Analyzing the Impact of Ethics on Business Success: A Case Study

This report delves into the critical role of ethics in determining the success or failure of a business, using the Gosport War Memorial Hospital case as a key example. The executive summary highlights the impact of ethical principles on an organization's reputation, productivity, and employee morale. The introduction emphasizes how ethical behavior directly affects a company's performance, attracting customers, retaining employees, and fostering investor confidence. The analysis section examines the extent to which ethical considerations influenced the events at Gosport Hospital, where medical malpractice led to numerous deaths. The report explores how unethical decisions by managers, customer impacts, and poor public relations contributed to the hospital's demise. The conclusion summarizes the importance of ethical practices, while the recommendations suggest the implementation of ethical codes, staff training, and reporting mechanisms to foster a strong ethical culture. The report underscores that the ethical principles are crucial for business success and its absence can lead to significant negative consequences, impacting all stakeholders.

Academic and Professional
Skills

Executive summary
The moral principles which govern a person's behaviour helps the success and demise of
an organization. Even it has been analysed that the organization's ethical philosophy also affect
the organization in different ways such that its reputation, productivity and if the company has
positive ethical corporate culture then it improve the morale among the workers. In the same
way, the entire report Is based upon the importance of ethics which plays an important role in the
success or demises of Gosport War Memorial Hospital.

Table of Contents
Executive summary..........................................................................................................................2
INTRODUCTION...........................................................................................................................1
ANALYSIS......................................................................................................................................1
Presenting up to what extent ethics play a part in the success or demise of an organization.....1
CONCLUSION................................................................................................................................4
RECOMMENDATIONS.................................................................................................................4
REFERENCES................................................................................................................................6

INTRODUCTION
Ethics plays an important role in every business such that it mainly concern an
individual's moral judgement regarding their right and wrong. But the decision taken by the firm
will directly affect the overall performance of their company. Therefore, this shows that ethical
behaviour creates direct impact upon the business reputation and its profitability. Moreover,
having an ethical principles will help to attract customers towards a company that means it boost
up the sales and profit, further it also help to stay employees with a business and then it assist to
reduce the labour turnover and directly affect the productivity. Not only an ethics helps
employees but it also attract investors and keep the company's share price high and further
protect the business from takeover as well. This shows that ethics plays an important role in
every business. In the same way, the report Is also helps to understand the role of ethics in the
success of a business or it also demise an organization.
Therefore the chosen case study for the report Is Gosport War Memorial Hospital in
which there are about 456 patients are died due to medical malpractice and many nurses are also
knew about this but they are instructed to do same. Through this example, the report will show
that up to what extent ethics play a part in the success or ending of an organization. It is also
realized that a company which sets out to work within its own ethical guidelines is also less at
risk of being fined for the poor behaviour and it can easily sustain its brand image or reputation
as well. On the other side, business who do not following any kind of ethical code then it directly
affect the firm's reputation and also make it less attractive for the company's stakeholders as
well.
ANALYSIS
Presenting up to what extent ethics play a part in the success or demise of an organization
In today's competitive world, business ethics is not just only a matter of conscience but it
is consider an element of a business for its success and ending. In addition to this, for every
business, maintaining its reputation also become a challenge for every business but it can be
possible only when the business have its own ethical guidelines (Brenkert, 2019). For Health and
Social Care, it is quite necessary for the business to follow the ethical program. For example,
Gosport War Memorial Hospital, where around 456 employees are died because of opioid drugs
that resulted into losing their lives. This is all due to Therefore, the ethics plays an important role
in every business areas such as:
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Managers: The ethical dilemmas are so common in a Health and Care sector, such that
the management that uses the Human right method base decision on the premise in which the
human Being are entitled to some moral rights. It has been analyzed that In the case of Gosport
War Memorial Hospital, the managers or senior authority already known that something went
wrong but because If authority they are are not allowed to share this, this shows that the moral
rights are affected and this directly leads to losing 456 lives due to injecting wrong drug into
their body. It has been analyses that the case also affected the business to its ending such that it
directly affect the work of managers in negative way because many of them are died due to the
medical malpractice and its leads to affect the hospital brand reputation in negative way.
On the other side, managers of the Gosport War Memorial Hospital, can use the
combination of ways of moral reasoning that are based on the rights, justice and utility when
they face a moral conflict. Even in many cases, managers are find difficult to speak about and
even recognize the ethical issue and this is same happened with the case of Gosport War
Memorial Hospital, where managers are instructed to do the same as instruction given by
superior authority./ that is why they are not able to save the lives of people. Therefore, this leads
to affect the business brand reputation in negative way and on the other side, by determining the
numerous organizational improvements initiatives which they shared the common practices and
common set of values that will help a firm to achieve the goals most effectively (Role of ethics in
business, 2018). If the same is done by the Gosport War Memorial Hospital, then may be the live
of those 456 people are in safe hands. The ethics of an effective and competitive business
practices also identified which includes a shared sense of meaning, vision and purpose that also
connect the employees of an organization and provide best services to their customers. Thus, this
shows that because of not following ethical principles of a business, they did not save the life of
456 peoples.
Customers and Patients: as per the case study of Gosport War Memorial Hospital, it
creates negative impact upon the customers and patients because of giving wrong drugs to their
patients which will leads to losing the lives of the many peoples and when the reality comes, it
creates negative impact upon the hospital's customers and patients. It has been analyses that for a
business to be successful and even exist, it requires customers and for the hospitals it needed
patients (Ferrell and et.al., 2019). The company's success therefore drive on the building the trust
and confidence with their customers that is only happen when they practice ethics in the public
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dealing. For this reason, the company's value must reflect the commitment to a high standard of
the customer service and also fair practice to their employees but it is not done so. Apart from
this, a fair practice also reduces the employee attrition and then it creates the relationship of trust
and loyalty In the minds of the employees as well as patients. But in the case of Gosport War
Memorial Hospital, it is totally opposite, this case leads to creates negative impact upon the
patients such that they loss their trust on the hospitals and it creates negative impact upon
business performance as well.
Moreover, whatever the promises made to the customers at the time of operating a
patients that must be keep in the mind but the case is completely opposite. It is quite necessary
for the firm to maintain the integrity of customer service at all time and each customer
interaction as well as experience should be over-deliverance of the promises that made to
customers (Tran, 2019). Ethics in customer dealing is an intentional and constantly practices
attribute of a company and if the hospital is deal in an ethical way then it should be the part of
the company's values and culture and if there is any deviation then it should be deal perfectly.
Sop that it helps in the success of a business and on the other side if the same is not following
then it may demise the organization as well.
Public Relation, Media Coverage: Public relation is one of the important key aspect for
every business because its entire success is depend upon the relation with employees and the
public. It is also realized that the companies who have a strict rules and guidelines then they are
able to establish a good reputation of respect and credibility. Maintaining good public relation
and media coverage will help a business to be successful and on the other side, making decision
that are unethical but profitable in the short term creates the negative impact upon its long term
success. Such that in the case of Gosport War Memorial Hospital, in 1991, when the senior
nurse brought this matter to the attention of Royal College of Nursing but they advised her not to
take this matter any further (Kačerauskas, 2019). Therefore, when the media come to know
about this, the issue spread and thus, two police investigation had done but insane, that were not
of a high quality but it make clear that 456 people are died because of wrong drug given to them.
It is also evaluated that ethics are important and also help to gain the trust, retain the
employees and also lead to greater innovation in the industry. In the same way, there are some
PRSA ethics which are set out the principles and guidelines that also maintain basic values of an
ethical practice of the public relation which further includes the advocacy, honesty and loyalty.
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Thus, this shows that by reviewing this development, the historically negative reputation of the
public relation as well its potential for encouraging the ethical communication (Crane and
Matten, 2016). On the other side, when the case is open in media, it has been realized that the
media coverage the entire report and then it convey the news to the peoples so that they come to
know what actually done with their families.
In addition to this, due to the case of Gosport War Memorial Hospital, it has been cleared
that this affect the public relation and on the other side, it is quite essential for the business that
having a good Public Relation will help to attract wide range of customers towards it and it will
assist to sustain its brand image in market as well (Ferrell and Fraedrich, 2015). But the case is
just opposite as the doctors takes lives of 456 people due to providing wrong drugs and it affect
the public relation and creates negative impact upon the business performance as well.
CONCLUSION
By summing up above report it has been concluded that ethics plays an important role in
the business success and demises because as per the case of Gosport War Memorial Hospital, it
has been concluded that because of not following moral principles, the doctors takes lives of 456
peoples. Apart from this, it is also concluded by the report that for every big firms, its reputation
is quite important and once it is affected its not easy to re-build it again. In addition to this, it is
also concluded by the study that managers and customers both are affected if the business did not
follow the ethical principles then as a result, it affects the overall performance of the business.
Apart from this, ethics are directly related to the public relation such that as the doctors are not
follow their moral ethics then it also affect relation with public as well.
RECOMMENDATIONS
From the above, it is to be recommended that every business should develop a code ad
also make the ethical performance as a strategic priority. Further, a relevant code of ethic, a code
of conduct and policy should be developed that helps to set the objectives, standard and
expectation which is the key requirement for a ethical performance of a business. Apart from
this, the business should engage, communicate and train their staff so that they will communicate
in an efficient way (Sison, Beabout and Ferrero, 2017). It has been realised that good, consistent
and regular communication and training will help a business to be fix with an ethical culture.
In addition to this, the organization should develop clear routes fro the reporting and
suspecting the fraud and violation of the company policies for an ethical behaviour. The
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company should also remained involved in the community related issues and some activities and
sty involved, adopting a zero- based approach will help a business to sustain its reputation in the
market. Even it is also recommended that by changing the management level will also help to its
smooth functioning (Pearson, 2017). Apart from this, it is also recommended that be developing
the trust and this will help a business to meet the obligation. Therefore, by making some strict
rules and regulation for the business will help a firm to run smoothly and it I also necessary to
follow all the rules and laws in order to sustain its brand image in market.
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REFERENCES
Books and Journals
Brenkert, G. G., 2019. Mind the Gap! The Challenges and Limits of Business Ethics.
Crane, A. and Matten, D., 2016. Business ethics: Managing corporate citizenship and
sustainability in the age of globalization. Oxford University Press.
Ferrell, O. C. and Fraedrich, J., 2015. Business ethics: Ethical decision making & cases. Nelson
Education.
Ferrell, O.C. and et.al., 2019. Business ethics, corporate social responsibility, and brand
attitudes: An exploratory study. Journal of Business Research. 95. pp.491-501.
Kačerauskas, T., 2019. Ethics in business and communication: common ground or
incommensurable?.
Pearson, R., 2017. Business ethics as communication ethics: Public relations practice and the
idea of dialogue. In Public relations theory (pp. 111-131). Routledge.
Sison, A. J. G., Beabout, G. R. and Ferrero, I. eds., 2017. Handbook of virtue ethics in business
and management. Dordrecht, the Netherlands: Springer.
Tran, B., 2019. The Foundation of (Business) Ethics' Evolution. In Advanced Methodologies and
Technologies in Government and Society (pp. 26-37). IGI Global.
Online
Role of ethics in business. 2018. [Online]. Avaialble
through:<https://www.topmba.com/jobs/career-trends/business-ethics-what-role-business>.
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