Transcript human resources: social responsibility and business ethics

HUMAN RESOURCES:
SOCIAL
RESPONSIBILITY AND
BUSINESS ETHICS
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Changing Attitudes Toward Social
Responsibility and Business Ethics
 To meet society’s expectations,
managers will need to be more
socially responsible.
 Most of 500 largest U.S.
corporations now have a code
of ethics.
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Corporate Social Responsibility
 The implied, enforced, or felt
obligation of managers,
acting in their official
capacity, to serve or protect
the interests of groups other
than themselves.
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Legislating Ethics and Social
Responsibility
 Procurement Integrity Act of 1988 –
passed after reports of military
contracts for $500 toilet seats
 Federal Sentencing Guidelines for
Organizations (FSGO) – outlined an
effective ethics program
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Legislating Ethics and Social
Responsibility (Continued)
 Corporate and Auditing Accountability,
Responsibility and Transparency Act –
known as Sarbanes Oxley Act, primary
focus is to redress accounting and
financial reporting abuses in light of recent
corporate scandals
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Stakeholder Analysis and the
Social Contract
Organizational stakeholder
Social contract
Obligations to individuals
Obligations to other organizations
Obligations to government
Obligations to society in general
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Social Audit
Systematic
assessment of a
company’s
activities in terms
of its social impact
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Ethics
 Discipline of dealing with what is good and
bad, or right and wrong, or with moral duty
and obligation
 Sources of Ethical Guidance – a number
of sources to determine what is right or
wrong, good or bad, moral or immoral
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A MODEL OF ETHICS
Sources of
ethical
guidance
Lead to
Type I Ethics
Our beliefs
about what is
right or wrong
Determine
Our actions
Type II Ethics
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Human Resource Ethics
 The application of ethical principles to
human resource relationships and
activities
 A Code of Ethics – many companies
have a code of ethics
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Professionalization Of
Human Resource
Management
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The Nature of a Profession
A vocation characterized by
the existence of:
 A common body of knowledge
 A procedure for certifying
members of a profession
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HR Professional Groups
 Society for Human Resource
Management – largest national
professional organization for
human resource management
individuals
 American Society for Training
and Development – largest
specialized professional
organizational in human
resources
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HR Professional Groups (Continued)
 WorldatWork – consists of managerial
and human resources professionals
responsible for establishment, execution,
administration or application of
compensation practices and policies
 Human Resource Certification Institute
– goal is to recognize human resource
professionals through a certification
program
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