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Submitted by

Abhinandan Choudhury

Hanish Dhume

Nishita Tibrewal

Prathmesh Joshi

Rajat Varshney

HRM ETHICS ASSIGNMENT

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Background

In the past there is no such situation in which the company has to face any legal obligation

against its safety systems and procedures. We are consistently meeting all the regulatory

requirements need to be followed by an insecticides manufacture company. Now we needto take an action that reflects companys responsibility and through which companys image

can be maintained.

Before taking action on any ethical issues, we need to understand the basic dimensions

involving conflicts among different responsibilities that come under human beings,

territory etc.

The company leaders responsibilities can be divided into four spheres: Personal ethical

values, responsibilities as economic agents, responsibilities as organization leaders and

responsibilities in cooperative capitalism. Together, these four spheres provide a map ofthe moral territory of business management.

As leaders of the organization, we are responsible and accountable of every output

regarding the company. So first of all we need to be ethically sound in our personal actions.

It makes our employees feel that the organization is ethical. Personal ethical values consist

of the duties, commitments and ideals that shape and guide individuals lives. In many

respects, the sphere of private ethics seems to be primary, to represent morality in its trust

and most profound sense. This is the first and foremost condition for a company to be

ethical in the long term.

The ties between the owner of a company and the managers who act as their agents are

inescapably moral. Managers as economic agents have an ethical responsibility to use the

resources of the company in a way that the owner of the company wants them to be used.

It is just like another relationship which carries strong moral weight. It is natural that a

situation arises where there is a dilemma between personal ethical values and these

economic duties. But a good manager is that who know how to handle these kinds of

situations.

As organization leaders, business managers exercise enormous power. This power comes

with responsibility. This enormous power leads to a strong moral claim that is the obligation

not to abuse this power. We are responsible for creating an ethical environment in the

company. A companys ethical climate can encourage employees to speak honestly, to treat

each other with respect, to obey both the letter and the spirit of the law and to be

responsible citizens of the communities in which the company operates.

Limits of executives responsibilities dont end here; it goes beyond the boundaries of the

firm. Extensive cooperative relationships among companies and other organizations create a

new set of responsibilities for business managers. There are outside groups such as

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customers, suppliers, local communities, government agencies and other stakeholders with whom

an executive has to maintain relationships. Profitability should not be only criteria to judge the

success of an organization; we should also consider cultural values like truth, courage, action and

caring.

Outstanding managers are those who are able to devise and execute their plan of actions at

the time where these spheres collide with each other.

Future Course of Action

The most important and urgent action which company need to take is in the regard of its

employee who is fighting for his life in the hospital. Company is accountable if anything

happens to its any employee in the company premises, so it needs to take care of each andevery thing required for his treatment. Company should take the pain of making the best

care available to him. This action will also help in maintaining the good image of the

company.

Second thing which company need to do is face the media and take responsibility of

whatever happened in the company. It should also give assurance to its stakeholders that it

is looking into the matter and come up with the answer as soon as possible. It will take strict

actions against the individual/group that is responsible for this output. This will pacify the

anger of the employees against the companys policies.

Personal Ethical Values

- Respect for an individual's life by providingfinancial and emotional assistance

- Keep promise for safety to individual

- Drawing a honest picture by telling the truth

- Obey laws and allign character and virtue withthe values of the company.

Responsibilities as Economic Agents

- Take into account the occupational and safetyhazards

- Ensure compliance of regulatory requirements

Responsibilities as OrganizationalLeaders

- Decision is going to set the values of the

organization- Play a supportive role towards the injuredemployee and his family by being moreemployee centric.

Responsibilities in CooperativeCapitalism

- Assure other factory workers about their

safety

- Co-ordinate with the trade unions of each plantand arrange training for workers.

- Ensure security to investors and shareholders.

4 SphereFramework

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The ethical issue of management is different from other conventional management issues.

Just analyzing the situation is not enough for these types of situations. In these situations

managers also need to think form ethical and emotional point of views. Company need to

take some actions so that it does not have to face similar situation. In summary following

are the actions required to be taken by the company:

It should spread awareness of the ethical standards to be followed in the companyfrom top to bottom.

Employees should be properly rewarded recognizing and properly evaluating notonly their attention to ethics, but also measuring their performance and behaviour

otherwise they may decide that ethical behaviour is not worth the effort, because

they focus on short-term, quantifiable results.

It should impart proper knowledge and training about the usage of criticalinstruments. This can also be done by organizing competitions among theemployees. Employee who has the maximum knowledge should get rewarded.

Regular checks should be performed to verify that each process is following thespecified standards.

There should be open environment and manager skip level policy. So that anemployee can discuss any ethical issue with its super manager if that is in

contradiction with the direct manager.