Ethics and Corporate Social Responsibility - Coursework Example

Ethics and Corporate Social Responsibility Name: Institutional Affiliation: With the increasing levels of globalization resulting from liberalization of markets, efficient flow of information and integration of economies, the level of competition in the local and international markets has increased tremendously. This has resulted from the entry of multinational companies which have a huge financial base to segment the market, attract the loyalty of the customers towards their products and services (Browning 2007). In order for the rest of the firms to increase their competitiveness in the market, they have diversified their operation to different parts of the world. These are areas that have few players. Therefore, the companies are using all means possible in order to accumulate huge sums of money which is later used as a barrier of entry to any other interested investors. This is affecting the morale of the employees who feel neglected because their issues are not well addressed by the top-level managers (Wenger & Snyder 2000). This paper will discuss how the changes in human resource management have contributed to managing ethics and social corporate responsibility in an organization. Practices of human resource management contribute to managing the social corporate responsibility. With the expanding nature of many organizations, it has become important for the organization to set aside part of its profits towards the improvement of the lives of the people in the society. This is through supporting various projects related to education, environment, and less fortunate people in the society. However, this aspect cannot succeed without the endorsement of the employees. Therefore, improving human resource management practices is significant in ensuring that the workforce is well motivated. This gives them the urge to work harder in order to give back to the society. This is because they are aware that customers want to be associated with a company that participates in improving the lives of people who sustains it in the market. Understanding the human resource management practices that has changed over the years would enable the management to manage ethics and social corporate responsibility (Coombs & Holladay 2012). For instance, the management would ensure that they develop a positive culture among all employees. This would be significant in ensuring that employees work as a single unit towards achieving the set goals and objectives. In addition, they would implement an open office policy. This would make it possible for all employees to air their grievances directly without the use of intermediaries, an aspect that would increase the motivation of all employees because the issues that affect their performance would be well addressed. Human resource management practices are playing a significant role in managing ethics in relation to equality in the organization. With the expansion of organizations in different parts of the world, addressing the issue of diversity in the workforce has become a major priority. Many customers want to be associate themselves with organizations that have a diverse workforce. On the other hand, employees emanating from different cultural, ethical, and racial background have a different ways of dealing with various issues. With the current market which has become dynamic, a diverse workforce is significant in enabling a firm to deal with challenges that keep on arising each day. However, poor management of a diverse workforce might lead to constant conflicts. If they are not well addressed, they can affect the overall performance of the organization (McKenna, Garcia-Lorenzo, & Bridgman 2010). As a result, the changes in human resource management practices are significant in enabling the organization to balance its workforce and avoid any form of discrimination based on gender, race, or cultural background. This is important in enabling the whole organization to work as a single unit. Initially, the organizations used to dictate the working conditions of the employees. However, with the changes in human resource management practices, it is not possible anymore to make critical decisions that override the set ethical guidelines without involving the employees. For instance, in case the organization is planning of coming up with new working programs, which might affect the working conditions or procedures by the employees, the representatives of the workers must be informed accordingly (Stubbs & Cocklin 2008). Therefore, the changes has increased the level of openness in the organization and reduced the rate of violation of ethical guidelines by the top-level managers. The pressure asserted by the customers on companies to produce cheap products is making some of the companies to engage in unethical behaviors in order to maximize their returns. For instance, companies such as Wal-Mart have been accused of using child labor and payment of very low salaries to their subordinates. In some of the countries which host the firm’s subsidiaries, there exist no laws to protect the local population from exploitation. As a result, these companies are taking advantage of this opportunity and the desperation of the local population to get employment to exploit them. This is in an attempt to remain competitive in the American market. Child labor in countries such as Philippines and Indonesia has increased tremendously. This is because parents are opting to be helped by the children in order to complete the tasks assigned to them. Sometimes, the children are overworked while poorly paid. This is an indication that despite the evolvement of human resource management practices, many companies are still finding ways to avoid the strategies set to ensure that all human resource issues are addressed effectively in order to protect the interests of the workforce irrespective of their positions (Coombs & Holladay 2012). The size of organizations has increased tremendously. Many firms have expanded their operation to less competitive markets across the world. In addition, they have also outsourced their operations in order to maximize their returns. This has played a significant role in reducing the risks and uncertainties associated with concentrating on a single market. However, many of these organizations have failed to provide the employees with a serene working environment. Employees have been complaining that issues related to their security in their workplace are not well addressed. The top-level managers have gone ahead and suppressed the human resource department in order not to represent the employees effectively (Klein 2000). This is having a major effect on the motivation of the employees. Some of them are opting to quit and join rival companies. This is in an attempt to look for an organization that listens to their grievances. Post bureaucracy is characterized by signing of contracts between employees and the employers. However, these contracts have created opportunities for subordinates’ exploitation. Although contracts have reduced the level of supervision because employees are aware of what is expected of them, they have exposed the employees from exploitation because the organizations feel not obliged to provide them with benefits such as health insurance and pension. In addition, they are overworking the employees without extra pay. This is in an attempt to maximize their returns on the expense of the workers. However, the human resource department that is mandated to protect the employees is no longer powerful. In addition, labor unions have been suppressed by various administrations across the world (Sims 2003). Therefore, the ethical guidelines that outline the conduct of the top-level managers are not followed. This is because the managers are under intense pressure to deliver. Nevertheless, they are transferring the pressure to low-level employees who have no powers to oppose because they are under a contract. The internationalization of business has made it hard for the organizations and governments to follow-up whether the subsidiaries which are located in different parts of the world are abiding to the set ethical standards. Some of these branches are located in very competitive markets. As a result, they are using unethical means to achieve their objectives. Some of these include reducing the salaries for the employees in order to lower the cost of operations. Although such moves are affecting the morale of the employees, they are under pressure to abide with them because the institutions mandated with ensuring that human resource issues are addressed effectively no longer have powers to take action against some of these companies (Rosen 1988). This is because there is no political goodwill as the managers are working together with the political leaders in order not to be prosecuted. This is despite the organization being expected to act accordingly in order to ensure that all parties are contented with their working guidelines. Since the post-bureaucratic era, the human resource management has experienced various challenges in relation to representation of the employees. The top-level management is controlling this department in order to reduce its overall influence. This has created gaps which are being used by organization to mistreat its workforce. Currently, the organizations are less concerned about the welfare of the employees. Instead, they are focusing on increasing their profit margins and improving their competitive advantage in the market. As a result, the employees are left unattended despite the intense pressure on them to deliver results within very tight schedules. Nevertheless, after intense lobbying, organizations are giving in and providing the human resource department with authority to advice the top management on the best practices to improve the performance of the employees. For instance, Human resource management practices have enabled the management to enforce the ethical guidelines (Klein 2000). As a result, all supervisors and low-ranked subordinates are obliged to observe the ethical issues in order to improve the reputation of the company in the market. This is because the employees are the one who interacts with the customers each day. As a result, when they are not satisfied with their working environment they are likely to pass their dissatisfaction to the customers through service delivery. Cases of violation of ethical guidelines in the organizations have decreased tremendously as employees have become aware of their roles. Initially, the employees were assessed by the top-level managers. As a result, cases of corruption were rampant. However, with the changes in the human resource management practices, the employees can easily be able to assess themselves (Browning 2007). Therefore, the managers play an oversight role, an aspect that makes the employees to feel appreciated and their work towards the success of the organization recognized. This play a critical role in reducing the turnover rates in the organization because the employees are contented with their working environment. In conclusion, the changes that have been experienced in the human resource department have played a significant role in managing ethical issues and corporate social responsibility in the organization. Although there are some changes that are yet to be addressed, the level of confidence among the subordinates has increased tremendously over the years. In addition, managers are now able to manage their workforce more easily through the implementation of various strategies. References Browning, B. W. 2007. Leadership in Desperate Times: An Analysis of Endurance: Shackleton's Incredible Voyage through the Lens of Leadership Theory. Advances in Developing Human Resources, 9(2), 183-198. Coombs, W. T., & Holladay, S. J. 2012. Managing corporate social responsibility: A communication approach. Malden, MA: Wiley-Blackwell. Klein, N. 2000. No space, no choice, no jobs, no logo: Taking aim at the brand bullies. New York: Picador USA. McKenna, S., Garcia-Lorenzo, L., & Bridgman, T. 2010. Managing, managerial control and managerial identity in the post-bureaucratic world. Journal of Management Development, 29(2), 128-132. Rosen, M. 1988. You asked for it: Christmas at the Bosses’ Expense. Journal of Management Studies, 26(5), 463-480. Sims, R. R. 2003. Ethics and corporate social responsibility: Why giants fall. Westport, CT: Praeger. Stubbs, W., & Cocklin, C. 2008. Conceptualizing a "Sustainability Business Model". Organization & Environment, 21(2), 103-127. Wenger, E. C., & Snyder, W. M. 2000. Communities of Practice: The Organizational Frontier. Harvard Business Review, 78(1), 139-146. Read More