Business Ethics And Responsible Management

Business Ethics And
Responsible Management

Table of Contents
INTRODUCTION...........................................................................................................................1
PART 1............................................................................................................................................1
A. Ethical Dimensions, Role Of Business In Society, Key Stakeholders Of The Company &
Impact Of Ethical Choices On Business And Recommendations..............................................1
B. Application of Two Ethical Theories.....................................................................................4
PART B............................................................................................................................................6
Ethical Leader, Ethical Manager and Ethical Organisation........................................................6
CONCLUSION ...............................................................................................................................8
REFERENCE.................................................................................................................................10

INTRODUCTION
Business Ethics refers to the organizational values, norms, standards and principles that
shapes up the activities and behaviours of the employees in the organizations. It is also known as
Corporate Ethics. These ethics guide the business to operate the organization and maintain
relationships with all the stakeholders. Management of business ethics is a part of Customer
Relationship Management. Basically it deals with what is right or what is wrong for the
organization (Werhane, Freeman and Dmytriyev, 2017). Deliveroo is an online food delivery
company. It was founded by Will Shu and Greg Orlowski in 2013. Its headquarter is in London.
It operates its business in 200 cities. Its revenue is £277 Million in 2018. Report will highlight
on the ethical dimensions, role of business, key stakeholders and impact of ethics. Report will
tell about the ethical theories and their application on business. Report will describe about the
ethical manager and ethical leader.
PART 1
A. Ethical Dimensions, Role Of Business In Society, Key Stakeholders Of The Company &
Impact Of Ethical Choices On Business And Recommendations
Ethical dimensions of the issues -
1. Compliance and Governance Issues – Business have to comply with the employment
laws, environmental laws and health and safety laws. Deliveroo riders are self-
employed contractors and according to the UK employment legislation, self-
employed contractor is not considered as worker thus, company didn't follow national
minimum wages and holiday paid. They even clearly denied the employees' rights.
This lead to creation of issues for Deliveroo.
2. Equality Issues – It is ethical responsibility of business to provide equal pay and
opportunity to all the employees who are working in the business. Deliveroo
compensation scheme for all the riders are not same whether they are on similar
contract or not. Thus, this inequality lead to create an ethical issue for the company
(Ferrell and Fraedrich, 2015).
3. Unclear Policy – It is considered as an ethical manner that business make policy in
that way, employees can clearly able to understood that what is written in the policy.
But Deliveroo policy is not like that. Thus, riders don't understand the policy which
lead to creation of issue in the business.
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4. Trust – The basic fundamental ethical issue that all company face is lack of trust.
Deliveroo also face the same issues. There is lack of trust and relationship between
company's management team and riders(employees). This lead to raise of issues in
the tribunals and courts. This issue impacts the brand image of the company as well
(Trevino and Nelson, 2016).
Exploration as an Ethical Question -
This should be explored as an ethical questions because without society's support, no
business can operates its activities peacefully. For the peacefully and effectively running of the
business, they need to follow society's norms, standards and ethics. The issues are related the
employee ethics which is a crucial aspect of business ethics. Issues related to employee ethics.
When employees don't complete the tasks, this lead to decrease in employee morale and not
achieve the organizational goals which cause increasing in employee turnover and decreasing in
productivity (Bowie, 2017). Thus, for the better performance of the organization, company
should follow business ethics.
Role of Business in Society
Role of business in society are as follows -
 Business are the units that meet and fulfil the needs of the society by producing goods
and services.
 Business create and give employment and wealth opportunities to the society.
 Business are the one who decide the living standard for the society.
 If business run smoothly, responsible and effectively, this lead company to earn profits.
This will motivate company to expand and grow, resulting in social stability and
economic growth.
 Because of business, various issues related to the societies are solved. In solving
problems, business plays an important role (Shaw, 2016).
Key stakeholders and impact of Ethical Issues on them -
Stakeholders are those people without whom, organization can't operate. They influenced
the business activities. Also, change in any decision of business also impact the business.
Stakeholders of the Deliveroo are Owner, Shareholders, Management Team, Employees
(Riders), Suppliers, Government and Customers.
Issues Regarding Business Ethics impact the stakeholders are as follows -
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