boards of directors are responsible for which area of emerging ethical issues? course hero

How can board members ensure the board is ethical?

Vanourek said that the board is responsible for the purpose or mission, the values, vision and goals of the corporation and it is up to management to execute against these ideals. Further, said Mr. Vanourek, the board is responsible for protecting the culture beyond and across various CEO's that may come and go.

How should the Board address the issue of the company's culture?

The board of Ethical Consumer is made up of: 5 Worker Directors (elected by the worker members) 2 Investor Member Directors (elected by the investor members) 2 Non-Executive Directors (appointed by the board) Every two years we elect two investor-members to sit on our board. Nominations open in May 2020, voting takes place in July 2020 and ...

What are the legal mandates of a board of directors?

Aug 08, 2013 · A board is responsible for determining, articulating and communicating the values and standards of the business, and for ensuring that the policies, procedures and controls in place act to embed, rather than hinder, ethical values throughout the business.

What is the role of the a board?

60. Boards of directors are responsible for which area of emerging ethical issues? A. Ethical leaders B. Ethics issues in information technology C. Ethics issues in privacy D. Corporate governance E. None of these choices

What are the responsibilities of board of directors in a company in context to ethics?

1) Recruit, supervise, retain, evaluate and compensate the manager. Recruiting, supervising, retaining, evaluating and compensating the CEO or general manager are probably the most important functions of the board of directors.

What are the four areas of ethical responsibility?

Corporate social responsibility is traditionally broken into four categories: environmental, philanthropic, ethical, and economic responsibility.Environmental Responsibility. ... Ethical Responsibility. ... Philanthropic Responsibility. ... Economic Responsibility.Apr 8, 2021

Who is responsible for ethics in an organization?

Managers may be responsible for creating and/or implementing changes to the ethical codes or guidelines of an organization. Managers may also be subject to a particular code of professional ethics, depending on their position and training. Fiduciary duty is an example that applies to some managerial roles.

What are the key sources of ethical issues for the MNC?

Some of the most common ethical issues in international business include outsourcing, working standards and conditions, workplace diversity and equal opportunity, child labor, trust and integrity, supervisory oversight, human rights, religion, the political arena, the environment, bribery and corruption.Apr 28, 2016

What are ethical responsibilities?

Definition: Ethical responsibility is the ability to recognize, interpret and act upon multiple principles and values according to the standards within a given field and/or context.

What is an example of an ethical responsibility?

Examples of ethical behaviors in the workplace includes; obeying the company's rules, effective communication, taking responsibility, accountability, professionalism, trust and mutual respect for your colleagues at work.Nov 20, 2019

Who is responsible for ethical behavior?

Ethical behavior is easier for an individual than it is for a company. Companies have many individuals with differing opinions, values, and ideals. So, who's job is it to ensure a company is ethical? The answer is—everyone.Oct 18, 2017

What is ethical issues in organizations?

Fundamental ethical issues in business include promoting conduct based on integrity and trust, but more complex issues include accommodating diversity, empathetic decision-making, and compliance and governance that is consistent with the organization's core values.Feb 19, 2020

What are the ethical responsibility of business professionals?

The ethical responsibility of a business to stakeholders is that the business should be honest about its sales, revenue and profits. Providing stakeholders with a strategic plan for future initiatives also helps to build trust in the organization.May 28, 2019

What is the role of business ethics in a Globalised economy discuss the emerging issues of business ethics?

The business ethics focuses on the fact that in attempt to succeed in the market and global competition, economic subjects forget about the principal role of economics which is to satisfy the needs of citizens in the world and take part in development and improvement the quality of their lives.Jul 25, 2016

What are the role of ethics in international business environment?

The goal of ethics in international business is to ensure the company gains a reputation for ethical and responsible business practices in its home country and overseas. The result is a more equitable, principled marketplace, strengthened by partnerships between businesses that share high ethical standards.

What are some of the common ethical issues faced by Mncs in new marks?

Conclusion. Economic globalization and technological change are posing new ethical challenges to multinational corporations. As companies operate across diverse cultural and legal frameworks, moral dilemmas arise in labor standards, marketing practices, environment, corruption and human rights.

Who is Daniel Welch?

Dr. Daniel Welch is a Research Associate at the Sustainable Consumption Institute and lectures in Sociology at the University of Manchester. His research interests include understanding processes of social change, behaviour change, consumption, economic sociology, corporate sustainability and sustainability communications. From 2006-2011 he was a researcher and writer with Ethical Consumer, and between 2008-2011 was co-editor of Ethical Consumer magazine. He has also worked as a copywriter specialising in sustainability issues and undertakes occasional consultancy projects.

Who is Fiona Nicholls?

She has been an investor and subscriber with Ethical Consumer for umpteen years and has a passion for co-ops and the environment, as well as engaging the unengaged .

What is the role of a board in an organisation?

A board is responsible for determining, articulating and communicating the values and standards of the business, and for ensuring that the policies, procedures and controls in place act to embed, rather than hinder, ethical values throughout the business.

What is ethical question?

Questions of ethics, or the “right way to run a business”, are inherent in all aspects of corporate governance and in every board decision and action. These include the discretionary decisions a board takes to deliver on its duties as set down in law, and demanded by shareholders and other stakeholders. And the choices a board makes within the core ...

Why is continual expression, communication and demonstration of ethical values and practice important?

The continual expression, communication and demonstration of ethical values and practice are essential if a board wishes its organisation to operate in line with its core values, and to enjoy the benefits which doing business ethically can bring.

Is ethical behavior important in the boardroom?

The imperative for ethical behaviours and practices within the boardroom has arguably never been more important . But new research from the Institute for Business Ethics – A Review of the Ethical Aspects of Corporate Governance Regulation and Guidance in the EU – has found that explicit reference to ethical principles and terminology has generally been absent from corporate governance guidance and regulation both at the EU level and within most member states.

Why should directors be chosen?

To ensure that outside voices are integrated into the strategic process, directors should also be chosen for their ability to engage in productive debate — for example, being receptive to new views, challenging others’ ideas in a constructive manner, and being motivated to engage in strategy deeply and collectively. 2.

Why should directors meet with management frequently?

Additionally, directors should meet with management frequently to test that the original assumptions behind the strategy still hold. Follow-up meetings should involve not only the CEO but other layers of management, ensuring that strategy is being implemented throughout the entire organization.

What are the legal mandates of the Sarbanes-Oxley Act?

Their legal mandates center on topics like audit, compensation, and governance. Regulatory changes, such as the Sarbanes-Oxley Act, have increased their focus on compliance. And new risks, including cybersecurity, data privacy, and harassment, are drawing more attention from boards.

What is shareholder activism?

In the past, shareholder activism has generally been associated with financial engineering and other actions with an immediate payoff. However, passive investors, which have long term holdings and do not benefit from any short-term value creation that is not sustained, account for an increasing share of ownership.

Why is governance important in business?

Given the increased stakes and complexity of strategy, its governance is more and more important. Boards are in a unique position to pressure-test management’s decision-making, ensuring that the strategy is tailored to each business environment and continually probing key assumptions to make sure they remain valid.

Who is the author of the conference board report?

This report is authored by Andrea Bonime-Blanc and Jacqueline E. Brevard, both of whom aremembers of The Conference Board Global Council on Business Conduct. Through pursuit of anagenda set by its members, the council provides an exclusive network for a candid exchange ofviews on the key ethics and business practice issues that corporations confront in home andhost countries. As a forum for representatives of companies from diverse regions, the councilseeks to build a global perspective in discussion of common concerns such as articulation ofcore principles, developing effective compliance systems, and balancing stakeholder interests.The views expressed in this article are based on the authors’ experience and expertise.

What is the Global Council on Business Conduct?

The Global Council on Business Conduct is composed of U.S. and non-U.S. senior executivesresponsible for developing and articulating global ethics policies and compliance systems. Fromphilosophical questions such as, “How do we balance what is right with what is profitable?” to specificissues regarding EU privacy regulations and People’s Republic of China anti-corruption laws, Councilmembers seek to build a global perspective on common concerns. Members engage in a frankexchange of views on topics such as the business case for human rights, whistleblower protection, and ethics and compliance in China. These candid discussions help Council members to benchmarkpractices and advise their CEOs on critical ethics issues. The Council meets three times per year –twice in the U.S. and once outside of the U.S.

What are the best ways to stay ethical in the market?

TOP 7 ACTIONS FOR STAYING ETHICAL IN EMERGENT MARKETS. 1) CULTURE: Create a meritocracy where performance counts more than who you know or what influence you can wield. 2) RECRUIT: Select people based on how they can benefit the company, rather than through social connections and ethnic background.

How to help leaders establish and communicate leadership tone?

Assist leaders to establish and communicate leadership tone–inspiring people to act responsibly. Develop managers’ and leaders’ confidence to talk about and promote business ethics. Advise on generating employee ethical engagement–where people go beyond the basic rules of compliance.

Is emerging market hard to resist?

Emergent markets are like commercial cat nip–hard for multinationals to resist. But the integrity risks make doing business ethically troubling. Only by taking suitable defensive and diligent actions can ethical leaders avoid the risk of damaged reputation or coming into conflict with local cultures.