The Importance of Ethical, Legally Sound Decisions and Effective Communication in Business - Essay Example

The purpose of running a business is not to make a profit alone but also to meet the needs of all its stakeholders. An organization needs to foster social responsibility in its operations as a way of enhancing the wellbeing of its stakeholders. This is possible if the management emphasizes the need to act ethically, legally, and handle all undertakings fairly. Therefore, it is important for the management of an organization to make ethical, legal, and fair decisions that are stakeholder-centered.

Effective communication plays a great role in supporting ethical and legal decision-making that one would deem to be fair. Through effective communication, the management helps the employees in understanding the importance of ethics, standards, and business laws hence enhancing compliance during the decision-making process. Understanding what is required in regards to ethics and legality helps the employees to make decisions that are fair to all. Additionally, effective communication motivates employees and strengthens their relationships.

This encourages them to cooperate and collaborate in developing decisions that adhere to the ethical and legal framework. Furthermore, effective communication enhances acceptance and promotes active participation in the decision-making process. According to Xaxx (n.d), effective communication makes those involved in decision-making feel respected and recognized. This encourages more comprehensive input from all the organizational stakeholders. The availability of many views in decision-making lays a platform through which decision-makers can choose the best decisions that comply with the ethical and legal framework.

Such decisions are usually fair to all organizational stakeholders. Therefore, it is important for the management to create an environment that promotes effective communication to foster an ethical, fair, and legal decision-making process. On the other hand, I believe that it is always possible to make a fair decision based on the necessary ethical and legal implications. However, this depends on how the management of the organization has put efforts in helping the employees and other decision-makers have a clear understanding of the importance of ethics, fairness, and legality in the decision-making process.

The first way of promoting the understanding of these components is by training the employees. The employees need to have a document that provides them with detailed information on all ethical and legal provisions that of the operating business.Additionally, making a fair decision based on the necessary ethical and legal implications is also possible if an organization monitors the decision-making process and provides corrective feedback to the decision-makers in case the decisions made do not adhere to the ethical and legal framework.

This acts as a motivation that further encourages the employees to make fair decisions that have positive ethical and legal implications.Finally, the management should also reinforce good behavior and discourage any behavior that is not in line with the ethical and legal framework. This plays a great role in encouraging the development of fair decisions among the employees. The core ethics of the organization must be integrated into the corporate culture of the organization. In so doing, the decision-makers will able to develop fair decisions that focus on social responsiveness.