Managing Business Ethics

Questions: 1. I have argued in the course that companies operate in an environment of contested values. What are the implications for the role of business ethics in organizations, value creation of the company and corporate success? 2. Stakeholder management is an essential part of business ethics and key to corporate survival. a) Please outline the key elements of good stakeholder management; b) discuss the core challenges of stakeholder management; and c) discuss how a company can overcome these core challenges. 3.Sustainability was a theme in several sessions throughout the course. Why is sustainability everyones business and what is/should be the role of companies in creating sustainable futures? 4. Responsible leadership provides the micro-level foundations of good business ethics. a) Discuss the relevance of leadership in advancing business ethics and b) elaborate on the the core ideas of responsible leadership. c) Please provide an example of a responsible leader and discuss why this per son should be considered one. 5 Business ethics across cultures is essential to a peaceful value creation in the global economy. What principles, if any, should be applied across cultures? Answers: 1. There are various implications of business ethics, value creation and corporate success. Business ethics is very much necessary as it provides a concern to an individual or employee of the organization to differentiate between the right and wrong. The employees of the pharmaceuticals are influenced by the culture of the company. Value creation helps in insuring the future availability of investment capital to fund operation. The culture of the pharmaceutical company helps in influencing the success of the company. The strong culture of the organization that is compatible with the environment helps in driving better financial results. Corporate culture of the company can also affected the viewpoint of employees towards the future economic performance of the organization. The corporate cultures of the organization have three important metrics that are substance, strength and adaptability. There are many implications of business ethics in pharmaceutical company (Weiss 2014). The Areas of Activity Include: Human Resource Management: the human resource management were trained, so that there is no discrimination in pharmaceutical company and the employees should think that they were selected on the basis of merit (Chell et al. 2016) Production: before production of drugs it is very much important to test the drug at least two types in order to maintain the ethics in production. Sales and Marketing: Unethical means of marketing business should be avoided by using methods like spamming, green washing etc. CEO of the pharmaceutical company suggested that investment in the drug was beneficial as the culture of the pharmaceutical company helps in influencing the success of the company. The strong culture of the organization that is compatible with the environment helps in driving better financial results. 2. Stakeholder can affect or it can affect the organization. The main keys of stakeholder management include creditors, directors, owners, government, suppliers, unions etc. Stakeholder Management can be defined as a process or control. The process and planning is guided by underlying principles. The stakeholder management helps in planning and preparing strategies using information that is gathered using different process. The process includes stakeholder identification, analysis of stakeholder, engagement with stakeholder and stakeholder communication. Utilization of stakeholder management helps in drawing growing number of individuals and firms into the associated field (Guerrero et al. 2013) The Challenges that Stakeholder Management Faces are: To develop new products or to enter in a new markets Building of collaborative relationship that helps in achieving the goals of the company Poor knowledge and solutions that help in addressing societal, industrial and business related issues Underestimating the challenges of power if collaboration within the organization. There are Many Methods by which the Organization Overcome the Challenges if Sustainable Management. The Methods are: It must be ensured that the stakeholder selected is the right one for the organization. The selected stakeholders are qualified for providing right feedback in the field of sustainability (Matos and Silvestre 2013). Companies must be cautious so to avoid that the stakeholder gets engaged with their work, but it should be kept in mind that existing relationship should be made strong enough for providing profit to the organization. CEO of parametrical suggested investing the money in parametrical company. This is because CEO of the company supported to invest in this drug company as it helps in lining the corporate mission of the company through leadership that is related with business ethics. It would help in generating substantial social value and would be of some strategic benefit. 3. The pharmaceutical company supports sustainable business in order to create long-term practices that do things for saving the environment, well-being of the employees etc. The sustainable business is needed by every Company as it helps in economic, social and environment development (Boons et al. 2013) Economic Development: the economic development of a company is related with sustainability. Therefore, every company needs to get developed in the fields of economic and as a result they support sustainable business or get involved in sustainable business (Bocken et al. 2014) Social Development: sustainability helps in making laws and legislation for protecting the health of the employees. Sustainability is used in preserving the health and wellness of the people. Environmental Development: sustainability helps in protecting the environment by recycling and reducing consumption of resources. Thus, the quality of air, integrity, sustainability of resources gets improved. It is also concerned about the greener future by using sustainability. Thus, for achieving the economic, social and environmental development, every company wants to support sustainable business (Hwang and Ng 2013). The Role Pharmaceutical Company plays an Important Role in Creating Sustaining Future. The Main Roles of the Company are: The company increases their function towards health, well-being, training of the employees The wastes from the drug company should be recycled and dumped properly in order to preserve the environment. It also helps in reducing water and energy consumption. Sustainability and innovation in the projects should need to be promoted. The projects include co-design, assessment of life-cycle, human factors engineering and efficiency of environment. CEO of the company support investment in the drug company as it helps in creating significant strategic benefit for the firm by supporting sustainable business. 4. Leadership in business ethics can involve a broad area of spectrum. Reputation and incredibility of the company can be emphasized using ethical decision, behavior and boundaries. The leadership skills help in demonstrating appropriate ethics of the business and in creating the culture of the team. It provides benchmark to employees that are measurable and they can make independent decisions in daily duties. Both managers and employers are involved in the process of ethics for having a communication between them. In todays industry word travels quickly (Floyd et al. 2013). Therefore, companies get benefited by involving in leadership related with business ethics. If a company can keep their word, can make right choices, and if helps in keeping ethics before monetary gain then business will grow. The Core Ideas of Responsible Leadership Include: It is one of the main characteristics of responsible leadership that the leader needs to make sometimes difficult decisions. It is very much important that the leader is trusted by its team member. They can develop, manage and sustain the vision of their organization in order to achieve the goal and objectives of the company. The leader and the employees must work together in order to get agreeable and useful solution of a problem (Weiss 2014). The main responsibility of the leader is the goals and objectives of the organization. Jack DeGioia is one of the renowned and responsible leaders. The president has given truth to ponder and a standard to live up not only to the members of Georgetown community but to everyone. CEO of the company, supported to invest in this drug company as it helps in lining the corporate mission of the company through leadership that is related with business ethics. It would help in generating substantial social value and would be of some strategic benefit. It provides benchmark to the employees that are measurable and they can make independent decisions in daily duties. Both managers and employers are involved in the process of ethics for having a communication between them. 5. Business ethics is very much necessary as it provides a concern to an individual or employee of the organization to differentiate between the right and wrong. The employees of the pharmaceuticals are influenced by the culture of the company. Business ethics can involve a broad area of spectrum. Reputation and incredibility of the company can be emphasized using ethical decision, behavior and boundaries. Both managers and employers are involved in the process of ethics for having a communication between them. In todays industry word travels quickly. In todays industry word travels quickly. Therefore, companies get benefited by involving in leadership related with business ethics. If a company can keep their word, can make right choices, and if helps in keeping ethics before monetary gain then business will grow. Morale among young workers can be improved which is helpful in increasing productivity of the company and employees retention. This is because of the positive and healthy c orporate culture. Efficiency of the company can be improved by increasing the productivity of the company. Increase in employee retention method reduces the cost of replacing the old employees of the organization (Hoffman et al. 2014) There are many principles of business ethics such as honesty, integrity, keeping promise, loyalty, caring, low branding and commitment to excellence. The parametrical organization follows the principles of loyalty. Loyal framework of ethical principle should be implemented. The organization should be loyal to its employees and also to its customers. The customers once started trusting an organization then this will have a positive effect on the company. The employers will work in order to achieve the goals and objectives of pharmaceutical company. Therefore, loyalty is very much necessary in making a strong bond between the employers and the organization. Thus the CEO of the company should invest money in order to increase the economic benefit of the company. Higher costs or return on investment is generated for shareholders by following the ethical process in business. References Bocken, N.M.P., Short, S.W., Rana, P. and Evans, S., 2014. A literature and practice review to develop sustainable business model archetypes.Journal of cleaner production,65, pp.42-56. Boons, F., Montalvo, C., Quist, J. and Wagner, M., 2013. Sustainable innovation, business models and economic performance: an overview.Journal of Cleaner Production,45, pp.1-8. Chell, E., Spence, L.J., Perrini, F. and Harris, J.D., 2016. Social entrepreneurship and business ethics: does social equal ethical?.Journal of Business Ethics,133(4), pp.619-625. Floyd, L.A., Xu, F., Atkins, R. and Caldwell, C., 2013. Ethical outcomes and business ethics: Toward improving business ethics education.Journal of business ethics,117(4), pp.753-776. Guerrero, L.A., Maas, G. and Hogland, W., 2013. Solid waste management challenges for cities in developing countries.Waste management,33(1), pp.220-232. Hoffman, W.M., Frederick, R.E. and Schwartz, M.S. eds., 2014.Business ethics: Readings and cases in corporate morality. John Wiley Sons. Hwang, B.G. and Ng, W.J., 2013. Project management knowledge and skills for green construction: Overcoming challenges.International Journal of Project Management,31(2), pp.272-284. Matos, S. and Silvestre, B.S., 2013. Managing stakeholder relations when developing sustainable business models: the case of the Brazilian energy sector.Journal of Cleaner Production,45, pp.61-73. Weiss, J.W., 2014.Business ethics: A stakeholder and issues management approach. Berrett-Koehler Publishers. Weiss, J.W., 2014.Business ethics: A stakeholder and issues management approach. Berrett-Koehler Publishers.