© blr ® —business & legal resources 1408 business ethics what employees need to know

© BLR®—Business & Legal Resources 1408

Business Ethics

What Employees Need to Know


Session Objectives

Recognize the importance of business ethics

Understand the requirements of the law and our ethics policy

Identify ethical problems on the job

Make ethical decisions


Prequiz: How Much Do You Already Know?

Business ethics is only a management issue.

It’s OK to cut ethical corners a little if it increases profits.

There’s no reliable way to know if you havean ethical problem.

No laws require businesses and employees to act ethically.


What Is Business Ethics?Business ethics—a standard of acceptable behavior on the job; a set of rules by which to judge decisions and conduct in the workplace



Why Is Ethical Conduct Important?

“Being good is good business.”

—Anita Roddick, founder of The Body Shop



Legal Requirements• Sarbanes-Oxley Act

• Federal Sentencing Guidelines


• Conduct

• Decision making

• Interactions

Ethics Policy



Ethical Values• Integrity

• Loyalty

• Respect

• Accountability

• Fairness

• Responsibility


Common Reasons for Unethical Behavior• Pressure

• Uncertainty

• Self-interest


Common Reasons for Unethical Behavior (cont.)

• Misguided loyalty

• Lack of personal values


Ethical Problem Areas• Conflicts of interest

• Relationships


Ethical Problem Areas (cont.)

• Communication

• Confidentiality

• Laws and regulation


Doing the Right Thing: Your Choice

Integrity

Expediency

Accountability

Responsibility

Self-interest

Which are ethical values?


ReviewDo you understand:

• What business ethics is and why it’s important?

• Legal requirements?

• Ethics policy?

• Ethical values?

• Common reasons for unethical conduct?

• Ethical problem areas?


How Do You Know If You Have an Ethical Problem?• Discomfort

• Guilt

• Stress


How Do You Know If You Have a Problem? (cont.)

• Anger

• Embarrassment

• Fear


Ethical Decision Making

• Issues

• Facts

• Individuals

• Assistance



Ethical Decision Making (cont.)

• Options

• Thoughts

• Feelings

• Decision


Questions to AskPolicies?

Laws?

Approval?

Precedents?

Fairness?



Questions to Ask (cont.)

Pressure?Interests?

Confirmation?

Support?

Pride?



Ethical Quick Check


Ethics and CustomersIf customers feel they have been mistreated, cheated, or lied to, we will lose their business


Ethics and Vendors

• Follow code of conduct

• Maintain proper relations

• Report unethical proposals


Ethics and Vendors

• Accept gifts or gratuities

• Request favors

• Agree to unusual deals


Ethical Decision Making: True or False?

If you’re embarrassed about a decision, it could be unethical.

It’s best not to discuss ethical decisions with others.

You should find out how similar situations have been handled in the past when making decisions involving ethical issues.

It’s OK to accept gifts from vendors.


ReviewDo you understand:

• How to identify ethical problems?

• Ethical decision making?

• Questions to ask about possible ethical issues?

• Ethical concerns in regard to customers and vendors?


Key Points to Remember

Ethical conduct is required

Understand and follow the ethics policy

Examine actions and decisions

If it doesn’t feel right, it probably isn’t

Consult your boss

© blr ® —business & legal resources 1408 business ethics what employees need to know

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