What legislative act prompted many U.S. companies to develop internal ethical policies and procedures?
The Sarbanes-Oxley Act created new standards for the accountability of businesses and corporations and it includes penalties for acts of misconduct. The Act stipulates new financial reporting obligations, including the adherence to internal controls and procedures which are to certify the validity of their financial records. These accounting controls put into place were meant to reduce unethical/ illegal actions within an organization (Mathis & Jackson, 2011, p. 16).
What are key concepts related to business ethics that should be considered in the development of the ethics training program?
Describe the elements you will incorporate into your ethical training program (at least five).
There are several concepts which should be taken into consideration when an organization is creating an ethics training program. An ethics program will associate the behavior of employees with the primary ethical standards desired by organizational leaders. Customarily, there are surprising disparities between the ideal values of an organization and the values that are essentially displayed by employee conduct (Complete Guide to Ethics Management: An Ethics Toolkit for Managers, n.d.). The continued awareness and communication in regards to moral principles in the workplace will foster openness and integrity which are essential elements in the workplace and building teams. When employees have a vigorous coalition concerning their moral principles and the principles of the business, an individual will have the tendency to respond with potent motivation and performance.
Elements included in an ethics program include the following:
A Written Code of Ethics and Standards of Conduct
A solid code of ethics must touch upon universal standards that the organization supports; distinctive additionally, values which are distinctive to the day-to-day processes of an organization. These codes should focus the activities and goals of an organization, while simultaneously upholding universal ethical principles. The culture of an organization has a bearing on all levels of management, and employees and their behavior in making decisions concerning the organization (Mathis & Jackson, 2011, p. 13 ). In creating a code of ethics, begin by acknowledging actions that may create concerns, contemplate which are considered to be of moral value, such as matters in regard to esteem, objectivity and trustworthiness.
Training on the Ethical Behavior
There should be training on ethical behavior for all everyone in the organization, including executives, managers, and employees. The ethics program is essentially of no use unless all staff members are trained about what it is, how it works and their roles in it. All staff must be aware of and act in full accordance with policies and procedures, so it is imperative to make ethical training mandatory for all employees from the top down in...