Loading presentation...

Present Remotely

Send the link below via email or IM

Copy

Present to your audience

Start remote presentation

  • Invited audience members will follow you as you navigate and present
  • People invited to a presentation do not need a Prezi account
  • This link expires 10 minutes after you close the presentation
  • A maximum of 30 users can follow your presentation
  • Learn more about this feature in our knowledge base article

Do you really want to delete this prezi?

Neither you, nor the coeditors you shared it with will be able to recover it again.

DeleteCancel

Make your likes visible on Facebook?

Connect your Facebook account to Prezi and let your likes appear on your timeline.
You can change this under Settings & Account at any time.

No, thanks

Topic 06: Transparency and Code of ethics

No description
by

Marco Robles

on 13 April 2016

Comments (0)

Please log in to add your comment.

Report abuse

Transcript of Topic 06: Transparency and Code of ethics

CODES OF ETHICS IN BUSINESS
AIMS:

1
- gain an
understanding
of
how
the current
interest
in code of ethics and code of conduct
emerged.
The codes of ethics in business
Topic 06
Transparency and code of
ethics
TRANSPARENCY: an assessment of Kantian roots as a key element in democratic states.
*
Kant's Transparency principle
: "all
actions
, relating to the human rights whose maximum
can not be published
,
are unfair
".

* This principles
marked
the
transition
from
absolutist
states to the
democratic
states.

* This means that if those who govern us
keep something secret
, not only they create an
unjust law
, but also
they warn
us about the negative content of the occult, which will
produce
a
negative reaction
to those
affected
.

* Force those who control the state to publish their acts, it is a kind of "auto-controlling", an the first stage for an ethical behavior.
CODE OF ETHICS or CODE OF CONDUCT
* A CODE OF ETHICS is a
voluntary
document that
establishes the policies
and
principles
that
define the meaning
of the institution or sector through guidelines, standards and benchmarks for
its proper functioning
and to
provide more transparency
to our actions.

* There are many
ways to refer
to them , such as "
code of conduct
" or "
code of practice
" or "
code of good governance
" or "
deontological code
" or "
professional code
".

* In Spain, around a 60% of firms have some kind of code of ethics.
BUSINESS CODES (code of ethics or code of conduct)
Business Codes

* We have seen that are codes that define the common project of a particular company or organization.

* The main goals of this type of code are :

1)
Introducing
the firm
personality
,
its character
, it joint project and its
commitments to stakeholders
.
2)
Differentiation
from other companies. A code of ethics is "a
letter or a charter
" which serves to
reinforce
those aspects for which the
company wager
(environment, gender, disabilities, cooperation, etc...)


TRANSPARENCY: an assessment of Kantian roots as a key element in democratic states.
* Transparency implies
clear actions upon information
:

A)
accurate
and
complete
: it has to
avoid bias
and must not only be financial and accounting, but also it has to
cover
aspects related to
triple "P"
(people, planet and profit)

B)
understandable
and
intelligible

C)
public
and easily
accessible
: information should be accessible to
all stakeholders
, not just for a particular type. We must broaden the channels of information and use information technology to bring this information to the general public.
TYPES OF ETHICAL CODES
1)
PROFESSIONAL
codes: establish guidelines and
own moral rules
of
a professional association
(lawyers , doctors, consultants). The oldest code is the " Hippocratic Oath " ( IV b. C.)

2)
SECTORIAL
codes: are proper ethical codes of a
sector, industry or economic activity
(e.g.: the automotive industry , textile , food , construction, development NGOs , etc ...)

a) Define and
enhance
the good concrete
practices applicable
to that sector , and therefore , focus on the peculiarities of it.
b) They
promote

synergies
and
cooperation
, to
save the costs of

distrust
(prisoner's dilemma) .
c) Avoid
bad practices
that
dishonor
the sector.
d) They are
mandatory only

for those companies that have
signed it voluntarily
.

3)
BUSINESSES
codes (code of ethics): are codes that define the
common project
of a particular
company
or organization (eg: Inditex code of ethics ) .

Often the three types of codes coexist in the same organization (eg: Médecins Sans Frontières)
BUSINESS CODES (code of ethics or code of conduct)
The most common
sections on ethical codes
are:

1)
Business or
organizational philosophy
: Economic and social
place
of or
want to occupy
(vision). These are general goals (positioning).

2)
Corporate culture
(long term mission):
specificity values ​​
and
specific rules
for the organization, based on or inspired by the business philosophy. This is a flexible enumeration to facilitate the adaptation to the contexts . Facilitates development of shared interests through their implementation.

3)

Business Policies
: define what should be the
general guidelines
and what should be the organizational structure of the company (hierarchy of priorities that
derive strategic and operational objectives
). Examples:

- What relationship should be maintained with suppliers?
- What information is still with customers?
- Which is the position of the company before bribery?
- How can we interact with the administration?
BUSINESS CODES (code of ethics or code of conduct)
ADVANTAGES:

-
It covers the
nature
of the organization and facilitates the
comparison of
said vs done
(should be - being), that is, allows to study the coherence of the organization.

- Build up the
reputation
of the company and its credibility.

- Provides a business
culture oriented dialogue
(vs. a culture of confrontation).

- Help
employees
to decide for themselves, and
increase their capacity to respond
to problems (ethical dilemmas).

- Facilitates welcoming new employees and increases
loyalty and motivation
of existing.

- Create
corporate image
(not product brand)
DISADVANTAGES:

- An isolated code is
no guarantee of anything
. Must be
part of an ethics program
intervention.


- Possible
misapplication
to be understood as a
catalog of prohibitions
.


- Generalist, voluntarism, impracticable.


- Instrumentation:
advertising
item.


-
Lack of control
and sanction mechanisms.

- Wilfulness is a grandeur and a limitation of ethics.

What happens if it fails?
Ethical committees and other control mechanisms
The
ethical committees
(also called committees of RSC) are a
multidisciplinary group
of people
representing the interests
(legitimated) and sensitivities
of the stakeholders
that affect or are
affected
by the company. They are a team that monitor and evaluate business initiatives.

A)
The
main functions
are:

-
Development
and
monitoring
of the company's
code
of ethics and
ethical policies
.
- Supervise, advise and propose to
support ethical dilemmas
.
- Reflection and
analysis
: to identify relevant ethical issues,
anticipate problems
,
develop new guidelines for conflict resolution
, formulate guidelines and
codes of practice for doubtful situations
.
- Monitoring and control for organizational coherence. Responsible of
ethics audit
.
- Intervention and
arbitration
: they have
capacity to sanction
and
they imply a loss of sovereignty for the company in favor of the stakeholders
.


B)
Challenges for
implementation
:
- How and who can participate?
- Who has standing to participate?

C)

Characteristics of participants
: independent of the direction, diversity, capacity argument, no potentially harmful.
http://www.msf.org/msf-charter-and-principles
http://www.msf.org/msf-charter-and-principles
Full transcript