In many organizations, managers seek to satisfy the needs of stakeholders. When formulating a strategic plan, social responsibility and ethics play a significant role. It is important for organizations to develop their strategic plans to influence their decisions before and not after profit making. An ideal organization has different stakeholders such as workers, management, owners, community, clients and retailers. Developing a strategic plan that satisfies all these people will require a plan that is based on ethics and social responsibility.
Ethical factors have gained significant importance in the business world because it is only through ethical practices that company attracts customers, enhance product quality and raise their popularity. Therefore, many organizations seek to incorporate ethics in their strategic plan to achieve great performance. Ethics help streamline the workforce in an organization to suit its objectives. Many organizations have resorted to codes of ethics for their employees. These are rules that all employees in the organization are supposed to adhere. This promotes discipline, fairness and hard work in the organization. It also improves the working conditions by encouraging teamwork.
Ethics also play a major role in the organization’s decision making and planning. Therefore, when formulating a strategic plan, the organizational structure must be developed in a manner that decisions will be made ethically. This could be by giving responsibility to different stakeholders and increasing their participation in organizational activities. When all stakeholders are involved in decision making, it is easy to make appropriate decisions since each stakeholder gives their opinion. Therefore, ethics promotes fairness and equality among stakeholders, which in turn improves organizational performance.
Social responsibility is quickly becoming part of the business operations. Organizations should be held liable for the decisions and activities they do. Social responsibility includes treating employees well, taking part in community development programs and promoting good working relationships with all stakeholders. The business should set aside some of its profits to take part inactivates that benefit the society. This is seen as a way of appreciating the help from all stakeholders leading to the achieved success.
There are five ways of ensuring that ethics are entrenched in the strategic plan of a business. They include maintenance of proactive integrity and continuity in management of the business. The business should also monitor and assess the behaviors and decisions of its employees to ensure they are ethical. The business must demonstrate its commitment to ethical criteria and objectives. They also establish unique and clear ethical targets and how to achieve them. The business should train its workforce on how to implement the ethical objectives.
My ethical perspective has changed throughout the course. At first, ethics and social responsibility were optional steps that a business could choose to practice on not. However, opinion changed at the point where strategic learning has to incorporate ethical and social responsibility perspectives. Ethics and social responsibility are now viewed as necessities in ensuring that a business develops a practical and effective strategic plan. Furthermore, ethics and social responsibility bring all stakeholders together, enhances harmony and fairness.
Ethics and social responsibility help organizations to realize their visions, missions and objectives. Therefore, they provide a framework and direction to the company and stakeholders on how to implement strategic plans. They also promote unity among all stakeholders and ensure that each stakeholder makes sound decisions and are responsible or obliged to see the organization succeed.
References
Ferrell, O. C., Fraedrich, J., & Ferrell, L. (2009). Business Ethics 2009: Ethical Decision Making and Cases (7, revised ed.). London: Cengage Learning.
Rendtorff, J. D. (2009). Responsibility, Ethics and Legitimacy of Corporations. Copenhagen: Copenhagen Business School Press DK.
