January 02, 2011
Why is Ethical Conduct Important?

Besides being the "right thing to do," can you name the reasons why conducting your business ethically is a good business practice? Ethical conduct is important because it not only involves doing what is right and proper, but it is also good for business. Ethical conduct is the basis for long-term success in any organization. Here are some of the many advantages to ethical conduct at work:

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  • Ethical conduct promotes a strong public image for the organization. People respect an organization that makes ethical choices. Customers like doing business with an organization they can trust.
  • Ethical conduct makes the best use of resources. Money, time, and effort are put into productive activities rather than diverted for questionable purposes or personal gain.
  • Ethical conduct on the part of all employees also helps maintain quality and productivity. When employees follow ethical standards, they do not cut corners or short-change the company or its customers.
  • Ethical conduct assists the organization to comply with laws and regulations. What is ethical is also legal.
  • Ethical conduct ensures good and proper relationships with customers and vendors.
  • Ethical conduct boosts morale and promotes teamwork. When employees can trust one another and management, they can work together more harmoniously and effectively.

The above information comes from BLR’s presentation "Business Ethics: What Employees Need to Know." For more information on all the training courses BLR has to offer, go to our Employee and Manager Training page.


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