GR12 Ethics and CSR Slides PDF

Ethics, Professionalism & Social Responsibility Chapter 6 – Page 82 to 89 Grd 12 BUSINESS STUDIES Ethics :  The relevance of Professional Codes Professional codes → a...

Ethics, Professionalism & Social Responsibility Chapter 6 – Page 82 to 89 Grd 12 BUSINESS STUDIES Ethics :  The relevance of Professional Codes Professional codes → aim to regulate the behaviour of people practising a particular profession. A profession → is an occupation or job, requiring specialised tertiary education that qualifies someone to practise as a professional in a particular field. https://www.sada.co.za/ http://www.rebosa.co.za/professional- designation-examination-pde-4-and-5-dates-for- https://www.samedical.org/ 2015/ Grd 12 Activity 1 – Page 82 BUSINESS 2 STUDIES  Good business practice Good business practice = the standards of professionalism, accountability, ethics and effective business practice that should be conducted. Unethical actions are not necessarily illegal BUT all illegal acts will http://tweakyourbiz.com/ be seen as marketing/2012/03/12/online- ethics-fails/ unethical. Coca Cola's unethical https://www.yo practices in India - HRM utube.com/wat ch?v=qlsyjfwk project IwU Grd 12 BUSINESS 3 STUDIES  The Principle-based theory Refer to Ethical theories The person’s principles, values, morals Page 82 or ingrained set of rules about what is right or wrong, will determine if the person sees the action as ethical or not. Consequence-based theory The outcome (consequence) of the action will determine if the action is ethical or not. Utilitarian theory The decision of ethical or unethical action is based on what is best for the greatest number of people. Grd 12 BUSINESS STUDIES  Conflict of interest Piracy Pricing of goods / Price fixing Une thica issu l es: Bribes and corruption "Insider trading" Unauthorised use of funds Sexual harassment Inappropriate gifts Counterfeiting & Bootlegging Taxation Tax avoidance: legal way to reduce tax Unfair advertising Tax evasion: illegal- not declaring income Employment / labour issues Advertising Standards Authority Of SA Communicates ethical vision A Code of Ethics → (based on business’ Framework for decision making core values) a set of guidelines and rules Set of correct behaviour/procedure that will enhance (improve) business Spell our consequences honesty and integrity. Helps new employees Grd 12 BUSINESS Unethical STUDIES Practice:  Ethical behaviour in practice Une Conflict of interest thica issu l Potential Conflict of Interest Concerns https://www.yo utube.com/wat es: ch?v=KbkRW Raised Over Trump Business Ties F2Pc_E Bribes and corruption http://da-gpl.co.za/da-holds-affidavits-detailing-epwp-job- allocation-corruption-by-anc/ http://progressions.prssa.org/index.php/2014/03/06/conflicts-of-interest- what-to-do-when-the-decision-is-not-clean-cut/ https://www.yo utube.com/wat How Corrupt Is South Africa? ch?v=KRRgq NgDr5E Grd 12 BUSINESS 5 STUDIES Unauthorised use of funds http://synergisticsresearch.com/optimizing- small-business-checking-feb-2016/ http://www.socalcriminallawyer.com/white-collar-crimes/ Inappropriate gifts https://www.yo Giving and Receiving Business utube.com/wat ch?v=4GYmG Gifts | Compliance Guidelines NmknFg http://cosmeticsethics.blogspot.co.za/ 2013/04/the-ongoing-unethical- practices.html Grd 12 BUSINESS 6 STUDIES  Sexual harassment Sexual harassment is a criminal offence Unfair advertising http://www.businessinsider.com/fast-food-ads-vs-the-real-thing-2012-1 https://ads360.wordpress.com/2010/12/16/deceptive-advertising/ https://www.yo Top 5 banned South African TV utube.com/wat ch?v=RyMuvL adverts 7jQc0 Grd 12 BUSINESS 7 STUDIES  "Insider trading" http://www.financial-spread-betting.com/Effects-of-stock-market-insider-trading.html Piracy http://gearburn.com/2011/03/piracy-is-theft-and-you- know-it/ Grd 12 BUSINESS 9 STUDIES  Counterfeiting & Bootlegging https://www.scoopwhoop.com/inothernews/incredible-facts-about-fake-brands-and-products/ #.6e3y3rqyb Taxation http://excelsiar.co.za/sars/ https://www.yo SARS embarks on an awareness utube.com/wat ch?v=OsM5-P campaign on tax obligations 6nt2M Grd 12 BUSINESS 10 STUDIES  Whistle-blowing Whistle blowing in SA is making South https://www.yo utube.com/wat African multinational nervous - Hugo ch?v=LIX7vra 05pQ Pienaar http://www.personneltoday.com/hr/whistleblowing- police-officer-dismissed-taking-matters-hands/ Grd 12 BUSINESS 11 STUDIES Evaluate ethical / unethical behaviour in different spheres of society: Ethical behaviour in the world of Business and Finance A Code of Ethics → (based on business’ core values) a set of guidelines and rules that will enhance (improve) business honesty and integrity. http://www.skilledup.com/articles/remarkable-online- philosophy-ethics-courses-for-business for details on ethical Refer to Page 85 behaviour in the business world Grd 12 BUSINESS 12 STUDIES  Ethics in Government http://www.keyword-suggestions.com/ZXRoaWNzIG9mIGNhcmUgY2FydG9vbg/ https://www.yo South Africa needs code of ethics for utube.com/wat ch?v=Re2F9 long-term prosperity. WbSfik Grd 12 BUSINESS 13 STUDIES  Ethics in the international market https://za.pinterest.com/pin/517069600939712801/ https://za.pinterest.com/pin/517069600939712801/ https://www.yo utube.com/wat Sweatshop Documentary 2016 ch?v=gUIY-FB mPOM Grd 12 BUSINESS 14 STUDIES  The relationship between management ethics and social responsibility The concept of Corporate Social Responsibility (CSR) “An on-going commitment by businesses to behave in an ethical manner by contributing to the economic and social development of employees and the community at large.” Grd 12 http://www.accuragroup.in/csr BUSINESS CSR: STUDIES  The implications of CSR: Implications for the business No business exists in isolation, businesses must understands that it impacts on the wider society → There should be positive results for both the business and the community. See benefits pg. 86 https://www.reputationinstitute.com/consulting/stakeholder-mapping Grd 12 BUSINESS STUDIES Sustainability:  Definition: CSR Triple Bottom Line: CSI: 1 Economic (profit) Businesses contribute to Responsibility of every social and economic reform business to contribute to 2 Environmental (planet) in SA sustainable Economic , Environmental and social growth 3 Social (people) King II Report SR Rating scored on: # transparency Primary Social Broader Social Responsibility: Responsibility: # fairness Government (Tax) # accountability 1 Owners/shareholders To create infrastructure to stimulate # economic, economic growth environmental + 2 Employees Broader community social sustainability 3 Suppliers  Nature conservation 4 Consumers  Sponsorships of sport  Creation of infrastructure 5 Competitors  Upliftment of poor: training and development  AIDS prevention  Pollution Grd 12 BUSINESS STUDIES Positive: 1. improve the community’s socio-economic Negative: situation 1. already socially responsible by providing goods 2. skills development (Adult training) more and services productive workers 2. distract them from their real responsibilities 3. If businesses do this Government will (profit) enforce it less through legislation 3. create expectations or reliance 4. Promote image gain goodwill 4. does not alone develop sustainability in 5. Job creation – improve standard of living communities JSE Social Responsibility Index (JSE SRI) The indicators of performance:  Environment Benefits:  Society  Competitive advantage.  Governance  Accountable and transparent  Management of climate  Positive impact on financial change performance Grd 12 BUSINESS STUDIES  GRI (Global Reporting Initiative) The GRI is a non-profit organisation that promotes reporting on sustainability issues through the creation of a Sustainability Reporting Framework. This framework is used worldwide to promote transparency when all types of businesses report on economic, environmental and social issues. http://www.sustainability-reports.com/ john-elkington-appointed-chairman-of- the-gri-technology-consortium/ Refer to for details of Page 88 the GRI & How do I do it in the exam? Grd 12 BUSINESS STUDIES