more complex, it is important that we provide the company employees with a common set of guidelines to help reinforce and uphold its values. Codes of conducts are very common in business organization and the members are required to sign to indicate formally their acceptance. E. g. Customers are at the core of the success and must be treated with respect. One way do this is through the customer-focused business model– customer centricity. Customer centricity requires an ongoing relationship of trust between the employee and the customer because the relationship between the customer and the employee is much more than transactional. The employees share an obligation to: †¢ Treat all customers fairly and honestly. †¢ Communicate in a respectful and helpful manner. †¢ Provide prompt and accurate customer service. It is a duty to protect any customer’s information and privacy. †¢ It is extremely important to keep the Company’s private information confidential. Not discuss these confidential matters with anyone outside the organization. -A business success is based on strong relationships with customers, vendors, suppliers and others. Employees and directors are prohibited from: †¢ Taking personal advantage of opportunities that are discovered through the use of corporate property, information or position. †¢ Using corporate property, information, or position for personal gain. †¢ Employees are required to disclose or avoid any activity or interest that may be regarded as a possible conflict with the company’s interest. †¢ Employees are expected to be mindful of the Company’s values and standards in their business dealings. It is never acceptable to solicit gifts, gratuities or business courtesies on behalf of the business organisation for the personal benefit of an employee, family member or friend. †¢ In all situations employees are prohibited from implying that they represent the company in any political activities. †¢ If you are contacted by a representative of any government agency, don’t handle the situation by yourself. Contact your Legal Department. A model of an employee acknowledgment of the Code of ethics of XYZ co. Ltd. I acknowledge that I have received and will comply with XYZ co. Ltd Code of Business Ethics (the Code). I also understand that I have the responsibility to review XYZ co. Ltd policies and procedures. I understand that violation of the policies and ethical standards outlined in the Code may subject me to disciplinary action up to and including termination without notice. I understand that if I have questions related to the standards of conduct outlined in the Code or other Company polices not covered in the Code, I am to discuss them promptly with my manager or the Ethics Office, Human Resources dept. I also understand that I may be required to sign one or more annual statements reporting conflicts of interest or receipt of gifts and gratuities. Date: Name of employee: Department: Employee number: Signature: Sources: Caroll Buchholtz, Business and Society, 5th edn. Robbins P. R, Organisational Behaviour, 11th edn. Weiss J. W, Business Ethics, 4th edn. www. bestbuycanadaltd. ca/ www. edc. ca/ www. ehow. co. uk/ www. wisegeek. com.

Mixed Media Culture :: essays research papers

Mixed Media Culture Following the Constitutional Convention in 1787, Ben Franklin was asked what kind of government the country now had; â€Å"a republic, if you can keep it†. Franklin’s concerns at that time was that we might turn to a monarchy on the basis that this was the kind of government familiar to most people in the new world. Now, many years later, we should be concerned about the same issue, but rather than a â€Å"real† monarchy, comprised of an individual or a family ruling the country, we are faced with the prospect of money being the King and those with money controlling government and society. We have seen government fall to the whims of money and special interest groups, more in the last decade than before. There are laws on the books to control the influence peddling in Washington and other communities, but these laws are not being enforced. Pressure and influence by unions, large business groups and other large organizations has been common place for years, but in the recent past, we have seen influence from individuals, many with less than acceptable standards, accepted by the size of their campaign contributions to individuals or to a specific party. The average American has to wonder today whose interest is being served by their representatives. The idea of a government for the people can and should be questioned, until we can put controls on those with money and the manner in which they are allowed to spend money to influence elections and policies. When we see polls indicating that nearly two thirds of the participants question the integrity of the government, we need to look seriously at what changes need to be made. We need to develop a system that is less influenced about the need to raise large sums of money and get the politicians more focused on the needs and values of society. Some of the measures being considered include: better enforcement of laws currently on the books, restrictions on a candidate raising large sums of money, if he elects public funds for his campaign, closing the loopholes associated with soft-money contributions from unions, business groups and others, and encourage voluntary limits on campaign spe nding. Obviously, we did not get in this position overnight and this issue is not something that will be solved without a sweeping change through the government structure. Another issue impacting the political process today is the lack of participation by registered voters and maybe the need to increase the number of registered voters.

Balance Sheet and Public Sector Reform Essay

Financial control 1.1 Assess the relationship(s) between a financial system or function and other systems or functions in an organisation Answer: Information and records are of critical importance to the functioning and controlling of systems in general, including organisational systems. Given the central importance of information and records to systems operation, including public sector organisations and the societies they exist to govern, we should not be surprised to learn that public sector reform efforts that overlook the information component often fail to meet their immediate objectives and the longer-term goal of establishing a framework for good governance. Efforts to improve the management of public sector records in many countries have been hampered by a gap between the National Archives and the government’s record-creating departments. The result has been that most of the records in the custody of the Archives are over forty years old, while the records in government departments remain unmanaged. Some National Archives have inspecting powers, but there are few professionals trained to manage current records. Moreover, there are rarely systems in place to ensure that semi-current and non-current records are transferred to secure accommodation or appropriately destroyed. The introduction of computerized systems, often a key part of public sector reform projects, is compounding existing record-keeping problems. These computerized systems are using information that may be seriously flawed and based on collapsed paper-based systems. It is because effective management of records is so crucial to achieving public sector reform objectives, which lead to good governance, that restructuring must encompass the management of records. Restructuring of records and archives management processes must be seen as an integral part of the restructuring of core government processes to ensure the success of public sector reform efforts. 1.2 Describe the systems of accounts and financial statements used to control a financial system Answer: Financial statements are the primary means of communicating financial information to parties outside the business organization. The four basic financial statements: Balance Sheet Income Statement Statement of Cash Flows Statement of Retained Earnings ACCOUNTING SYSTEMS In small enterprises there can be different kinds of accounting systems such as external, internal and tax accounting. Annex 3 summarises data per Member State concerning accounting system requirements for small enterprises. On the basis of this data, the following descriptions of accounting systems are given: Internal accounting Internal accounting, also called management accounting is based on the enterprise’s internal accounting procedures and recorded accounting information. Internal accounting is intended for managers within organizations, to provide them with the economic basis to make informed business decisions that would allow them to be better equipped in their management and control functions. For example, managers may want to be able to assess the contribution or the profitability of different products or services that they supply by comparing the revenues and costs that they generate. Unlike external accounting information, internal accounting is usually confidential and it is accessible only to the management. In most cases, small enterprises do not use internal accounting at all due to their size. Internal accounting is normally not governed by national legislation. However, in some Member States internal accounting is compulsory even for small enterprises. External accounting External accounting, also called financial accounting is concerned with the preparation of financial statements for decision makers, such as the owners, suppliers, banks, governments and its agencies, customers and other stakeholders outside the enterprise. External accounting makes use of the accounting information from the internal accounting system. In the preparation of the external accounting, the small enterprise may be governed by local 1.3 Analyse financial information contained in a set of accounts or financial statements Answer: The two main sources of data for financial analysis are a company’s balance sheet and income statement. The balance sheet outlines the financial and physical resources that a company has available for business activities in the future. It is important to note, however, that the balance sheet only lists these resources, and makes no judgment about how well they will be used by management. For this reason, the balance sheet is more useful in analysing a company’s current financial position than its expected performance. The main elements of the balance sheet are assets and liabilities. Assets generally include both current assets (cash or equivalents that will be converted to cash within one year, such as accounts receivable, inventory, and prepaid expenses) and noncurrent assets (assets that are held for more than one year and are used in running the business, including fixed assets like property, plant, and equipment; long-term investments; and intangible assets like patents, copyrights, and goodwill). Both the total amount of assets and the makeup of asset accounts are of interest to financial analysts. The balance sheet also includes two categories of liabilities, current liabilities (debts that will come due within one year, such as accounts payable, short-term loans, and taxes) and long-term debts (debts that are due more than one year from the date of the statement).Liabilities are important to financial analysts because businesses have same obligation to pay their bills regularly as individuals, while business income tends to be less certain. Long-term liabilities are less important to analysts, since they lack the urgency of short-term debts, though their presence does indicate that a company is strong enough to be allowed to borrow money. The balance sheet also commonly includes stock-holders’ equity accounts, which detail the permanent capital of the business. The total equity usually consists of two parts: the money that has been invested by shareholders, and the money that has been retained from profits and reinvested in the business. In general the more equity that is held by a business, the better the ability of the business to borrow additional funds. In contrast to the balance sheet, the income statement provides information about a company’s performance over a certain period of time. Although it does not reveal much about the company’s current financial condition, it does provide indications of its future viability. The main elements of the income statement are revenues earned; expenses incurred, and net profit or loss. Revenues consist mainly of sales, though financial analysts may also note the inclusion of royalties, interest, and extraordinary items. Likewise, operating expenses usually consist primarily of the cost of goods sold, but can also include some unusual items. Net income is the â€Å"bottom line† of the income statement. This figure is the main indicator of a company’s accomplishments over the statement period. Read more: http://www.answers.com/topic/financial-analysis#ixzz1uKymsDuW 2.1 As a manager you need to fully understand your role in the budgetary process. It is the most basic financial planning and control tool. Every manager needs to know what costs are associated with their department, and how in relation are they doing to that budget. You might achieve your departmental goals, but if you go over budget in order to achieve those goals, you create financial problems for the company and jeopardize your own job performance review. In most cases, part of your performance appraisal will be based on whether or not you were within budget for the year. Budgets need to be realistic. You can’t just say at a whim you need 20 new people, just as upper management can’t say you have only $10 for a years’ worth of training classes. Budgets are used to investigate variances, whether you went over or under budget, and address the reasons for the variances. You need to always look at ways to control those variances by controlling costs. By being on top of your budget, you might be able to make changes before it’s too late and you end up having to reduce staff or eliminate a branch of your department. There are basically two types of budgets, a capital expenditure budget and operating budget: 1. Capital expenditure (also known as â€Å"Capex†) relates to costs associated with plant and equipment. This is equipment that generally lasts for more than a year such as a copy machine. 2. Operating budget, which is related to the normal day-to-day operations and expenditures such as payroll, supplies, and miscellaneous. There are two types of budgets within an operating budget, sales budgets and expense budgets:  · Sales budget is associated with comparison and variance of the actual revenue brought with the projected revenue.  · Expense budget applies to all areas incurring operating expenses, including the sales department. This is the budget we will focus on. CASH BUDGET FOR 90 DAYS Beginning cash balance $ 320,000 Add: Estimated collections on accounts receivable750,000 Estimated cash sales 250,000 $1,320,000 Deduct: Estimated payments on accounts payable $ 800,000 Estimated cash expenses 150,000 Contractual payments on long-term debt 150,000 Quarterly dividend 50,000 $1,150,000 Estimated ending cash balance $ 170,000 2.2 Budgetary Control is defined as â€Å"the establishment of budgets, relating the responsibilities of executives to the requirements of a policy, and the continuous comparison of actual with budgeted results either to secure by individual action the objective of that policy or to provide a base for its revision. 2. Salient features: a. Objectives: Determining the objectives to be achieved, over the budget period, and the policy (ies) that might be adopted for the achievement of these ends. b. Activities: Determining the variety of activities that should be undertaken for achievement of the objectives. c. Plans: Drawing up a plan or a scheme of operation in respect of each class of activity, in physical as well as monetary terms for the full budget period and its parts. d. Performance Evaluation: Laying out a system of comparison of actual performance by each person section or department with the relevant budget and determination of causes for the discrepancies, if any. e. Control Action: Ensuring that when the plans are not achieved, corrective actions are taken; And when corrective actions are not possible, ensuring that the plans are revised and objective achieved. Budgetary Control is an integral part of management. It consists in comparisons between the results of actual performance and budgeted performance. Central to this kind of comparison is Standard Costing and Variance Analysis. The purpose of this article is to clarify simply to the leaner, reader, and others peoples who related with accounts, budgets, costing department. 01. Variance Analysis: In a well-run organization the comparison between actual and budget is used as the basis for deciding the appropriate action. This document sets out how the analysis is used to highest effect. The procedure is actually part of the normal control process. Any variation from expected performance, in terms of budgets, where income or expenditure did not occur as expected. Variance analysis is the act of determining the drivers for those variations. Variances are noted and accounted for. A decision can be made to reduce expenses or reallocate resources. This technique greatly reduces the need for comprehensive review cycles. 2.3 Budget and Budgetary control, both at management and operational level looks at the future and lays down what has to be achieved. Control verifies whether or not the plans are understood, and puts into effect corrective measures where deviation or underperformance is occurring. This article â€Å"Techniques of Budgetary Control† examines how budget and budgetary control can impact on the performance of the organizations Techniques: Budgetary Control is an integral part of management. It consists in comparisons between the results of actual performance and budgeted performance. Central to this kind of comparison is Standard Costing and Variance Analysis. The purpose of this article is to clarify simply to the leaner, reader, and others peoples who related with accounts, budgets, costing department. What variance analysis is all about, avoiding pure technicalities and the terminology of accountants? Notice is confined to costs and cost variances in this article. A similar dealing of revenue and revenue variances would also be compulsory to acquire a proper perspective. Following explained The Budgetary Control Techniques 01. Variance Analysis: In a well-run organization the comparison between actual and budget is used as the basis for deciding the appropriate action. This document sets out how the analysis is used to highest effect. The procedure is actually part of the normal control process. Any variation from expected performance, in terms of budgets, where income or expenditure did not occur as expected. Variance analysis is the act of determining the drivers for those variations. Variances are noted and accounted for. A decision can be made to reduce expenses or reallocate resources. This technique greatly reduces the need for comprehensive review cycles.

Personal Reflection - 783 Words

Personal Reflection When thinking of being an effective teacher who understands his or her students, it is very important for the teachers to understand themselves first. It is important for a teacher to understand the way that he or she learns because it gives them more knowledge and understanding of given situations. If a teacher wants the entire classroom to do well, it is important to remember what Kubiszyn Borich (2016) state, â€Å"In other words, just as there is no one size fits all tool, no single test is appropriate for all purposes and all persons (p. 2). This quote helps readers understand that there are many factors that should be accounted for when assessing students. Over time, I have been faced with the opportunity of†¦show more content†¦Though the study skills assessment can be viewed as similar to the learning styles assessment, this assessment is used in all subject areas and in life in general. Knowing what study skills habits a student is good at will help them better s ucceed in the classroom because they will know what they need to do to help themselves succeed as an individual in the classroom. Parkers’ Philosophical Methodology of Learning was another inventory that was taken. According to the assessment, my scores reflect that I am a behaviorist and a progressivist. I believe that both findings are adequately accurate because I do believe that individuality and behavior are important to ones personal learning experience. Conclusion Effective learning and classroom management strategies are vital to a successful classroom. Learning theories offer teacher’s assistance when helping students to learn better in the classroom. As teachers, it is our role to lead students in the path that GOD has for them. I agree with what Slavin (2015) said â€Å"Making the right decisions depends on the context within which the problem arise, the objectives you have in mind, and many other factors, all of which must be assessed in the light of educated common sense† (p.12). It is always important to remember that no one situation will be the exact same in the classroom. A learning theory that is based on morals, ability, and effective classroomShow MoreRelatedPersonal Reflection756 Words   |  4 PagesPersonal reflections are characterized as learning through experience in gaining new insights and changed perception of self and practices. Reflection can be a difficult experience without the support and guidance of a n expert (Johns, 2004). This personal reflection presents an exciting opportunity for me to consider how successful my placement in the intermediate care has been in terms of my own personal learning. 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