Ethics Meaning and Importance

It is the basic Set of Types Importance

concept morals
+ that guide
Fundamental a person’s Meta Normative Applied Ethics Required Means Required When
principle of behavior Ethics Ethics + for of for management is
human + + Controversial human deciding successful ethical
behavior Moral Criteria for topics like war, life course business
judgement right & animal rights of action enterprise Employees are
wrong etc. ethical

Leading to
efficient work

Success of entire
organization in
the long run
 Seven principles of public life

Set out by Applicable on British 7 Principles submitted by the committee

lord government
Nolan in appointed a
1955 committee
Civil Local Education Health called the Selflessness Leadership
Servant Government Institutes & committee
Applied Social on Objectivity Openness
on Care standards in
persons Police Court Non - Public life
who Departme Honesty Accountability
work as ntal public
public servants
office Integrity
holders
 Relationship between Law & Ethics

Both serve They enforce Law is set Ethics are Laws can There is
similar a sense of of codified Internal never be so always
purpose of laws obligations exhaustive scope of
guiding to each & discretion
human Right & Wrong every i.e. Ethics
behavior External Guide our scenario to be
Obligation moral possible applied
compass
+
Judgement
 Relevance of Business Ethics

A Business’s It includes
code of ethics
is a body of
policies based Obeying the law Care + Confidentiality Professional Appearance
on Consideration
towards
Employees cannot customers Code of ethics Dress code can be
be allowed to break can mention mentioned in the code
Laws + Values
laws that employees like uniform or suit or tie
handling or casuals for Friday
E.g. Employees
During or After customers
dealing with senior
That an
citizens
organization
wants all Personal or Private + Clean & Pressed
employees to Work Employees in + wrinkle free cloths to
adhere to patient service be worn by employees
industry Info - shall maintain
Which may secrecy by training
affect companies employees for the
brand name same
 Professional Ethics

The role of A competent Cost Their roles are Cost accountants provide
professional professional management support to managers in each
accountants is in a accountant in is an activity activity of value chains viz
vast array of a business relating to - Problem solving
activities in - Scorekeeper
- Public sector - Attention Customer Continuous
- NPO Is an Planning + Control towards focus improvement
- Professional invaluable improvement
Bodies asset to the Key Value
- academia etc. company Of costs success chain
factors +
Supply
Its not cost chain
reduction analysis
alone
 Mission statement of Institute of Cost Management Accountants

Maintain Disclosure of all facts Be Not to act Only

Independence known when courteous maliciously undertake
preparing cost or and behave work under
Financial reports or in good faith your
statements or with fellow competence
opinions members

No opinion No disclosure Not to secure No receiving Maintain

without first of work by giving of extra fees standard of
assessing it confidential commissions + competence
info Without at all times
Employer’s
approval
 Primary Norms of business ethics

Personal Loyalty Respect towards Business Fairness Community +

Responsibility & between cultivates Environment
Business - Company trustworthy responsibility
Both - Employees relations with its Same
By completing Employees - customers clients through standards for
tasks given to - honesty employees - Reduce waste
them - transparency - Promote safe
Are expected to be Make employees - reliability + healthy
loyal towards co- feel valued Irrespective environment
Acknowledging workers & managers of ranks
mistakes if any
Customer feels Many companies
Co to be loyal towards respected Same fairness try to give back to
with all the community by
customers CSR activities
Customer Investors

Corporate Responsibility ‘Corporate Social

Towards Responsibility’

Employees Clients BOD Customers

 Internal Code of Ethics

According to a Viz
CFA institute

Act with Place Use Practice Promote Maintain

Members of - integrity interest of reasonable + Integrity +
CFA must - competence clients care Encourage + Improve
adhere to the - diligence above + others to Reliability of professional
following their own exercise practice global capital competence
codes of professional market
ethics judgement
when Profession
conducting
investment
analysis Ethically
 Ethics in Business Dealings

Ethics It is an Features Principles

deals with Art or Science
morality
in the Avoid Avoid Give fair
business Of Maintaining Exploitation unfair treatment
relationship with of Consumer trade to
practices employees

Society Groups Other Institutions

Establish Provide Provide Need Needs Not

code of basic Protection willing Education against
conduct teamwork to social acceptance + Profit
of ethics groups Guidance
7 Principles of General Common Unethical practices
Business Ethics Business
ethics is
followed in Corruption Greed for Lack of Ego +
- Be truthful knowledge or domination
- Keep an open mind professionalism of top
- Meet obligations - HRM Profit or Turnover management
- Have clear focus - IPR
- Become community involved - Production
- Maintain accountable control - Sales
- Be respectful - Marketing
 Need

To stop Protect Safeguard Healthy Consumer

malpractices consumer Competition Satisfaction
rights
Employee + Shareholder

Improve Survival of Develop Import

customer Business good ance of
confidence relations labour
+
Create
good
image
 Emotional Intelligence

Also It is the Helps to Based on 4 Aspects EQ Effects

known as ability to - Builds
emotional stronger Performance
quotient relations Self Self Social Relationship
at school +
Understand - Succeed as management awareness awareness management
Work
+ school and of impulsive of your own and having
Manage feeling emotions & empathy
work Developing
+ + their effect Physical
- achieve In a healthy +
Use your Health
way and adopt Maintaining
change good relations
Strength Self Confidence
+
Mental
Your own career Inspiring +
Weakness Influencing Health
emotions in or
positive others
goals
ways Your
Relations