Ethical Theories | Case Study

Running head: ETHICAL THEORIES
ETHICAL THEORIES
Name of the student
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1ETHICAL THEORIES
The original and early name of Westpac is the Westpac banking institution that was
initiated in 1817 that is apparently 200 years back from today. The bank is renowned for
facilitating assistance that involves banking and financial services. In addition to that, there are
other services that are functioned by the financial institution, and they come under services such
as corporate banking, investment banking, services of credit cards, mortgages, and also engage
consumer banking (Phat et al. 2016). The headquarter of Westpac bank is located at Westpac
place in Sydney in addition to that they are functioning across worldwide. There are several
controversies that are connected with the bank, and there is the existence of many cases that have
been detected tend to the deprivation of bank value as well as bank image (Laszlo and
Zhexembayeva 2017. The cases concerning money laundering as well as the exploitation of
youth were found and the financial. The institution was held guilty when the cases are considered
by regulators in the country of Australia.
The report insight regarding the case that connected to the ethical concern and financial
institution that encountered by bank and method of resolving through various ethical theories as
well as facilitating recommendation that is rest on ethical issues and theories.
ETHICAL ISSUES
The disagreement between decision making, as well as moral doctrines, the organization,
in addition to that society, can be designated as the ethical concern. There are several ethical
doctrines that the institute be large, small, or medium requirement to monitor as there are

2ETHICAL THEORIES
guidelines set by institution functioning on the market. It is significant that exist transparency in
addition to that confidentiality within work that comes top to the bottom of the hierarchy, as well
as basic autonomy, should be balanced for the purpose of having better stability in addition to
that operation of the institution (Deresky and Christopher 2015). The concern that evolves when
there exists an issue in selecting from substitutes that are presented in the forward-facing as there
exists confusion as well as a deficit of self-assurance in selecting the same. It is significant to
deal with the ethical issues as the same assist in providing the enhanced structure to institutions
also aid the institution in developing in the long term. The higher authorities, management in
addition to that workers should have knowledge as to what involves concerns and the operation
and also establish the action planning accordingly.
There is various ethical concern that is determined by AUSTRAC on behalf of Westpac.
1. There exist instances of child exploitation as well as money laundering on the portion of
Westpac by the AUSTRAC that is “The Australian Transaction Reports and Analysis
Centre.” Then it was observed later on that the issues found and determined were proved
guilty and thus the same impacted in the unhealthy recognition of brand as well aa the
brand worth of the financial institution (Durner and Shetret 2015).
2. There occurs the infringement of the code of performance of banks along with that the
accusation was created on the charge of violating twenty-three million of the statutory
laws by the financial institution that was connected with the alleged scandal. Thus, later
on, it was established that the business worth about $ 11 billion.
3. The cases were observed concerning illegal acts of the department and corporate in the
Australian Transaction Reports and Analysis Centre was established and anticipating that

3ETHICAL THEORIES
the bank to determine the category and method of the business that are dangerous (Noam
2018).
4. The AUSTRAC is appealing that thee exists miscarriage in the portion of the Westpac in
gain access to business that was proper concerning the nation such as South East Asia in
addition to that the location has been designated as the fiscal indicators connected to the
potential danger of the issue of child exploitation.
ETHICAL THEORIES
The fundamental and significant characters of these philosophies are to determine and
examine the matter, which is good as well as evil concerning the bank. The theoretical
principles assist in constructing the structure for making the decision as to the same designate
the viewpoint from which the people initiate making the decision (Strand and Freeman
2015).
There are several practices that are mutual in the transaction, as well as involve
utilitarianism, virtual, deontology ethical theory.
UTILITARIANISM THEORY
This particular ethical theory identifies the matter that is treated to be correct from that of
wrong or negative ones by positioning efforts in the outcomes. It also entails that the actions
are deemed to be right if they proved to be advantageous as well as expedient concerning the
major number, and larger pleasure of larger number must be regulating the doctrine of
behavior.
From the case mentioned above, it has found that Westpac was incapable or miscarried to
transfer the information, which is connected to the initiation of the shift of the deliberate

4ETHICAL THEORIES
funds as well as records that are maintained when necessary. The major significant concern
that was witnessed by an agency in addition to that was faced that the organization expressed
that payment is invariable with the transfer that is created for those who are engaged with the
exploitation of the child.
VIRTUE THEORY
The particular theory entails that the majority of the methods that are concerned with
ethics concentrate on the role of the individual as chief factors that involve thinking in an
ethical manner somewhat than consequences or regulation. The theory assists in creating a
normative method as the same is monitored as a significant ethical theory.
Westpac’s case labeled regarding the Chief Executive officer who held guilty of
involving in the scandal, which was inquired by the AUSTRAC concerning the child
exploitation in addition to that he was the only person being the primary casualty concerning
the case of money laundering. Moreover, it has been announcing by the financial institution
that is held to be responsible in any matter whatsoever that occurring in the bank. Therefore
it had been founded that there occurs a deficit in the rationalized thinking of CEO as well as a
deficit of transparency of functioning, which assumes to present better and clear solutions
concerning the particular case that had observed (Harrison, Freeman and Abreu 2015).
The connection that is established to the ethical concerns and also to the theory of ethics for
having an optimum concept on the presented scenario.
RECOMMENDATIONS
From the case mentioned above, it may be examined that there exist flaws on the part of
the financial institution, and these require to be modified for optimum operation of the bank.

5ETHICAL THEORIES
The most significant matter of bank or organization is board member and structure that
constructing board. The members or people elected should be skillful as well as must
expanded series of skills that assist the financial institution in recuperating with the passage
of time.
There exist several references that might be advantageous for the financial institution to
combat upcoming issues.
The leadership that is elected by the bank should be capable of implementing to the
developments and rules the circumstances with his experience and skills (Schneider 2015).
The bank should select a leader that pose analytical skill and good negotiation, which might
assist them in tackling the circumstances in the better method. The recommendations
established that is rest in utilitarian ethical theory that is followed (Strand, Freeman and
Hockerts 2015).
The leaders who are selected in Westpac miscarries to interact with the data that construed to
be required in addition to that he also deficit prerequisites to interact (Bowden 2015). The
leaders were incapable of enhancing the employees’ morale as well as miscarries to
transform with a developing environment ( Hoffman and Schwartz 2015). In accordance with
the ethical theory of utilitarianism, the matters which are correct should be picked and
monitor the impacts accordingly (Ekuma and Akobo 2015). The leaders should be one that
can be viewed as the root of guiding factors that are accountable for transforming the
employees’ morale in the financial institution. Thus by taking response from consumers and
improving the corporation that will assist Westpac in developing the requirement of banking.

6ETHICAL THEORIES
It has viewed that Westpac has cause innovation that aids the consumer in making the
difference. Therefore by taking the same in attention, it is significant that the financial
institution comprehends quality and type of assistance the consumers’ desire and then
facilitates accordingly.
The elasticity that can be broadened by the bank as well as traders obtainable for
enhancing worldwide resources. That will aid in having access to the services by companies
(Schneider and Scherer 2015). The financial institution can move for facilitating assistance
such as corporate online that would assist the auditors in creating elastic auditing. Therefore
rest on the virtue ethical theory should be monitored up, and chief features should be
observed.
The most significant factor that lacked by the CEO of the company was transparent and
rationalized thinking and resulting, which produce issues and disagreement among the
shareholder of financial institutions (de Colle 2015).
Therefore for the purpose of settling the conflict that arises Westpac, it is significant that the
primary issue is determined as well as all important elements that have preset that rest in the
current situation. Then the people who are affected might have regarded by the bank as well
as the disputes between the shareholders and bank that would be determined and also settled
by bank rest on the ethical theory of utilitarianism.
The financial institution should concentrate on exploiting the banking sector of Australia that
obtains its power over the last decades. It is significant to assign the assets effectively and
designate the fact that rest on variability and recommendations.

7ETHICAL THEORIES
The bank should also consider balancing the commitment, which is completed to the
shareholders and consumers. Nevertheless, in the case study, the leader elected by financial
institutions miscarries to create the consumers as well as the workers’ faith the assistance as
there exists cases that were not approvable as well as anticipated at all.
Nevertheless, it was viewed that the institution adopts the corrective actions of drawing
the Chief Executive Officer our of the financial institution so that the ethical principles in the
bank remains as well as there exist no violations of code of behavior in any further in
upcoming. The bank should endeavor and suggest the guidelines that will aid in balancing
invest as banks functioned both globally in addition to that domestically.
The business initiated as it is significant that faithfulness is established on the portion of
consumers and banks that will aid in involving ethical conduct in a transaction that will assist
in evading the legal issues that will tend to employee retention that are endowed. That will
support balancing the fit environment in working place, and that will cause the bank to
understand the capacity and category od experience which will have in the long term. There
is a crisis that requires combat and comprehends prior to getting the resolution. The
maintenance of stability is a significant and major crisis that view in implicating ethical
conduct in institution. It was observed in case there are concerns in formulating the
consistency as well as policies that create complicated. The bank should cohere
developments as well as should endeavor to construct the matter that is necessary for the
bank to conduct better.

8ETHICAL THEORIES
CONCLUSION
Westpac has observed that the significant issue that bank encounters as well as is
determined is the concerns witnessed because of climatic change. The concern has created
major consequence on the economy, prosperity as well as the method of life that the financial
institution has. Thus the bank has measures to overawe the concern of climatic development
and executed a plan of action that assists the community and consumers in creating the low
transition. This also supports the financial institution in being steady by restricting the
concerns encountered.
The plan of action that was implemented by the institution assists the individual to react
to climatic development. The bank stated that the same would ascertain the fiscal
implementation of the risk that is climatically related as well as avenues in a transaction
involving the way the strategies are probable to conduct under several scenarios that are
forward-looking.
Thus it can be summarized from the discussion mentioned above that transactions engage
and implement ethical principles; it prospers or grows more. In the case, it was viewed that
financial institution that was the renowned and significant bank in nation miscarries to adopt
corrective actions n addition to that miscarries balancing the ethical conduct that impacted in
degradation or downfall of the reputation of corporate. That will affect the brand value and
brand image od consumers, and banks were setbacks from this. Nevertheless, the institution
exhibits the pro-activeness as well as drag the guilty outside the institution. That impacted in
stable reputation of the institution that was lost. This exhibit that institution consider in
taking actions that are ethically sound as well as do not consider unethical conduct.

9ETHICAL THEORIES

10ETHICAL THEORIES
References
Bowden, P., 2015. Ethics across Organisational Spectrum. Research in Ethical Issues in
Organisations, 14, pp.93-119.
de Colle, S., 2015. Business Ethics. Wiley Encyclopedia of Management, pp.1-5.
Deresky, H. and Christopher, E., 2015. International management: Managing cultural diversity.
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Ekuma, K. and Akobo, L., 2015. Human resource management ethics and professionals’
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Noam, E.M., 2018. Accounting in Media and Information Firms. In Managing Media and
Digital Organizations (pp. 573-628). Palgrave Macmillan, Cham.

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