ORGANIZATIONAL ETHICS AND CORPORATE SOCIAL RESPONSIBILITY

ORGANIZATIONAL ETHICS AND CORPORATE SOCIAL RESPONSIBILITY

CHAPTER ONE

INTRODUCTION

Background to the Study

The role of organizational ethics in the performance of corporate social responsibility in our nation can never be under-estimated. This is simply because corporate social responsibility is practiced because customers as well as governments today are demanding more ethical behaviors from organizations.However, understanding the landscape of organizational ethics can be sometimes difficult due to the fact that the field is vast and often encompassing such concerns as corporate governance, reputation management, accurate accounting, good labor practices and environmental stewardship to name but a few, Sullivan (2009). In fact, the field addresses the entire scope of responsibilities that an organization has to each of its stakeholders: those who have a vested interest in the decisions and actions of an organization; like customers, clients, employees, shareholders, suppliers and the host communities.

According to Kashyapetal., (2006) organizations are volunteering themselves to incorporate corporate social responsibility as part of their businesss trategies and mission statement,whiletakingcareofthecontradictoryinterestofvariousstakeholders.Another justification in favor of organizations that perform corporate social responsibility actions today is to again competitive advantage which may not be enjoyed by the peer  corporations.  Corporate social responsibility actions in this respect also help organizations to attract and retain not only customers but also motivate employees,which inturnen sure long-term survival of the organization. Drumw right(1996) opined that organizations with sound CS Ractions develop positive social identity and enjoy increase dloyalty from their customers, employees and host communities.

ORGANIZATIONAL ETHICS AND CORPORATE SOCIAL RESPONSIBILITY