Ethics refers to prescribed or accepted code of conduct. For a business to run smoothly there must be rules and regulations that govern the behaviour of each and every employee.
These rules could either be written implied or naturally accepted especially if they affect the moral standards.
THE ROLE OF ETHICS IN BUSINESS
- Encouraging good working relationships among workers
- Ensuring good working relationship between employer and employee
- Ensuring rights of individuals in working environment are protected e.g. a doctor is expected to treat and not kill
- Ensuring that professionals relate professionally to their clients e.g. counsellor and their client
- Helping workers to protect and hold a good reputation
- Helping the workers to develop proper skills and right attitude towards their work.
– The business set up and operations should be such that they provide ample facilities and opportunities for each employee too practice the business ethics. For example, it would be very difficult for an employee to uphold business ethics if the management mistreats him/her.
NB: Business ethics is not the same as social responsibility because social responsibility refers to relationship between organisations and the society around.
While ethics refers to set values and principles which influence how individual groups of people and society in general behave.
– Business ethics deals with how such values and principles affect business operations. Business ethics therefore guides the business in ensuring fair play in business operations.