business ethic and responsible management

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BUSINESS ETHICS AND
RESPONIBLE
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
PART 1 ( A).....................................................................................................................................1
Outlining ethical challenges........................................................................................................1
Number of factors subject to pose ethical questions for company..............................................2
The ways story says about ways company may be perceived in society and the ways the
company want to think about role in society..............................................................................2
The key stakeholders and the ways they are affected.................................................................3
Benefits of ethical approach and some of dangers that are not considered.................................3
Ways ethical choices impact on other businesses.......................................................................3
Recommendations.......................................................................................................................4
PART 1 ( B).....................................................................................................................................4
Introduction of ethical theories ..................................................................................................4
Application of theories ...............................................................................................................5
Critically evaluated the theories .................................................................................................6
Recommendations.......................................................................................................................6
PART 2............................................................................................................................................6
Ethical leadership management...................................................................................................6
Reflect about how ethical leadership management can be put in practice in an unethical
business environment..................................................................................................................7
How personal ethics, integrity and compliance help to practice ethical leadership management
at work place...............................................................................................................................7
Conclusion of Ethical Leadership Management in an UN-Ethical Leadership environment.....8
CONCLUSION ...............................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Business ethics refers to study of suitable business policies together with practices related
to potentially controversial subjects such as discrimination, fiduciary responsibilities, corporate
governance and many more. In other words, it is defined to type of applied ethics as well as
professional ethics which examines moral or ethical principles or problems which arises with
specific business environment. Similarly, responsible management is about seeking towards
balancing interests of whole world for prospering benefits of existing together with future
generations. Business ethics focuses towards doing the best for shareholders and stakeholders
through fulfilling responsibilities effectively and efficiently. To understand about business ethics
and responsible management, Thai Union is the selected organisation. The headquarters of the
business are situated at Samut Sakhon, Thailand since 1977. It is well popular as Thailand based
producer of food products related to sea food. It is also listed in Business and Human Rights
Resource centre report and Stock Exchange of Thailand. It operates worldwide with plant
facilities in Norway, Ghana, France, Thailand, United States, Scotland and many more. The main
business of company encompasses shrimp, salmon, tuna, sardines or mackerel and various value
added products.
The present report is prepared in two parts. Part one outlines ethical challenges, number
of factors, role of business in society, stakeholders and the ways they are affected. It further
includes benefits of ethical approach and certain dangers at the time that is not considered. At
last, it covers some recommendations to company for being more ethically aware and responsible
organisation. Part 2 discusses the activities which makes an ethical leader and the ways they
manage the business as ethical leader.
PART 1 ( A)
Outlining ethical challenges
Ethical challenges are the situation in which moral disputes arises and are required to be
addresses (Nonet, Kassel and Meijs, 2016.). These are the events or occasions in which moral
standards of company are questioned. In case of “Supply Chains and human right abuses”, it is
identified that various ethical challenges are faced by the employees of Thai Union. Some of
them are as outlined:
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Pattern of policy over practice: It is one of ethical challenge that organisations faces as
they resides in adopting pattern of policy over practices in tackling slavery within supply chains
in area of Pacific. In the region, nearby 60% of tuna are supplied, however, as demand of tuna
grows, challenge of severe human right abuses such as slavery, child labour for rife, forced
labour and hence forth are experienced. In context to Thai Union, employees while setting
operations faces ethical challenge related to patterns of policies over work practices.
Recurrent abuse: It is the situation in which severe exploitation of many population for
the purpose of personal as well as commercial gain (Stanberry, Stanberry and Reeves, 2020). In
the case, it is explored that millions of children as well as adults faces risk of modern slavery
within supply chain. It is also examined by employees of Thai Union that in the company there is
no single workers facing modern slavery in supply chain but faces recurrent reports related to
abuse.
Number of factors subject to pose ethical questions for company
As per the case, there are number of factors that pose huge questions for company about
their ethical practices. In context to Thai Union, employees have explored that legal factor is one
of factor that pose ethical question that whether the company works with the pattern of policy
over its practices while tackling slavery in supply chains. The other factor is social factor that
questions whether the company fulfils its key responsibilities towards society or not (Lam,
2016). In the company, some says that public human rights policy is places while some have
reports to have human rights due diligence process.
The ways story says about ways company may be perceived in society and the ways the
company want to think about role in society
From the story, it is viewed that the company that is Thai Union may be perceived as
loyal towards its activities to protect workers. The entity step up its operations and efforts for
determining, addressing as well as preventing modern slavery within its networks of supply
chain as well as provides redress for employees to stamp out abuses. It may be also perceive as
the one that fulfil all its responsibilities towards society (Kivel, 2017).
The aspects through which Thai Union want to think for its role in society is through
analysing issues pertaining in society and implementing actions to resolve them. It may also
think through producing and distributing products for satisfying needs and demand of public.
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The other way is by creating job opportunities as it needs people for selling fishes and other sea
food to consumers (Neubauer and Lank, 2016).
The key stakeholders and the ways they are affected
The key stakeholders of the company that is Thai Union along with the aspects they are
affected are as outlined:
Employees: The stakeholders which is employed for either salary or wages in exchange
of workings or contributions in organisation (De Vos and Van der Heijden, 2017). In Thai
Union, employees are affected as they have to face abuses or situation of modern slavery in
supply chains.
Suppliers: Another stakeholder of Thai Union which provides products or services to
entity. These are affected because of limited co-ordination of company with practices in supply
chain and extinct of unconvincing from side of business. When business do not integrate its
practices with supply chain, then suppliers are affected in wide manner.
Benefits of ethical approach and some of dangers that are not considered
Ethical approach is the best protects as well as respects the affected moral rights. When
managers of Thai Union works with ethical approach of ethical working they are benefited in
better employee motivation as well as recruitment, fulfilling responsibilities towards societal
issues, improving awareness of brand, managing and coordinating workings with supply chains
and addressing risks related to modern slavery or abuses. The good practices of managers are
linking suppliers with sources, engaging employees in decision making, protecting them from
abuses and handling complaints effectively (Tong, 2018). The dangers which are not considered
by organisational managers are poor governance, reckless risk taking, pressure on workers ion
supply chain and non existent risk assessment. Moreover, without decisive actions, managers
always faces danger of public policies becoming fog leaf for abuse and providing maximum
people with plausible deniability.
Ways ethical choices impact on other businesses
As per Gellerman (2020), ethical choices helps managers to recognise differences among
what is right and wrong that strives to set instances for good conduct that benefits other
companies. For example, managers of Thai Union have devised good choices in terms of paying
fair wages to all employees, reducing workforce without any layoffs, commitment towards
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sustainability, payment for animal rights and welfare generally impacts in positive manner on
other firms as they assist them to set their workings accordingly that results in managing brand
reputation together with supply chain relationships. However, bad choices such as continuation
of slavery, biases to recruit employees, etc results in negative impacts as organisations loses
reputation, credibility in market and faces decline in productivity. Because of bad choices, other
businesses faces negative consequences in terms of changes in legislations, financial loss and
many more.
Recommendations
It have been recommended to Thai Union that they must implement laws and legislation
from protecting their employees in supply chains. They are also recommended to pay attention
towards completing grievance procedures to handle complaints and solve alleged cases of human
rights. In order to become more socially aware and responsible organisation, it is recommended
for establishing social mission and realistic goals, educate its manpower, organising in house
social responsible team, make direct contributions, encourage volunteering, follow ethical labour
practices, think for sustainability and collaborate efforts with stakeholders and other businesses.
The company is also suggested to devise effective strategies and convince stakeholders to
implement them so that any unethical practice is avoided and entire workings are performed in
more ethical and responsible manner.
PART 1 ( B)
Introduction of ethical theories
Ethics defines as a combination of the norms, beliefs, thoughts, values that helps the person to
take decisions effective and easily analyse the right and wrong. The concept of ethics plays an
essential role in the everyday personal life that helps in improving the personality and attributes
in an attractive manner. In the same way it is very significant in gaining the organisational task
and objectives in an appropriate manner. It includes the various theories and concepts that is
linked with the ethical practices and assist in gaining the competitive advantage and placing the
brand in the higher position. In related with the Thai Union, this is related to the supply chain
and human right abuses. To solve these issues for the company this study involves the two
theories that can be shown below(Köseoglu, Yildiz and Ciftci, 2018)
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Deontological Ethical theory- This theory is denoted as a Kant's theory that suggest the
developing of relationship between duty and morality of the action related to humans. This
theory believed that the ethical actions showcasing the universal moral laws that depends on
don't lie and don't steal.
Teleological Ethical Theories- This theory reflects that the personal action either they
are right or wrong may majorly impact the individual behaviour and attributes. This is
represented in several ways like utilitarianism, ethical egoism etc(Manasakis, 2018).
Application of theories
According to that study, supply chain and human right abuses is one of the major issue of the
Thai Union. This issues shows the slavery condition in the supply chain of the fishing company
and the abusing the human rights by child labour, inequality in the pay of the employees etc. due
to this major problems can be faced by the organisation such as unconvincing, conflicts of
interest, disputes etc. In order to handle the problem related to the supply chain and human right
abuses application of some theories can be analysed that helps in proving the proper guidance in
solving the issues with the use of ethical practices. Theories of ethical practices can be shown
below(Erlic, 2017).
Deontological Ethical theory- This theory considered two aspects i.e. negative and
positive rights. In this negative shows harmful results in a way that shows the major risk of
losses for the Thai Union by abusing the local people in supply chain process. This helps in
analysing the issues and positive rights reflects that company can adopts the ethical standards by
constantly focusing on improving the human right and also use digital traceability for protecting
the rights of migrant fishers and prevent from abusing.
Teleological Ethical Theories- In this theory Utilitarian concepts can be highlighted that
shows the actions related to good outcomes if the work can be done with high level of
satisfaction. In this human right abusing in supply chain of the fishing company i.e. Thai Union
can be considered. To solve this issue by the use of this theory leader of the company can
motivates their employees so that they work effectively and work on managing the supply chain
by using digital platform so that they get positive outcome of the problem. This also helps in
removing the demotivation in the workers and retaining them for a longer period of time.
According to this theory work can be render as per the ability and capability so that employees
are satisfied and gives in supply the goods and services(Zulkifli and Saripuddin, 2015).
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Critically evaluated the theories
From the above analysis theory it is evaluated that for enhancing the overall supply chain
and removing the abusing human rights manager can take the use of these ethical theories in
taking decisions so that fair outcomes will be come. This also shows the positive working in the
operations of the company. This will helps in inviting the workforce in business activities so that
they feel satisfied in the and feel free from slavery work. This will enhance the sustainability of
company to full contribution of the employees in attaining the goals in specified time
period(Kish-Gephart and et. al., 2019).
Recommendations
 To overcome this issue company can adopts the effective communication process so that
miscommunication cannot be taken place and it helps in taking the supply chain
effectively and efficiently.
 Another one is that the organisation can positively motivates and encourage their
employees and supply chain by prevent from the child labour and solving their
grievances by using digital media. This shows the positivity in the working environment
and also represents the ethical practices that gives effective results(Setó-Pamies and
Papaoikonomou, 2020).
PART 2
Ethical leadership management
Ethics are the essential term in the current business environment. As present business
environment is dynamic where every individuals are worked in an efficient way so that they can
matched the desired results. In this leaders and managers play an essential role because they
influence the staff members in an effective way so that they can accept change effectively. In this
leadership provide an effective results in terms of ethical terms. In a company as a leader
performing the practices that is related to leadership plays in an honest and virtuous way. In this
ethical leadership and management helps in retaining the employees for a longer period of time
within a firm. In this taking decisions based on ethical terms keep the benefits of the organisation
and followers. For example- I am working in the organisation, ethical principles are need to be
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followed properly. It helps in providing more respect, community, justice and honesty that all are
core in business ethics(Montoya, 2015).
Reflect about how ethical leadership management can be put in practice in an unethical business
environment
Unethical business environment shows the injustice to the workers who are working
within the organisation on every level i.e. operational and functional level. As a leader working
at a workplace in the unethical environment is quite difficult to implement the ethical practices
so that company may grow. To reflect the ethical leadership management it is very essential to
examine the issues with proper aspects so that policies can be conveyed from top to bottom level
by using proper ethical practices. To effectively reflects the ethical terms manager can provides
the training and motivation programs so that workers can understand the importance of business
ethics and code of conduct in gaining higher profits. In this employees are work with ethically
and if they do any unethical work they should be penalised. In this leaders can motivates them to
offers the rewards and recognition for working with ethical standards and maintains it in the
working place. This helps in adopting the ethical policies by staff members over unethical
practices.
How personal ethics, integrity and compliance help to practice ethical leadership management at
work place
Adopting a proper ethics in a regular working helps in building a ethical term in a person.
When I am working as a leader and aware about all the ethical terms than solving the issues with
the use of proper code of conducts and policies shows the transparency and honesty at the
workplace. This influences the followers to get attracted towards the personal qualities at the
time of performing the task. Using a specifications and standards related to ethics at the working
environment reflects the productive and proficient results to the company. It is to be cleared that
when a leader and manager of the business entity uses the ethical concepts in the business day to
day activities than it inspired the staff members to behave in that same manner so that goals can
be easily adopted by the business entity. But it shows difficult to the persons in the working
place to adopts all the ethical behaviour as per their manager and leaders, due to this company
can organise training and development session so that they learn best an d apply the ethical
practices effectively with the help if ethical leadership management at the organisation working
environment(De Roeck and Farooq, 2018).
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Conclusion of Ethical Leadership Management in an UN-Ethical Leadership environment
From the above maintained analysis it is to be evaluated that when the business enterprise may
adopted the ethical leadership management over the unethical business environment than
injustice and misconduct behaviour of the individual person towards the other would be
minimised to a great extent. If unethical environment is presented at the workplace than the
decisions can reflects the manipulations and biasnesed. In this personal profits and benefits can
be on top list as compared to group benefits. At this place launching of an ethical practices helps
in changing the working culture and attitude of working style within the business venture. It
represents the honesty, trustworthiness and the integrity in the achieving a particular goal. At this
time as a leader and manager of the company they can record the changes that was taken place in
the organisation by the use of ethical standards in place of unethical practices. At this time
manager can examined that the using of ethical practices company will gain higher profits and
revenues due to this it will sustained for a longer period of time. It also helps in retaining the
employees by motivating them at their job. In this every staff members given the right to take
participate in decision making process, pay according to their ability and capability that will
shows the ethical policies in terms of the satisfying the employees. In this way it shows that
introducing the ethical leadership management within the business enterprise provides the
positive results in the long term sustainability.
CONCLUSION
From the discussion, it have been concluded that ethical is one of form of implemented
ethics to respect employees through valuing opinions as well as treating all equally. The ethical
challenges faced by business are pattern of policy over practice and recurrent abuse. Factors that
pose subject of ethical question on company are legal factors and social factors. Employees and
suppliers are key stakeholders that are affected most from practices of entity. The two ethical
theories which are implemented and evaluated are Deontological Ethical theory and Teleological
Ethical Theory.
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REFERENCES
Books and Journals
De Roeck, K. and Farooq, O., 2018. Corporate social responsibility and ethical leadership:
Investigating their interactive effect on employees’ socially responsible
behaviors. Journal of Business Ethics. 151(4). pp.923-939.
De Vos, A. and Van der Heijden, B. I., 2017. Current thinking on contemporary careers: the key
roles of sustainable HRM and sustainability of careers. Current opinion in
environmental sustainability. 28. pp.41-50.
Erlic, S., 2017. Would a Hippocratic oath of business encourage business leaders to make ethical
decisions? A study into what business students learn in business ethics
class. Responsible leadership and ethical decision-making, pp.83-94.
Kish-Gephart, J.J. and et. al., 2019. Behavioral business ethics: The journey from foundations to
future. In Business Ethics. Emerald Publishing Limited.
Kivel, P., 2017. Uprooting racism-: How white people can work for racial justice. New Society
Publishers.
Köseoglu, M.A., Yildiz, M. and Ciftci, T., 2018. Authorship trends and collaboration patterns in
business ethics literature. Business Ethics: A European Review. 27(2). pp.164-177.
Lam, H., 2016. Social media dilemmas in the employment context. Employee Relations.
Manasakis, C., 2018. Business ethics and corporate social responsibility. Managerial and
Decision Economics. 39(4). pp.486-497.
Montoya, D.A., 2015. Ethics & Risk: Protecting Your Organization from Itself-Responsible
Management of Employee Misconduct at Federal Agencies. The Journal of Government
Financial Management. 64(4). pp.52-53.
Neubauer, F. and Lank, A. G., 2016. The family business: Its governance for sustainability.
Springer.
Nonet, G., Kassel, K. and Meijs, L., 2016. Understanding responsible management: Emerging
themes and variations from European business school programs. Journal of Business
Ethics. 139(4). pp.717-736.
Setó-Pamies, D. and Papaoikonomou, E., 2020. Sustainable Development Goals: A Powerful
Framework for Embedding Ethics, CSR, and Sustainability in Management Education.
Stanberry, K., Stanberry, C. and Reeves, T., 2020. A Persistent Academic Ethical Dilemma: Too
Few Female Students in STEM Five Decades after Title IX. Journal of Academic
Ethics, pp.1-10.
Tong, R. P., 2018. Feminist approaches to bioethics: Theoretical reflections and practical
applications. Routledge.
Zulkifli, M.C. and Saripuddin, C.O.A.S.S., 2015. Concept of business ethics in Islam: Approach
to the entrepreneur. Journal of Asian Business Strategy. 5(1). pp.13-18.
Online:
Thai Union. 2017. [Online]. Available through: <https://www.thaiunion.com/en>
Gellerman. S. W. 2020. Why “Good” Managers make bad ethical choices. [Online]. Avail;able
through: <https://hbr.org/1986/07/why-good-managers-make-bad-ethical-choices>
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