HR Managers Responsibilities - Coursework Example

Ethical dilemma: The Padding that Hurts Name: Instructor Institution Date of Submission Ethical Dilemma: The Padding that Hurts Introduction With everything ranging from increased business frauds to high profile employee thefts, business ethics are becoming a hot subject these days by focussing on the effect of organisational ethical leadership. But then, it is important to note that such subject comes with a lot of ‘‘Grey area’’. Many are the times when managers are obliged to decide on the conflicting issues which are often faced with contrary arguments from various sides. This may often impede one from making ethical decisions. It becomes hard to conduct business in culture where trust is lost, everything has to be resolved through litigation and value holds no meaning (Simpson, & Taylor, 2013). What are the ethical and other issues of this case? Any business set-up is prone to experience ethical dilemma. One is said to be in business dilemma when he/she make a tough choice between an either moral or immoral action (Simpson & Taylor, 2013). It arises when employees are forced by circumstances to act immorally to make their bosses happy. Workers suffer from many dilemmas in their career as well as in business world. Training workers on ethics should be one of the goals of companies. As utilitarianism puts it, evaluation of an ethical action is by observing at its concerns and deliberating on options between the good and the bad (Sapelli, 2013). It is the responsibility of companies as well as businesses to invest in training their workers on how to make the right choices when faced with dilemma. Sue Davenport seem to have a clear understanding of what it means to act ethically when it comes to making of decisions. According to Arnold, et al., 2013 there three key questions that one should ask themselves when faced with an ethical dilemma; firstly, one should ask themselves; is it balanced? In reference to the case, the top management should aim at making a decision that is of best interests for everyone and useful both in the long times as well as in short term. Davenport’s decision of reporting Murphy to the CEO forms a perfect example of upholding corporate ethics. This gives a win-win situation whereby Davenport gets to fulfil her obligation as the human resource director and on the other hand, the company gets to maintain its reputation by respecting the code of conduct. Davenport chose not to act unethical by remaining silent about the allegations. She was definitely not afraid of jeopardizing her job as. Robert was also acted ethically by reporting the case to the Human Resource Director. Keeping quite will not have solved the problem, as a matter of fact, Murphy would have continued with his petty thefts and who knows what he was up to in future (Felton, 2013). Besides, in Australia; whistle-blowers are often protected through anonymity as well as from reprisals. Therefore, Robert should not worry about disclosing the inappropriate behaviours portrayed by Murphy. It is also the responsibility of the human resource managers in protecting legitimate whistle blowers. Secondly, before making any decisions on ethical dilemma, one should ask themselves if reporting the act is actually legal. In short, is your decision violating any criminal law? Basin on this case, it was ethical and legal for both Robert and davenport to notify the CEO on Murphy’s misconduct (Laidlaw, 2014). The CEO was also ethical when he decided to report the case to the chairman of the audit committee before embarking on any decision. However, it was unethical for Murphy to engage in such petty thefts owing to the position he held at the company. Murphy was also reluctant in admitting the crime; this is highly unethical on his part as a senior staff at the organization. It is also illegal for Murphy to forge extra receipts with aim of making extra money in additional to the salary. Last but not least, Arnold, et al., 2013 argue that one should ask themselves if the act is really right or wrong. It is interesting of how the audit committee decides to settle out this matter. Though it was ethical for the audit committee to confront Murphy about the accusations, it was unethical for them not punish him for his indiscretions. Notably, the audit committee should realize that without setting a good example at the top, it may become tough, if not impossible, to persuade the employees that they should always remain ethical in their transactions. It should also be noted that a well-defined ethics framework along with related codes of conduct offers the framework for ethical as well as moral behaviour within the company (Lawrence & Weber, 2013). What would you have done if you were Sue Davenport? The day-to-day operations demand every person to make decisions all the time. Furthermore, every business practise entails promising that the highest legal and moral principles are observed in all your relationships with your colleagues in workplaces. In identifying among alternative courses of actions, one should always consider the overall value of happiness versus unhappiness generated by each course of action. It is also important that we provide equal reflection to all individual preferences by calculating the net value of the several pleasures and pains related to the action (Cressy et al., 2013). Besides, anything can become praiseworthy in certain circumstances it is endorses the greatest equilibrium of pleasure versus pain for the highest number of people. Assuming that I am the Human Resource Director, dealing with the case basing on the code of ethics as well as Business Conduct will be my starting point. As it has always been stated, commitment to high ethical standards is vital to any business. I should report complex ethical dilemmas in a hierarchical level in the organization. I should also have a role to play regarding ethics management. After confirming that Murphy is actually involved in stealing the company money by forging receipts , I will ensure that Murphy faces is punished according to the policies of the organization without favour (Pennsylvania Bar Institute, 2013). I strongly agree that a reputation for ethical decisions creates trust in your business especially among your colleagues, business associates and suppliers. Besides, there is no justification for unethical act; therefore, Murphy should be punished for his acts. Moreover, the negative impacts of ethical violation by senior management within an organization can be vast. Energy levels at work go down, gossip and rumours abound, turnover excels, employees lose trust and profits reduce to the point of extinction. Owing to the nature of the position, the human resource director often find themselves right in the middle. As the human resource director I will respond to the misconduct by taking appropriate action instantaneously by involving higher levels of management rather attempting to investigate the issue on my own. I would have raised my concerns directly with the chief ethics officer or the chairman of the Audit Committee of the Board of Directors (Sapelli, 2013). Analyse your answers to question one and two in terms of the different theoretical approaches to ethical behaviour. When faced ethical dilemmas in businesses, we often tend to apply various moral principles as well as ethical consideration that inter twine to come up with the best decisions. Dilemmas can have deep effects on the evolution our ethical reflection and hence, solving such dilemmas entails making appeal to theoretical constructs as well as revaluation of reputable moral principles and inherited intuitions. Consequentialism theory Morale can be wrecked overnight and productivity can be extinct when a senior manager is known to dishonour the company code of ethics for personal gain. According to the Bentham and John Stuart, the morality of an act is often determined by its outcomes. This theory proposes that one should carry out that which is of greatest utility to the given people in a given situation. The theory also contends that evaluation of an ethical action is by observing at its concerns and deliberating on options between the good and the bad. It is therefore natural and rational for one to take into account about the consequences of their actions before embarking on the act. Therefore, reporting Murphy to the CEO and auditing committee was ethical since it appeals to the common good of the company (Effross, 2013). On the other hand, it is irrational and unethical to avoid punishing Murphy for his unacceptable behaviour. The audit committee seem to be unaware of the enormous consequences the company is more likely to incur if other employees, business associates as well as consumers get to learn about Murphy. Basing on the utilitarian theory, such a decision is not only morally wrong but also unable to generate overall good for the company. Utilitarianism in an organizational milieu offers a clear as well as straightforward standard for setting and testing policies. It also offers an objective way for solving conflicts of self-interest. Furthermore, it proposes a flexible, result-driven approach to ethical decision making (Boatright, 2013). On the contrary, it is unethical for Murphy to engage in such kind of illegal acts for his own personal gain. John Stuart and Bentham were sensitive about such acts and stated that senior managers who become dangerously self-seeking are more likely to be imitated by their subordinates which can eventually impede the broad company policies from being practised. As an organization, you should avoid courses of actions if their outcomes are uncertain. Arnold et al., (2013) explains that value leadership is a vital role for top management and that ethics rest on a philosophical foundation either unknowingly or unknowingly. He further points that all the people found at the top management of an organization including the human resource director holds the largest responsibility to enhance the organisation’s values and philosophy. The human resource director accomplishes this by urges other executives that inculcation of ethical system is key for leadership success. We must always to seek to safeguard against prejudice our utilitarianism calculations when our personal interests are at stake. Therefore, it is advisable to base your judgements on rules of thumb (Carroll, 2013). Cultural relativism theory One key distinction when assessing morality is the aspect of relativism –the notion that morality varies with time, circumstances as well as tie. Absolutism on the other hand argues that there are universal truths in ethics that apply at all times and in every circumstance. In a global business environment, this element becomes significant. On the other hand, situational ethics can be challenging for organizations wishing to uphold good moral values for their business. Making reference to the above case, it is evident that company have chosen to apply the cultural relativism regarding punishing Murphy for his misconducts. This causes ethical concerns among the leadership of the auditing committee, the Human resource department as well as the CEO (Liuzzo, 2013). The parties involved in the decision have opted in engaging in inconsistent disciplinary measures by choosing to safeguard the morale of its employees rather than basing their decisions on the ethical standards of the organization. I can also point out that the CEO and the audit committee chairman are both egoists. They pursue their won interest without making overall claims that all employees should do the same. They actually base their action on the principle of personal interest by not punishing Murphy accordingly. Regardless of whether Murphy is a valuable asset to the organization or not, this act is morally wrong since it undermines the moral values of the organization by violating its ethics (Leigh, 2013). Conclusion The codes of the organizations aim at upholding public trust and confidence in the integrity as well as professionalism among the employees. Values on the other hand are defined as key desires or beliefs concerning desirable conducts that surpass specific situations, guides our choices as well as evaluations of our decisions, hence becoming an central part of way being. Moreover, sometimes Human resource managers are found between a thin line of protecting employee rights and upholding the interests of the company. As an industry restructure, merge and expand globally, the HR manger’s responsibilities even becomes more complex. Human rights versus company profit will continuously be a tightrope these professional must trend in making decisions. It is therefore, important to note that good reputations as well as solid ethical decisions in business generate value. The decision of keeping the case glossed sounds impossible since some of the employees are already aware, and in the long run apart from causing low morale, it will result into more complex constraints such as loss of trust in the top management, tarnishing the reputation of the company and consequently loss of productive workforce. Reference Arnold, D. G., Beauchamp, T. L., & Bowie, N. E. (2013). Ethical theory and business. Boston: Pearson Education. Boatright, J. R. (2013). Ethics and the Conduct of Business: Pearson New International Edition. Harlow: Pearson. Carroll, C. E. (2013). The handbook of communication and corporate reputation. Chichester, West Sussex: Wiley-Blackwell. Cressy, R., Cumming, D., & Mallin, C. A. (2013). Entrepreneurship, finance, governance and ethics. Dordrecht: Springer. Effross, W. (2013). Corporate governance: Principles and practices. NEW York: Wolters Kiuwer law and Business . Felton, E. (2013). Ethics, people, and the workplace. Warrenton, Virginia: Themistes Books Press. Laidlaw, J. (2014). The subject of virtue: An anthropology of ethics and freedom. Cambridge; New York: Cambridge University Press. Lawrence, A. T., & Weber, J. (2013). Business and society: Stakeholders, ethics, public policy. New York, NY: McGraw-Hill, a business unit of The McGraw-Hill Companies, Inc. Leigh, A. (2013). Ethical leadership: Creating and sustaining an ethical business culture. London: Kogan Page Press. Liuzzo, A. (2013). Essentials of business law. New York: McGraw-Hill. Pennsylvania Bar Institute. (2013). Corporate compliance and ethics. Mechanicsburg,: Pennysylvania Bar Institute Press. Sapelli, G. (2013). Morality and corporate governance: Firm integrity and spheres of justice. Milan: Springer. Simpson, J., & Taylor, J. R. (2013). Corporate governance, ethics, and CSR. London: Kogan Page. Read More