3 Concerns That Business Usually Deal With In Management

 “Business people who focus on profits wind up the hold. For me, profit is what happens when you do everything else right” (Chouinard)

I typically do not like analogies in business, but sometimes they do make such good sense. When reading this quote by Chouinard, I agree with this quote. How many times are we faced with decisions where “the right thing to do” may be a tough decision? I believe, the right thing to do is always the right decision. This is even more important in business, as the reputation with the customers is based on some level of trust. The trust comes from doing what is promised. The customer assumes they will get what they pay for. They also assume the company will stand behind whatever it is they sell them. Business people cannot go wrong by doing the right thing. In business, this might cause them a little more or take extra time up front. But the extra effort will pay dividends many times over. The best companies, and the people in those companies, have standards that cannot be compromised. This positively impacts both the customers and employees. Without profitability, there is no company. Every employee should understand how he or she fits into the profitability picture. Everyone’s common goal should be to build a strong, profitable company that will last.

What are the most persuasive arguments for, and against, Corporate Social Responsibility? What is the difference between a “legitimate operation” and a business that has lost its legitimacy in the eyes of its stakeholders? What actions can be taken to regain “legitimacy”?

Corporate social responsibility, also referred to as CSR, can be describing as embracing responsibility for a company’s actions and encouraging a positive impact through its activities on the environment, consumers, employees, communities, and other stakeholders. The most arguments both for and against CSR are based on how a company’s attempt to be socially responsible affect its bottom line. CSR argue for the recognition of a “triple bottom line” performance that includes not only financial returns for owners but also social and environmental benefits for the greater society. Legitimacy is an important corporate resource for a company as it embodies the trust its stakeholders have in it as an organization. The difference between a “legitimate operation” and a business that has lost its legitimacy is the view by public. A firm that has gained corporate legitimacy is seen by the public as operating according to the social norms, values and expectations guiding their community. To regain legitimacy, the corporate have to managed and/or repaired by organizational managers developing CSR activities, with strategic intent.

Why can’t you accept my ethics? Where did you get your ethical values, and what are some of the difficulties when an individual’s ethics confront/contradict the ethical values presented by the company?

Ethics is based on a set or moral and ethical values. These values must be absolute—people must take them seriously enough to override any human rationalization or personal faults. Unfortunately, life is not that easy and there’s always disagreement about what values should reign supreme. In the world of business ethics, employer helps company. Their values are the company’s values (in the context of work). The freedom to choose our own ethical values is somewhat limited. However, from the corporation’s perspective, manager must lead by example. Good ethics should be most noticeable at the top. Then every employee should be accountable to the same rules. Corporate values and ethics initiative must be sold and marketed throughout a company. Considering the rash of corporate scandals these days, the thought of following the corporation’s values might not be too comforting. The difficulties is whose or what values can we trust? Honesty. The old adage “honesty is the best policy” is true today and more than ever. You are either honest or not. Even if you haven not get caught yet, most people know who is and who is not. Another difficulties that an individual face with ethics is responsibility. Blaming others, claiming victimhood, or passing the buck may solve short-term crises, but refusal to take responsibility erodes respect and cohesion in an organization. Ethical people take responsibility for their actions. Likewise, actions show the ability to be responsible both in the little and big things.

References:

http://www.notjustforprofit.org/

http://ro.uow.edu.au/cgi/viewcontent.cgi?article=1062&context=aabfj

https://blogs.cfainstitute.org/investor/2013/10/21/confronting-ethical-dilemmas-at-work-why-do-good-people-do-bad-things/

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