2: Ethics in Organizational Culture - Assignment Example

British Petroleum also explores and researches on alternative energy sources for example, solar, bio-fuels and wind energy. In recent years, British Petroleum has embarked on a campaign to increase its efforts on the development of alternative or free energy sources and vowed to reduce its carbon-dioxide emissions. The company took these initiatives following the aftermath of one of the biggest marine pollution disaster that happened in the Gulf of Mexico (BP p.l.c., 2013). The company was under pressure to restore its image and prove that it operates while observing integrity and ethical behavior.

Every company needs to operate ethically in order to incorporate integrity in its business dealings. It is important for a company to implement ethical policies to ensure that its business practices are legal and in line with the moral conduct that attracts customers and keeps all the stakeholders satisfied (Kurtz, 2003). An organization’s culture, which refers to the shared values that determine how employees respond to different environments, directly influences the company’s ethics. The company’s management shapes and determines the entire working environment and the ethical standards.

Employees will adhere to the company’s ethical standards when the management sets a great example. It is hard for the subordinates to practice ethical behavior when the management is caught up in the wrong direction. The ethical values embedded in the organization are passed on to the employees through socialization, observation and learning. The employees tend to assimilate and emulate the cultural and ethical standards practiced within the organization. If the managers exhibit strong ethical standards, the employees follow suit and an ethical culture is formulate within the organization.

If the managers tend to show a weak ethical culture, the employees will also show negative ethical behavior