The Importance of Ethical Standards

Ethics Essay Outline

Introduction

• The importance of ethics in organizations
• Ethical standards as crucial for proper functioning

Five Sources of Ethical Standards

• Utilitarian ethics: Balancing good and harm
• Rights ethics: Protecting individual rights and dignity
• Justice and fairness ethics: Treating everyone equally
• Common good ethics: Promoting the well-being of all
• Virtue ethics: Building moral standards on universal values

Empirical Approach to Ethical Decision-Making

• Study on level-headed vanity and ethics in the workplace
• Four principles derived from the study

Steps in Ethical Decision-Making

• Self-interest level: Identifying the need for ethical decisions
• Consult resources and seek assistance: Utilizing available resources
• Development and application of ethical principles
• Illustration using the Enron Corporation case

Enron Corporation Case

• Overview of Enron Corporation
• Factors contributing to Enron's downfall
• Role of unethical leadership and corporate culture
• Deceptive accounting practices and their consequences
• Lack of effective leadership and its impact on the organization

Conclusion

• Recap of the significance of ethics in organizations
• Lessons learned from the Enron case regarding the consequences of unethical behavior

Ethics Essay Example

From various perspectives, morals may feel like a delicate subject, a discussion that can hold up when contrasted with other all the more apparently squeezing issues (a procedure for activities, contracting the correct specialists, and meeting organization objectives). In any case, setting morals aside for later can spell inconvenience for any association. Much like the procedure of organizations making the organization mission, vision, and standards; the point of morals needs to enter the discussion. Morals are significantly more than somebody making the best decision; it is commonly attached to legitimate methods and strategies that if ruptured can put an association stuck in an unfortunate situation.

There are five wellsprings of moral benchmarks:

Utilitarian

This one is about adjusted, and this approach attempts to deliver the best great with the minimal measure of damage to those included. It manages outcomes and professionals who utilize this strategy are endeavoring to locate the best moral approach for a great many people. Rights Pioneers who choose to run with a "rights approach" are hoping to secure and regard the rights and ethics of any individual who could be affected by moral choices. The goal is for individuals to be dealt with decently and with respect and not as an unfortunate chore.

Reasonableness

This one addresses the way that everybody ought to be dealt with similarly paying little respect to their position or impact in an organization.

Basic Good

Pioneers should endeavor to ensure the prosperity of everyone around them. This moral standard puts a great deal of accentuation on connections, and how sympathy for the individual man should drive individuals to do great for others. Ethicalness An ethical approach expects pioneers to construct moral models with respect to widespread ideas, for example, genuineness, valor, empathy, resistance, and numerous others.

An Empirical Approach to an Ethical Decision-Making Model

In 2011, an analyst at the University of Calgary in Calgary, Canada finished an examination for the Journal of Business Ethics. The exploration is based on a thought of level-headed vanity as a reason for creating morals in the work environment. She had 16 CEOs figure standards for morals through the mix of thinking and instinct while shaping and applying moral standards to a regular situation where an issue of morals could be included. Through the procedure, the CEOs settled on an arrangement of four standards:

Self-intrigue Level

Some underlying investigation needs to occur for pioneers to really comprehend where they have to acquire moral standards. Pioneers need to choose why a moral choice should be made and the results that are wanted for the choice. Counsel Resources and Seek Assistance Pioneers at that point need to deal with building up a procedure utilizing the assets and individuals around them. Regardless of whether it be qualified collaborators, HR experts, or approaches and handbooks set long prior, pioneers need to pick up lucidity from different sources while making a technique to handle the issue. Now take an example of the real organization of ethical misconduct Enron Corporation.

The Enron Corporation was a U.S energy services and commodities company with headquarter in Houston, Texas. Enron raised to the seventh largest corporation in the US by the year 2000. Revenue count of the organization in the year 2000 was $101 Billion. On December 21, 2001, it collapsed in the most unusual way in the circumstance that led the scandal to become the largest bankruptcy and the stock collapse in history as that time A major reason for the downfall of the Enron was the Accounting Firm. Enron success was maintained by an internally systematic accounting fraud which has come to be called Enron Scandal. One notable effect of this scandal on the corporate world was the dissolution of one of the top five largest audits and accounting partnership in the world as at that time.

Virulent culture leads to the death of Enron. Various department heads of the organization had developed a habit of following the malpractices such as deception, greed & corruption. The nontransparent procedures and steps involved in the management of the firm by the executives lead the organization to the distal end. Ethical and loyal Employees when tried to raise question against the board either they were ignored or fired. The leaders were concerned about enriching themselves then the demands of their employees. This malpractice hampered the leadership vision with its employees that is beyond making money.“ Greed for the lack of a better word is good, Greed is right, greed works. Greed Clarifies lets through” Gordon Gecko, Wall Street.

Deceptive accounting practices of the executive to cover financial losses and sometimes its gains too. These unethical behaviors of the organization which includes fake structured financing techniques which were a flop show for them. This lethal corporate culture in Enron is without a doubt the significant reason for its fall. The domain where there is no trust and transparency among boss and representative results in a working environment loaded up with mystery and doubt that spurned interior competitiveness and pessimism.

Chief Operating Officer ( Lack Of leadership) - Jeffery Skilling was serving both positions of COO as well as president and later CEO. He did not perform his duties well for the formation of the staff executive which led to the improper skills. His enormous sense of self would not enable him to see his flaws and make adjustments: definitely driving the organization to one of the biggest business failures ever.