A MONTHLY SUPPLEMENT OF RAKAN SARAWAK BULLETIN

(People, events, activities and programmes which make for a total quality-managed Sarawak Civil Service)

ISSN 1394-5726

 
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"BRINGING MANAGEMENT ETHICS TO LIFE"S

What is Ethics?

Ethical behaviour in management encompasses a wide concept - intergrity, honesty, discipline, loyalty i.e the good qualities that should be present in management.  The word 'Ethics' is derived from the Greek word 'ethos,' meaning 'the spirit of the people, a civilisation or a system, as expressed in its culture, institutions, ways of thought, philosophy and religion' (Longman Modern English Dictionary).  The subject of ethical management has been dealt with in depth by the Greek, Christian and Muslim philosophers over the years.

For the last 20 - 30 years, ethics are taught as a philsophy and now even business schools are teaching ethics in their curriculum, the famous one being the Wharton Business School of the University of Pennsylvania in Philadelphia, USA. Professor T Donaldson who teaches business ethics at the school said that "90% of all Fortune 500 companies have Codes of Conduct and 70% have statements of Vision and Values."

Why ethics?
     
Why is the emphasis on ethics becoming more apparent now than perhaps in the past?  It is now becoming especially important as times are getting hard - people do cut corners and there are concerns that people should do things right in accordance with proper ethical standars,  The current economic turmoil is definitely a real test on the strength of ethical values of a company and the individual.  Codes of ethics must provide clear direction about ethical behaviour when the temptation to behave unethically is at its strongest.  The Prime Minister, YAB Datuk Seri Dr. Mahathir Mohamad has made the right move to initiate the setting up of a Management Integrity Committee (Jawatankuasa Keutuhan Pengurusan) to instil the highest level of intergrity and ethical values in the Civil Service

Ethics to good management
     
Dr C McNamara in his article 'Complete guide to Ethics Management' lists out several values of ethics to good management. Ethics help leaders maintain a strong moral course in turbulent times like the present economic downturn.  There is often no clear noral compass to guide leaders through complex conflicts and times of crises about what is right or wrong.  Continuing attention to ethics in the workplace sensitises leaders and staff to how they want to act - consistently.  Ethics promote a strong public image.  The fact that an organisation regularly gives attention to its ethics can portray a strong positive image to the public. People see those organisations as valuing people more than profit as striving to operate with the utmost integrity and honour.

The bottomline on ethics

Many Western observers are convinced that in future, the "robber barons," will not be able to compete with ethically-committed business corporations.  Ethical values, consistently applied, are the cornerstones in building a successful and socially responsible business.
       
Managing ethical values in the workplace can:

  • legitimises managerial actions
  • strengthens the coherence and balance of the organisations' culture
  • improves trust in relationships between individual and groups
  • support greater consistency in standards and qualities of products, and
  • cultivates greater sensitivity to the impact of the enterprises' values and messages
  • In a nutshell, there is no denial that unethical practices, if left unchecked, have dire consequences on the organisation and the society at large.  It only makes sense that all organisations and individuals recognise their moral obligations and responsibility and take collective efforts to prevent the spread of unethical practices.  Ethics are akin to an insurance policy - they help to ensure that policies are legal.  There is a clear  distinction between obeying the law and ethical behaviour. It is normally ethical to obey the law but obedience to the law alone does not produce a guarantee of ethical merit.  The law can only establish minimum standards. It is morality which establishes the appropriate standards for us all.
           
    A simple ethical question - if you are handed a fake RM100.00 at a market, what do you do with it?  Would you report it to the police or throw it away or use it to buy other goods or keep it as a souvenir?

     
         (an excerpt from a paper presented by YB Tuan Haji Talib Zulpilip, Chairman, SEDC Sarawak at CMM's Corporate Think-In, Holiday Inn Kuching on 5/9/98)

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