What are Management Ethics?

Morality as it pertains to the business management world is commonly known as management ethics. While each company has a different ethical standard, management ethics are largely the same in every industry. In many ways, this type of ethical understanding exists as an unwritten code, though literal ethical documents also exist.

The main goal of management ethics is to treat all employees and customers justly and fairly. It is believed that by following a moral and ethical code, business will improve. When a management team adheres to ethics, employees become motivated and a workplace environment becomes motivational.

When applied to everyday business, acting ethically means adhering to law, competing with others in an honest manner, and performing daily tasks without any element of deceit. Many companies around the globe update written codes of conduct as a result of past corporate scandals. It is not uncommon for a company to update this document on a yearly basis. After a code of conduct document has been updated, each staff member must read and understand the document. Further, all employees must adhere to the updated codes of conduct, and those that do not follow these regulations are often dismissed. Although managers must follow the same codes of conduct as employees, these individuals have additional obligations.

Almost every decision that is made on a daily basis involves an ethical decision. Managers must keep this in mind at all times. By setting a good ethical example for other employees, managers can easily encourage all employees to follow the same ethics. Some companies offer managers specialized management ethics courses that must be completed prior to job acceptance.

Frequently, managers who switch companies are asked to follow a different code of conduct. This does not mean that all other management ethics should be forgotten, but it does mean that additional ethics should be learned. Ethics are not necessarily interchangeable from country to country. Sometimes, different cultures respect different ethical rules. Thus, any person who decides to move to another country may have to adapt to cultural, and workplace, ethical differences.