Corporate Ethics And Social Responsibility

Many believe that business entities should have an ethical duty to be socially responsible, to work towards increasing its positive effects on society while decreasing its negative effects. Many organizations look for opportunities to be socially responsible while also creating shareholder wealth.

Breaking down an overview of Lockheed Martin’s organization leads to Terris’ elaborate plan to gain a general overview of the evolution of business ethics and revealing a balance between profits and stakeholder concerns. Responsibilities of top leadership involve several different form of involvement. These leaders have to be aware, decisive, honest, focused and inspiring. A top leader is usually referred to as a chief executive officer, CEO. CEOs have helped throughout the history of business ethics by seeking unfair advantages through immoral arrangements and creating new ways of business. With business changing occurring, welfare capitalism becomes a major aspect in the nineteenth and twentieth centuries. As a result of issues with welfare capitalism, corporate social responsibility has made its appearance in the twentieth century. Programs of corporate social responsibility now form many of corporate America’s largest advertising campaigns, especially in industries that have been vulnerable to public criticism for their social impact (Terris, 2005, p.42).

Nowadays, organizations have a corporate social responsibility to fulfill in the business industry. There is a variety of definitions for corporate social responsibility however; a common definition is a business integrates social and environmental concerns in their everyday business operations on a voluntary basis (Murphy, 2010). It is important that managers behave ethically and morally so other individuals will follow their guidance. A manager is responsible for fair treatment of employees, customers, and suppliers, building trustworthy relationships, and being transparent (Murphy, 2010). As a result, managers that are in executive level positions are oftentimes, most responsible for any unethical or

Corporate Social Responsibility (C.S.R.) is a theory practiced in the business sphere since fifty years. It refers to the duty of business organizations to adopt certain activities that will benefit the society in some way. Charity, health-awareness campaigns are few examples that a business undertakes to fulfil its objectives of C.S.R. According to this ideal, it is important for various corporations today to undertake such social activities, apart from merely focusing on their objective of profit maximization. But, is it an obligation that is most important than other objectives of business? This thought further leads us to another significant question – In contemporary settings, should corporations be guided by the concept of C.S.R.?

Nowadays in the era of economic relations and international trade business ethics plays a very important role. It is of vital importance at any level of activity: corporate, state or international. Questions of corporate social responsibility and business ethics are engaging business more and more - both domestically and internationally (Sims 2006). This

Companies today have been aware that it is very important for them to enforce ethics and morality in their actions and ideas. They know they will be profoundly analyzed and rejected by the public if these enforcements are not their number one to facilitate wellness in society. This way of rational thought pertains to the pharmaceutical industry. The pharmaceutical industry can regulate the health of many lives all over the world. It becomes essential that they follow the ethical and moral route for the good of society and to enable wellness. Pharmaceutical companies have been as easy target of many critics over the years. There is a perception that these companies are strictly out for profit and that they will stop at nothing to gain money

What is needed to help ensure that a business is ethical and socially responsible, and why are these essential to a thriving business?

Apple Company is one of the largest manufacturers of computers and electronics. “Apple Company was founded on April 1, 1976, by college dropouts Steve Jobs and Steve Wozniak, who brought forth a new company vision of changing the way people, viewed computers” (Library of Congress, 2008). The ethical and social responsibility of Apple Company should have started with its inception; however, it did not. It was not until years later with the advent of social media and the power of worldwide communications, did Apple Company focus on ethical and social responsibilities regarding the treatment of its employees in their factories overseas. The international reports of employee maltreatment; the use of underage employees; and, documented instances of wrongful disposals of toxic matter into the environment, forced Apple to take immediate action and establish safeguards which would protect its employees, the environment and more importantly the brand name that is Apple Company.

Business organizations are not just supposed to strive for their profits and market share; the society also expects them to be socially and ethically conscious and responsible in their activities and business affairs. They have to manage their business operations in such a fashion that they do not bring any physical or ethical harmful impacts to the society (Lamb, Hair, & McDaniel, 78). They have to maintain a sound track record of fair and ethical business practices throughout their life.

Since its implementation in 1989 there has been some amendments done to it to make it more effective these include; involvement of enforcement authorities and have come up with new settlement tools, another change is that they have over time advocated for more permanent solutions and innovative technologies in combating hazardous waste, they have also put other states and federal environmental laws consideration into superfund actions, the act also as recently included an

Business ethics and corporate morals have been evolving over the years, and continue to do so. These guidelines are constantly molding and vary as businesses become more integrated. Costco Wholesale Corporation, is a very successful multinational business, but has had issues in following along with social responsibility trends that come with advancements in domestic and worldwide partnerships.

Raymond James is a financial service holding company with subsidiaries specializing in investment banking, financial planning, investments, and asset management. The company was founded in 1962, has been public since 1983, and was founded in St. Petersburg, Florida. In June 2016, Raymond James joined the Fortune 500 list for the first time. This paper will address the corporate social responsibility and ethics of this financial institution (Raymond James).

Bovee, C. L., Thill, J. V. (2013). Business in Action Upper Saddle River, NJ: Pearson Education,

ITC Ltd has worked exremly hard to start several procedures that have led to compliance of the standards of social responsibility. ITC’s dealings within the tobacco industry have contributed to the increase in company revenues and the company has worked towards following the triple bottom line and giving back to society. Most, businesses pay little attention to their social responsibilities and make it part of their overall strategy, instead they concentrate more on financial benefits from the sales of products. Consequently, managing business in a socially responsive manner contributes to the best combination of business success and societal acceptance, trust and loyalty. Giving back to the community in ways that benefits only society such as planting trees to curb pollution and help the environment or using biodegradable materials in packaging can reap financial benefits to a company by building loyalty among the community. The notion of business ethics and corporate social responsibility is becoming a defining concept in all industries worldwide. ITC believes in the Triple Bottom Line philosophy where the performance and perception of a corporation should not be judged only on the basis of its financial statements or revenues, but its environmental and social performance as well. ITC is one of the only companies in the world to be carbon positive, water positive, and conduct solid waste recycling. ITC provides water to areas where water is very

Strategic decisions move a company toward its stated goals and perceived success. Strategic decisions also reflect the firm’s social responsibility and the ethical values on which such decisions are made. They reflect what is considered important and what a company wants to achieve. Mark Pastin, writing on the function of ethics in business decisions, observes: There are fundamental principles, or ground rules, by which organizations act. Like the ground rules of individuals, organizational ground rules determine which actions are possible for the organization and what the actions mean. Buried beneath the charts of organizational responsibility, the arcane strategies, the crunched numbers, and