Ethical Operations and Employer-Employee Relations

This assignment examines the crucial role of ethical operations in strengthening relationships between employers and employees. It delves into how adhering to ethical principles, such as those outlined in corporate social responsibility (CSR), contributes to a positive work environment. The importance of transparency, honesty, and fair treatment in resolving conflicts and building trust within organizations is highlighted. A specific case study involving Tesco Public Limited is analyzed to illustrate the practical implications of implementing ethical codes of conduct.

BUSINESS ETHICS

Table of Contents
INTRODUCTION..........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Description of various approaches to have ethical approach to business enterprise........1
1.2 comparison between absolute and relative theories.........................................................2
1.3 description of issues those affected the activities of Volkswagen...................................2
TASK 2............................................................................................................................................3
2.1 Define the aims which are majorly affected by the moral intellection.............................3
2.2 Evaluating the impacts of Volkswagen and its stakeholders to operate ethically.....................4
TASK 3............................................................................................................................................5
3.1 Define the part of TESCO plc as motivation agent..........................................................5
3.2 improvement mechanism of worker participation and improvement...............................6
TASK 4............................................................................................................................................6
4.1 Explanation of current ethical issue and how it affects the Tesco public limited............6
4.2 How ethical operation helps in improving relation between employer and employee... .7
4.3 Appropriate ethical code for the Tesco public limited.....................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
The term business ethics stands as framing rules and regulations for an organisation to
find out the unethical code of conduct. It mainly deals with measuring out the variation between
ethical and unethical code of conduct in the enterprise. The business ethics has been passed to
provide basic duties and obligation so that corporation can run successfully. In other words it
focuses on the activities like insider trading, felony, fiducial responsibilities and controversial
issues in an organisation. Business ethics is considered as important phenomenon with respect to
government, society and stakeholder which are connected to the company. Furthermore, with
the help of bushiness ethics damages and wastage in the enterprise can be reduced (Francis,
2013). In this project report a case study has provided which is related to the Volkswagen car
manufactures. In which defeat services has been addressed which lowering the fuel efficient
capacity to 40% and regulates emission. Due to which the US department of justice filed the case
Volkswagen on the basis of environment protection. Firm had manufactured more than 500000
cars. It Effects as causing loss of money, goodwill and brand image of the corporation. In this
case study unethical behaviour of business has been found for which effective or corrective
measures should be taken to overcome it.
TASK 1
1.1 Description of various approaches to have ethical approach to business enterprise.
There are different approaches through which an effective measure can be taken to create
ethical behaviour in the organisation. Such theoretical approaches are-
Deontology approach- The word 'Deon' has taken for Greek which stands for duty. The
perception of this theory is based on duty or obligation which has to be followed. It is based on
specific moral responsibility seen as self evident, having intrinsic value which need no further
explanation. This theory works as making decision or look at the action and decides whether its
right or wrong. In the given case study it has defined that Volkswagen deliberately doing this
unethical conduct and sold more than 500000 defeated cars (Mahoney, 2013). Even the CEO
named winterkon admitted this misconduct and apologized for the same. Firm need to find the
actual perpetrator who is responsible for this conduct. It majorly affects the rules, policies of
CSR and whole framework of the company.
Teleological approach- This approach mainly focus on the consequence's of outcome on the
basis of action taken. Further they involve in making decision and finding out the ramification

from such decision taken. This theory helps in determining the correct outcome. The
manufacture of Volkswagen knew that their misconduct will be caught one day even though they
continuously practising such event. Ethical egoism is the example of teleological approach.
Utilitarian approach- Utilitarian approach is the kind of the ethical theory which states that the
best act is the one that maximise the utility and happiness for the number of people. The
misconduct of Volkswagen car manufactures results in brining dissatisfaction of clients which
act as major ramification (Morris and et.al., 2013). It majorly affects the brand image of the firm.
The main aim of this theory is to least the amount of harm and preventing the greatest amount of
suffering.
1.2 comparison between absolute and relative theories.
The term relative approach is based on things i.e. character and relationship and other one
is principles. This approaches to the theory is also known as deontological. It shows better role
in the moralistic or professional ethics. It generally focuses on the moral philosophy and decision
taken ability of the person. In addition to this the manufacturer of Volkswagen knew of their
misconduct even though they continuously involved in production and selling activity. On being
found their mistakes they blamed on issues related to the software. It majorly affects the outside
environment, brand image of the company and clients get influenced through such act.
Moreover, to the theory of utilitarian if dishonest sometimes can have the best result then
it would be good to lie (Craft, 2013). It relates on the facts that correct or false depend on the end
of the action. The better result can be achieved with the help of this theory as it gives its
consideration on the things like telling lies for earning profit can be in right way. By following
this approach the stakeholder of the company made a billion of profit amount. But using such
factors leads to loss in relation to the representation, trade name and relationship.
1.3 description of issues those affected the activities of Volkswagen.
The Volkswagen have the most identifiable brand name even though they didn't follow
the philosophicla approaches. It can be considered as accountability of CEO of the company
Martin winterkon to follow the duties and responsibilities and business practices. On being found
out such harmful conduct it can be said that it majorly affected the lives of the people and
environment. The trust of the client also affected in the large amount they also got influence.
Even the employees of the company got dissatisfied through such incident. On the basis of such
incident company recalled the department of production activity and they paid their customers

(Floyd and et.al., 2013). This was founded that company was contaminated the whole
environment. It was causing heart disease which leading to the hospital admission and premature
death.
The CEO of the company was responsible for whole act even though whole conduct was
performing without his knowledge. Therefore, CEO had resigned from the organisational
accountability which has resulted the muller as new CEO of company on September 2015. Now
he is taking effective measure to overcome the brand image and losses of the company. In
addition to this, it can be said that issues in respect to governance can be occurred which might
affect the business. Issues in respect to fiscal safety and civil rights can have diverse impact on
the overall outcome. Ethical issues in respect to human resource management is a barrier to
growth which need to be referred properly. Discrimination at workplace is a factor that creates a
barriers in respect to business. Special treatment and allowances to female employees based on
gender can also be considered as an unethical practice of business.
TASK 2
2.1 Define the aims which are majorly affected by the moral intellection.
The Volkswagen is a German auto-maker which is founded on the may 28th may 1937 by
German labour front. Its headquarter is situated in wolfsburg. Company is famous because of its
international brand and features (Yukl, 2013). Moreover, the company focused on the
maintaining the client trust or their organisation profitability to the shareholders and others. They
try to follow the duty based relation with their client so in this way firm earns high amount of
profit.
Objectives of the Volkswagen- The main aim of the company is to protect the environment from
being polluted. It is necessary for company to have effective focus on economical or ecological
aspects so that better opportunities can be identified in terms of automobile sector -
1. For achievement of the global position by using Morden equipments and method so their
customer get highly satisfied with their quality and services.
2. Through development in the global market firm can expand its growth or it expected to
sale more than 10 million vehicles per year (Morris and et.al., 2013).
3. The company want to increase their profitability by taking effective measure(Bishop,
2013). Company can get support during crises and economic turn-down on the basis of
such gain amount.

4. They want to have effective team so that they work in efficient manner with supportive
environment.
Mission and vision of Volkswagen
The main mission of the group goal is to offer attractive, harmless and environment
healthy vehicles which can contend in the progressively tough market and set worlds standards in
their respective class. They mainly focus on to sustain the brand values and image in the market.
The main aim is to maximise the organisation growth which leads to increasing in turnover of the
company. The object of this firm is to earn high revenue, protecting the environment and to
follow the policies of corporate social responsibility. With the help of this company value.
Principles and ethics can easily be seen.
Volkswagen ethical consideration
Company should follow the all rules and regulation which are basically framed for the
firm benefits (Marsh, 2013). To sustain the brand image in the market the organisation should
take effective measure to protect the sustainable development.
Following things are to be considered as moral ethics of the company such as-
Compliance with workers, impartiality, should work in the manner of fairness and honesty. They
need to take effector in protect the environment which are considered as main part of
developable.
2.2 Evaluating the impacts of Volkswagen and its stakeholders to operate ethically.
Stakeholders are the person who comes within an organisation with an interest or concern
in something. They are the person who make investment in the firm with the aim of making
(Sorensen, Miller and Cabe, 2017). They work for the structure with wish to maintain honor and
helps in developing the business market by taking various measures. The stakeholder are to be
known as employees, customer, partners, investors, suppliers, analyst, political party, society and
many more. They are working as assets to the company.
They take effective measures to increasing the revenue collection and sales. They should
know the market needs and take steps in achieve long term objective. Without following the
business ethics an organisation cannot run successfully for the long period. Due to this malicious
act the major difference between the relationship of the Europe and US has been found. It has
been found that company and their stakeholder had faced many problems. It also majorly affects
trust of client and stakeholder of the Volkswagen in the whole world. The rules and policies of

CSR effectively followed by the company in order to promote the growth and profitability of the
enterprise (Chun and et.al., 2013). It almost affected the internal and external stakeholders of the
firm in every part of the world where company exist. It results in loss of money, company has
largely demotivated employees, lost of potential customers and brand image of the company.
Company should focus in manufacturing the eco-friendly cars. Through this purpose
stakeholders and their shareholders can feel motivated. They should take various effective
measures in improving the brand reputation and market image of the company. The organisation
need to focus on the strategy and development of the whole process Through this purpose
company starts to earn profit.
TASK 3
3.1 Define the part of TESCO plc as motivation agent.
Tesco has set up high standards for its employees, the company holds its esteem in
making its workers stay bound to work with their regulations to maintain a peaceful
environment. They do not discriminate on race, colour, place of origin, age, gender, sexual
orientation, marital status, physical or mental disability, family status, marital status, source of
income, or religion. The ability of an individual of acting in accordance with correct or incorrect
is known as moral agent (Chun and et.al., 2013). By 1988 the company has been practising the
ethical trading initiatives. They give their major focus on the product development and its quality
to the customer. The formulation of company is based on four sections such as values,
transparency, monitoring and improvements. The stakeholders work as sharing the value which
are necessary for maintaining the sustainable development.
Furthermore, numerous workers are honoured for their sincerity towards business moral
ethics and value in the firm. All the rules regulation in the organisation should be follow in true
and honest aspects (Shawver and Miller, 2017). Workers should have at-least one tanning
session in the week so their skill can be improve in almost all the area which is necessary for the
development of the firm. Given Tesco has a strong internal network of employees it is always in
business. It treats its employees fairly in all aspects of employment relationship, giving
performance appraisals, compensations, and advancement opportunities and disciplinary matters
(Parris and et.al., 2013). The company has respect for employee's privacy and takes up the
responsibility for securing their information in accordance with privacy legislation.

For earning profitability the brand image and market reputation of the company should be
maintain. Regular checking on the employees performers leads to increase the firm profitability
and helps in having healthy relationships. The company in UK is considered to be more
accepted, supposed and justifiable stores. They keep concentration on the development of the
employees and their work performance. Tesco is currently working with more than 500000
employees over more than 12 countries having 7000 stores. They follow the fair practices in the
organisation so that it can help in maintaining the ethical reputation of the company.
3.2 improvement mechanism of worker participation and improvement.
Every organisation need somewhat of improvement in timely manner so that it can work
effectively and efficiently. With little improvement a firm can receive great contribution.
Employees are assets to the organisation so their involvement is very necessary. Without
employees in the firm an organisation cannot perform its activities in the timely manner. So the
worker's improvement and involvement are very required for the development of the enterprise.
Human resource's empowerment initiatives taking different approaches in improving the
employee's involvement (Chun and et.al., 2013). Such improvement is inclusive of learning
organisation, quality management and customer service initiatives etc.
With the help of HR approach improvement can be seen in terms of production,
productivity, innovation and performance level of the employees. The HR department generally
focus on the skills which helps the employees in improving the managerial and operational level
in the firm. Without employees involvement in day to day activities of organisation leads to
chaos working in the business enterprise. Employees involvement also helps them to believe in
the company. Further, with the help of the worker's participation increment can be seen in both
areas whether its organisation or individual performance.
TASK 4
4.1 Explanation of current ethical issue and how it affects the Tesco public limited.
Tesco limited is the organisation which is situated in the UK. His business expanded
rapidly which have crossed over 100 stores in whole world. The company sells about 40000 food
products, non food lines, clothing and other stuff. The company got famous very fast. Due to this
reason company has faced various challenges from NGOs and other areas. There are some
ethical issues which affect the business enterprise in large manner such are-

 Globalisation helps in increasing competition. The customer in the market needs quick
service and goods in more efficient way (Morales-Sánchez and et.al., 2013). The price,
product and customer service this all are the requirements of global market.
 Due to the corruption in Tesco the company got affected. The brand image of the
company can destroy in large manner which affects the overall growth in the firm.
 If company follow the CSR policies than it leads to increase the firm sale and
profitability in the market. Without following responsibility toward the society firm can
affect its reputation in the market and corporation growth also tend to decrease.
 Tesco appoints child as working employee in the organisation that it can be said
unlawful activity because its not covered under government legislation, on such event
penalty can be imposed.
 Environment is rapidly changing. Firm need to cope up with the changes in the test and
preferences of the consumer so it can help in maintaining firm profitability of the firm.
 Carbon foot prints have vital effects on the operation of enterprise which result in greater
volume of emission (Leonidou and et.al., 2013). Company should use cost effective
micro generation, turn off unused office equipments and switch to green energy
suppliers (Mahoney, 2013). It can also affect the brand image of the organisation.
So, there are the current ethical issues affecting the brand image or profitability of the
organisation which can become major cause to the firm.
4.2 How ethical operation helps in improving relation between employer and employee.
In order to improve the ethical operation the firm need to follow the rules and policies of
the CSR. For having good employee and customer relationship company has to focus on
enhancing the production without causing damage to surroundings.
To sustain the organisation for the long period the corporation need to focus on the employer and
customer relationship. Improvised relation between customer and employees bring property to
the organisation (Morris and et.al., 2013). The employees of the firm should apologize to people
on wrong behaviours so they keep on having trust between them. Employees works in effective
way if they have good relation in the organisation. Therefore, company should follow ethical
code of conduct so that firm can run its activities effectively and efficiently. The whole operation
in the enterprise should be in true and fair aspects.

4.3 Appropriate ethical code for the Tesco public limited.
One suitable ethical code of conduct is necessary to have to keep going business
operation in effective manner. The code of conduct framed rules and policies for the firm so that
it can operate its activity in such manner. It requires to be followed so that environment and
society should not get affected. The sustainable development as ethical code of conduct helps in
protecting the nature and through this purpose it can gain more society support. The conflict in
the organisation can be resolve by following this ethics code (Marsh, 2013). The corporation
need to be honest with their stakeholders so they take actively participation in day to day
activities of the firm. The stakeholders should be treated as assets to the organisation without
their investment company cannot operate its activity sufficiently. Adopting ethical code of
conduct in business environment helps in earning more profit and can take fair trade. With the
help of ethics the brand image of the company tends to incline.
In addition to this, it can be said that by having a fair employment opportunities the ethical
codes can be advanced in critical manner. It is necessary for management to ensure that equal
opportunities are being set out in respect to overall development of business. Along with this,
safe and hygienic work conditions need to be advanced so that overall outcome can be
accomplished. Moreover, better awareness need to be advanced in respect to ethical codes so that
business can have better opportunities.
CONCLUSION
In this project report it has been concluded that this assignment has generally focused on
the activities relates to moral ethics of the business enterprise. The company need to follow the
rules, procedure and policies of corporate social responsibility so that it can run its activity in
effective and efficient way. To sustain the firm in the market the ethics are required to be
followed. There is also evaluation of ethical issues in business which needs to be considered. In
this report there is a firm which is in regard with ethical problem.

REFERENCES
Book and journal