BBA 1st Year Business Ethics Long Question Answer

(b) This will prevent the employees from resorting to unethical means.

(5) Integrating Ethical Decision Making into Strategic Management

Morality and ethical make up for a perennial debate and ethical perfection is almost impossible. A btter way to deal with this is to integrate ethical decision making into strategic management of the organisation. The way the HR manager gains an alternate perspective rather than the traditional employee oriented or stakeholder oriented view.

All these steps can bring better clarity into resolving ethical dilemmas. The choice lies with the manager and his own organisational value clarity.

Q.11. Write a brief note on “Ethics in human resource management.”

Ans. Ethics in Human Resource Management: Human resource management deals with manpower planning and development related activities in an organisation. Arguably, it is that branch of management where ethics really matter, since it concerns human issues specially those of compensation, development, industrial relations and health and safety issues. There is, however, sufficient disagreement from various quarters.

There are different schools of thought that differ in their viewpoint on role of ethics in human resource development. One group of thought leaders believes that since in business, markets govern the organisational interests and these interests are met through people, the latter are therefore at the highest risk. They believe that markets claim profits in the name of stakeholders and unless we have protocols, standards and procedures, the same will develop into a demon monopolizing markets and crushing human capital for this reason only; HR ethics has become mandatory.


There is another group of ethicists inspired by neo.Jiberalism who believe that there are no business ethics apart from realization of higher profits through utilization of human resources. They argue that by utilizing human resources optimally, there is more value creation for the shareholders, organisation and the society and since employees are part of the society or organisation, they are indirectly benefitted. Nevertheless, ethics in human resource management has become a perennial debate of late.

Discussions on ethics in HRD stem from employee relationships and whether or not there can be a standard for the same. Employee’s rights and duties and freedom and discrimination at the workplace are issues discussed and covered by most of the texts on the topic. Some argue that there are certain things in employment relationship that are constant, others disagree with the same. For example, right to privacy, right to pay in accordance with the work (fair compensation) and right to privacy are some areas that cannot be compromised with.

Ethics and Market System: The kind of market system affects business and HR ethics; the latter thus becomes negotiable. In occupations where the market conditions do not favor the employees, it is necessary to have government and labour union interventions in order to control the possible exploitation. In free market system, employees and the employer are almost equally empowered, negotiation create win-win situations for both the parties. Government or labour union interventions become harmful.

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