First I would like to introduce the code of ethics of the large company Cargill, interest in which is determined more by its presence than by its quality. Due to the fact that the company is not at all focused on Russian market, and is on it relatively recently, she compiled (or rather translated into general outline the main document of the corporation) and presented a Russian-language version of its own management code.
The basic concepts appearing in it focus on activities in strict accordance with the law and moral principles of those regions and countries where it operates. Also, special attention was paid to the line: “Under no circumstances does the company intend to expand its business or work in situations in which a violation is possible ethical principles company." And this is with a net profit of $2.31 billion in 2013 and a turnover of $136.7 billion.
The following are Cargill's guiding principles:
1. Cargill will act in accordance with the laws of the countries in which it does business.
2. Cargill will not knowingly assist any third party to violate the laws of any country, whether by creating false documents or otherwise.
3. Cargill will not give or receive bribes or engage in any unethical, fraudulent or corrupt practices.
4. Cargill is always prepared to bear responsibility for all its business obligations with absolute integrity.
5. Cargill will maintain business records in such a way that they reflect, as accurately as possible, the true nature of the transactions.
6. Cargill management is responsible for ensuring that its employees, consultants and contractors are aware of and act upon applicable laws and company policies. Moreover, management is responsible for preventing, detecting and reporting any violations of the law or company policy.
7. Cargill employees may not be involved in situations that create a conflict of interest between the company and the employee.
As we will see later, such a “laconic” code of ethics is not often found, but as mentioned above, it is significant that it exists and is publicly available on a website whose content, frankly speaking, is minimal.
The following code in question belongs to the huge and very famous Google corporation. It is given because it is not executed as standard as the others. Below is a short excerpt from the preface, translated from English:
"Preface
Do not be evil. Googlers typically apply these words to how we serve our users. But “don't be evil” is much more than that. Yes, it's about providing our users the most complete information, focusing on their needs and providing the best products and services we can. However, it is also about doing the right thing in a broader sense - obeying the law, acting with integrity and promoting mutual respect.
Google's Code of Conduct is one way to put the "don't be evil" policy into practice. It is built on the recognition that all of our actions while working at Google will and should be measured against the highest possible standards of ethical business conduct. We set these high standards for practical reasons: Our commitment to high standards helps us hire great people, make great products and attract loyal customers. Trust and mutual respect among employees and users are the basis of our success, and this is what we must do every day [talking about trust and respect].
This code is not just about certain moral and ethical principles that every employee must respect, but it talks about specific descriptive characteristics that a Googler must be guided by in his activities.
In Appendix A you can see the full table of contents of this code. From the table of contents it is clearly clear that the code covers activities very broadly, including the ethics of communication with clients, internal relations, methods of processing information, protection of company property, employee responsibility to the company, and even compliance with laws. Among the subparagraphs one can notice the regulation of issues of “Alcohol and drugs” and “office romances”. However, if you look closely, this clause does not prohibit alcohol even in the workplace, if it is within reasonable limits and does not harm the work process, although the company has a negative attitude towards them. On the contrary, everything about personal relationships between employees is described quite strictly, despite Google’s world-famous positive attitude towards clannishness, employee marriages, and the acceptance of an employee’s spouse into the company.
Also, the uniqueness of such an ethical code is emphasized by a difficult-to-translate clause; it can be described as classifying the company as a “dog owner.” "Google's affection for our canine friends is general characteristic our corporate culture. We love cats too, however, we are a dog company, so there will generally be some stress on the cats that visit us.”
Such a humorous article, however, can also be meaningful, because visitors and users of Google services quickly and forever become attached to them.
It is also worth noting how much attention is paid to identifying violations of the internal code from the inside: “What should I do if I have a question about the code? If you have questions or doubts, don’t sit idly by.” This paragraph sharpens the reader’s attention to the fact that it is worth turning a blind eye to someone’s dishonesty, but it is worth consulting about this with a senior manager, or the “business ethics” department.
In conclusion, they also once again emphasize the importance of everyone’s personal role in maintaining a high moral level of the company. “Sometimes, identifying the right path is not an easy step. If in doubt, don't be afraid to ask your manager, Legal or Ethics.
The level of social focus, and the highest degree of trust and respect of such a corporation as Google leaves no doubt that their corporate policy regarding ethical standards is correctly drawn up and functions well, which means that it can serve as an example and standard for any other organization.
Code of ethics: forced or voluntary?
Almost all companies that are polishing their corporate culture and building their reputation have already gone through the development and implementation of codes of corporate ethics. And they were faced with a new problem: employees do not know the code, are burdened by it, or simply simply ignore it all together.
The creation of Codes of Corporate Ethics has become a common practice for many domestic companies. It seems that the code is considered an element of an international standard, the importance of which increases for companies entering IPO. If we look at it from a different angle, ethical management, the key components of which are the code of corporate ethics and the system for its implementation, is associated with expectations for increasing management productivity in the field of HR and strengthening the image of the company. The subject of ethical management efforts is the identification, formulation, implementation, maintenance, modernization and modification of ethical corporate norms and principles that make up the company's business ethics system.
In 2002, one of the first reputable companies in Russia to create own Code, there was the Tyumen Oil Company. Now many organizations have gone the way of creating a code and almost all are faced with the problem of implementation, with the question: “How to introduce and maintain the declared ethical standards?” Currently, the practice of creating ethical codes themselves is becoming well known, but, unfortunately, it is still rare to find examples of building a system for implementing these ethical standards in a company.
Having clear and enforced ethical standards in an organization helps employees navigate difficult situations, reduces the risk possible violations, helps build employee commitment to the company. code of ethics business conduct
And, if the code of corporate ethics defines the ethical principles, norms and rules of business conduct prescribed for execution by company employees, then the execution system:
- · supports and encourages employee behavior that is consistent with accepted ethical principles, norms and rules;
- · prevents deviations of employee behavior from specified ethical standards;
- · helps to promptly identify facts of ethical violations;
- · Helps respond appropriately to instances of ethical violations.
Ethical standards: is compliance mandatory?
Ethical standards occupy a special position in the system of social rules. On the one hand, they do not provide for such a strict system of social control as, for example, the judicial system for legislatively approved norms. On the other hand, ethical standards can significantly limit a person’s personal freedom, more or less strictly regulating his thoughts, feelings, and actions. The “engine” of this system of internal self-control is such motives as self-affirmation, self-identification, superstition, social approval, etc.
The effectiveness of introducing ethical standards into policy is extremely low. In order for them to become individual life rules, they must be deeply inscribed in daily practice human relations with the outside world. The voluntary adoption of these standards is based on current human needs.
Read more about possible motives for complying with ethical standards.
Fear of punishment
This is one of the simplest and most ancient motives, which is aimed at satisfying the need for security. It is common in codes of universal ethics that form the essence or elements of religious teachings. In particular, in Christianity, penance and the Last Judgment in the afterlife serve as punishment for non-observance of the commandments.
Another possible driver of ethical behavior is the fear of condemnation (moral censure) by other members of the reference group, that is, the one with which a person relates himself and whose values he is guided by.
Group affiliation: professional and corporate
Belonging to a community (professional, social) is often significant for a person. Observance of professional commandments emphasizes internal belonging to the community. The fear of exclusion from the ranks of the community for failure to comply with professional ethical standards, which in some cases means the loss of the opportunity to work in the profession, is a strong lever for fulfilling these commandments and norms. Professional codes of ethics operate most effectively in communities of “free” professions, where belonging to a profession means more than belonging to an organization (for example, lawyers, journalists, psychologists, etc. especially honor their professional codes).
American psychologist Lawrence Kohlberg defines three levels of development of morality (moral judgments):
- · pre-conventional (the driving motive of moral behavior is fear of punishment);
- · conventional - social approval (from a significant community - including professional);
- · post-conventional (principled) - personally recognized moral principles (regardless of their social significance).
The above levels of development of morality (moral judgments) are usually correlated with the stages of maturity of the individual, organization, social system. A logical question arises: to what level is it advisable to develop business ethics in an organization? The obvious answer - pre-post-conventional - is not as unambiguously positive as it seems at first glance.
Let's imagine that an employee has reached a post-conventional level and began to accept the ethical principles and norms of the organization as his own life principles. This means that, on the one hand, he will fulfill them (most likely), on the other hand, he will perceive himself as an integral part of the organization, and the organization as his family. As long as the employee works in this place, it is good for him and for the organization. But let’s imagine that the organization has undergone a change of leadership, restructuring, merger, etc., or that an employee has moved to work in another organization. In both cases, he will have the problem of quickly changing his own ethical system, of which the previous corporate norms have become an integral part. correct behavior. Therefore, only in the conditions of lifelong employment practiced by many Japanese companies can the level of acceptance of the organization's ethical standards by employees be as deep as desired.
In Russian organizations, it is most acceptable to stop at the level of social approval in the adoption of organizational values and ethical standards. For employees who expect to change jobs during their career labor activity, it is personally safer to perceive the norms of the organization as a limitation (and a condition for achieving success) for the period of work in it. From the point of view of business ethics, the situation is especially successful when the ethical systems of the employee and the organization are close.
Implementing Ethics in Organizations: Limitations and Opportunities
The basic limitation to the implementation of ethical standards in an organization is the impossibility of their direct administrative regulation. The area of individual moral attitudes is too sensitive an area for direct intervention through directive levers.
Therefore, as a rule, the code does not provide for legal liability for non-compliance. At the creation stage, it is proposed to adopt the code voluntarily; if desired, and if the appropriate procedure is available, each employee can add his or her wishes to the text and implementation system. For new members of the community, the document is already a given and must be accepted. If a person strives to work in a company, then knowledge and understanding of the principles of life in this company will help, on the one hand, a new employee to adapt faster, and on the other hand, the company to maintain its integrity, “a single face.”
Option to introduce the code as local normative act is also possible. For this purpose, variants of specific violations are more carefully prescribed and a system for their detection and prevention is created. This approach, adopted more in the United States than in Europe, maintains compliance with ethical standards at a preconvective level (due to fear of punishment and due to group pressure). However, focusing on social control over ethical behavior simultaneously reduces intrinsic motivation to comply with rules and regulations. In areas where social control is difficult (violations with low risk of detection), the likelihood of violations remains high. This is indirectly confirmed by the situation with Enron, when serious ethical violations were committed despite the presence strong system ethical control. Russian legislation does not currently directly regulate this issue.
Returning to the possibilities of introducing ethical standards not through administrative, but through recommendations, it is worth focusing on methods for transmitting ethical standards. A partnership approach to their implementation presupposes voluntariness and individual employee motivation to comply with ethical standards. This approach is based on employees’ understanding of the need for the existence of ethical standards in the organization and the possibility of reconciling them with their personal ethical principles.
Thus, the organization's resource becomes voluntary initiative, universal ethical responsibility and respect for the personal ethical standards of employees.
Formulating principles for translating ethical standards that make it possible to implement this approach:
- 1. Dialogue and maximum transparency of the entire process of developing and implementing a system of business ethics in the company (based on the code of corporate ethics or in another form).
- 2. Voluntary acceptance of ethical principles and standards by employees of the organization.
- 3. Equality of all employees in the implementation of ethical standards. Particular emphasis is placed on the actions of managers at all levels - they must set a unique standard of ethical behavior.
Conclusion: the main resource, and therefore the way to regulate business ethics in an organization, is the freedom to adopt ethical standards. Freedom of acceptance provides for the possibility of refusing the proposed ethical standards. Moreover, if refusal is punishable by dismissal, then we are already dealing with the phenomenon of “forced ethics.” Therefore, real freedom is the opportunity to work in an organization, even if the employee does not fully share corporate ethical standards. At the same time, it is obvious that he will have fewer opportunities for encouragement and development in the organization. But he makes the choice himself whether to leave or stay because of this.
Irina Denisova Trainer-consultant, expert in the field of business culture, Moscow
What questions will you find answers to in this article?
- What tasks does the code of ethics perform in the company?
- How can the General Director monitor compliance with the code of ethics?
You will also read
- How corporate ethical standards were developed at Econika
A formalized code of ethics appears in a company when it expands and faces the need to develop a system of reference so that employees understand ethical corporate values. In addition, a code of ethics will improve relationships with partners and investors. For partners, the code guarantees that all the promises of your employees will be fulfilled. For investors, the code is another argument in favor of the correctness of the decision to invest in a company for which honor comes before profit (see. The first professional codes of ethics).
The code of ethics should include the following points:
- corporate standards: it’s good if the company can be recognized by the traditionally correct answer of the secretary;
- rules of behavior in non-standard situations: this will reduce the risk that the employee will become confused when communicating with the client;
- order of internal interaction: an established exchange of information will increase the speed of processes, which will have a positive effect on financial indicators companies.
First professional codes of ethics
The first professional and ethical standards were formulated in the 11th–12th centuries, during the period of the craft division of labor. It was then that a number of moral requirements were included in the shop regulations in relation to both their profession and their fellow workers. For a number of professions, such norms appeared much earlier (for example, the Hippocratic Oath among doctors). The reason for the emergence of such codes is the need to regulate relations in the work team and develop professional morality among people. Each profession has its own requirements: the ethics of a scientist are honesty, scientific integrity; a court employee must be fair, humane, and faithful to the law. The requirements of professional ethics of a modern leader in any field of activity include the ability to talk with subordinates, create and maintain a favorable psychological climate in the team.
Speaks CEO
Alexander Sviridenko Managing Director of Fanco Ltd., Moscow
Western companies have long recognized the need to implement a code of ethics that defines the basis of business behavior, which allows them to achieve an advantage in business. Unfortunately, in our country, due to insufficient government control and established traditions, ethics of business behavior is not given due attention. However, it is precisely in our business environment (corruption, lack of enforcement of laws) that business leaders need to take business ethics more seriously. Today this applies primarily to large businesses that shape the Russian economy, but in the future the civilized rules of the game adopted large companies, will gradually integrate into medium and small businesses. I hope that Russian businessmen will be prompted to do this by the desire to enter world markets (including financial markets, IPOs) and Russia’s upcoming accession to the WTO. Otherwise, a business may face a lack of capital, high transaction costs of operating activities, restrictions on expansion into foreign markets and, as a result, a decrease in revenue growth.
I will give an example from the practice of a Western company operating in Russia. Michelin, where I worked, strictly adheres to a company-wide code of ethics. One of its key tenets is to never give or receive bribes or kickbacks; the offending employee is immediately fired. This rule, of course, makes it difficult to work in Russia, but only in initial stage, when potential partners are not yet accustomed to such conditions and provoke the company to be “like everyone else.” After some time, realizing that they can only work with Michelin honestly, they no longer challenge the rules of the game. This was the case both when the company entered our market in the 90s and during the construction own production in the Moscow region, which required constant communication and approvals with the district administration. Therefore, the eradication of bribery and kickbacks is possible - it all comes down to the persistence of company management.
How to Develop a Code of Ethics
As the head of a company, you can create a base about ethical standards in the company. It would be a good idea to familiarize yourself with similar documents in force in other companies (see also: ). Further work entrust the personnel department, which usually formulates the main provisions of the code of ethics. It is necessary to find out what ethical problems arise in the daily activities of employees, classify them and specific examples describe what you want and . The code of ethics should be designed for different situations (for example, the style of behavior both near an oil rig and at a gas station). See also: .
When developing a code of ethics, it is important to involve employees at all levels in discussing its provisions. For example, at the International Moscow Bank, several tens of thousands of employees took part in the discussion of ethical standards. “If I see even one word of mine in this document, I will consider it mine,” said one of the workers of the large manufacturing enterprise after discussing corporate norms. It must be taken into account that in Russia standards may not always be accepted by employees, and an attempt to implement them in a directive manner will most likely fail. The provisions of the code of ethics must be enforceable. For example, dress code requirements should take into account the financial capabilities of employees.
In order for employees to begin to adhere to the introduced rules, they should be popularized among the staff. Publish excerpts from the code in internal media, on the website, hang them on a stand, make a film. When hiring employees, be sure to familiarize them with the code of ethics in order to obtain the candidate’s consent to follow it.
Seven principles of doing business in Russia
A document with this name was developed by Russian entrepreneurs in 1912. These are the principles:
- Respect authority.Power is a necessary condition for effective business management. There must be order in everything. In this regard, show respect to the guardians of order in the legalized echelons of power.
- Be honest and truthful.Honesty and truthfulness are the foundation of entrepreneurship, a prerequisite for healthy profits and harmonious relations in business. A Russian entrepreneur must be an impeccable bearer of the virtues of honesty and truthfulness.
- Respect private property rights.Free enterprise is the basis of the well-being of the state. A Russian entrepreneur is obliged to work by the sweat of his brow for the benefit of his Fatherland. Such zeal can only be demonstrated by relying on private property.
- Love and respect the person.Love and respect for a working person on the part of an entrepreneur generates reciprocal love and respect. In such conditions, a harmony of interests arises, which creates an atmosphere for the development of a wide variety of abilities in people, encouraging them to express themselves in all their splendor.
- Be true to your word.A business man must be true to his word: “If you lie once, who will believe you?” Success in business largely depends on the extent to which others trust you.
- Live within your means.Don't get too carried away. Choose something you can handle. Always evaluate your capabilities. Act according to your means.
- Be purposeful.Always have a clear goal in front of you. An entrepreneur needs such a goal like air. Don't get distracted by other goals. Serving “two masters” is unnatural. In an effort to achieve your cherished goal, do not cross the line of what is permitted. No goal can overshadow moral values.
Based on materials from open sources
General Director speaks
Alexander Maksimov Manager of Business Consulting Baltic Bridge (BCBB), Finland - Norway
Most often, companies themselves develop ethical codes, borrowing the structure and main provisions from the standard codes of other companies. You can also turn to the services of specialized consulting agencies, but this is expensive. The company may not create its own document, but rely on the industry code. For example, in the Scandinavian countries, each industry associations (for example, printers) have their own code, which spells out both economic aspects and ethical standards of behavior. Although companies such as Nokia, for example, of course, have their own code of ethics.
Structure of the code of ethics (using the example of the code of ethics of the IBS expert company)
- Introductory provisions (what the company's code of ethics is intended for and what relationships it regulates).
- Basic rules (rules for the company’s ethical activities in the market).
- Attitude towards customers (rules of ethical behavior and employee responsibilities towards the company’s clients).
- The employee’s attitude towards the company (rules of ethical behavior and the employee’s responsibilities towards the company).
- Relationships between employees (how to resolve conflicts within the team, etc.).
- The company's attitude towards its staff (rules of conduct and responsibilities of the company's management towards employees).
- Final provisions (procedure for familiarizing company employees with the code of ethics, etc.).
Based on site materialswww.ibs-expert.cz/en
The practitioner tells
Ekaterina Biletskaya Director for Personnel and Organizational Development of Econika Corporation, Moscow
In our 18 years of existence, our corporation has not had a strict code of ethics. We began developing a set of corporate values in 2006. First, core values were formulated at strategic sessions with the participation of top management and corporate management. Then, at seminars, employees explained what they meant by the company’s core values, what barriers they saw to successful work. Based on the opinions expressed, the personnel service, together with the PR service, began to develop a set of rules for the corporation, which was supposed to describe what is welcome in the company and what is considered unacceptable. This is how the idea was born to make a booklet “What is good and what is bad.” The booklet is illustrated, each of the four sections begins with one of the main values of Econika:
- continuous development and improvement (we are talking about increasing professional level, exchange of positive experiences, search for new solutions);
- reliability (responsibility, dedication);
- teamwork (respect for each other, open discussion of problems);
- revival of traditional Russian values (here we are talking about such things as conscience, hard work, family, patriotism and mercy).
How to monitor compliance with the code of ethics
Ethics is not regulated by law. Of course, the General Director, who manages a large team, cannot control compliance with the code of ethics and monitor each employee. However, to ensure that the principles of the code of ethics are respected, first, make them known to all employees (by asking them to sign). Secondly, instruct the HR department to organize a discussion of corporate ethical standards (anonymous surveys, discussions on Internet forums, focus groups). Third, create an ethical complaints department. Some trading companies use so-called ones, which inform about ethical violations. Fourth, review the code of ethics annually to eliminate or change outdated rules. Finally, do not forget that if the General Director himself does not follow the approved standards, the team will not comply with them either.
On the first page of Watson Telecom's code of ethics you can see a fax message from the company's CEO, which ends with the words: “I have only one request for you - take responsibility for your life only on yourself! Good luck! Andrey Savinov, General Director." Isn't this a powerful motivation for staff?
Reference
Irina Denisova has 13 years of experience in conducting seminars and trainings in the field of business culture (business ethics and etiquette, corporate culture, business communications, telephone conversations, self-presentation skills, working with clients, etc.). Author of articles, participant in TV shows dedicated to business culture. Clients: Alfa Bank, International Moscow Bank (IMB), Siberian Coal and Energy Company (SUEK), Pipe Metallurgical Company (TMK), holdings Adamas, Askon (Novgorod), Granul, Lukoil, " Soyuzkontrakt, LLC TD Evrazholding, companies Denta Class, Croc, Ligget-Dukat, Mega-F, Moskabelmet, Pan Sportsman, Gedeon Richter. Participated in the development of ethical codes for Watson Telecom (Ukraine), a network travel agencies"1001 round".
Company Fanco Ltd. works in the Moscow construction market. Specialization – general contracts for design and construction installation work. Services: solutions for organizing space, development of architectural and engineering projects, construction and finishing (installation) work, project management. Clients: OJSC Detsky Mir - Center, OJSC Lebedyansky, CJSC Renova-Stroygroup, CJSC CB Citibank, OJSC Uralsib Bank, Douglas Consulting Management Company. Turnover for 2007 amounted to about 10 million US dollars. Number of personnel – 150 people.
Company Business Consulting Baltic Bridge(BCBB) advises Scandinavian companies seeking to enter the Russian market. Conducts market research and provides assistance in registering trademarks in Russia. Clients: Vzlet printing house (St. Petersburg), Z-Industries Ltd ( trade marks Pocket Media, Z-Card), etc. Turnover for 2007 is more than 300 thousand euros. The number of staff is five people.
Corporation "Econika" develops business in several leading sectors of the Russian economy: investment and construction, industrial, footwear. The holding includes such companies as City - XXI Century, Econika-Techno and Econika-Obuv. The number of personnel is more than 2500 people.
Content.
Introduction 3
Part 1. The concept of the ethical code of organizations and its functions 5
1.1 Concept and types of ethical codes of organizations 5
1.2 Functions of the code of ethics 8
Part 2. Development and implementation of the organization’s code of ethics 11
2.1 The need to implement the organization’s code of ethics 11
2.2 Stages of development and implementation of a code of ethics 13
Conclusion 17
References 19
Introduction.
My theme test work: “Ethical codes of organizations: goals and purposes.”
The topic is very relevant, because in market conditions business man assessed not only by his professional qualities, but also by how much he controls his feelings, will, and how he knows how to communicate with clients and partners. The established order of behavior is called etiquette.
The rules of etiquette have been polished and improved over the centuries. Over the course of many generations of people, a kind of selection and consolidation of those who carry universal human ideas about reasonable behavior took place.
In a narrower sphere of human life, the concept of “office etiquette” is used. It defines the responsibilities, norms and rules of behavior and communication of people in the service. A businesslike, but rude and unceremonious person often does not achieve his goal due to the negative or wary attitude of other people towards him. Conversely, a businessman who has good manners, is friendly and tactful makes others want to help him. In addition, knowing the rules of etiquette allows you to avoid communication that is unnecessary at the moment without offending your interlocutor. A person who has firmly grasped the norms of etiquette will not talk in detail about his affairs in response to the traditional question “How are you living?” and thus will not violate the “rules of the game, which in this situation require him only to carry out an established ritual. In the conditions of a confidential conversation, excessive restraint and monosyllabic answers can be perceived as a reluctance to continue communication.
The purpose of this work is to justify the need for the existence of an ethical code of the organization.
I set myself the following tasks:
- Expand the concept of the ethical code of organizations.
List and describe the types of ethical codes of organizations.
Determine the functions of organizational codes of ethics.
Find the meaning of implementing the organization's code of ethics.
Indicate the stages of development and implementation of the code of ethics.
Part 1. The concept of the ethical code of organizations and its functions.
1.1 Concept and types of ethical codes of organizations.
A code of ethics is essentially a set of rules and standards of conduct that are shared by group members. With the help of the code, certain models of behavior and uniform standards of relationships and joint activities are set.
The first universal codes, representing a set of universal human values, were sets of religious rules (the Ten Commandments of the Old Testament). One of the first professional ethical codes was the Hippocratic Oath - the code of doctors.
There are several types of code of ethics. These include:
The emergence of the first professional codes of ethics refers to the period of craft division of labor in the conditions of the formation of medieval guilds in the 11th-12th centuries. It was then that for the first time they noted the presence in shop regulations of a number of moral requirements in relation to the profession, the nature of work, and partners in labor.
However, a number of professions that have vital important for all members of society, arose in ancient times, and therefore, such professional and ethical codes as the “Hippocratic Oath” and the moral principles of the priests who performed judicial functions were known much earlier.
Professional codes regulate relations within the professional community and are effective for “liberal professions”, where professional ethical dilemmas are most pronounced. One of the first professional ethical codes was the Hippocratic Oath - the code of doctors.
Most famous ethical codes those professions where significant ethical dilemmas are determined by the content of their activities (lawyers, psychotherapists, journalists, realtors, etc.). Such a code of ethics always sets high standards for the profession, stipulates the basic rules of ethical behavior and indicates the moral guidelines that a professional must follow.
Codes regulate the behavior of a specialist in difficult ethical situations characteristic of a given profession, increase the status of the professional community in society, and build trust in representatives of this profession. The code also reinforces the significance of belonging to a profession; its adoption indirectly can be a rite of passage, an act of “conversion to the profession” (for example, taking the Hippocratic oath and admission to medical work with doctors).
Existence moral codes certain professions are evidence of social progress, the gradual humanization of society. Medical ethics requires doing everything for the sake of the patient’s health, despite difficulties and even one’s own safety, maintaining medical confidentiality, and under no circumstances contributing to the patient’s death. Pedagogical ethics obliges us to respect the student’s personality and show due demands towards him, to maintain his own reputation and the reputation of his colleagues, and to take care of the moral trust of society in the teacher. The ethics of a scientist include the requirement of selfless service to the truth, tolerance of other theories and opinions, inadmissibility of plagiarism in any form or deliberate distortion of results scientific research. An officer's ethics obliges him to selflessly serve the Fatherland, show steadfastness and courage, take care of his subordinates, and protect the officer's honor in every possible way. The ethics of the professions of a journalist, writer, artist, the ethics of television workers, the service sector, etc. contain their own requirements.
IN last years codes corporate and ethical behavior has become widespread. Many such codes have the purpose of helping a corporation's employees behave ethically by clarifying or explaining how general principles of morality apply to the firm's activities or products. Despite their name, they are not actually moral codes, since no person or group of people can be ordered to act morally or immorally. Therefore, each code must be properly evaluated from a moral point of view. Some company codes simply list legal requirements that may not be known to employees, but which they should know. Other codes set out specific requirements to ensure that abuses such as bribery and illegal political contributions are not tolerated. Some firms have developed codes that serve as guidelines for the application of the organization's business practices. Some companies consider it unacceptable to accept gifts from suppliers, while others allow gifts valued up to $25 or $50.
Some companies prohibit giving gifts to suppliers or clients. Others limit contributions to political parties, the purchase of shares in companies with which they have business ties, and other practices that may create or appear to create a conflict of interest.
1.2 Functions of the code of ethics.
Codes can serve important functions and help solve specific problems faced by members of a particular profession or employees within a company. If, for example, a company has established exactly what size gifts can be accepted, then the employee knows not only that bribery is immoral and unacceptable, but also what exactly his employer considers a bribe.
The root cause of ethical problems in business is conflicts in the interests of interest groups. Business involves economic relationships between many groups of people: customers, employees, shareholders, suppliers, competitors, governments and communities - the stakeholders. Thus, the company's code of ethics is a separate area of management.
In labor relations, situations periodically arise when people’s ideas about morality collide, i.e. Each individual has his own understanding of good and bad, justice, duty and responsibility. The code of corporate ethics must be built into the business system and act as a bearer of the company’s ethical values and ethical standards that determine the actions of the employee and ways out of difficult situations.
A code of corporate ethics can perform three main functions:
- reputational;
managerial;
development of corporate culture.
However, the managerial function of a code of business ethics should not be underestimated. It consists of regulating and streamlining corporate behavior in complex and ambiguous situations from the point of view of compliance with the principles of ethics, honesty and integrity.
The management function is provided by:
- Formation of ethical aspects of corporate culture between stakeholders within the corporation (shareholders, directors, managers and employees). The Code of Business Ethics, by introducing corporate values within the company, crystallizes the corporate identity of the company and, as a result, improves the quality of strategic and operational management in it.
-Regulation of priorities in relations with external stakeholders (suppliers, contractors, consumers, creditors, etc.).
- Determining the order and procedure for developing and making decisions in complex ethical situations.
- Listing and specifying forms of behavior that are unacceptable from an ethical standpoint.
The Code of Corporate Ethics is a significant factor in the development of corporate culture. The code can transmit the company's values to all employees, guide employees towards common corporate goals and thereby enhance corporate identity. Corporate ethics is also an integral part of corporate culture. The Code of Corporate Ethics is a significant factor in the development of corporate culture. The code can transmit the company's values to all employees, guide employees towards common corporate goals and thereby enhance corporate identity.
Conclusion: Based on the above, we determined that the ethical code of an organization is the rules and norms of behavior for joint activities.
There are 4 types of code of ethics.
1) Professional code of ethics.
2) National Code of Ethics.
3) World Code of Ethics.
4) Corporate code of ethics.
We also identified the main functions of the code of corporate ethics:
- reputational;
- managerial;
- development of corporate culture.
Part 2. Development and implementation of the organization's code of ethics.
2.1 The need to implement the organization’s code of ethics.
The main purpose of a code of ethics is to create comfortable conditions labor, favorable psychological climate in the company. With the help of a code of ethics, you can unite all team members and create a corporate culture. It is easier for employees who have mastered the company’s laws to understand complex work situations, and it is easier for a newcomer to join the team and understand what is expected of him here.
The code must provide an explanation of the main purpose of the company’s existence, i.e. her mission. Every employee must know why the enterprise was created.
The code of ethics highlights the following points:
- corporate standards: it’s good if the company can be recognized by the traditionally correct answer of the secretary;
- continuous development and improvement: increasing professional level, sharing positive experiences, searching for new solutions;
- reliability: responsibility, dedication;
- team work: respect for each other, open discussion of problems;
- the procedure for internal interaction: an established exchange of information increases the speed of processes, which has a positive effect on the financial performance of the company;
- rules of behavior in non-standard situations: the risk that an employee will become confused when communicating with a partner, client, etc. is reduced.
Western companies have long recognized the need to implement a code of ethics that defines the basis of business behavior, which allows them to achieve an advantage in business. In our country, due to insufficient government control and established traditions, the ethics of business behavior in enterprises is not given due attention.
“A code of ethics appears in a company when it expands and the General Director becomes faced with the need to develop a system of coordinates so that employees understand ethical corporate values. In addition, a code of ethics improves relationships with partners and investors. The code guarantees partners that all promises will be fulfilled. For investors, the code is an argument in favor of the correctness of the decision to invest in a company for which honor comes before profit.”
It is also known that in the employment contract of any enterprise there are sharp corners that are hidden. On the other hand, there is the Labor Code, a document that makes both the employee and the company vulnerable to official bodies. To resolve this contradiction, the company creates a list of ethical standards. Taking it new employee, or an employee renewing his employment contract, knows what is and is not customary to do in the company. By signing the document, they know what to expect from working for the company.
Companies can choose one of three paths to develop and implement a code of ethics.
1. Involve external expert consultants who will guide the draft code of ethics from start to finish and accompany the company after its implementation.
2. Develop and implement a code of ethics with the help of external experts, and support the system independently.
3. Develop and implement a code of ethics on our own.
In fact, some companies turn to consulting agencies, whose consultants collect the opinions and proposals of the team, analyze them, and after 1-4 months propose a “corporate constitution” to the company’s management.
Other companies borrow standard codes of a particular industry (codes of doctors, psychologists, personnel officers, teachers), edit them and receive their own set of internal corporate rules.
When preparing a code of ethics, top and middle management of a company get acquainted with similar documents in force at other enterprises, identify traditions that have developed in the company, ethical issues existing in corporate culture, bring what we would like to see ideally.
2.2 Stages of development and implementation of the code of ethics.
It is recommended to develop and implement a code of ethics in four stages.
1. Research. The company is diagnosing the situation: identifying potential areas of conflict of interest, contradictions within the organization and in its external relations - with clients and partners. Areas of possible violations related, for example, to rude staff, theft, etc. are identified. The goals of the program are formulated.
2. Concept development. The company's management creates an “image of an ideal employee” - describes his desired behavior in conflict and difficult ethical situations. They are individual for each organization. Depending on their characteristics, the structure of the code is formed: content, chapters. At the same stage, a draft text of the code is drawn up.
Thus, a base of one’s own ideas about ethical standards in the company is created.
Further work is entrusted to the personnel service, which formulates the main provisions of the code of ethics. When developing a code of ethics, it is advisable to involve employees at all levels in the discussion of its provisions. At the same time, problems of a professional and ethical nature that arise in the daily activities of employees are clarified, classified, and desirable and undesirable behavior of personnel is described using specific examples. That. unwritten rules are established that exist in any company: from requirements for employee clothing to norms of relationships with clients, competitors, etc. When developing a code of ethics, it should be taken into account that its provisions must be feasible.
3. Discussion, adjustment and acceptance. All employees are introduced to the draft code, its necessity for each employee and the company as a whole is clarified, and they receive feedback on the draft code. Then the text is corrected and the document is finalized. The Code is approved by the company's management.
4. Implementation. A system for implementing the code of ethics is being created. It includes four elements: 1) promoting ethical standards of behavior within the company; 2) training of employees (how to apply the norms fixed in the code); 3) monitoring the implementation of ethical standards and possible violations; 4) response to violations.
The entire set of ethical rules is fully accepted by the president of the company, who is the guarantor of their implementation. Having started with himself, he can demand the same from others.
Once the code of ethics has been adopted and implemented, changes can be made to it if necessary. For example, a company has acquired a new type of activity or opened a branch in another country. It is necessary to make additions to the code of ethics that will reduce the likelihood of conflicts and ethical problems associated with new activities. Changes are formalized as an appendix to the main text of the code of ethics
There are no uniform standards when drawing up a code of ethics. Usually it sets out the general goals and principles of the company, norms of behavior, work schedule, dress code, rules for working with clients and partners. The code may include the company’s obligations to the team, management policies in the field of labor protection, confidentiality provisions and other nuances of organizational activities. Every employee faces problems that are difficult to solve on their own. How to resolve these issues is prescribed in an internal document. The essence of this document is to help employees live up to the company's image and maintain its authority.
Typically, a corporate code of ethics consists of two main parts:
1. Ideological, including the mission, goals and values of the company.
2. Normative (behavioral), which describes specific standards of behavior common to all employees, the company’s obligations to employees, social and disciplinary responsibility, and features of handling internal corporate information. It also regulates the behavior of employees in certain situations, for example, when communicating with clients, partners, and also provides safety, environmental standards and much more.
To comply with the principles of the code of ethics it is necessary:
1. Bring the principles to the attention of all employees;
2. The personnel service should organize a discussion of corporate ethical standards (anonymous surveys, discussions on Internet forums);
3. Create a department for handling complaints regarding the ethical quality of service;
4. Periodically (once a year) review the code of ethics to eliminate or change outdated rules.
It is not always possible to ensure that staff comply with all the standards prescribed in the corporate code. So, if the boss violates the code, it is pointless to demand its implementation from ordinary employees. Therefore, the code of ethics is one of the levers of personnel management.
Conclusion: The second part looked at the need to implement an organization's code of ethics. And they came to the conclusion that with the help of an organization’s code of ethics it is possible to unite all members of the team and create a corporate culture. The organization’s code of ethics also makes it easier for employees to work.
In addition to the necessity, the stages of development and implementation of the code of ethics were considered. There are only 4 stages in the development and implementation of a code of ethics:
- Study.
Concept development.
Discussion, adjustment and acceptance
Implementation.
As a result of writing this work, we can summarize and draw the following conclusions:
- A code of ethics is a set of rules and norms of behavior shared by group members.
There are 4 types of code of ethics.
- 1) Professional Code of Ethics – regulates relations within the professional community.
- 2) National Code of Ethics - establishes the basic rules of ethical behavior and indicates moral guidelines.
- 3) World Code of Ethics - testifies to social progress, the gradual humanization of society.
- 4) Corporate Code of Ethics – the goal is to help corporation employees behave ethically.
- There are three main functions:
- Reputational – increasing trust in the company from potential investors and business partners.
- Managerial – the formation of ethical aspects of corporate culture between stakeholders, regulation of priorities in relations with external stakeholders, listing and specifying forms of behavior that are unacceptable from an ethical standpoint, determining the order and procedure for developing and making decisions in complex ethical situations.
- Development of corporate culture – focusing employees on common corporate goals.
- The code of ethics is one of the levers of personnel management.With its help, you can unite all team members and create a corporate culture
The processing and implementation of an organization's code of ethics includes the following steps:
- 1. Research. At this stage, the company diagnoses the situation.
- 2. Concept development – a base of own ideas about ethical standards in the company is created.
- 3. Discussion, adjustment and acceptance - all employees are introduced to the draft code.
- 4. Implementation – a system for implementing the code of ethics is created.
Professional ethics of society cannot represent the absolute truth in people's behavior. Each generation must solve them again and again on its own. But new developments must be based on the moral stock created by previous generations.
Today, when there is rapid development of technical aspects and lagging cultural aspects, it is very important to understand that ethical knowledge is necessary to stabilize society. This is why ethical codes are created.
List of used literature:
1.Richard T. DeGeorge, Business Ethics. M. 2003
2.Luchko M.L. , Business ethics is a success factor. M.2006
3. Petrunin, Yu.Yu., Business ethics: textbook. Benefit. - M: Delo, 2000.
4. Kibanov, A.Ya., Ethics of business relations: textbook; edited by AND I. Kibanova; M.: INFRA-M, 2002.
etc.................