Introduction

5/27/2018 Introduction

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INTRODUCTION

At the down of global civil society, the test for humanity is to achieve unity while

preserving cultural differences as well as the distinctiveness of nations and

peoples. Such unity can be reached only by recognizing human values, especially

human rights. However, these rights must be strictly determined and more than

mere obligations. Hence, the most important task for philosophy is to develop

foundations and principles for a world society and to formulate a global

consciousness and a humanistic worldview that adequately reflects the realties of

our epoch. Our action must increasingly be based on an acknowledgment of global

values.

ETHICS

Ethics is a branch of social science. It deals with moral principles and social

values. It helps us to classify, what is good and what is bad? It tells us to do good

things and avoid doing bad things.So, ethics separate, good and bad, right and

wrong, fair and unfair, moral and immoral and proper and improper human action.

In short, ethics means a code of conduct. It is like the 10 commandments of holy

Bible. It tells a person how to behave with another person.

So, the businessmen must give a regular supply of good quality goods and services

at reasonable prices to their consumers. They must avoid indulging in unfair trade

practices like adulteration, promoting misleading advertisements, cheating in


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weights and measures, black marketing, etc. They must give fair wages and

provide good working conditions to their workers. They must not exploit the

workers. They must encourage competition in the market. They must protect the

interest of small businessmen. They must avoid unfair competition. They must

avoid monopolies. They must pay all their taxes regularly to the government.

In short, business ethics means to conduct business with a human touch in order to

give welfare to the society.

Definition of Business Ethics

According to Andrew Crane,"Business ethics is the study of business situations, activities, and decisions where

issues of right and wrong are addressed."

According to Raymond C. Baumhart,"The ethics of business is the ethics of responsibility. The business man must

promise that he will not harm knowingly."

FEATURES OF BUSINESS ETHICS

The features of business ethics are:-

Code of conduct:Business ethics is a code of conduct. It tells what to do and what not

to do for the welfare of the society. All businessmen must follow this code

of conduct.


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Based on moral and social values:Business ethics is based on moral and social values. It contains moral

and social principles (rules) for doing business. This includes self-control,consumer protection and welfare, service to society, fair treatment to social

groups, not to exploit others, etc.

Gives protection to social groups:Business ethics give protection to different social groups such as

consumers, employees, small businessmen, government, shareholders,

creditors, etc.

Provides basic framework:Business ethics provide a basic framework for doing business. It

gives the social cultural, economic, legal and other limits of business.

Business must be conducted within these limits.

Voluntary:Business ethics must be voluntary. The businessmen must accept

business ethics on their own. Business ethics must be like self-discipline. It

must not be enforced by law.

Requires education and guidance:Businessmen must be given proper education and guidance before

introducing business ethics. The businessmen must be motivated to use


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business ethics. They must be informed about the advantages of using

business ethics. Trade Associations and Chambers of Commerce must also play

an active role in this matter.

Relative Term:Business ethics is a relative term. That is, it changes from one

business to another. It also changes from one country to another. What is

considered as good in one country may be taboo in another country.

New concept:Business ethics is a newer concept. It is strictly followed only in

developed countries. It is not followed properly in poor and developing

countries.


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VALUES

The word value is derived from French word velour which means worth, merit,

usefulness or importance of thing. Value concept is more relative than absolute. A

value is a belief on which a man acts by preference.

By values we mean the motive and the basis for choosing between alternative

courses of action when a critical decision needs to be taken. High values lead to

objective, fair altruistic decisions and actions, and ensure the welfare of all

concerned. Low values do exactly the opposite.

Values are a set of principles or standards of behavior that are regarded as

desirable, important and held in high esteem by society. They are based on the

moral norms of standards. Value is the importance or usefulness of something.

Since we give importance, we try to protect values. We value money and jewelry,

so keep it under lock. Values reflect personal attitudes and judgments, decisions

and choices, behavior and relationship, dreams and vision. They give rise to

beliefs, thoughts, feelings and actions.

A personal or cultural value is extremely absolute or relative ethical value, the

assumption of which can be the basis for ethical action. A value system is a set of

consistent values and measures. A principle value is a foundation upon which other

values and measures of integrity are based. Those values which are notphysiologically determined and normally considered objective, such as a desire to

avoid physical pain, seek pleasure, etc., are considered subjective, vary across

individuals and cultures and are in many ways aligned with belief and belief


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systems. Values have typically been studied in sociology, anthropology, social

psychology, moral philosophy, and business ethics.

Values represent basic convictions or enduring belief that a specific mode of

conduct or end-state of existence is personally or socially preferable to an

opposite or converse mode of conduct or end-state of existence.

Thus, values are a prescriptive belief which depicts what is good and what is

bad. A value shapes beliefs which determine behaviour and personality of an

individual.

Value shapes Beliefs Perception Attitudes

Behaviour, Personality, Interests

CHARACTERSTICS

Values are often vaguely defined by an individual. Values are often defined in terms of concepts. Values support individual needs. An individual tries to satisfy those needs

through actions consistent with a particular value.

Values are often acted upon to satisfy the individual's need for security,stability, control, and respect for his or her rights as a human being.


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Values change as needs and circumstances change. Values may be internalized through learning or adopted as a result of life

experiences.

SOURCE OF VALUES

Life Environment Self Society and culture Ideal Transcended dimension of human existence and experience

TYPES OF VALUES

Universal Values- Something is of universal value if it has the same valueor worth for all, or almost all, people. This claim could mean two

importantly different things. First, it could be that something has a universal

value when everybody findsit valuable. This was Isaiah Berlin's

understanding of the term. According to Berlin, "...universal values....are

values that a great many human beings in the vast majority of places and

situations, at almost all times, do in fact hold in common, whether

consciously and explicitly or as expressed in their behaviour..." Second,


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something could have universal value when all people have reason to believe

it has value. Amartya Sen interprets the term in this way, pointing out that

when Mahatma Gandhi argued that non-violence is a universal value, he was

arguing that all people have reason to value non-violence, not that all

people currently value non-violence. Many different things have been

claimed to be of universal value, for example- fertility

, pleasure, and democracy. The issue of whether anything is of universal

value, and, if so, what that thing or those things are, is relevant

to psychology, political science, and philosophy, among other fields.

Core Values- The core values of an organization are those values we holdwhich form the foundation on which we perform work and conduct

ourselves. We have an entire universe of values, but some of them are so

primary, so important to us that through out the changes in society,

government, politics, and technology they are STILL the core values we will

abide by. In an ever-changing world, core values are constant. Core values

are not descriptions of the work we do or the strategies we employ to

accomplish our mission. The values underlie our work, how interact with

each other, and which strategies we employ to fulfill our mission. The core

values are the basic elements of how we go about our work. They are the

practices we use (or should be using) every day in everything we do.


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Instrumental Values - Instrumental value is the value of objects,both physical objects andabstract objects, not as ends-in-themselves, but a

means of achieving something else. It is often contrasted with items

of intrinsic value.

Social Values- Social values are certain qualities and beliefs that are sharedwithin a specific culture or group of people. These traits can be religious,

economic, political, etc.

Intrinsic Values- Intrinsic value is an ethical and philosophic property. It isthe ethical or philosophic value that an object has "in itself" or "for its own

sake", as an intrinsic property. An object with intrinsic value may be

regarded as an end orend-in-itself

Cultural Values - Cultural values are things that have come from ourculture which are important to us and that we hold some value to. It may be

religious practices, rituals or anything else but it is a representation of our

culture and it means something to us.

Personal Values - Personal values are those standards that you set foryourself to live by. Since these values vary by individual, they are

"personal" and can include many things. Religion, morals, and ethics play a

part in personal values. All personal values are tools to make the individual

feel good about his conduct.


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NEED OF VALUES FOR COMPANIES

It makes leading and managing your team A LOT easier. Core Values are aset of clear rules. And when really alive in a company, you dont need a lot

of other rules. You see, so often we create rules for the few who break

them. But they, in turn, penalize the majority who dont break them. Which

doesnt really make sense. A clear set of core values eliminate the need for

a lot of these dumb rules. And when your team is living and breathing your

core values, they usually do the right thing and make the right choices,

making managing and leading easy.

It forces you to become better at hiring. Most companies focus on talentwhen they hire. And this is wrong. You cant build a great place to work if

you dont hire for skill AND culture fit. Byusing your core values through

your hiring process, you start to weed out the wrong people, and attract the

right people. Which is a pivotal tool (the most important tool?) in building a

great culture.

It gives you your brand identity. How can you differentiate yourself in themarketplace? We often leave this up to the branding folks. But if you arent

living your brand on the inside, how do you think you will live up to it on

the outside, when a customer buys your product or service? By building

your culture around your core values, and the aligning it with your brand,

now that is a powerful brand. That is a powerful identity. Why should you

be different to your customers then to your people? You shouldnt.

Authentic brands win in the end.Your culture is your brand. (And your


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brand is your culture). That is why, at Nurse Next Door, we focus so much

on our culture.

It makes your company perform better. I wrote a post Culture EatsProcess for Breakfast. I love this statement. You can have the best

processes in the world, but if you dont have a strong culture to work them,

it will only work so well. There is a reason why companies with the best

cultures continually outperform companies who dont. Their people work

better. They are more productive.

It provides a framework for decision making. When your core values arestrong, they should be your guide to decision making. After all, they are

your moral compass. They should tell you what to do. And what not to do.

And if you can clearly communicate WHAT they really mean, then they

become a powerful device in empowering your employees (especially your

front line employees) to make decisions. After all, that is what we all really

want, right?

It prevents your company from lurching from crisis to crisis. GeorgeNadaff, founder of Boston Chicken, and my first teacher at MIT, said

something that I have always remembered business equals problems,

problems equals business. No business, no problems, no problems, no

business. The fact is, running a business is all about problem solving.

Constantly. And there is always a crisis out there. And what we tend to do

when we run and build companies is lurch from crisis to crisis because we

dont have a clear path to follow, or an unwavering commitment to

something really big and important. Core Values keep you on your path


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(along with the other components of vision: purpose and the painted

picture). They force you to make tough decisions that in the long run, are

good for your company.

It is the one constant in your company that will never change. And that isgood for your people. Think about it. Everything will forever change in

your company. Everything is always in a state of flux. But sometimes it is

just nice to have things remain the same. It is comforting. Well that one

thing is your core values. Your people know that they will remain forever.

They wont change. There wont be a new flavour of the month that they

have to memorize. Or learn.

It helps to address the problem that companies face. In a recent VerneHarnish Insight, he write that communication is the problem companies

face. Communication is hard. And it becomes increasingly complex as you

add people. Core Values wont solve all of your communication issues, but

it sure will a crucial role in improving communication through your

company. Why? It provides a framework and a foundation for

communication; a framework that all of your people can understand.

Your core values are the foundation of your culture. Without them, you cantbuild a long lasting, sustainable culture. Just like in point, when you build

your culture around your core values, your culture wont rise and fall with

the times. Do you think you ever hear about those cool companies where

they can bring their toys and dogs to work, and get breakfast served to them

while at their desk in the tough times? No. Because these perks dont mean

nearly as much when the times are tough (either the company is running out


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of money or there is a recession either / or.The companies that you do

hear about? That win the best employer awards year after year, despite

facing the same tough conditions? Yup. The ones with a strong foundation

of values.

It lets people be themselves. It lets your company be itself. Why? Because itis crystal clear WHO you are and WHO you should be at work. It is crystal

clear what is acceptable. And crystal clear what is NOT acceptable. And

when you let people be themselves at work, they will perform better. And

be happier.

It elevates your uniqueness. When you really know yourself, you can letyourself shine through. And you arent afraid to show your uniqueness.

Think Zappos. Think Southwest Airlines. Two radically unique companies,

who let their uniqueness shine all the way through from their culture to

their brand. Why? Because they know exactly who they are. And their

people do too. So they magnify their uniqueness.


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GLOBAL CHANGE

Global change is a complex process; many interconnected factors can be regarded

as either causes or consequences. There is controversy about several aspects

particularly those that have economic and political implications. Anxiety and

concern are expressed in many mass media discussions of global change. Scientific

journals are more restrained; the evidence does not warrant the conclusion that the

effects of global change will be calamitous.

It is defined as the changes in the global environment (including alterations in

climate, land , oceans and other ecological systems ) that may alter the capacity of

earth to sustain life

GLOBAL CHANGE vs. HUMAN VALUES

Science and Technology v. Human values:

sci is the root word for science. It means splitting, breaking up, segmenting.

When this consciousness, underlying the scientific temper, is extended by

technology into the domain of our material existence, human consciousness begins

to suffer from increasing fragmentism.

We have to realize that fragmentation of the human consciousness, accelerated by

science and technology, is a prime cause of the widespread fall in the level of

human values reflected in our lives. It has destroyed the golden maxim for higher


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values: Simple living, high thinking. The opposite has been taking palace, lately

at a furious pace: Complex living, low thinking.

Standard of living, Consumerism, Economic Growth and Employment v. value

system: Add to this the content of new- model economic growth- consumer

durables for high life style, breweries, airlines, five star hotels, holyday resorts,

epigram spots, discotheques, fast food chains, video parlors etc are the most

prominent symbols of a modernized society. You feel that this model of economic

growth with its two wings of voracious consumerism and strident life style is not

only not generating much needed incremental employment that also causing an

erosion of both desirable values agents and values as means.

CAUSE OF NEED OF VALUES IN GLOBAL CHANGE

Unreasonable personal expectations. Widespread unhappiness due to comparisons with colleagues. Disillusionment with performance appraisal systems and promotion criteria. Division into camps and cliques hampering fruitful communication. Frequent fits of anger amongst top level officials or entrepreneurs. Regional prejudice Glorification of speed and excitement as against serenity and harmony. Limitless addiction to lower order material needs.


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VALUES NEEDED IN THIS GLOBAL CHANGE:

Values are the good habits that are contagious. They are passed down

through generations. Values bind us together and set us apart. Today, our society

is seeing a terrible amount of lack of value. People are discriminating and being

discriminated against. Nature is being destroyed, while destruction is being

planned. What can I say, we seem to be leaving behind a legacy of hatred and

destruction for our future generations. What does our society need? It needs a

value check and mindset change. People are forgetting the values of extremeimportance which we need to focus on.

EMPATHYThe most important value in our life revolves around empathy. How can one

concentrate on co-existing on the same planet, without a speck of empathy.

We need to be able to accept others for what they are, not what they can do

for us. We need to stop concentrating on how we can reduce competition

and focus on how we can grow together. While we all have to look out for

ourselves at the end of the day, we need to remember this quote, "The day

we stop fighting for each other, we stop being humans!"

MUTUALRESPECTIt is clear, we all have our strengths as well as weaknesses. Mutual respect

means having respect in our minds for everyone. Even if you are up against

a person, wherein it is your honor against theirs, it is important to have

mutual respect. It is this respect that makes us human. Without this respect,


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we become like animals. This respect can help us keep the balance between

welfare state and social Darwinism in society. We need to respect our

friends for their friendship and our enemies for their ability to becompetitive and their conviction. Mutual respect in one of the crucial values

in a relationship.

LOVEThis may seem surreal, but honestly, love conquers all. With love in our

hearts, we feel no need to harm another. We will raise ourselves, rather than

pull another down. We will focus on the similarities of opinions rather than

the difference of color, religion or sexual orientation. We will punish, but

not kill. We will request, but not steal. With love, we will be people and not

monsters! Yes, if we want our society to be good to us, we need to be good

to it, as well. After all, you give love to get love, right?

LOYALTYPeople often forget the meaning and importance of loyalty. Loyalty is an

emotion that binds us to a person, thing or sentiment. This emotions restricts

us from ever betraying that person or thing. As such, what our society

clearly needs today, is loyalty. We need to be loyal to each other, to shudder

at the thought of speaking, or thinking negative about each other. We need

this loyalty to gather the strength to stand up against something that will

harm our society and to stand up for the oppressed. It is this loyalty, that will

bring down the global walls and make this world one big home again!


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HONESTYWe all claim to follow the above values in society, right? In our own way,

we think we are perfect. Honesty in society is to accept yourself for what

you are, and let everyone know that as well. This honesty will help you

make yourself better, simply because you had the ability to admit your flaws

and work towards improving yourself. It is this honesty, that will make

others help you out, not because you need it. But, because they have flaws

too, which you can help out with. This honesty will help us follow the other

values in society and, truly, "heal the world"!

While there are other values like education, empowerment of the weak and

no discrimination, etc., the above are, in my opinion, the most important

values to abide by, even for children. An early start will make your little one,

a better global citizen.


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CASE STUDY

Apple Inc.

Apple Inc., formerly Apple Computer, Inc., is an American multinational

corporation headquartered in Cupertino, Californiathat designs, develops, and

sells consumer electronics, computer software, and personal computers. Its

best-known hardware products are the Mac line of computers, the iPod, the

iPhone, and the iPad. Its software includes the OS X and iOS operatingsystems, the iTunes media browser, the Safari web browser, and the iLife and

iWork creativity and production suites. The company was founded on April 1,

1976, by Steve Jobs, Steve Wozniak and Ronald Wayne and incorporated on

January 3, 1977. The word "Computer" was removed from its name on January

9, 2007, reflecting its shifted focus towards consumer electronics after the

introduction of the iPhone.

Apple has been one of the world's largest technology companies by revenue. It

is the world's third-largest mobile phone maker after Samsung and Nokia.

Fortune magazine named Apple the most admired company in the United States

in 2008, and in the world from 2008 to 2012. However, the company has

received criticism for its contractors' labor practices, and for Apple's own

environmental and business practices.

As of November 2012, Apple has 394 retail stores in fourteen countries as well

as the online Apple Store and iTunes Store. It is the largest publicly traded

corporation in the world by market capitalization, with an estimated value of


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US$626 billion as of September 2012.The Apple market cap is larger than that

of Google and Microsoft combined. As of September 29, 2012, the company

had 72,800 permanent full-time employees and 3,300 temporary full-time

employees worldwide. Its worldwide annual revenue in 2010 totaled $65

billion, growing to $156 billion in 2012.

Apple Inc. Values

Apple Values are the qualities, customs, standards, and principles that the

company believes will help it and its employees succeed. They are the

basis for what we do and how we do it. Taken together, they identify

Apple as a unique company.

These are the values that govern our business conduct:

Empathy for Customers/Users:We offer superior products that fill real needs and

provide lasting value. We deal fairly with competitors and meet

customers and vendors more than halfway. We are genuinely

interested in solving customer problems, and we will not compromise

our ethics or integrity in the name of profit.


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Aggressiveness/Achievement:We set aggressive goals and drive outselves hard to achieve

them. We recognize that this is a unique time, when our products will

change the way people work and live. It is an adventure, and we are in

it together.

Positi ve Social Contri bution:We build products that extend human capability, freeing people

from drudgery and helping them achieve more than they could alone.

But beyond that, we expect to make this world a better place to live.

As a corporate citizen, we wish to be an economic, intellectual, and

social asset in communities where we operate.

Innovation/Vision:We built our company on innovation, providing products that

were new and needed. We accept the risks inherent in following our

vision, and work to develop leadership products that command the

profit margins we strive for.

I ndividual Perf ormance:We expect individual commitment and performance above the

standard for our industry. Only thus will we make the profits that

permit us to seek our other corporate objectives. Each employee can


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and must make a difference. In the final analysis, individuals

determine the character and strength of Apple.

Team Spir it:Teamwork is essential to Apple's success, for the job is too big

to be done by one person. Individuals are encouraged to interact with

all levels of management, sharing ideas and suggestions to improve

Apple's effectiveness and quality of life. It takes all of us to win. We

support each other and share the vistories and rewards together. Weare enthusiastic about what we do.

Quality/Excellence:We care about what we do. We build into Apple products a

level of quality, performance, and value that will earn the respect and

loyalty of our customers. At Apple, quality management is critical to

our continued success.

I ndividual Reward:We recognize each person's contribution to Apple's sucess, and

we share the financial rewards that flow from high performance. We

recognize also that rewards must be psychological as well as financial,

and we strive for an atmosphere where each individual can share the

adventure and excitement of working at Apple.


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Good Management:The attitudes and behaviors of managers toward their people are

of primary importance. Employees should be able to trust the motives

and integrity of their supervisors. It is the responsibility of

management to create a productive environment where Apple Values

flourish.


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CONCLUSION

Organizations optimize their productivity when employees view their work asmuch more than the mere trading of skills for money. To achieve this heightened

commitment, organizations should integrate their values, translate them into an

ethic, and align that ethic with their strategies. When an organization achieves this,

its employees see their work as vehicles with which to fulfill their own higher

spiritual quests to make rare and needed contributions. The money they earn

reflects the value of their contribution and provides them with both economic

security and emotional self-esteem. This leads employees to invest their intellects

and their passion in the work they do, driving their organizations' thinking to the

very edge of competitiveness, and their performance beyond that.

Introduction

Documents

ethics of business

definition of business

limits of business

study of business situations

business man mustpromise

ethics of responsibility

social values

code of conduct