Application Of Ethical Leadership Essay Discussion Paper

Part A. Explain the purpose of corporate social responsibility (CSR).

  1. Purpose of CSR

Corporate social responsibility (CSR) is a management activity that is intended that is intended to ensure that an organization conducts its activities in an ethical manger. In this case, the organization is expected to evaluate the environmental, economic and social impact of its activities, while also considering human rights. Some of the range of activities that engender CSR include environmental sustainability and protection, developing relationships with stakeholders (such as government and non-government bodies, customers, and personnel), socially responsible investment, and working on partnership with local populations. The major motivation for CSR is the increased demand by stakeholders for commercial entities to be more honest about their activities while reaching and maintaining acceptable business practice standards. In addition, the concept of CSR builds trust with stakeholders, protects and raises brand awareness, and increases competitive advantage (Robbins & Judge, 2015). In this respect, CSR is a management tool whose purpose is to improve public image.

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  1. Primary and secondary stakeholders that influence Paradigm Toys

Paradigm Toys’ activities are influence by the company’s stakeholders who can be divided into two groups. The first group are primary stakeholders who include suppliers, customers, personnel, and shareholders. The second group are secondary stakeholders who include special interest groups and the society. Application Of Ethical Leadership Essay Discussion Paper

  1. Ways that the board of directors at Paradigm Toys should meet CSR for stakeholders

It is important for the company to meet its CSR to its stakeholders through well directed activities. Concerning the primary stakeholders, the company would meet its CSR to the suppliers through innovation, high scale volumes (economics), contract compliance (legal), and good partnership (ethical). It should meet its CSR to customers through supply of goods (economic), appropriate price performance ratio, product security and product quality (legal), and clear conscience, prestige and service (ethical). It should meet its CSR to personnel trough job security and wages (economic), safe and health working environment (legal), and development, meaningful work and job satisfaction (ethical). It should meets its CSR to shareholders through capital certainty and return on investment (economic), voting rights (legal), and sustainable management (ethical). It should meets its CSR to special interest groups through support for funding purposes (ethical) and generosity (philanthropic). It should meets its CSR to the society through financial contribution towards innovation, growth and social welfare programs (economic), environmental protection and safety (legal), environmental protection, information and transparency (ethical), and contribution to welfare (philanthropic). Through the mentioned activities, the company will be able to meet its CSR expectations to its stakeholders (Robbins & Judge, 2015)Application Of Ethical Leadership Essay Discussion Paper.

Part B.  Reflect on the importance of ethical leadership by doing the following:

  1. Importance of ethical culture

Ethical leadership refers to the notion of considering ethics when making decisions and setting up limits within which all company activities will be conducted. This is based on the awareness that it would allow the company to identify a code of ethics and core values that inspire personnel to act within the set expectations thus creating a positive and productive environment. In choosing to apply ethical leadership, Paradigm Toys’ leadership is able to create a positive experience for all its stakeholders while improving its business functions. To engender an ethical culture, the company’s leadership should set up a system of conscience that presents a moral code that would be loyally observed by all company personnel. To ensure that the personnel feel unsure about the practical solutions for implementing the code, it is important for the company to define its moral code, commit to preserving the code, and differentiate ethical leadership from other leadership strategies. This means that the company should endorse ethical leadership through established policies that explicitly indicate acceptable actions by company personnel and other stakeholders through virtue, voice, vision and values (Parboteeah & Cullen, 2013)Application Of Ethical Leadership Essay Discussion Paper.

  1. Defining an ethical audit and its value to Paradigm Toys

Ethics audit refers to the measurement of an organization’s behavior and culture, while determining the extent to which its virtue, voice, vision and values are embedded across its stakeholders and activities. An ethical audit is completed by stakeholders who presented their opinion about the organization’s behavior and culture. Conducting an ethical audit is an important management activity that should be routinely conducted on a regular and schedules basis. That is because it shows the company how best to ensure an ethical practice while creating a conscientious environment. Through its results, all stakeholders would become more aware about what is expected of them while ensuring that they are all in the same page and arising conflicting issues are dealt with in a timely manner. There are seven specific values that an ethical audit could bring to Paradigm Toys. Firstly, it identifies the general areas of vulnerability. Secondly, it helps the company to learn the issues that motivate stakeholders. Thirdly, it helps the company to identify its specific problem areas. Fourthly, it offers the stakeholders an opportunity to explain what they expect from the company. Fifthly, it helps the management to learn how best to meet any and all expectations that have currently been overlooked. Sixthly, it offers a baseline for future measurements of improvements. Finally, it clarifies the company’s actual operational and performance values (Bagley, 2015).

Part C.  Develop the ethical framework that you would use if you were faced with an ethical dilemma

  1. Identify and analyze an ethical dilemma in a business setting

The ethical dilemma under review is the management of tips and cash sales within a bar setting. In this case, the bar is managed by a three-person bar team. The team works well together, pooling the tips during the shift and viding them at the end of the shift. In a recent shift, the bar manager reported some concerns about liquor prices and costs. The manager noted that the cost of purchasing liquor was high while the income from its sale was low. As a member of the bar team, you understand that the issue could have been caused by the bartenders ‘pouring heavy’ when mixing the drinks although this could not account for all the cost concerns. Two days ago, you noticed that the other two members of your three-person bar team did not ring all their liquor cash sales into the cash register. It appeared that the two would put the cash into the tip box for the bar team. This has led you to the conclusion that that other two members of your team are not recording all their liquor cash sales, although you do not have tangible proof about this. The ethical dilemma is how to approach the situation since reporting the incident could result in the two members being let go for stealing while failing to report the incidence could be considered as abetting the wrong. As such, the ethical conflict is how best to handle the situation and ensure that all liquor cash sales are correctly assigned to the cash register Application Of Ethical Leadership Essay Discussion Paper.

  1. Two potential solutions to the dilemma

There are two potential solutions to the dilemma. The first solution would entail collecting tangible proof then presenting it to the manager to show that the two bar team members do not correctly assign liquor cash sales as required thus resulting in revenue losses for the company. The second option is to talk to the two bar team members, informing them that what they have been doing is wrong and ensuring that they correctly assign cash sales in the future.

  1. Best solution from the two options

The best solution would be the second option that involves talking to the two members about the wrongs inherent in their actions. As a member of the bar team, I have an obligation to ensure that the team cohesion is not negatively impacted. This would require that the issue first be resolved at the lowest level of management. Applying the first solution would threaten the team’s cohesion since the other team members would consider it a betrayal even as their job security is threatened since there is a possibility that the two could lose their jobs for stealing. Should the first option fail to resolve the situation, then the second option would be selected.

Part D.  Create a proposal for implementing an ethics training program at Paradigm Toys

  1. Three components to include in a training program

An ethics training program provides an opportunity for Paradigm Toys to explore and discuss its procedures and policies to ensure that ethics rules are followed in all company operations and activities. This is intended to supplement the written and published procedures and policies since not all personnel would understand how and when to apply them. There are three main components of the training program. The first component is to ensure that the program is based on a strong ethics policy that each personnel received and acknowledged. This is to ensure that the training covers established ethics policies that are in line with what the stakeholders expect. The second component is to ensure that the training modules include issues that influence business decisions in the company such as accepting gifts that could be construed as bribes to influence purchase and contract decisions, gender equality, and sexual harassment. This is to ensure that possible ethics issues are covered and personnel are well prepared to handle conflicts even as they arise. The final component would entail maintaining confidential information and discussing conflicts of interest. This is to ensure that the personnel are confident in their capacity to follow the existing policy (Trevino & Nelson, 2011)Application Of Ethical Leadership Essay Discussion Paper.

  1. Training delivery method

The most effective delivery method for the training program is to use teamwork exercises. These exercises (team-building) would require the personnel to act together towards a common objective instead of competing against each other. The exercises would be adapted towards the training that the personnel are undergoing. The activities would show the personnel the importance of the ethics policies and procedures, and how it applies to them. The activities should also include scenarios and discussions whereby personnel actively comprehend the ethics policies and maintain compliance. This delivery method would allow the personnel undergoing training to comprehend what they have to do within the workplace to maintain an ethical environment (Trevino & Nelson, 2011).

References

Bagley, C. (2015). Managers and the legal environment: strategies for the 21st century (8th ed.). Boston, MA: Cengage Learning.

Parboteeah, K. & Cullen, J. (2013). Business ethics. London: Routledge.

Robbins, S. & Judge, T. (2015). Organizational behavior (16th ed.). Boston, MA: Pearson.

Trevino, L. & Nelson, K. (2011). Managing business ethics: straight talk about how to do it right (5th ed.). Hoboken, NJ: John Wiley & Sons.

COMPETENCIES

3008.1.3 Policy and Program Development

The graduate develops policies, practices, procedures, and programs that foster organizational ethics and socially responsible behavior.

INTRODUCTION

As an organizational leader, one of your primary roles is establishing programs and policies that ensure the organization operates under ethical considerations and legal mandates. This responsibility includes informing employees of the organization’s code of ethics, communicating the code of ethics, providing training, and ensuring that operational aspects are administered in a legal and ethical manner.

In this task, you will assume the role of a leader who must decide what leadership power you will use to develop a strong organizational ethical climate. In your position as a leader, you will need to satisfy the concerns of stakeholders, understand the organization’s ethical standing, examine a code of ethics, and develop a training program Application Of Ethical Leadership Essay Discussion Paper.

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SCENARIO

You are a business manager or administrator of Paradigm Toys, a publicly held company. The board of directors has asked you to conduct an ethics audit of Paradigm Toys, a fictitious company that is a retailer and manufacturer of children’s toys, and report to the board the need for ethics training.

REQUIREMENTS

Your submission must be your original work. No more than a combined total of 30% of the submission and no more than a 10% match to any one individual source can be directly quoted or closely paraphrased from sources, even if cited correctly. An originality report is provided when you submit your task that can be used as a guide.

 

You must use the rubric to direct the creation of your submission because it provides detailed criteria that will be used to evaluate your work. Each requirement below may be evaluated by more than one rubric aspect. The rubric aspect titles may contain hyperlinks to relevant portions of the course.

Prepare a report (suggested length of 4–6 pages) for the board of directors at Paradigm Toys in which you do the following:

  1.  Explain the purpose of corporate social responsibility (CSR).
  2.  Identify twoprimary and twosecondary stakeholders that influence Paradigm Toys.
  3.  Analyze two ways that the board of directors at Paradigm Toys should meet their corporate social responsibility to the primary and secondary stakeholders identified in part A1.
  4.  Reflect on the importance of ethical leadership by doing the following:
  5.  Explain why it is important for an organization to develop an ethical culture.
  6.  Discuss the role that Paradigm’s leadership can play in fostering an ethical culture.
  7.  Explain what an ethics audit is.
  8.  Discuss the value that an ethics audit could bring to Paradigm Toys.
  9.  Develop the ethical framework that you would use if you were faced with an ethical dilemma by doing the following:
  10.  Identify and analyze an ethical dilemma in a business setting Application Of Ethical Leadership Essay Discussion Paper

Note: You may also choose an ethical dilemma you have witnessed at your current place of employment.

  1.  Evaluate two potential solutions to the dilemma.
  2.  Explain which solution from part C2 you would recommend and why that solution would be the more ethical choice.
  3.  Create a proposal for implementing an ethics training program at Paradigm Toys by doing the following:
  4.  Identify threekey components that you would include in the content of your training program.
  5.  Explain why you would include the three components from part D1 in your training program.
  6.  Recommend a delivery method that you believe would be most effective for the training program.
  7.  Justify your recommendation.
  8.  Acknowledge sources, using in-text citations and references, for content that is quoted, paraphrased, or summarized.
  9.  Demonstrate professional communication in the content and presentation of your submission.

 

RUBRIC

 

A, PURPOSE OF CSR

The explanation addresses the purpose of corporate social responsibility. The ideas presented are accurate and complete.

 

A1. PRIMARY AND SECONDARY STAKEHOLDERS

The identified 2 primary and 2 secondary stakeholders that influence Paradigm Toys are logical and accurate.

 

A2. RESPONSIBILITY TO STAKEHOLDERS

The analysis addresses 2 ways that the board of directors at Paradigm Toys will meet their corporate social responsibility to the primary and secondary stakeholders identified in part A1, and the ideas presented are logical and well supported.

 

B1. IMPORTANCE OF ETHICAL CULTURE

The explanation addresses why it is important for an organization to develop an ethical culture. The ideas presented are complete and well supported.

 

B1A. FOSTERING ETHICAL CULTURE

The discussion of the role that Paradigm’s leadership can play in fostering an ethical culture is logical and the ideas presented are well supported.

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B2. ETHICS AUDIT

The explanation accurately addresses what an ethics audit is and the ideas presented are logical.

 

B2A. VALUE OF AN ETHICS AUDIT

The discussion accurately details the value that an ethics audit could bring to Paradigm Toys.

 

C1. ETHICAL DILEMMA

The analysis addresses an ethical dilemma in a business setting and the ideas presented are complete and logical.

 

C2. POTENTIAL SOLUTIONS

The evaluation identifies 2 potential solutions to the dilemma and is logical and well supported.

 

C3. EXPLANATION OF CHOICE

The explanation addresses why the recommended solution is the more ethical choice. The ideas presented are logical, relevant and well supported.

 

D1. KEY COMPONENTS

The identified 3 key components that the candidate would include in content of the training program are logical and feasible.

 

D1A. EXPLANATION OF KEY COMPONENTS

The explanation addresses why the 3 key components would be included in the training program. The ideas presented are well supported and logical.

 

D2. DELIVERY METHOD

The recommended delivery method is appropriate for an effective training program.

 

D2A.JUSTIFICATION

The justification addresses why the recommended delivery method is the most effective, and the ideas presented are logical and well supported.

 

  1. SOURCES

The submission includes in-text citations for sources that are properly quoted, paraphrased, or summarized and a reference list that accurately identifies the author, date, title, and source location as available.

 

  1. PROFESSIONAL COMMUNICATION

Content reflects attention to detail, is organized, and focuses on the main ideas as prescribed in the task or chosen by the candidate. Terminology is pertinent, is used correctly, and effectively conveys the intended meaning. Mechanics, usage, and grammar promote accurate interpretation and understanding. Application Of Ethical Leadership Essay Discussion Paper