The Universal Declaration describes those ethical principles that are based on shared human values. It reaffirms the commitment of the psychology community to help build a better world where peace, freedom, responsibility, justice, humanity, and morality prevail.
Individual, social, and opportunity factors all affect the level of ethical behavior in an organization. Individual factors include knowledge level, moral values and attitudes, and personal goals.
Compliance necessitates an emphasis on building ethics which is the direction that all organizations need to be moving in [12]. Today, a business that wants to be successful for any length of time must have a competitive advantage. An organization that can mesh and implement compliance and integrity based ethics will have a strategic advantage over other businesses in the same industry.
An integration of compliance and integrity brings forth a multitude of rewards [8]. Undoubtedly, profit is one of those enhanced rewards received when a business follows some ethical standard.
Milton Friedman said that the one responsibility of business is to increase profits, as long as it operated within the rules. There is an overwhelming argument to include ethical decision making in firms as a responsibility. This idea begins at the top, with the leaders of the organizations [20] [21] [22]. Business leaders must find a way to instill ethics in their organization while still maintaining the goal of growing profits on a continuous basis.
Business leaders can establish a baseline for ethics in an organization that helps the leader identify areas that can generate ethical outcomes of the positive nature. Leaders can have the greatest impact on organizational culture because of their positions and this, in turn, has the most significant impact on corporate ethics [13].
For and effective, ethical culture to spread throughout the organization, the commitment to ethics must not remain exclusively in the hands of the leader at the top.
This responsibility must flow to all the executives and members of management to show an alignment of the message of good ethics, thereby eliminating ambiguity [13]. An effective leader finds a way to make their subordinates want to do the things necessary to achieve the goal set forth by the leader.
If the aim is to have an organization that has a foundation in good ethics, then the leader must find a way to make those that follow, want to attain that goal. This idea will not develop into a blind trust, but the more the leader makes personal sacrifices for the sake of their values, the more the employees are willing to do the same [23].
Ethical leader-follower relationships are a process rather than a flash in the pan one-time event. Merely writing an ethical code is not enough; it must be entrenched into the very fiber of the organization and communicated by the leader continuously. Leaders are the primary force behind the ethical conduct of an organization and are responsible for the guiding their employees in the right direction [23]. Ethics from leaders can be accomplished by a trickle-down effect.
The top leaders in an organization have the broadest impact. It is crucial for business leaders to implement the ethical behavior in their organizations; otherwise, the firm will lose its customers [24].
Ethics and profitability are not mutually exclusive and that it matters to everyone in all walks of life in their personal and professional lives. However, the two are not in competition with each other and that on many occasions the profitable choice is indeed the ethical choice. Ethics is a management tool that has been used to increase productivity and consequently profits in business.
Strict adherence to ethical standards increases profits as well as the expansion of business [15] [25]. This paper set out to define compliance-based ethics and integrity-based ethics individually. Once established, a comparison was drawn between the two philosophies and the two views were subsequently synthesized together and looked at from the perspective of one all-inclusive philosophy. The meaning of what the two philosophies meant to business leaders was discussed next and also how a company should draw from the best of both themes to create an ethics based, profit generating, successful business.
While there is evidence of ethics being linked to profitability, the need for further research is warranted to answer the question of whether an organization which chooses the ethical road on which to conduct business will be rewarded with continued success and be viewed as good corporate citizens of the world.
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Bruce H. DOI: Seeks to avoid legal sanctions. Combines concern for the law with an emphasis on employee responsibility. Integrity is a system of applying ethical and related principles. Ethical principles are components of integrity.
Integrity is not a component of ethical principles. Integrity is not and cannot be its own component, just like a car is not and cannot be its own component. Integrity in the workplace comes in many forms, but above all refers to having upstanding character traits and work ethics including sound judgement, honesty, dependability, and loyalty. A well-known definition is: Integrity is doing the right thing through your words, actions and beliefs when noone is watching.
A person of integrity will consistently demonstrate good character by being free of corruption and hypocrisy. Integrity is revealed when people act virtuously regardless of circumstance or consequences. This often requires moral courage. Indeed, integrity is the critical connection between ethics and moral action.
Integrity is the act of behaving honorably, even when no one is watching. People with integrity follow moral and ethical principles in all aspects of life. Integrity should extend to professional areas at work such as decision making, interacting with colleagues and serving customers or clients.
Begin typing your search term above and press enter to search. Press ESC to cancel. Skip to content Home Social studies What are compliance-based and integrity based ethics codes? Social studies. Ben Davis June 15, What are compliance-based and integrity based ethics codes?
What is the difference between and integrity based code of ethics and a compliance-based code of ethics? Which of the following is an objective of compliance-based codes?
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