Ethics refer to what is right or wrong, but business ethics means more than this. David (2011) emphasizes the similarity of ethics, social responsibility, and environmental sustainability (or plain sustainability). These three are similar and have to go together. An organization cannot be ethical if employees’ rights are not respected, or if the organization does not have a well-planned corporate social responsibility that helps protect the environment, or controls carbon emission. An organization can create an ethics culture by encouraging respect for employees’ rights, and promote outreach, safety, good health, including environmental programs for the community, safety in the workplace (Moura-Leite & Padgett, 2011).
This is the culture at Walt Disney, which has adhered to very commendable ethical standards even during the economic crisis in 2008. Disney’s guidelines on corporate social responsibility and business ethics have been published online, and have become a model and benchmark for other companies. Its social responsibility includes welfare for children and family, environment preservation, community, and other work-related subjects. Disney ensures that big and small decisions must be accompanied by corporate social responsibility.
Another example is Toyota, which has, from the beginning, implemented CSR and the traditional type of management that looks after their employees, especially in times of crisis. It has advanced the production concept kaizen, or continual improvement (Lynch, 2008).
References
David, F. (2011). Strategic management: Concepts and cases (13th ed.). Upper Saddle River, New Jersey: Prentice Hall.
Lynch, R. (2008). Strategic management (5th ed.). London: Prentice Hall.
Moura-Leite, R. & Padgett, R. (2011). Historical background of corporate social responsibility. Social Responsibility Journal, 7(4), 528-539. Web.