values and ethics

1. BUSINESS
VALUES & ETHICS
Presented by:-
I s h a nt Kata ri a ( P C 07)
R i s h i Ku m a r Si n g h ( PT 11)
R i t u J a i n ( PT 07)
R u t u p ar na J a d h av ( PT 06 )

2. VALUES
 Asweknewthe firm isdetermined byitsvalues.
 Edwerdsprangerdefine the valueas“theconstellationof standards,
or qualities, characteristics, or ideas that determine a person's
viewof the world.
 Then values provide the basic foundation for understanding a
person’spersonality perceptionandattitudes.
 Values Beliefs Perception Attitudes Behavior
interest and personality

4. IMPORTANCE OF VALUES
 Apowerful forceaffectingbehavior
 Values contain a judgmental element in that they carry an
individual'sideasasto what is right ordesirable
 Provideawayto understandorganization
 Helpto differentiation
 Determinetheretention
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5. FORMULATION OF OUR VALUE
 40%valueisgeneticallydetermined
 Balanceisgivenbythe environmental factors
Culture
Parentaldictates
Teachers
Friendsandothersituations

6. FUNDAMENTALBUSINESSVALUES
TRUTH
RESPONSIBILTY
RISK TAKING
OPENESS GIVING
CREDIBILITY
CARING
HONESTY
MENTORING

7. Strategies followed to deliver value:-
Growth & innovation
Investing in our future
Global Diversity, Citizenship & Sustainability
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8. ETHICS
 Ethicsisderivedfrom the Greekword “ethos” which
meanscustoms,habitual usage,conductandcharacter.
 Ethicsisanindividual’spersonalbeliefs regardingwhat isright
andwrongorgood orbad.
 Ethicsinvolvesadisciplinethat examines goodor badpractices
within the contextof amoralduty

9. BUSINESS ETHICS
 BusinessEthicsmeansconducting
all aspectsof businessand
dealingwithall stakeholdersin
ethicalmanner.
 Aspecializedstudyof right and
wrong appliedto businesspolicies,
institutions andbehaviors;where
moralstandards applyto social
systemsandorganizations that
produceanddistribute goodsand
services.

11. FACTORS GOVERNING BUSINESS ETHICS
Value Forming Institutions
Organizational Goals
Work and Career
Peers and Colleagues
Professional Codes

12. NATURE OF BUSINESS ETHICS
The main characteristics of business ethics are as follows:
 It is important in all types of business- large or small, manufacturing
or service.
 It is above law. It requires behavior which is socially desirable even if
not legally.
 It is dynamic term and may change over time.

13. ELEMENTS OF BUSINESS ETHICS
Main elements of business ethics are as follows:-
 VALUES : Values are the moral beliefs held by an individual
or organization and a society.
 RIGHTS : Rights are the claims of the individual or
organization.
 DUTIES : Duties are the obligation of a person or an
organization.
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14. IMPORTANCE OF BUSINESS ETHICS
 Attract customersto thefirm’s
 Products,therebyboostingsalesandprofits
 Makeemployeeswant to staywith thebusiness,reducelaborturnover
and thereforeincreaseproductivity
 Attract more employees wanting to work for the business, reduce
recruitment costs and enable the company to get the most talented
employees
 Attract investors and keep the company’s share price high, thereby
protectingthe businessfromtakeover.

15.  “Behavior that is trusting, trustworthy, and cooperative, not
opportunistic, willgivethe firm acompetitiveadvantage”.
 Sustainableglobalcompetitiveadvantage occurswhenacompanyimplementsa
value- creatingstrategywhichother companiesare unabletoimitate.
 It facilitates the deliveryof quality ofproductsin anhonest,reliable
way.
 Thisapproachcanenhancework life bymakingthe workplacemorefun and
challenging.
 It canimproverelationshipswith stakeholdersandcaninstill amore positive
mindsetthat fosterscreativity andinnovationsamongthestakeholders

16. IMPORTANCE OF VALUES IN BUSINESS
 Formationofmissionandvisionstatement
 Formationoforganizationalobjectives
 Formationofpoliciesandprocedures
 Fulfillingcustomersneeds
 Competitiveadvantage

17. IMPACTOF VALUES IN BUSINESSES
 Thevaluesareintegrated into the company'swayof doing
business(policies,procedures,compensation practices,
performanceappraisals,etc.).
 Valueshold amajorrole in dailydecision making,normsand
relationship guidelinesand how peopleinteract with each
other and customersandsuppliers

18. IMPACT ON STRATEGY

20. Theory
of
values
Intrinsic values
Instrumental
values
Objective &
Subjective
value
Logical value
Ethical value
Applied ethics
Absolute values
Universal
values
Aesthetic
values

21. INTRINSIC VALUES
 Intrinsic value has traditionally been thought to lie at the
heart of ethics.
 It is the ethical or philosophic value that an object has "in
itself" or "for its own sake", as an intrinsic property.
 e.g. Friendship, love, etc

22. INSTRUMENTAL VALUES
 Also called as EXTRINSIC VALUES.
 Instrumental value is the value of objects, both physical
objects and abstract objects, not as ends-in-themselves,
but as means of achieving something else.
 E.g. Money leads to an end outcome.
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23. OBJECTIVE & SUBJECTIVE VALUES
 Objective values are those that lie outside of the individual and are
not dependent upon her/his perception or belief.
 E.g. facing an interview.
 Subjective value is the idea that an object's value is not inherent and
is instead worth more to different people based on how much they
desire or need the object.
 E.g. T-shirt printed with Modi & Rahul Gandhi.
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24. LOGICAL & ETHICAL VALUES
 Logical and ethical values are always with reference to the right
object, at the right time, at the right place and in the right way.
 These values are a mark of intelligence.
 E.g. A day before the exam.
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25. APPLIED ETHICS
 Applied ethics refers to the practical application of moral
considerations.
 It is ethics with respect to real-world actions and their moral
considerations in the areas of private and public life, the professions,
health, technology, law, and leadership.
 E.g. A student teacher relationship.
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26. AESTHETIC VALUES
 Concerned with beauty or appreciation of beauty.
 E.g. A weed and a flower.
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27. UNIVERSAL VALUES
 A value is a universal value if it has the same value or worth for all, or
almost all, people.
 Spheres of human value encompass morality, aesthetic preference,
human traits, human endeavour, and social order.
 Trustworthiness, respect, responsibility, fairness, caring, and
citizenship — are six core universal values.
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