The Logic of Biblical Principles and the Round Table Principles in Business Ethics
Introduction
The business environment is characterized by cut-throat competition between competitors, individual targets to meet and rapid expansion programs and globalization. For this reason, many businesses will often go into all lengths to achieve their targets, beat the completion and realize growth within the industry. This call for the implementation of a level playing field, failure to which unfair business practice will thrive. White’s Biblical Principles and the Caux Round Table Principles attempt to put forward principles of business ethics from a humanistic point of view, and based on religious ethos.
Review of Caux Round Table Principles
The Caux Round Table Principles (CRT), are based on the ethics of human dignity and the Japanese ethics of ‘Kyosei’, which focuses on the harmonious go existence through fair practice for mutual prosperity(Roundtable, 2002). The CRT emphasizes 7 principles of business ethics: respect for stakeholders, contribution to environmental, economical and social good, establishing trust above the written rules, respect for rules and other agreements, mindful globalization, concern for the environment and refrain from te illegal practice (Roundtable, 2002). The principles aim at establishing mutual concern for the environment, the law, and stakeholders.
Review of White’s Biblical Principles of Business Ethics
White’s principles are based on Christian ethics as stipulated in the Bible. He offers five Christian principles from the bible upon which business ethics can be established. The principles include: providing value for money, honest dealings, servant service, reasonable profit, and personal responsibility.
Similarities and differences between the secular and biblical principles
The two principles by White and Caux have many common factors and also differ to certain extents. The emphasis on White’s principles starts with honesty, which stresses the importance of fair business dealings. It stresses the need to provide the client with service or product that matches the amount paid for; this goes for employees and business. It also encourages open terms of engagement that do not have any form of backhandedness. The second concept emphasizes “being a servant,” that is, like Christ; a business should be the customer’s servant. Personal responsibility encourages owning up to our actions without blaming others for our shortcomings. White’s last principle of “reasonable profits” require that payment received or demanded by employees or from customers should not be exorbitant, but should be reasonable and equal to the services offered.
White’s business principles and Caux Round Table are both based on respect for humanity, obeying the laws governing fairness in conducting business, and refraining from unethical practices. They both base their arguments on morality, even if it approached from a humanistic logic and a Christian logic.
The departure comes from the extra principles as seen in CRT principles which add environmental aspects and management of business risks. CRT expresses a concern for the environment by advocating for responsible use of resources, conserving available resources and building business practice that exhibits environmental sustainability. The principles also touch on maintaining the sustainability of the business through economic development of the business and the economy in which the business operates. It also touches on globalization, encouraging responsible expansion of business and the role of businesses in influencing domestic laws of businesses.
The Japanese concept of ‘kyosei’ also features extensively; referring to harmonious living through cooperation for mutual prosperity. This principle advocates for respect between business players working around mutual values (Kaku, 1996). Unlike White’s Christian principles, the premise Caux Round Table principles is based on ‘Kyosei’ and value for human dignity and the two concepts create the foundational guidelines of the seven Caux Round Table Principles (Roundtable, 2002).
How do White’s Principles surpass the Caux Round Table Principles
White’s Principles surpass the Caux Round Table Principles in that they focus on personal conviction of an individual based on Biblical teachings as found in the readings and especially as exemplified by Christ. These principles, therefore establish the highest standard of moral conduct, and the highest level of accountability, that is, God. As seen in the bible, it demands that humans do everything as if unto God and not fellow human. This makes the employee and the business owner accountable, not a human order of authority but to God. These principles are more impactful where employees or business owners believe in God, since many people often strive to please God more than they may strive to please fellow man. If upheld in the spirit that is intended, the principles would be better grounded than the CRT principles.
The Suitability of Biblical Teachings on Business Ethics
The bible details that guide human conduct, which can be applied to business ethics. The passages guide the choices that Christians make and can be applied to business decision making. White’s principles borrow these examples. For example, personal responsibility is found in Romans which urges Christians not to be swayed by what goes on around them in the world, but to let their lives conform to what Christ expects of them and to continually adapt their mindset to reflect that of Christ. Since Christ stands for ethical behavior, the bible can be used as an anchor for making good choices in business engagements. Luke also talks about doing to others as we would expect of them to do to us; this promotes fair practice in business.
Following White’s principles would still pose challenges even for a manager who is a Christian. What is deemed ethical or unethical in business vis a vis Christian practice might not be a clear cut, which can still call for personal interpretation of the situation. The needs of the company and the business targets may also conflict to some extent with Christian principles which may present a challenge; however, the manager can still apply general Christian principles to make the right call. On the other hand, company ethical culture and goals are shared with employees. It can become a challenge for non-Christian employees to internalize and apply Christian principles in their ethical decision making.
References
Bible, H. (1982). The New King James Version. The Open Bible, Expanded Edition.
Kaku, R. (1996). The path of kyosei. Harvard Business Review, 75(4), 55-63.
McGrath, A. (1998). Historical Theology: An Introduction to the History of Christian Thought. Malden, MA: Blackwell:.
Roundtable, C. (2002). Principles for Business.
White, J. (1978). Honesty, morality & conscience. Colorado Springs, CO: Nav Press:.
