How do firms benefit from a strong ethical culture? How can HR ...

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How do firms benefit from a strong ethical culture? How can HR departments foster such cultures?
 
  What will be an ideal response?

Question 2

Which one of the following statements about HR and ethics is FALSE?
 
  A) It is sufficient for HR representatives to say that everyone should be ethical.
  B) The ethical bearing of those in HR affects the credibility of the entire organization.
  C) HR representatives should maintain a dialogue with workers about ethical behavior.
  D) HR professionals can help foster an ethical culture.

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Answer to Question 1

Answer: By fostering a strong ethical culture, firms are better able to gain the confidence and loyalty of their employees and other stakeholders, which can result in reduced financial, legal, and reputation risks, as well as improvements in organizational performance. HR professionals can help foster an ethical culture, but that means more than just hanging the ethics codes posters on walls. Instead, since the HR professionals' primary job is dealing with people, they must help to instill ethical practices into the corporate culture. Those values must be clearly communicated to all employees, early and often, beginning with the interviewing process, reinforced during employee orientation, and regularly recognized during performance reviews, public ceremonies, celebrations, and awards.

Answer to Question 2

Answer: A