Professional Ethics
Professional Ethics
Learning objectives
After studying this unit you will be able to understand –
• Meaning and definition of business ethics
• Nature and purpose ethics
• Principles of business ethics
• Morals for organisational interest
• Importance of business ethics in Organizations/public universities
CONCEPT OF BUSINESS ETHICS
Business ethics is the moral principles, policies, and values that govern the way companies
and individuals engage in business activity. It goes beyond legal requirements to establish a
code of conduct that drives employee behavior at all levels and helps build trust between a
business and its customers
Ethics are principles or standards of human conduct that govern the behavior of individuals
or organizations. Using these ethical standards, a person or a group of persons or an
organization regulate their behavior to distinguish between what is right and what is wrong.
Business ethics comprises the principles and standards that guide behaviour in the conduct of
business. Businesses must balance their desire to maximize profits against the needs of the
stakeholders. Maintaining this balance often requires tradeoffs. To address these unique aspects
of businesses, rules–articulated and implicit, are developed to guide the businesses to earn
profits without harming individuals or society. Therefore, Business ethics is a branch of ethics
which prescribes standards regarding how the business is to be carried out.
• "Business ethics is the study of the standards of business behavior which promote
human welfare and the good."
• “Business Ethics’’ can be defined as the critical, structured examination of how people
& institutions should behave in the world of commerce. In particular, it involves
examining appropriate constraints on the pursuit of self – interest or (for firm).
• “Business ethics’ is defined by the IBE as ‘the application of ethical values to business
behavior’.
NATURE AND PURPOSE OF ETHICS
Ethics are principles that guide behavior and help people decide what is right and wrong. They
are also known as moral philosophy.
Nature of ethics
• Ethics are a branch of philosophy that studies the nature of morality
• Ethics are concerned with what is right and wrong, what people should do, and how to
live a good life
• Ethics are based on the idea that people should act in ways that are fair, honest, and
responsible
• Ethics are concerned with the well-being of others
• Ethics are based on the idea that people should act in ways that create positive impacts
PURPOSE OF ETHICS
• Ethics help people make decisions that are fair, honest, and responsible
• Ethics help people avoid unjust outcomes
• Ethics help people build trust and create a harmonious society
• Ethics help people lead good lives
MORALS OF AN ORGANIZATION
When discussing "morals for organisational interest," key principles include integrity, fairness,
transparency, accountability, respect for stakeholders, ethical leadership, social
responsibility, and a commitment to upholding legal standards; essentially ensuring the
organization operates with honesty, considers the impact on all parties involved, and prioritizes
ethical decision-making to maintain a positive reputation and long-term sustainability
Employees feel valued and motivated when working for an ethical company.
1. HONESTY
All personnel must be committed to telling the truth in all forms of communication and in all
actions. This includes never purposely telling partial truths, selectively omitting information,
making misrepresentations or overstatements. Honesty also means reliably sharing both good
and bad news with equal candor.
2. FAIRNESS
All dealings and relationships must be founded on a conscious commitment to fairness,
treating others as you would like to be treated. Fairness requires treating all individuals
equally and courteously, never exercising power arbitrarily and never exploiting weaknesses
or mistakes for personal or corporate benefit.
3. LEADERSHIP
Demonstrated by a conscious effort to set a positive example of ethical behavior, leadership
is a commitment to excellence through ethical decision-making. Businesses and business
executives maintain their leads by constantly improving operational efficiency, worker
satisfaction and customer approval.
4. INTEGRITY
Organizations and personnel demonstrate integrity through a consistency between actions and
words that inspires trust and credibility. Integrity also means keeping promises, honoring
commitments, meeting deadlines and refusing to participate in unscrupulous activities or
business dealings.
5. COMPASSION
Fostering a business environment of empathy and compassion requires a commitment to
being kind and caring toward all personnel, business partners and customers. Business goals
must be benevolent, ensured by spending enough time to understand the needs and
sensitivities of others, including the local community.
6. RESPECT
Respect is demonstrated by a full commitment to the human rights, dignity, autonomy,
interests and privacy of all personnel. It means recognizing that everyone deserves equal
respect and support for sharing ideas and opinions, without fear of any penalty or form of
discrimination.
7. RESPONSIBILITY
Employees exhibit responsibility by taking full ownership of their jobs, striving to be conscious
of the emotional, financial and business consequences of their actions. Taking their
responsibilities seriously also demonstrates employee maturity and ability to do a job without
needing strict supervision.
8. LOYALTY
9. LAW-ABIDING
Organizations must fully comply with all applicable laws and codes from local, state and
federal agencies. Law-abiding businesses and personnel also adhere to industry and trade
regulations, marketplace standards and any additional mandatory organizational policies,
practices and procedures.
10. ACCOUNTABILITY
Accountability requires a total commitment to the ethical quality of all decisions, actions and
relationships. High expectations for ethical behavior drive business practices when an
organization and its personnel are held accountable to fellow employees, consumers, the local
community and the wider public in general.
11. TRANSPARENCY
"Business ethics in public universities" refers to the application of moral principles and
standards within the operations and activities of a public university, encompassing areas like
research integrity, procurement practices, faculty conduct, student behavior, and financial
management, ensuring transparency, accountability, and ethical decision-making across all
levels of the institution.
KEY ASPECTS OF BUSINESS ETHICS IN PUBLIC UNIVERSITIES:
Academic Integrity:
Preventing plagiarism, cheating, and data fabrication in research and coursework, upholding
the value of intellectual honesty.
Research Ethics:
Ensuring ethical conduct in research involving human subjects, animal testing, and proper data
collection and analysis.
Conflict of Interest Management:
Disclosing and managing potential conflicts of interest arising from personal relationships,
financial investments, or outside consulting activities among faculty and staff.
Procurement Practices:
Following transparent and fair procedures in acquiring goods and services, avoiding favoritism
or corruption.
Financial Transparency:
Openly reporting financial information, including expenditures and donations, to ensure
accountability.
Student Conduct:
Enforcing ethical codes of conduct for students, addressing issues like academic dishonesty,
harassment, and discrimination.
Faculty Ethics:
Maintaining high standards of professional conduct for faculty, including appropriate treatment
of students, fair grading practices, and responsible scholarship.
Governance and Leadership:
Promoting ethical decision-making at the administrative level, ensuring strong ethical
leadership from university leadership
IMPORTANCE OF PROFESSIONAL ETHICS IN PUBLIC UNIVERSITIES:
Public Trust:
Quality Education:
Creating a learning environment where students are exposed to ethical values and encouraged
to act with integrity.
Social Responsibility:
Contributing to the betterment of society by promoting ethical behavior within the university
community.
Legal Compliance:
Adhering to relevant laws and regulations governing public institutions.
PROFESSIONAL PRACTICES
• Professional Ethical conduct
• Codes of conduct
• Objectives of code of conduct
• Contribution of code of conduct in professionalism
• Integrity
• Confidentiality
• Professional competence and due care
• Accountability
• Responsibility/ Objectivity
• Truth
• Transparency
• Honesty
Integrity: Being honest, trustworthy, and reliable in all professional dealings.
Confidentiality: Protecting sensitive information related to clients or colleagues.
Objectivity: Making decisions and judgments based on facts without personal bias.
Professional Competence: Maintaining the necessary skills and knowledge to perform one's
job effectively.
Accountability: Taking responsibility for one's actions and decisions.
Being dependable and fulfilling one's professional obligations.
Professional Behavior: Adhering to ethical standards and professional conduct within the
workplace.
PROFESSIONAL PRACTICES
• Professional Ethical conduct
• Codes of conduct
• Objectives of code of conduct
• Contribution of code of conduct in professionalism
• Professional ethical discipline
• Decision-making, and Interactions
CODES OF CONDUCT
Professional codes of conduct are based on ethical principles and set out the expectations of
society and the profession.
➢ Integrity
To behave in accordance with ethical principles, and
act in good faith, intellectual honesty and fairness. Being honest and straightforward in
all professional relationships
➢ Objectivity
Being impartial and unbiased when dealing with others
➢ Respect/ Confidentiality
To respect the dignity, worth, equality, diversity and privacy of all persons. Protecting
the privacy of others
➢ Accountability
To take responsibility for one’s actions, decisions and their consequences. Being
prepared to explain and justify your actions to others
➢ Professional commitment/Professionalism
To demonstrate a high level of professionalism and loyalty to the Organization, its
mandate and objectives. Promoting cooperation and participation, and sharing ideas and
information
Provides a set of guidelines to help professionals navigate morally ambiguous situations and
make informed choices aligned with professional values.
Personal integrity:
Encourages professionals to prioritize honesty, fairness, and responsibility in their work,
fostering a strong personal ethical compass.
Professional development:
Serves as a learning tool to educate professionals on ethical considerations within their field,
promoting continuous improvement and awareness.
Confidence building:
Provides a foundation for professionals to confidently assert their ethical stance when facing
pressure to compromise standards.
Protection against misconduct:
Can serve as a defense mechanism against accusations of unethical behavior by clearly defining
acceptable practices.
KEY CONTRIBUTIONS TO INSTITUTIONS:
Public trust:
Reputation management:
Helps maintain a positive image by establishing clear expectations for professional conduct.
Risk mitigation:
Reduces the likelihood of legal issues or reputational damage arising from unethical practices.
Quality assurance:
Contributes to maintaining a consistent level of quality in services delivered by professionals
within the institution.
Internal consistency:
Fosters a shared understanding of ethical values within the organization, promoting a culture
of integrity.
Examples of how a professional code of conduct can be applied:
A doctor adhering to patient confidentiality guidelines outlined in the medical code of ethics.
By adhering to ethical principles, professionals establish trust with clients, customers, and
stakeholders, which is crucial for a healthy business and social environment.
Promoting Integrity:
Ethical codes encourage honesty, transparency, and fairness in professional conduct, upholding
high standards of personal and organizational integrity.
Enhancing Accountability:
Professional ethics hold individuals responsible for their actions and decisions, promoting
transparency and mitigating potential risks of misconduct.
Guiding Decision-Making:
Codes of ethics provide a framework for making sound ethical choices, especially in complex
situations where there may be conflicting interests.
Protecting Public Interest:
By upholding ethical standards, professionals safeguard the well-being of the public,
particularly in fields like healthcare, law, and finance.
Promoting Social Responsibility:
Professional ethics encourage individuals to consider the broader social impact of their work,
promoting responsible practices within institutions.
Maintaining Professionalism:
Adherence to ethical guidelines elevates the overall professional standing of an industry and
its practitioners.
Preventing Unethical Behavior:
Clear ethical codes can deter unethical practices like bribery, discrimination, and conflicts of
interest.
EXAMPLES OF PROFESSIONAL ETHICS IN ACTION:
Medical Ethics: Doctors upholding patient confidentiality and prioritizing patient care.
Legal Ethics: Lawyers maintaining client privilege and avoiding conflicts of interest.
Business Ethics: Companies ensuring fair competition, responsible advertising, and ethical
sourcing practices.
Engineering Ethics: Engineers prioritizing public safety and adhering to professional
standards when designing projects
LECTURING/TEACHING ETHICS
The messy context of universities is providing a fertile ground for ethical dilemmas to flourish.
The unethical practices associated in universities include; Academic dishonesty and
inappropriate behaviour towards staff and students
• Definition of morality
• Examples of morality and ethics
• Principles of morality
• Moral virtues
• Moral values that guide behaviour
• Why moral values are important to students
Definition of morality
In the context of ethics, morality refers to a system of principles or values that guide judgments
about what is right or wrong, good or bad, in human behavior and actions, often based on
cultural, religious, or philosophical beliefs.
Morality, derived from the Latin word "moralis" (meaning "manner, character, proper
behavior"), encompasses the categorization of actions, intentions, and decisions as either
proper (right) or improper (wrong).
EXAMPLES OF MORALITY AND ETHICS
• Not lying
• Being generous
• Being patient, and
• Being loyal.
However, Ethics can include the ideals of honesty, integrity, respect, and loyalty
MORAL:
Refers to an individual's personal beliefs and values regarding right and wrong conduct.
PRINCIPLES OF MORALITY
Moral principles are standards of right and wrong that a person or group has. They can be
passed down to us by our family and peers, they can be dictated by society or religion, and they
can certainly change throughout our lives, depending on our experiences. These unwritten rules
often serve as a guide, determining the way we behave, make life choices, and interact with
others.
Every person holds ethical beliefs, but we can also find moral principles reflected in various
professions. For example, doctors, lawyers, and military officers have to respect a certain code
of conduct that differs from the moral principles of everyday people. On a very general scale,
moral principles can also be set by laws.
Examples of moral principles that can guide our actions include:
• Do not lie – if you believe strongly in this principle, you will always try to be honest
with yourself and with others.
• Always stand by your promises – if you have this moral principle, you’ll always try to
make promises you know you can keep and, if you’re not able to follow up on them,
you tend to be disappointed with yourself.
• Don’t profit from someone else’s misfortune – if you follow this moral principle,
you’ll always try to build your success on your own work and abilities, and never use
someone else’s problems to your own benefit.
• Do not cheat – if you follow this moral principle, you’re faithful to your loved ones
and do not betray their trust.
• Do not judge – if you have this principle, you always try to be open minded and avoid
judging others.
• Do not disrespect others – if you believe in the principle of respect, you always try to
treat people kindly, regardless of their age or social status.
• Always help other people – if you live by this principle, you’ll always try to support
others when they need it, donate to charities, etc.
Morality, at its core, involves principles that guide individuals in determining right from wrong,
often based on values and beliefs, and influencing behavior and character.
MORAL VIRTUES:
Aristotle defines moral virtue as a disposition to behave in the right manner and as a mean
between extremes of deficiency and excess, which are vices.
MORALITY:
• Encompasses a broader framework of ethical principles and values that are shared
within a society or group.
• Morality provides a foundation for ethical decision-making and behavior within a
community.
• Examples of moral systems include legal codes, religious doctrines, and cultural
norms.
• Morality is influenced by philosophy, religion, culture, and other factors.
RELATIONSHIP BETWEEN MORALITY AND ETHICS:
• Ethics examines the principles and values that underlie moral judgments and actions.
• Ethics can be seen as the framework within which morality operates.
• Ethical principles are often derived from or based on moral values.
• For example, a professional code of ethics (like the Hippocratic Oath for doctors) is
based on the moral values of a society.
Moral values are the guiding principles that help shape a student’s character and personality.
In today’s fast-paced and ever-changing world, it is more important than ever for students to
develop a strong moral compass. By learning and practicing good moral values from a young
age, students can grow into responsible, compassionate, and upstanding members of society.
Here are 10 essential moral values that students should learn and embrace:
1. Honesty
Honesty is the foundation of trust and respect. Students should be encouraged to always tell
the truth, even when it is difficult. Cheating, lying, and stealing should never be tolerated. By
being honest in their academic work and personal interactions, students can build strong
relationships and earn the respect of others.
2. Respect
Respect for oneself and others is a fundamental moral value. Students should learn to treat
everyone with kindness, courtesy, and dignity, regardless of differences in age, race, religion,
or background. Respect also means valuing diversity and being open to different perspectives
and ideas.
3. Responsibility
Taking responsibility for one’s actions, words, and choices is an important life skill. Students
should learn to be accountable, reliable, and dependable. This means completing assignments
on time, keeping commitments, admitting mistakes, and working to correct them.
4. Compassion
Compassion is the ability to understand and care about the feelings and needs of others.
Students should be encouraged to show empathy, kindness, and concern for those around them.
Simple acts like listening, helping, and comforting can make a big difference in someone’s life.
5. Integrity
Integrity means being true to one’s values and principles, even in the face of challenges or
temptations. Students with integrity are honest, trustworthy, and consistent in their words and
actions. They stand up for what is right and lead by example.
6. Perseverance
Perseverance is the determination to keep going despite obstacles or setbacks. Students need
to learn the value of hard work, persistence, and resilience. By developing a growth mindset
and embracing challenges as opportunities to learn, students can achieve their goals and reach
their full potential.
7. Cooperation
Cooperation is the ability to work together with others towards a common goal. In school and
in life, students will need to collaborate, compromise, and contribute as part of a team. Learning
to cooperate helps students build social skills, resolve conflicts, and create a positive
environment.
8. Gratitude
Gratitude is the practice of being thankful and appreciative for the good things in life. Students
should learn to count their blessings, express thanks, and find joy in simple things. Cultivating
an attitude of gratitude can increase happiness, improve relationships, and provide a sense of
perspective.
9. Forgiveness
Forgiveness is the choice to let go of anger, resentment, and the desire for revenge. Students
will inevitably face conflicts and hurt feelings, but holding grudges only causes more pain.
Learning to forgive others and seek forgiveness for one’s own mistakes can lead to healing,
peace, and stronger relationships.
10. Courage
Courage is the strength to face fears, take risks, and stand up for one’s beliefs. Students need
courage to try new things, express themselves, and do what is right, even when it is unpopular.
By developing confidence and conviction in their values, students can become leaders and
changemakers in their schools and communities.
1 .Character Building: Moral values such as honesty, integrity, respect, responsibility, and
kindness are the building blocks of good character. By learning and practicing these values,
students develop positive personality traits that will serve them well throughout their lives.
4. Academic Performance: Research has shown that students who possess strong moral values
tend to have better academic performance. Values such as responsibility, perseverance, and
self-discipline contribute to a positive learning environment and help students stay focused and
motivated.
5. Citizenship and Social Responsibility: Moral values instill a sense of civic duty and social
responsibility in students. They learn to be respectful of others, contribute to their communities,
and work towards the greater good of society.
6. Personal Growth: Moral values promote self-awareness, self-respect, and personal growth.
Students who internalize values like honesty, courage, and humility are better equipped to
navigate life’s challenges and become well-rounded individuals.
• Definition of corruption
• Types corruption
• Causes & effects of corruption
• Corruption prevention practices
• Conflicts of interest
DEFINITION OF CORRUPTION
We define corruption as
• The abuse of entrusted power for private gain. Corruption erodes trust, weakens
democracy, hampers economic development.
• A form of dishonesty or a criminal offense that is undertaken by a person or an
organization that is entrusted in a position of authority.
• Biblically, corruption is moral decay
• The World Bank has defined corruption as: the abuse of power, most often for personal
gain or for benefit of a group to which one owes allegiance
TYPES CORRUPTION
The main forms of corruption are bribery, embezzlement, fraud and extortion. Even when these
concepts are partly overlapping and at times interchangeable with other concepts, some of the
basic characteristics of corruption can be identified through these concepts.
“Bribery” is the payment (in money or kind) that is given or taken in a corrupt relationship.
To pay or receive a bribe is corruption per se, and should be understood as the essence of
corruption. A bribe is a fixed sum, a certain percentage of a contract, or any other favour in
money of kind, usually paid to a state official who can make contracts on behalf of the state or
otherwise distribute benefits to companies or individuals.
• Kickbacks
• Gratuities
• Baksheesh
• Sweeteners
• pay-offs
• speed ~ and
• grease money.
These are payments needed or demanded to make things pass swifter, smoother.
“Fraud” is an economic crime that involves some kind of trickery, swindle or deceit. It is a
broader legal and popular term that covers more than bribery and embezzlement. It is fraud for
instance when state agencies and state representatives are engaged in illegal trade networks,
counterfeit and racketing, and when forgery, smuggling and other organised economic crime
is propped up by “official” sanction.
“Extortion” is money and other resources extracted by the use of coercion, violence or the
threats to use force.
The 4 P's of Corruption: Preference, Power, Privilege, and Payment The 4 P's of corruption
highlight the core drivers and mechanisms behind corrupt practices.
2. Power: The misuse of authority to control resources, influence decisions, or exploit others
for personal gain. Corruption thrives when power goes unchecked and accountability is absent.
3. Privilege: The entitlement some individuals feel due to their position or status, which can
lead them to exploit advantages while disregarding ethical responsibilities.
4. Payment: The exchange of money, goods, or services to influence decisions or gain unfair
advantages. This includes bribery, kickbacks, and other financial incentives that compromise
integrity. Understanding these elements is crucial in identifying, preventing, and combating
corruption in organizations and society. Transparency, accountability, and ethical leadership
are key to addressing these systemic issues.
CAUSES OF CORRUPTIONS IN PUBLIC UNIVERSITIES IN KENYA
Corruption in Kenyan public universities stems from a complex mix of factors, including
political interference, weak oversight, financial mismanagement, and a lack of transparency,
all contributing to the diversion of resources and erosion of academic integrity.
Here's a more detailed breakdown of the causes:
• Governments and ruling parties often exert undue influence in university affairs,
leading to political appointments and favoritism in admissions and promotions. This
can result in the diversion of resources and the undermining of merit-based systems.
• Lack of robust internal and external oversight mechanisms allows for the
misappropriation of funds and other forms of corruption to flourish.
• Weak accountability frameworks hinder effective investigations and prosecutions of
corrupt officials.
• Public universities often face chronic underfunding, which can lead to the diversion of
funds to personal accounts or other non-academic purposes.
• Reliance on tuition fees as a primary source of revenue can also contribute to corruption
as it creates an environment where resources are scarce and competition for funding is
intense.
Academic Dishonesty and Bribery:
• Low levels of democracy, weak civil participation and low political transparency can
lead to corruption
• Higher levels of bureaucracy and inefficient administrative structures can also
contribute to corruption
Socio-Cultural Factors:
• Traditional values and norms can sometimes create an environment where corruption
is tolerated or even seen as acceptable.
• Poverty and inequality can also contribute to corruption as individuals may resort to
corrupt practices to survive
WHISTLE BLOWING
A WHISTLEBLOWER
A Whistleblower is any individual who provides the right information to the right people.
Stated differently, lawful whistleblowing occurs when an individual provides information that
they reasonably believe evidences wrongdoing to an authorized recipient.
WHISTLE-BLOWING
Whistleblowing is only meant for reporting criminal offences, regulatory breaches, health and
safety (including environmental) breaches, or cover-ups. You will be protected by law if you're
reporting any of the above. Anything else is out of scope.
If you think it might be too late to report a concern, be assured that you can raise it at any time,
whether it's about an incident that happened in the past, is happening now, or you believe it
will happen soon.
Your company's whistleblowing channels shouldn't be used to air grievances or make false
reports. If you have a complaint about your manager or colleague, your workload, a third party,
or some other issue, it's covered by your grievance procedures, so raise it with your manager
or HR instead.
Ultimately, whistleblowing law does not cover personal grievances unless the case is in the
public interest.
3. Check the approved channels
Your company handbook should explain how to make a report and to whom. In most cases,
your manager will be your first port of call.
But you may also be encouraged to report to HR, Compliance, Legal, senior management or
the board via a whistleblowing helpline, website, email, or to an independent third party.
You're not there to gather conclusive evidence of wrongdoing. You're a witness and observer,
so don't delay because you want to gather that additional evidence. You may tip off the suspects
and thwart the entire investigation.
If no one believes you, no action is taken, there's a cover-up, or lives are at risk, then it's OK to
escalate your concerns to others (such as the CEO, the Police, a regulator, or even sometimes
the press).
Anyone can blow the whistle if they suspect wrongdoing or unethical behaviour. And though
it isn't easy, the law protects you from reprisal or unfair treatment. Authorities must handle all
reports with confidentiality and sensitivity.
Ultimately, all whistle-blowers want is to have their report handled confidentially, protection
from any comeback (including being victimised or fired), and proper investigation.
Often the moral imperative outweighs any financial reward and encourages whistleblowers to
act altruistically.
Encouraging people to speak up and expose wrongdoing is a major factor in fighting fraud,
corruption and unethical behaviour. The mere presence of a whistleblowing system may be
enough to put people off committing any illegitimate activity, thus significantly reducing the
risk of fraud.
When an issue is raised through internal channels, it allows the department in charge to tackle
it appropriately as well as discreetly. More crucially, an anonymous system helps someone who
doesn‘t feel safe or confident sharing information with their employer to come forward. If there
isn’t an internal solution they may choose to take the information elsewhere or disclose it
publicly, potentially damaging the company’s reputation.
4. Reduces losses
When illegitimate activities are reported, it allows a company to tackle the problem quickly as
well as prevent it from happening again in the future. In this way, companies avoid painful
losses which are damaging for everyone, from employees to clients and suppliers.
5. Raises awareness
A company that shows it actively encourages employees to report concerns and supports them
if they do so, will gain more trust. An open and honest culture usually creates better working
relationships and dedication resulting in higher productivity. Furthermore, loyal employees
are more likely to make an internal report rather than disclose information externally. Which
leads us back to the benefits of organisational whistleblowing above.
Whistleblowing can protect the public interest, promote accountability, ensure a fair
workplace, and uphold ethical standards.
Whistleblowing, while intended to expose wrongdoing, can have negative consequences for
the whistle-blower, including retaliation, job loss, social isolation, and reputational damage, as
well as potentially harming organizational relationships and morale.
Retaliation:
Whistle-blowers can face various forms of retaliation, ranging from subtle workplace ostracism
to outright termination.
Job Loss:
Whistleblowing can lead to job loss, demotion, or difficulty finding new employment.
Social Isolation:
Whistleblowers may be excluded or shamed by their peers, leading to a toxic work
environment.
Reputational Damage:
Whistleblowing can damage a whistleblower's reputation, both within their current
organization and potentially with future employers.
Financial Hardship:
Loss of income, legal expenses, and difficulty finding new employment can lead to financial
hardship.
Emotional Distress:
Whistleblowing can be a stressful and emotionally challenging experience.
Legal Consequences:
Depending on the situation, whistle-blowers may face legal repercussions, such as lawsuits or
criminal charges.
Fear of Retaliation:
The fear of retaliation can deter potential whistle-blowers from coming forward, undermining
the effectiveness of whistleblowing programs.
Lack of Support:
Whistleblowers may face a lack of support from colleagues, supervisors, or other members of
their organization, making it difficult to gather evidence or prove their case.
Allegations May Not Hold Up:
There's a risk that the whistleblower's allegations may not be substantiated or that they may not
be fully aware of the legal implications of their actions.
Retaliation against whistle-blowers can lead to a decline in employee morale and a reduction
in staff retention.
Damage to Reputation:
Whistleblowing can damage an organization's reputation, leading to a loss of trust among
employees, clients, and the public.
Financial Penalties:
Organizations found guilty of retaliating against whistle-blowers can face significant penalties,
including fines and damages.
Resource Burden:
Investigating misconduct can strain company resources, requiring time, effort, and money to
resolve.
Reduced Organizational Efficiency:
Whistleblowing can weaken hierarchical structures and discourage organizational loyalty,
potentially leading to reduced efficiency and competence.
Lack of Transparency:
A lack of transparency in handling whistleblowing complaints can undermine credibility and
discourage employees from speaking up
CORPORATE SOCIAL RESPONSIBILITY (CSR) TO AN ORGANIZATION
Corporate social responsibility is a business model by which companies make a concerted
effort to operate in ways that enhance rather than degrade society and the environment.
CSR can help improve society and promote a positive brand image for companies.
Corporate social responsibility (CSR) is a self-regulating business model that helps a company
be socially accountable to itself, its stakeholders, and the public.
TYPES OF CSR
Extensive research proves that CSR and a strong sense of employee purpose actively contribute
to increased employee engagement.
Giving back to the community is a virtuous circle in which engaged employees are enriched
by volunteering opportunities that further engage and encourage them.
When you’re trying to win buy-in from leadership for your CSR program, it often falls to
financials. Stakeholders want to know if this project will see a positive return on investment
(ROI).
For all the fantastic benefits your business gets from showcasing your CSR initiatives, it can
be easy to overlook its reason for being in the first place. CSR gives people the leverage and
the platform they need to make a difference in local and global communities.
Impactful CSR can win you excellent press coverage. Creating a CSR program that gets you
noticed could lead to a boost in your brand awareness and overall online brand affinity.
Research has shown that employee beliefs behind CSR initiatives can impact workplace
attitudes, trust in top management, organization pride, job satisfaction and even performance.
Your employees are your biggest brand ambassadors — so, lead with authenticity, and
authentic press opportunities can follow.
Excellent CSR gives a company a chance to showcase consistency and win loyalty, which
ultimately converts into customer retention and increased sales. It dates back to Cialdini’s six
principles of persuasion and proves to be a fantastic way for businesses to showcase they’re
trustworthy.
Last on our list, but certainly not least, is the employer branding benefits that good CSR
initiatives can generate.
It can be a struggle to attract and retain talent. Still, research has shown that 82% of Gen Z
workers consider CSR a significant factor when deciding on their next employer, and 66%
would consider a pay cut if it meant working for a more socially responsible company.