Business ethics is one way to conduct business activities that cover all aspects relating to individuals, companies, and society. In a company, business ethics can shape the values, norms, and behavior of employees to the leadership in building good, fair, and healthy relationships with customers, colleagues, shareholders, and the community. Business ethics can also be a standard for all employees, including management.
One of the most basic and most important examples of ethics in business is honesty. Honesty is an important thing for a businessman to have. Honest both in the company itself and outside the company. For example, stay honest with employees and coworkers. Honestly, our employees and colleagues will easily trust us. Making it easier for the performance process of business owners.
- Utilitarian Approach
In this approach, every action must be based on the consequences. For this reason, before you act, you must provide great benefits to the community in a way that is not harmful and uses the lowest possible cost. When a business has succeeded in providing many benefits to the community, then the business will easily be liked by many people and of course will get many loyal customers.
- Individual Rights Approach
This approach has a big influence on respecting and respecting every action taken by others. However, if the action is judged to result in a split or conflict with the rights of others, then the action must be avoided.
- Justice Approach
Every decision-maker has the same position, and acts fairly in providing services to customers, both individuals and groups. This business ethics approach will provide benefits both in the short and long term. This is because all parties feel benefited from a fair decision.
- Principles of Corporate Business Ethics
There are several principles in business ethics that need to be considered by business people. Here are a few examples and their meanings:
- Principle of Autonomy
The principle of autonomy requires that business people make decisions appropriately and well, and take responsibility for those decisions. In carrying out this principle of autonomy, two or more companies can commit to running business ethics with the principle of autonomy. However, each company can take a different approach to carry it out. Because each company must have different conditions and strategies in achieving a company’s goals.
The company freely has authority over the fields according to it and its implementation is still in accordance with the vision and mission of the company.
- The Principle of Honesty
Honesty is the most basic value to support the success of a company’s performance. Without honesty, the business will not last long, because honesty is the main key in business success. This principle must be applied in all business activities, for example when carrying out contracts with third parties or employees, being honest with consumers, honest with regards to cooperation, and so forth.
The principle of honesty is the most basic business ethics principle in supporting the company’s success in various aspects.
- The Principle of Justice
In this principle, it means that everyone who does business has the right to get the same treatment. So that all parties involved in the business must contribute either directly or indirectly to the success of the business. Applying the principle of justice means that all parties must have positive access in accordance with the capabilities and roles that have been given to support business success.
- Principle of Loyalty
Loyalty is one of the important things in running a business. Loyalty in a company can usually be seen from hard work and seriousness in doing business in accordance with the vision and mission. By applying this principle, it is not allowed to mix work affairs with personal matters.
Principle of Moral Integrity
Every company must have good moral integrity. That way, the company can be trusted by the public. Applying this principle means that all business people, both employees, and management must always maintain the good name of the company.
Those are some approaches and principles in implementing company business ethics. With good business ethics, a company can develop easily. Business ethics in a company is the face of the company. Examples such as honesty business owners. If the business owner is always honest with employees and colleagues, of course, the colleague will see the company is a company that has good performance because of honesty. But if on the contrary, the business owner is totally dishonest to both employees and coworkers, then it’s easy to get a bad seal from other business partners to come for the business owner. It could even be that the entire company also gets a bad seal.
In addition to applying business ethics, you also need to apply better finances. The good financial condition can directly help the company to develop easily. To find out good financial conditions, you need company financial statements.