Author Question: Why is a code of ethics important? What should be included in a firm's code of ethics? What will ... (Read 138 times)

maegan_martin · **on:** Jul 7, 2018

Why is a code of ethics important? What should be included in a firm's code of ethics?

What will be an ideal response?

Question 2

According to research studies, unethical companies financially outperform ethical companies, although ethical companies are more successful with recruiting.

Indicate whether this statement is true or false.

ktidd · **Reply #1 on:** Jul 7, 2018

Answer to Question 1

Answer: A code of ethics helps foster a strong ethical culture. To build and sustain an ethical culture, organizations need a comprehensive framework that encompasses communication of behavior expectations, training on ethics and compliance issues, stakeholder input, resolution of reported matters, and analysis of the entire ethics program. The code of ethics helps employees know what to do when there is not a rule for something. The code of ethics is a statement of the values adopted by the company, its employees, and its directors, and sets the official tone of top management regarding expected behavior. The code of ethics should include expectations about business conduct, fair competition, and workplace and HR issues.

Answer to Question 2

Answer: FALSE