Code of ethics implies an ethical code or a conduct of behavior, that one needs to follow in a business organization. It pertains to following a protocol that is set by the company for its employees and staff members. It also brings about a regularity of functioning and a discipline. Rigid in nature, code of ethics is responsible for building the reputation of the company. A thing to remember is, just as the organization demands behavior as per the determined protocol, the art of writing business letters also asks the writer to adhere to a certain discipline.
Writing a code of ethics for your business helps in deciding how your company will flourish and prosper in the long-run. Business ethics is a broad spectrum, and takes considerable amount of time to frame. Nature of the work, the market, the employees, the stakeholders, social responsibility of the company, and legal aspect are some of the features that have to be covered when creating a business code of ethics.
Nature of the Work
Individualistic natures vary with time. However, a business entity has one goal: Growth. A business house needs more than just water and fertilizers to grow. It has to be fostered and developed through tapping new markets, innovations, and constant 'ideation'. Thus, the procedure of finding new markets and launching yourself there has to be set in such a way that it renders a win-win situation. An organization has to know its interests and objectives. This also involves studying your line of work and understanding the code of ethics followed there.
Nature of Other's Work
As the famous quote by the Don and an ace businessman goes, 'Keep your friends close, but your enemies closer', know what's happening outside your industry. The reason for this advise comes from the fact that, all industries are interdependent and grow only when they work in a symbiosis. Competition is healthy, but an overly competitive industry begins to indulge in malpractices. Thus, find out how you can benefit from the others around you.
Set Your Priorities
Demands are unlimited, but the resources to satisfy them are limited. Reconciling the two, is where the problem arises. Hence, setting your priorities will help you achieve your goals in a more systematic manner. Once the objectives are set, it prevents the board members from procrastinating, thus speeding up the work process. Setting priorities in the code of ethics for business will improve the performance of your company by leaps and bounds.
Evaluate the Past
While scripting your code of ethics of business, the past may not always be glorious. Hence, scrutinize and assess the events carefully, so that similar mistakes aren't repeated. Pick up that mistake as a challenge and conquer it.
The Great Expectations
The stakeholder are the real owners of the company. Hence, by that virtue they run the company. The same is not true in practicality, as they appoint board members. Write down the expectation of the stakeholders as a guide for your plan. A company also has a responsibility towards the society, as the society is the reason why it prospers.
A company is never expected to indulge in fraudulent practices. Any kinds of frauds and scams ruin the reputation of the company. Hence, utmost care should be taken while running a business. Your code of ethics must consider the loop holes that can turn into gateways for any fraudulent practices.
While creating a code of ethics, keep it simple for mass understanding. Make it clear and concise, and long write-ups are discouraging to read. A perfectly crafted code of ethics is the one that inspires and encourages.