This document discusses business ethics and spirituality in the workplace. It notes that ethics are important for companies' images and bottom lines, as trust, integrity and fairness matter to stakeholders. Establishing ethical standards can attract investors, employees and contribute to stability and growth. The document outlines some potential benefits of ethical compliance, as well as ethical problems businesses may encounter. It also discusses various approaches to establishing and implementing ethical standards in organizations.

1. Business ethics and spirituality at work place Varinder Head, Department of Commerce, N.J.S.A. Govt College, Kapurthala

2. Why we need ethics? Image of the company is most important. It has been found that corporations won the legal battles, but lost the image. Executives are learning that trust, integrity and fairness do matter and are crucial to the bottom line figures. People do not view organization as source of economic benefits, but place to find meaning. The growing number of corporate frauds can damage the interest of the various stakeholders in the company.

3. Potential benefits of ethical compliance Instill confidence among various stakeholders especially minority investors, foreign investors, etc. Attract investors Attract talented employees Contribute to stability and growth

4. Five most rewarding minds of future-Howard Gardner Disciplined mind Creative mind Synthesizing mind Respectful mind Ethical mind

5. Accountant’s role in checking frauds Accountant’s role in checking frauds is doubtful because of their collaboration with the persons managing the company. One study shows that accounts hardly find 14.1% frauds committed. Osama Bin Laden’s new Career Path: If I am to do real damage to the America, I have got to give up terrorism and become an accountant. (Quinn Mills)

6. Osama Bin Anderson EBIT-Earning Before Irregularities and Tampering CEO-Chief Embezzlement Officer CFO-Corporate Fraud Officer NAV-Normal Andersen Valuation P/E-Parole Entitlement EPS-Eventual Prison Sentence D Quinn Mills, Wheel, Deal and Steal, 2003.

7. Failure of legal systems Of course there is law for the protection of various interest groups like minority shareholders, independence of directors, employees, etc. But law has more or less failed to check the bad things. More the law is more loopholes are Legal approach aims at prevention of unlawful conduct and following of rules and regulations. In fact law is the minimum floor, ethics are the roof to the touched and spirituality is beyond those rules of law as well as do and do nots of morality.

8. Nature of ethics Ethics are the subject that deal with human beings. Human by their nature are capable of judging between right and wrong, good and bad behavior. Thus, the question of ethics arises, as the human beings are associated with values and morals. Ethics are normative as they guide or control the actions.

9. Nature of ethics Ethics are more science than art. It is systematic knowledge about moral behavior and conduct of human beings. Ethics are more normative science. Ethics deal with human conduct that is voluntary and not forced by any persons or circumstances. Ethics are relative to time and place.

10. Ethics and existentialists perspective Existentialist philosophy views existence comes first and essence later on as man’s interaction with the contemporary world. Man is basically free, society is arbitrary. Freedom means responsibility. Ethics are the responsible use of freedom. Here Victor Frankl:Man’s Search for meaning

11. Objectives of Business Ethics To establish moral standards and norms of the behavior. To judge and assess the human behavior in the organization in the light of those established norms. To balance the conflicts of various stakeholders. To foster the growth, success and survival of the business on long term basis.

12. Ethical problems of business Most businesses encounter two types of ethical problems:-overt and covert Overt ethical problems deals with bribery, theft, collusion, etc. Covert ethical situations occur in corporate acquisitions, marketing, and personnel policies, capital investments, etc. They are more complex and conflicting.

13. Stages of ethical consciousness in business Law of jungle. Anything for profit Profit maximisation in the short run Profit maximisation in the long run Stakeholder concept Corporate citizenship

14. Why ethical lapses occur Bad apple Bad barrel Competitive pressures Opportunity pressures Narrow interpretation of morality. Right consciousness : right actions always proceed from right consciousness.

15. Establishing ethical standards Eternal law: religious beliefs. Utilitarian theory: Bentham and J.S. Mill, conduct should benefit the largest number of people. Universalist Theory: Immanual Kant: not outcome but intentions. Eliminate self interest: (a) to act only in ways that one should wish all others to act, faced with the same set of circumstances, (b) to treat other people with dignity and respect.

16. Establishing Ethical standards 4. Distributive Justice: John Rawl, Justice: each person according to his contribution and competence. 5. Personal freedom: existentialist perspective. Freedom with responsibility( ability to respond)

17. Implementing and maintaining Ethical standards Create a company credo Develop a code of ethics Enforce the code fairly and consistently The right people Conduct ethics training. Set an impeccable ethical example at all times. Create a culture that emphasize two way communication. Involve employees in establishing ethical standards.

18. A ethical framework Recognize the ethical dimensions involved in the dilemma or decisions. Identify the key stakeholders involved and determine how the decision will affect them. Generate alternative choices and distinguish between ethical and unethical responses. Choose the best ethical response and implement it.