BUSINESS ETHICS

Topics:
1. Ethics
2. Characteristics and Values Associated with Ethical Behavior
3. Importance of Ethical Behavior
4. Reasons for Unethical Behavior
5. Categories of Ethical Principles
6. Professional Ethics
 1. ETHICS

✓ A set of moral principles or values that govern the actions

and decisions of an individual or a group

✓ Affected by life experiences

Examples of Expressed moral principles or values:

• Laws and regulations
• Doctrines
• Codes of conduct
2. CHARACTERISTICS AND VALUES ASSOCIATED WITH
ETHICAL BEHAVIOR

• Be
principled/honorable/upright/courageous/act
on convictions
INTEGRITY • Do not be twofaced or unscrupulous
• Do not adopt an end-justifies-the means
philosophy that ignores principle
2. CHARACTERISTICS AND VALUES ASSOCIATED WITH
ETHICAL BEHAVIOR

• Be truthful
• Sincere
• Forthright/straightforward/frank/candid
HONESTY • Do not cheat
• Do not lie
• Do not steal
• Do not deceive/act deviously
2. CHARACTERISTICS AND VALUES ASSOCIATED WITH
ETHICAL BEHAVIOR

• Be worthy of trust
• Keep promises
• Full commitments
TRUSTWORTHINESS • Abide by the spirit as well as the letter
of an arrangement
2. CHARACTERISTICS AND VALUES ASSOCIATED WITH
ETHICAL BEHAVIOR

• Be faithful and loyal to family, friends,

employers, client and country
• Do not disclose information learned in
LOYALTY confidence
(FIDELITY) &
CONFIDENTIALITY
2. CHARACTERISTICS AND VALUES ASSOCIATED WITH
ETHICAL BEHAVIOR

• Be fair and open minded

• Be willing to admit error
• Where appropriate, change positions
FAIRNESS & and beliefs
OPENNESS • Demonstrate a commitment to justice,
the equal treatment of individuals, and
tolerance for acceptance of diversity
• Do not overreach or take advantage of
another’s mistakes or diversities
2. CHARACTERISTICS AND VALUES ASSOCIATED WITH
ETHICAL BEHAVIOR

• Be kind and compassionate

• Share, be giving
• Be of service to others
CARING FOR • Help those in need
OTHERS • Avoid harming others
2. CHARACTERISTICS AND VALUES ASSOCIATED WITH
ETHICAL BEHAVIOR

• Demonstrate respect for human dignity,

privacy, and right to self-determination
of all people
RESPECT FOR • Be courteous, prompt and decent
OTHERS • Provide others with information they
need to make informed decisions about
their own lives
• Do not patronize, embarrass, or
demean
2. CHARACTERISTICS AND VALUES ASSOCIATED WITH
ETHICAL BEHAVIOR

• Obey just laws

• Exercise all democratic rights and privileged
responsibly by participation
RESPONSIBLE • Social consciousness and public service
• Openly respect and honor democratic processes of
CITIZENSHIP
decision making
• Avoid unnecessary secrecy or concealment of
information
• Assure that others have all information they need to
make intelligent choices and exercise their rights
2. CHARACTERISTICS AND VALUES ASSOCIATED WITH
ETHICAL BEHAVIOR

• Pursue excellence in all matters

• Be diligent, reliable, industrious and
committed
PURSUIT OF • Perform all tasks to the best of your ability
EXCELLENCE • Develop and maintain a high degree of
competence
• Be well informed and well prepared
• Do not be content with mediocrity
• Do not “win at any cost”
2. CHARACTERISTICS AND VALUES ASSOCIATED WITH
ETHICAL BEHAVIOR

• Be accountable, accept responsibility for

decisions, for the foreseeable consequences
of actions and inactions, and for setting an
ACCOUNTABILITY example for others
3. IMPORTANCE OF ETHICAL BEHAVIOR

• For society to function in an orderly manner

 4. REASONS FOR UNETHICAL BEHAVIOR

Person’s Ethical Standards • Drug dealers, bank robbers and larcenist

Differ from General • People who cheat on their tax returns
Society • People who treat other people with
hostility
• People who lie on employment
The Person Chooses to Act applications
Selfishly • People who perform below their
competence level as employees
• People who cheats on tests
 5. CATEGORIES OF ETHICAL PRINCIPLES

• Basic justice/ fairness

• Respect for the right of others
PERSONAL • Concern for the right of others
ETHICS • Concern for the well-being on welfare
of others
• Benevolence, trustworthiness, honesty
• Compliance with the law
 5. CATEGORIES OF ETHICAL PRINCIPLES

• Integrity, impartiality, objectivity

• Professional competence
PROFESSIONAL • Confidentiality
ETHICS • Professional behavior
• Avoidance of potential or apparent
conflict of interest
 5. CATEGORIES OF ETHICAL PRINCIPLES

• Fair competition
• Global as well as domestic justice
BUSINESS ETHICS • Social responsibility
• Concern for environment
 6. PROFESSIONAL ETHICS

Profession
• A responsibility to serve the public
• A complex body of knowledge
• Standards of admission to the profession
• A need for public purpose
CODE OF GOOD GOVERNANCE FOR THE PROFESSION
IN THE PHILIPPINES

- Covers the common principles underlying the codes

of various professions
- Sets out
a. General Principle of Professional Conduct
b. Specific Principle of Professional Conduct
GENERAL PRINCIPLE OF PROFESSIONAL CONDUCT

- Professionals should have:

a. An ethical commitment
b. A personal resolve to act ethically
c. Ethical awareness – ability to discern between right and
wrong
d. Ethical competency – ability to engage in sound moral
reasoning and consider carefully the implications of
alternative actions
 SPECIFIC PRINCIPLE OF PROFESSIONAL CONDUCT

• Professionals are committed to a life of

service to others
SERVICE TO • They protect life, property and public
OTHERS welfare
• To serve others, they shall be prepared for
heroic sacrifice and genuine selflessness in
carrying out their professional duties even
at the expense of personal gain.
 SPECIFIC PRINCIPLE OF PROFESSIONAL CONDUCT

• Professionals shall perform their responsibilities

with the highest sense of integrity and imbued
with nationalism and spiritual values.
INTEGRITY & • Maintain objectivity
OBJECTIVITY • Be free of conflicts of interest
• Refrain from engaging in activities that would
prejudice their abilities to carry out their duties
ethically.
 SPECIFIC PRINCIPLE OF PROFESSIONAL CONDUCT

• Professionals shall undertake only those

professional services that they can reasonably
deliver with professional competence
PROFESSIONAL • Keep up with ne knowledge and techniques in
COMPETENCE their field
• Continually improve their skills and upgrade
their level of competence
• Take part in a lifelong continuing education
program
 SPECIFIC PRINCIPLE OF PROFESSIONAL CONDUCT

• Each profession shall nurture and support one

organization for all its members.
• Each member should put the broader interest of
SOLIDARITY & the profession above one’s personal ambition
TEAMWORK and preference
 SPECIFIC PRINCIPLE OF PROFESSIONAL CONDUCT

• Professionals shall carry out their

professional duties with due
SOCIAL & CIVIC consideration of the broader interest of
RESPONSIBILITY the public.
• As a responsible Filipino citizens, they
shall actively contribute to the
attainment of the country’s national
objectives.
 SPECIFIC PRINCIPLE OF PROFESSIONAL CONDUCT

• Every professional shall remain

open to challenges of more
GLOBAL dynamic interconnected world.
COMPETITIVENESS • Professionals shall rise up to
global standards and maintain
levels of professional practices
fully aligned with global best
practices.
 SPECIFIC PRINCIPLE OF PROFESSIONAL CONDUCT

• All professionals shall treat their

colleagues with respect and shall
EQUALITY OF ALL strive to be fair in their dealings
PROFESSIONS with one another.
• All professionals are equal and
therefore every one shall treat
one other professionals with
respect and fairness.
To be continued …