Compliance with the laws and regulations in a society or community sometimes requires a solid internal push or external catalyst to kickstart the implementation of new administrative standards. Managers must be mindful of their responsibility to seek out this information and act accordingly to communicate it across the necessary channels to guarantee understanding. Voluntary adherence can also open an organization to new markets and friendly government resolutions. Much international and government contract work requires firms to adhere to specific laws and regulations to complete certain tasks. Failure to do so can result in heavy fines, loss of contracts, or possible expulsion from a market. This can be avoided by considering the long-term effects of potential legal decisions about the company’s mission and goals.
Upholding ethical and legal standards in the workplace is crucial in maintaining trust and integrity with customers and employees alike. An organization’s success is built on its reputation with the general public and its employees. Any decisiveness to disregard or skate around ethical and legal standards for the sake of results can be detrimental to an organization’s reputation and is not easily remedied. Even if the organization can clear its name post-scandal, there is no telling what long-term financial or strategic losses may have been incurred.
Upholding Ethical Standards in the Office
Another, in the long run, a more effective method is to promote ethics to the rest of the staff. This may be done through written company policy or new employee orientation. This will inform the staff what conduct is acceptable and what is not. An understanding of ethical issues is best done through a training program. Moral training is given our attention right now. The training program should address ethical issues and build an understanding of the company’s values and priorities. An effective training program is best at preventing misconduct, as employees are more aware of the consequences of their actions. In addition, a corporation’s ethical culture may be built into the performance evaluation and reward system so that each employee may feel accountable for their actions.
It is a manager’s job to promote ethics in the workplace. The manager may be the owner of the business or a paid employee. Either way, the same principles apply. The first method that a manager can use to influence the ethical path of the company is to act as a role model. The manager should conduct their business activities with high moral and ethical standards. The rest of the staff understands a manager’s actions. If a manager defies a company policy, then it is likely that other staff members will do the same.
Business ethics refers to the principle of applying the moral values and standards of doing business. It is a concept that affects every person, from individuals to large corporations. Every business has a set of ethical principles, whether they know them or not. Some businesses operate on the principles of integrity and honesty, whereas others have different principles. Businesses with high ethical standards operate in the best interests of the stakeholders. Such companies will have happier and more loyal employees and more satisfaction in their work. They tend to have longstanding relationships with suppliers and customers, and they tend to be more accepted in the community. All of these things are good for business. In addition to this, customers prefer to have dealings with ethical companies, resulting in more trade from new and existing customers.
Compliance with Laws and Regulations
Regulation ensures that an industry uses its resources (including human resources) efficiently to produce socially desirable goods and services. If an industry is left to its own devices, it may reduce competition and not allocate resources efficiently. This would result in consumer abuse in the form of high prices and the likelihood of a fall in product quality. The behavior not in the public interest will often be illegal and unethical, but not always so. For that reason, industries usually require laws to make specific behaviors illegal. Laws and regulations are minimum standards of behavior set by a government or a regulatory body. The primary difference between laws and regulations is that some elected officials usually set down laws. In contrast, regulations are set down by a regulatory body, which is often funded by the industry in question. Laws and regulations are enforced through a legal system, which usually involves a court hearing. If a firm or individual is found guilty of breaking a law or regulation, there will be a punishment, usually a fine. This is a different official mechanism to voluntary and self-regulation. It involves an industry setting its codes of conduct and then ensuring through monitoring and enforcement that these are followed.
Handling Confidential Information
Privacy and information protection are essential in today’s office environment. One of the critical elements for managers at all levels of the organization is a detailed understanding of the implications of the Privacy Act and how it is applied in their areas. A failure to understand this can result in significant personal liabilities. Some information collected from employees for employment or HR-related purposes comes within the exemptions under the Act. However, advisors should check the Act’s relevant sections to confirm that information is exempt. This is important as the exemptions are pretty specific. If information does not come within an exemption, it will be personal information for the Act. When dealing with the personal information of employees or others, this must only be used for the purpose it was collected and not for any other purpose unless consent is given. It must also be kept secure, accurate, and up-to-date. Personal information held by a small business operator (as defined in the Act) is exempt from the Act’s information privacy principles until 2004; however, they are still expected to act consistently with these principles. A manager who is involved in the commission of an act that is in breach of the Act may be held personally liable for penalties imposed by the Federal Court.