Theterm “code of ethics” is used to describe a document thatoutlines the values as well as the missions that guide anorganization. Morals and encouraged in a company since they enablethe stakeholders to behave in socially responsible ways. This paperdocuments 10 elements of the code of ethics for ABC Organization.
BuildCredibility and Trust
Thetrust as well as the confidence that ABC gains from all stakeholders(including employees, shareholders, and customers) is the keydeterminant of its success. The company shall earn trust by pursuingits goals through honorable conducts.
ABCshall establish a healthy working environment by building a culturein which all persons are treated with respect and the dignity thatthey deserve.
ABCwill create an environment in which all stakeholders will speak outtheir minds freely. The company will also provide support toemployees in order to make them feel comfortable as they raise thekey issues.
PreventConflict of Interest
Allparties involved in the organization will avoid engaging inactivities that could impair the process of making objectivedecisions. They will be required to express their concerns indifferent matters before the choices are made.
Allthe stakeholders will be responsible for understanding and adherenceto the standards as well as the values that are outlined in the codeof ethics. All persons will be held accountable for their respectiveactions.
Theorganization requires all members of staff to engage in allactivities with the highest level of honesty.
Allmembers of staff are required to be the custodians of the companyresources. They are supposed to protect them and ensure that they areused in the most efficient way.
Compliancewith Existing Laws
Thecompany will uphold all laws that have been developed by thegovernment in all areas where it operates.
Theorganization will avoid selective disclosure of information aboutfinancial as well as non-financial matters.
Allemployees and member of the management teams are required to observethe highest levels of professionalism when performing the rolesassigned to them.
Reasonsfor Including Each of the Elements
Theelement of trust was included in the code because the organizationdeals with human beings. These stakeholders can only transact oroperate with the company if they have faith in its management(Nicolades, 2016).
Theaspect of respect was considered in the code of ethics since thepotential of all people involved in the operations of theorganization can only be harnessed when they feel accommodated andtheir dignity honored (Nicolades, 2016).
Theinclusion of the concept of open communication is significant becauseit will enable the management to collect the perspectives ofdifferent stakeholders and use them to make informed choices(Nicolades, 2016).
Thecode of ethics intends to prevent the conflict of interest because itcan impair the ability of the organization to function. For example,parties with special concerns could influence the decisions of theorganization in order to benefit from them (Nicolades, 2016).
Theaspect of accountability was considered because it will ensure thatall stakeholders are prepared to take responsibility for theiractions. The purpose of this element is to prevent a scenario inwhich employees or managers pass the blame to other people whenproblems occur (Nicolades, 2016).
Theelement of integrity will ensure that all parties that transact withthe organization observe all the necessary moral principles(Nicolades, 2016). A high level of honesty will give the company anopportunity to earn trust from customers and shareholders.
Theability of the organization to carry out all its operations isdependent on the amount of resources available. To this end, it isimportant to include the element of custodianship in the code ofethics in order to ensure that all assets are put into the mostefficient use possible (Nicolades, 2016).
Theneed to uphold the law is attributed to the fact that such a decisionwill reduce the risk of conflict between the government and theorganization (Nicolades, 2016).
Effectivedisclosure of information is significant because it will enhancetransparency in the organization (Nicolades, 2016). Therefore, allmaterial data should be disclosed to the relevant stakeholders.
Thehigh level of professionalism will encourage the members of staff todeliver services that meet the expectations of the company’sclients (Nicolades, 2016).
Significanceof the from an Employer’s Standpoint
Thecode of ethics gives employers the opportunity to establish a healthyprofessional and social culture. In addition, a set of moralprinciples that are developed by the organization enables the bossesto make quality decisions (Mehrotra, 2012). Most importantly, a wellcrafted code communicates the whole ethical vision of the company ina single document. In overall, the set of moral standards enablesemployers to ensure that their organizations are operating within theacceptable principles and the laws. A combination of these aspectsincreases the overall competitiveness of the company.
Significanceof the from the Employee’s Standpoint
Thedocument outlines how the employees are supposed to act, thusreducing the risk of subjectivity in the judgment of their conduct(Mehrotra, 2012). It also makes it easy for the members of staff tomeet the expectations of the organizations since they are guided bypre-determined rules and principles.
Thereare three key factors that will be considered in order to facilitatea successful implementation of the code of ethics. The first one iscommunication where all the stakeholders will be informed about thenew document and its content. Secondly, all individuals who arelikely to be affected by the code will be trained on various elements(such as professional standards) in order to empower them byequipping them with the relevant skills. Lastly, the organizationwill tie ethical behavior to compensation (Murphy, 2011). Theestablishment of the link between an employee’s conduct and a setof morals developed by the company will motivate them to implementthe code.
Acode of ethics benefits both the members of staff and employers. Theconsideration of different elements enables the organization tooutline its entire moral vision in a single document. However, thebenefits of a code of ethics can only be realized if it isimplemented properly.
Mehrotra,C. (2012). Ethics: Its importance, role, and code in informationtechnology. InternationalJournal of Advanced Research in Computer Science and SoftwareEngineering,2 (7), 417-421.
Murphy,E. (2011). Usingincentives in your compliance and ethics program.Minneapolis, MN: Society of Corporate Compliance and Ethics.
Nicolades,J. (2016). BridgeHousing: Code of conduct.Redfern: Bridge Housing.