Ethical behavior refers to behaviors that are appropriate. Ethical behaviors are based on morals. An ethical behavior is considered the right way to behave.
It involves selecting the right from wrong. People have to conform to the standards set by the organization by choosing what is right and what is wrong. Business ethics is a kind of applied ethics or professional ethics that is aimed at examining the ethical principles and moral problems that result in the business environment.Business ethics is applicable in all aspects of business conduct and it is related to the conduct of individual employees in the organization and the overall organization. In businesses today managing ethical behavior has become a very tough and complex task for some organizations. Employee’s decisions to behave ethically or unethically are influenced by the individual and their situational factors.
Ethics can affect the well being of employees and their performances.When employees are affected with ethical issues, the organization takes a slow production of products and decrease in the product’s quality. Kinicki & Kreitner, 2009). If the employees are happy, satisfied, and dedicated they will take very good care of the customers.
Organizations should ensure all employees in the organization including managers; executives are part of the organization so as to achieve high ethical standards. Hence, ethical behaviors can exist in business if the organizations make employees part of the organization and also the organization. This ensures employees are able to do the right thing.The organizations should learn to communicate the organizations objectives and actions via corporate cultures that encourage ethical behaviors that benefit the organization, employees and customers. Ethical behaviors do not exist in most of the organizations. Ethical behaviors and business are directly related.
A business is supposed to encourage ethical business practices in order to attain Ethical Behavior in Business their goals. Business has developed ethical code of conducts to guide the business and their employees when carrying out their duties.The code ensure business promote legal standards and moral standards when dealing with their customers and other stakeholders. Ethical behaviors determine the success of a business. Businesses that have ethical behaviors perform well unlike businesses that do not have them. This is because they are able to retain their customers and work with other stakeholders in attaining organizational goals (Barlett &Preston, 2000).
Organizational behavior covers many topics and cannot be narrowed down to one.By learning organizational behavior a person can have a knowledgeable platform to expand his or her career potential in the dynamically shifting of workplaces in today’s job market. When individuals come together to reach goals, a group is formed, and the group is formed into an organization. In the organization each person brings culture, different behaviors, and diversity. Managers have the responsibility of communicating to employees, customers, and others which is a sense of uniqueness for an organization and its products and services.In order to communicate effectively, managers must understand each worker’s behavior and culture.
Organizational behavior occurs when someone studies humans and their behavior in an organization. Organizational behavior is a discipline used to understand the three levels of analysis: individual or group behavior, interpersonal processes, and organizational dynamics. Organizational behavior main goal is to improve organizations and the workers performance. An organization that works together and is dedicated to the improvement and empowerment of the business can change in the global world.The opportunity for a business to flourish is centered on having an effective organizational team. Many businesses today have helped to Ethical Behavior in Business enforce and organize the business’s ultimate goal.
This goal is the continued success of the business. Within the organization, there are certain qualities that are needed in order for this goal to be accomplished. Organizational behavior, organizational culture, diversity, communication, business ethics, and change management are the qualities to continue a healthy and productive business.Leadership in an organization can have a major impact and many influences on ethical behaviors.
Ethics is primarily concerned with the effect of actions of an individual on other people. Leaders are required to set a moral example for members in an organization, and to identify the activities in an organization that will have a negative impact to societal values. Leaders demonstrate ethical behavior when they do what is considered as morally good, just, and right, and when they facilitate moral self-actualization and raise the moral awareness of followers.In addition, ethical leadership covers more than just promoting ethical behaviors; it is also concerned with the provision of an organizational culture and favorable conditions to promote ethical behavior of employees.
Ethical leadership also has an impact on the organizational commitment. Effective leadership is characterized by empowering, which in turn will lead to organizational effectiveness and commitment. Trust in leaders also has an impact on the ethical behavior of employees. Trust in leaders has an impact on organizational performance and effectiveness.
The trust placed on leaders by employees will impact their compliance with laws and rules in an organization, increase the employee indifference zones, and promote the implementation of change in an organization. The trust that is placed upon leaders has a direct impact on their contributions to an organization in Ethical Behavior in Business relation to civic virtue behavior, intent to remain, and performance. An organization can influence ethical behavior in employees through a number of ways.One way the organization can influence ethical behavior is by offering rewards to employees so as to promote ethical behavior. An organization can also offer its employees with training on ethical standards to solidify the relations between employees and management. A combination of ethical training programs and self-discipline is also crucial as it gives a basis for making complex decisions in an ethical relationship.
An organization can also influence ethical behavior by emphasizing on the expected behavior. This will be achieved by closing any gap between actual actions and expected actions.If employees know the right thing to do, they will strive to do what is right. New employees should be taught on the present virtuous values that exist in an organization. Managers are required to explain the values of an organization during orientation of new employees. This is a powerful way of influencing and promoting ethical behavior because new employees can observe the actions of current employees in an organization.
Follow-up and accountability are vital the implementation of ethical behavior.Procedures and systems can be used to remind employees of their ommitment and also help in linking promises or words with deeds. In organizations where there is behavioral integrity, deeds and words count. When behavior is driven by ethical values, the alignment of deeds and words promote the establishment of an ethical work culture. Ethical behavior can also be promoted by linking and allocating resources in an appropriate manner. The five chief resources time, information, assets, capital, and money should be distributed and allocated in a fair and equitable manner, in the eyes Ethical Behavior in Business of employees.
Managers will promote ethical behavior through fairness and justice to all employees (Marty & Heifetz 2002). Ethics takes on many different forms with any organization, how ethics impacts employees is very important to the success and failure of the company. The process of poor decision making and unethical business go hand and hand for an organizational failure in the work place. Poor decision making in the workplace can be contributed to several factors to include; not realizing when and why one needs to make a decision; failure to remember goals.
While confidence is a personal trait essential to success, overconfidence or over optimism is one of the most common reasons for bad decisions. Failure to understand an issue and failure to commit resources and act on the decision that was made is also a common characteristic of a poor decision maker. Within the workplace most managers are paid to make decisions that will have a great effect on the company and the employees, but most managers are unable to make those decisions that are ethical and sound decisions for the company.Bad decisions, sometimes brings out more bad decisions in an attempt to fix the first decision.
Despite increase attention to ethics in organizations, empirical examples of ethical decision making are relatively far and few. For example: I work in the healthcare field and most health care organizations require employees to complete mandatory annual quiz on code of ethics but there are no follow- up training to ensure adherence to ethical decision making process.The lack of available tools to do ethical self assessment is the main reason for the paucity of empirical examples of ethical decision making in the heath care organizations. Ethical Behavior in Business One aspect of ethical decision making comes under the heading of crisis management as corporations are faced with some huge problem that may involve liability and legal issues but that certainly involves questions of public image. A second aspect is the day-to-day decisions which have not yet reached the point of crisis but which could if ethical decisions are not made.Even without any external threat to a company, an ongoing process of ethical decision-making creates an atmosphere in a company that is beneficial, that contributes more to society, and that helps create an environment in which employees may flourish and do their best.
Companies should consider and institute a set of procedures to guide managers and employees in making ethical decisions when faced with some dilemma calling for such a decision, and the system then should be monitored to assure that the guidelines are followed and that they are effective. Decision-making guidelines or formats can help us make better ethical choices.Taking a systematic approach encourages teams and individuals to carefully define the problem, gather information, apply ethical standards and values, identify and evaluate alternative courses of action, and follow through on their choices. Understanding how people make ethical choices and what prompts a person to act unethically may reverse the current trend toward unethical behavior in business.
Ethical decisions in an organization are influenced by three key factors: individual moral standards, the influence of managers and co-workers, and the opportunity to engage in misconduct.Because ethical issues often emerge from conflict, it is useful to examine the causes of ethical conflict. Business managers and employees often experience some tension between their own ethical beliefs and their obligations to the organizations. Codes of ethics, policies on ethics and ethics training programs advance ethical behavior because they prescribe which activities are acceptable and which are not, and they limit the opportunity for misconduct by providing punishments for violations of the rules and standards in which they work.
Ethical issues in business will occur but can be solved and avoided in many cases that can help a company continue to be successful. Using an ethical decision making process will guide companies and its employees in the right direction to success and respect within the communities they serve. Understanding ethics and utilizing ethical business practices is the key to the success in modern business.