Ethical Issues In Strategic Management Essay

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Ethical issues in strategic management
The ethical issues that strategic managers confront cover a wide range of topics, but most are due to a potential conflict between the goals of enterprise, or the goals of individual managers, and the fundamental rights of important stakeholders, including stockholders, customers, employees, suppliers, competitors and general public.
Stakeholders have the right to timely and accurate information about their investment, and it is unethical to violate that right. Those who take the stakeholder view of business ethics often argue that it is in the enlightened self -interest of managers to behave in an ethical manner that recognizes and respects the fundamental right of stakeholders and thus ultimately benefit …show more content…

Social responsibility is how a business performs its activities to meet its wider obligations toward the society and environment, such as by avoiding activities which may be harmful. Strategic planning is an essential preliminary step in the corporate world in which senior management defines the organization's strategy, direction and decision-making. Ethical values and social responsibility serve an important role in the strategic …show more content…

Social Responsibility To the Stakeholders
Management must ensure that strategic decisions are reached after taking into account the possible impact on the stakeholders. Stakeholders are suppliers, customers, societies and anybody who is affected by the activities of the business. A socially responsible company treats stakeholders equally. Wider perspectives also have to be considered in terms of environmental and social impact of planned activities.
2. Transparency
Members of management should provide information transparently and honestly to help all involved discuss, debate and reach better decision-making. This enables the team to identify and monitor any potential risks which may arise and find an alternative solution. In terms of social responsibility, transparency also enhances the company's credibility toward its external stakeholders.

3. Independence
A management meeting provides an opportunity for management team members to raise concerns and come up with new ideas. It should be conducted in a professional and coherent manner and everyone should be independent in providing ideas without fear or hesitance as this helps improve the quality of the discussion and the decisions

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