Goree (2007, p. 132) notes: “ethics refers to the morality of human conduct that can be evaluated in terms of either being good or bad, so if related in a business situation it will mean corporate ethics, which combines both applied and professional attributes that examines principles and moral problems that arise at any business environment.” Just like laws, business ethics are fundamentals set out, which are meant to upgrade the standards of performance in the field of business and ensure a fair competition. In any given company or business institution, what prevails mostly is corporate ethics that is concerned with how a company’s administration decides what they will do or foregone. Genuine corporate ethics have to flow right from the executives of a company down to the staff and the more importantly being honesty with employees as it will ensure thriving of business. Some executives in a variety of companies tend to formulate their own code of ethics which they expect their juniors to follow and in so doing it hampers its growth thus giving it a bad name and lowering its productivity (Ferrell, Fraedrich & Ferrell 2006, p. 52).
Dictatorial measures imposed upon the workers happen to affect the workforce in the sense that it leads to their demoralization at the same time painting a part image of the company to the public. Considering the suicide spells reported recently at an i-factory in China known as the Foxconn Technology Group, which deals with making of electronics whereby the death toll has risen to ten within a span of one year. Goree (2007, p. 118) notes that “the reason of this being long shifts is fast moving assembly lines and managers enforcing military-style discipline in the work force.” This is a high level of discrepancy on the part of the managers towards the factory because one thing is they are losing workers and at the same time creating in people a kind of phobia in trying to seek for employment to work there. In carrying the affairs of a company in that manner it shows clearly that there are no ethics at all which guide all employees but instead capitalism reigns and in so doing a bad relationship between the workers and the stakeholders is created (Goree 2007, p. 78).
The factory should first of all revise their working time to a manageable level and treat the workers in a friendly manner as this will boost its potential to work hard. Ethics in business is all about honesty which should flow from all directions and this is enhanced by having everybody avoid bluffing and talk positively. Nevertheless, workers should be advised not to speak negatively concerning other companies, and also fraud should be discouraged completely as it lowers the economic gains expected. Every business holder or manager has to bear in mind that we live in a very competitive world where ones customs will bring about aggression in the struggle for success. Every company has the legal right to set its strategy without referring to anything but its profits as long as it does not overstep the legal framework set by the government to control them. If it takes a long term view of its profits, it will be able to maintain amicable coexistence with those it deals with. An intelligent businessman will, nonetheless, seek merit to a point where he or she generates hostility among employees, his business competitors, customers, the government or even the public and all these is carried out as per the strategies formulated.( Carr 1997, p. 45)
However, the sole reason for undertaking any business is to maximize profits and so the proprietor(s) has to master the principles which guide it and most importantly its ethical outlook. All this can be achieved from ones reputation for integrity, honesty, and decency although bluffing encouraged but at a limited rate just as a way of saving the business. What people should uphold in their mind is that a company is usually not there purposely to make money; although that’s part of why its established, rather it is a collection of people who have come together and formed an institution where they can accomplish collectively what they couldn’t as individuals so underrating anybody because of his position should be discouraged. Human resource is a major element in the growth of any business and if not taken care of will disrupt the process of building the company, therefore to avoid collapse and restore its confidence to the public for instance the i- factory, the managers ought to respect their staff and have them work under favorable conditions but within the set out regulations. (Foreman, 2010).Another thing being reasonable remuneration; not a case where an executive earns four times his junior, as this will boost their morale thus increased and effective workload which will result to long term maximized profits. We should not have a situation where dividends are only paid to the company shareholders alone but also the staff that aids the daily activities of the company as they are the ones that ensure the invested capital is put into use to realize the intended profits (Shaw 2004, p. 76)
In today’s globalized world of business, companies ought to create and implement a centralized corporate ethics program that can provide a cohesive, internally consistent set of statements and policies representing the corporation as a moral agent. This the biggest challenge and the best way to achieve it is by providing character education to employees or hiring experts to sensitize them on ethical issues. All these values if well implemented in a business environment, there will arise no gross misconduct among the employees and the stakeholders in a given institution what will translate to good working relationship. In so doing, the company evades some legal sanctions from the government and consequently saving the human resource costs. If the i-factory had successfully gone through this process it would not have experienced the death scandals that took place. Business is about strategy setting and proper implementation if you are after increasing profits and restoring public confidence in your business, what at the end of the whole chain will be maximized output realization (Thompson 2008, p. 96).
Reference list
Carr, A (1997). Ethics in Business and Economics, The International library of Management. Ash gate, Dartmouth.
Ferrell, OC, Fraedrich, J & Ferrell, L. (2006). Business ethics: ethical decision making and cases. Cengage Learning, Canada.
Foreman, W. (2010). Apple Supplier Foxconn suffers 10th death this year, asks workers to sign anti suicide pledge. The Huffington Post.
Goree, k. (2007). Ethics in the Workplace. Thomson South-Western, New York.
Shaw, HW, (2004) Business ethics. Thomson/Wadsworth, Washington, DC.
Thompson RE. (2004). Think Before You Believe. Philadelphia, XLibris, 2004.