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Factors that Influence Ethical Behavior at a Workplace

By- Nirikshitha Saiprasanth (2018IMG-051)

Ethical behavior

Ethical Behavior

Acting in ways consistent with what the society and individuals typically think are good values. Ethical behavior tends to be good for a workplace or a business and involves demonstrating respect for key moral principles such as honesty, fairness, equality,dignity, diversity and individual rights. The employee's ethics determine their everyday conduct.

Need to behave ethically

  • to gain appreciation
  • to earn respect
  • to maintain a healthy work culture

Need

Bottom line

Hence, one needs to adhere to the rules and regulations and conduct themselves well at a workplace.

Bottom line

Else.....

Importance of Ethical Behavior

Importance

  • People and customers feel safe when working with a company if they know people are following morally sound guidelines. It builds the reputation of the business and doing "clean business" or keeping "customers as a priority."
  • Many professionals won't remain in business if the public doesn't feel that the person or the company operates ethically. Banks, financial representatives, lawyers all must follow high ethical standards. Any company taking credit card information needs to maintain strict privacy and information protection policies to get consumer confidence.

Factors that Influence Ethical Behavior

Factors

  • Individual factors
  • Organisational factors
  • Legal interpretations
  • Other factors

Individual Factors

Individual Factors

Many individual factors affect a person's ethical behaviour at work, such as knowledge, values, personal goals, morals and personality. The more information that you have about a subject, the better chance you will make an informed, ethical decision.

  • Values are an individual's judgment or standard of behaviour. They are another individual factor that affects ethical behaviour. To some people, acting in an improper way is just a part of doing business.
  • Morals are another individual characteristic that can affect an individual's ethics. Morals are the rules people develop as a result of cultural norms and values and are, traditionally, what employees learn from their childhood, culture, education, religion, etc

The Life of Former Tamil Nadu Cheif Minister Kumaraswami Kamaraj

Example

During his tenure as Chief Minister, when the municipality of Virudhunagar provided a direct water connection to his house in his hometown, Kamarajar ordered it to be disconnected immediately as he did not want any special privileges. He refused to use the Z-level security that was provided to him as the CM of Tamil Nadu and instead traveled with just one police patrol vehicle. He did not marry, did not own any property[7] and was never tempted by power. When he died, he left behind 130 rupees, 2 pairs of sandals, 4 shirts, 4 dhotis and a few books.

Organisational Factors

Organisational Factors

  • Competition
  • Reward System
  • Code of Conduct
  • Job Characteristics
  • Resources
  • Organisational Culture
  • Organisational Goals
  • Manager Behavior
  • Organisational Climate
  • Positional Authority

SATYAM SCAM

Counter Example

Unethical behaviour by the director,Mr. Ramalinga Raju, the director of PwC and SEBI

  • overstated revenues and profits
  • overstated debtors
  • understated liabilities
  • paid salaries to non-existent employees-53000 in place of actual 40000

Serious questions regarding conflict of interest

What was indeed questionable?

  • When did promoter families become executive directors?
  • When did audit firms that are tasked to uncover any wrong doing,end up certifying worthless accounts?

Legal Interpretations

Legal Interpretations

  • Legal Environment
  • Political Factors
  • Economic Factors

Legal Environment

Rules and laws are formalised and written standards of behaviour. Both rules and laws are strictly enforced by the legal system. Laws relate to all the members of the society. Observing the laws voluntarily allows for predictability of individual behaviour.

Legal Environment

Political Factors

Political Factors

Political environment of the country will affect the individual behaviour not directly, but through several other factors. In a politically stable country there will be a steady level of employment (both in quantity and quality) and high level of capital investment. Whereas companies are reluctant to invest large sums of money in a politically unstable country.

Trump’s H-1B Visa Reforms and Indian Dreams

Example

The Donald Trump administration’s proposal to review the H-1B visa stirred a hornet’s nest in India. Indians, especially IT professionals and engineers, are the main beneficiaries of this work permit issued to skilled foreign workers in the US. Fears are being expressed about what restrictions on the visa would mean for Indians.The new immigration policies will have a major impact on Indians. According to reports, 3,00,000 Indian Americans may need to leave the US as they do not have proper documents.

Economic Factors

Economic Factors

The behaviour of an individual is affected to a large extent by the economic environment.

(a) Employment Level

(b) Wage Rates

(c) General Economic Environment

Workers at the Statue of Unity go on strike for non-payment of wages

Counter Example

Sardar Patel was a one of the tallest leaders of the freedom struggle leading peasants to fight for fair remuneration and taxation by the British governments. It is ironic that the workers guarding his statue, the world’s tallest, have to resort to strike in order to get their wage dues from the Indian government.

News reports suggest that over 100 workers of one of the contractors, entrusted with maintaining and operating the services at the Statue of Unity complex, have gone on strike demanding wage dues for the past three months. This has prompted the worker to go on strike and protest by forming a human chain.

Other Factors

Other Factors

There are several other internal as well as external factors affecting employee behaviour, such as-

  • Effective Communication
  • Family & Personal Life
  • Relationship at work

Characteristics of a Good Work Ethic

Characteristics of Good Work Ethic

Reliability and Dependability

Relability & Dependability

Reliability goes hand in hand with a good work ethic. If individuals with a good work ethic say they are going to attend a work function or arrive at a certain time, they do, as they value

punctuality. Individuals with a strong work ethic often want to appear dependable, showing their employers that they are workers to whom they can turn. Because of this, they put effort into portraying – and proving – this dependability by being reliable and performing consistently.

Dedication to the Job

Dedication to the Job

Those with a good work ethic are dedicated to their jobs and will do anything they can to ensure that they perform well. Often this dedication leads them to change jobs less frequently, as they

become committed to the positions in which they work and are not eager to abandon these posts. They also often put in extra hours beyond what is expected, making it easy for their employers to

see that they are workers who go beyond the rest of the workforce and truly dedicate themselves to their positions.

Productivity that Doesn't Quit

Because they work at a consistently fast pace, individuals with a good work ethic are often highly productive. They commonly get large amounts of work done more quickly than others who lack their work ethic, as they don't quit until they've completed the tasks with which they were presented. This high level of productivity is also due, at least in part, to the fact that these

individuals want to appear to be strong workers. The more productive they are, the more beneficial to the company they appear to those managing them.

Productivity that doesnt quit

Cooperation and Teamwork

Cooperation & Teamwork

Cooperative work can be highly beneficial in the business environment, something that individuals

with a strong work ethic know well. Because they recognise the usefulness of cooperative practices

– such as teamwork – they often put an extensive amount of effort into working well with others.

These individuals commonly respect their bosses enough to work with any individuals with whom

they are paired in a productive and polite manner, even if they do not enjoy working with the

individuals in question.

Self-Disciplined Character

Self-Disciplined Character

Those with a good work ethic often also possess generally strong character. This means they are self-disciplined, pushing themselves to complete work tasks instead of requiring others to intervene. They are also often very honest and trustworthy, as they view these traits as befitting the high-quality employees they seek to become. To demonstrate their strong character, these workers

embody these positive traits daily, likely distinguishing themselves from the rest.

DO YOU RECOGNISE HIM?

Example

That's right!

Its Napolean Bonaparte.

What is his relevance to ethical behavior?

Going back many years in history we find the ruthless but great French leader Napoleon Bonaparte. Although Napoleon was known to be controversial in many of his decisions, he was also known to be very in touch with his people. In an article written by Ralph Jean-Paul, Napoleon is described as a leader who would regularly be found completing tasks considered below his role; he was wherever he was needed on the battlefield. Whilst modern day business is very different to an ancient warzone, the key lesson to take away from this French figure is his willingness to be hands on with his workers. Despite being an Emperor, no job was beneath him and he was committed to his responsibility to get the job done. Modern day leaders can undoubtedly learn from this; by completing tasks that he expected of others, Napoleon’s men felt that he really cared about what he was fighting for. This encourages leaders of today to learn to participate in the work of those that you lead. This hands-on approach allows you to connect with people and lead on a more intimate level. It also demonstrates your commitment to the cause that you are all working towards, and could result in a more enthusiastic work ethic from your staff.

Yes?

No!

But, I was going to tell you anyway!

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