The importance of values in business today has never been scrutinised more; nor has there ever been

more need of having good business ethics in business today. With the emergence of the world wide web it is now remarkably easy for anyone and everyone to find out who or which business does not deal fairly with their clients. By the same token, it is alarmingly easy to gain a bad reputation from an unhappy customer whether it is deserved or not.

Reputation and good word of mouth advertising is essential to business survival in today's wretched economic climate and no business can afford to ignore an unhappy customer. Unhappy customers have the ability to besmirch your otherwise good reputation in a matter of hours and unfortunately, many people operate on the principle "that where there's smoke, there's fire" and don't bother to check out the source.

The importance of showing your good business and community ethics on a day-to day basis will lessen the chances of someone destroying your reputation by bad mouthing your business but if you are the recipient of an impossible to please customer, be prepared for your business to take a bit of a hammering. The only way to overcome this bad mouthing is to once again and consistently prove to your customers and community that there is no truth in what that customer is spreading around.

Other business in the town or area, will most likely know this particular person anyway and many will no doubt have had dealings with him/her before, so will know that there is no truth in the accusations. Even so, it will most likely not be a pleasant experience for you, your business or your employees.

It is at these times when your business ethics will be under closer-than-normal scrutiny; but if you have always shown fairness and generosity, conscientiously going about your business as you have always done, then you will overcome this unpleasantness simply by proving the bad mouthing wrong. Having good business values consistently has never been more important than it is today.

Ten Good Business Values:

1. 2. 3. 4. 5. 6. 7. 8. 9.

means dealing with customers fairly means never over-charging customers in order to make unfair profits means not lying to a customer. Your word is your bond. means treating any and all employees fairly means paying creditors on time means watching the accounts every day/week to make sure your business is making money on jobs and not leaking money means when you say you will do something that you actually do what you say. means being part of your local community means extending credit to businesses or people who you deem to be credit worthy

10. Good business values means doing for others as you would like them to do for you.

Truth A business should be transparent. Everyone involved from customers to employees and of course those with any sort of involvement in the company should know what the goals of the business are. Also customers should have a good idea who they are dealing with.

I respect businesses that come across as honest and transparent, those that work hard to gain my long term trust. Commitment Whatever the business model, a company should commit to being genuine. There are few companies that present their product as something of genuine value. It's rare to see a commercial company that will transcend the 'next best thing ever' hype. I admire those who take the time to really get to know their customers. Acting on feedback, aligning the company goals with the customers' needs and working hard to ensure being a customer is a pleasant experience are all important factors for a business. Communication All companies should actively communicate with their customers. It's not really reasonable to expect a large company to communicate on an individual basis but an opt in customer newsletter is easy to set up and in the case of a large company, is probably a great investment for the time it takes. These newsletters should be more than just a bunch of adverts and should contain free information that will benefit the readers. I know of several stores that have newsletters, magazines or leaflets that have recipes, advice and honest reviews. Also to some extent, I prefer companies that are actively involved in improving or caring for the environment. Those companies that conciously work toward being 'green' and 'eco friendly' will generally stand out for me.

07 spiritual values are like eternal truths to succeed in new information age and to get maximum out of possibilities in The Flat World. Values are the most important for success in any field as values define the attitude which then shapes our attitude. These values are based on 3E model i.e. economy, environment & ethics. First value is Synergy. Networked society, interdependence, greater demand for cooperation, fierce local as well as global competition, flat world & smart and informed consumer or end user are some of the forces demanding synergy. Synergy is profit for self and benefit for others. It creates positive energy and trust thus helping long term relations among stake holders.Nygergy is the opposite of synergy. Second value is Harmony. Today we see chaos in every field, increasing imbalance & disorder, crass selfishness and no concern for others in almost all walks of life. Hormony is created when one has the courage to speak for self with equal concern for others. Its like Win-Win. Third value is Co-optation. Co-optation is opposite of competition. Ad wars, price wars, brand killing are some of the examples of extreme form of competition prevalent in business resulting in wastage of precious resources and squeezing bottom lines. Moreover today the customer wants total solution and single point of contact. So the need of the hour is co-optation among complementing partners. Co-optation is synergy generator. Fourth value is Integrity. In fact it is the most important value for success in any sphere of life. Forces demanding integrity are increasing gap between words & deeds (What we say & what we do), too much emphasis on skill development leaving aside the importance of integrity of character and Its only about profit mentality. Integrity is about keeping promises at any cost, matching performance with expectations. Integrity results in higher profits in long run. Fifth value is Trust. Lack of credibility, stress, lack of communication, suspicion, arrogance, lack of listening and unpredictability are some of the forces demanding trust. No partnership can prosper without trust. We have to create comfort level so as to develop open communication with each other. It will help us create an impression in others mind that we are there to benefit them. Being good to others also helps develop trust with them. Bejamin Franklin was right when he said When you are good to others, you are best to yourself. Commitment is the sixth value. Forces demanding commitment are uncertainity in all relationships, amzingly fast pace of chang e and I will try but i cant commit attitude. Breaking promise is not a bg deal today. Instead of this we need No matter what, you can count on me attitude. Commitment is a sign of maturity which means not quitting till its done. Individuals with strong commitment build strong communities. Last but not the least value for success is Humor or Fun. All work and no play can spoil any success in long run. Moreover good sense of humor is highly correlated with genius and being humorous makes one look smarter. Someone would probably remember the joke you cracked than proposal you discussed in meeting. Dont we all love funny or happy endings. So lets end this with some funny corporate fundas. My goal is to lower the quality of my work until its consistent with my salary

Everyone in the company should start using small fonts. It will help us saving precious disk space All employees must use the products your company sells. This is a kind of punishment for poor performance. If revenues impro ve from next quarter, they will be allowed to use competitors product Any employee having a personal thought while sitting on companys chair would be executed by security If you are the first person on your team to finish your work, you will be rewarded with: a) A huge bonus b) Recognition as a rising star c) More work No rewards for right guess!!!!! Spirituality: Spirituality Spirituality involves a belief in a relationship with some higher power , divine being or infinite source of energy. Derived from Latin word SPIRITUS which refers tobreath or wind. Spiritual Needs: Spiritual Needs LOVE HOPE TRUST FORGIVENESS BEING RESPECTED &VALUED DIGNITY FULLNESS OF LIFE VALUES CREATIVITY BELONGING TO A COMMUNITY CONNECTING WITH HIGHER POWER Characteristics of spiritual wellbeing : Characteristics of spiritual wellbeing Seeking to surpass their ego (i.e. their own self-interests) Awareness and acceptance of their interconnectedness with others, creation and their Ultimate Concern Understanding the higher significance of their actions Believing in something beyond the material universe which ultimately gives value to all else Sense of inner peace Contd.: Contd. Compassion for others Gratitude Appreciation for unity and diversity Humor Wisdom Generosity Capacity for uncondition al love Role of Management in Spirituality : Role of Management in Spirituality Having an organizational vision/mission that helps individuals make a difference in the world they could not otherwise make Leading and managing by using values that drive fear and abuse out of the workplace and engage the hearts and minds of people Allowing for decision-making responsibility through self-managed, empowered teams Contd: Contd Trusting people and letting them be who they are to use and develop their gifts and skills Offering collective forms of reward and recognition Providing a way for employees to fulfill their family and other social obligations Spiritual Distress: Spiritual Distress Spiritual distress is a disruption in ones beliefs or value system. It affects a persons entire being. I t shakes the very belief of ones life Signs and Symptoms of Spiritual Distress : Questions the meaning of life Afraid to fall asleep at night or other fears Anger at God/higher power Questions own belief system Feels a sense of emptiness; loss of direction Talk about feelings of abandonment Factors leading to spiritual distress : Factors leading to spiritual distress Physiological problems Loss of a body part or function. Situational factors Death/ illness of a significant person. Inability to practice ones spiritual rituals Feeling of embarrassment when practicing them Treatment related factors Abortion Surgery Dietary restrictions Isolation Secularism: Secularism The fundamental principle of Secularism is that in his whole conduct, man should be guided exclusively by considerations derived from the present life itself. Anything that is above or beyond the present life should be entirely overlooked. Whether God exists or not, whether the soul is immortal or not, are questions which at best cannot be answered, so they should be ignored. features of Secularism: features of Secularism Primary- emphasis on the material and cultural improvement of Human beings. Respect for and search for all truth which can be tested in reality to observe whether it leads to human betterment An independent rational morality, which does not base itself on faith in divine commandments Concern for current age or world and its improvement Arguments against secularism:

Arguments against secularism Opponents argue that an organisation with secular work ethics creates more problems than a religious one Ill effects of Secular Management Labour management conflict is out of control Workers are demoralized. Nature is exploited ruthlessly. Human welfare is neglected ILL effects of Secular Management : ILL effects of Secular Management Management acts as a handmaid of profit, and the motto is more and more money at any cost. Under such management we have external growth at the cost of internal growth. Man as a human being stands nowhere. There is no hum an approach, we have erosion of ethical, spiritual, moral and human values. In a organizational structure ,we have erosion of human touch between top management and operatives

Ethical Dilemma in Today's Business Global interdependence is a compelling dimension of the global business environment, creating demands on international managers to take a positive stance on issues of ethical behavior, social responsibility, economic development in host countries, and environmental protection around the world. However, there were still several large multinational companies indulging in ethically questionable practices. If MNCs behave unethically, it soon comes to the notice of the public and the companys image is tainted. Multinationals are often worse off for having behaved unethically in the interest of short term gains, as the bad publicity generated by unethical practices leads to far greater losses in the long run.

In the challenge of modern society, manager or worker often encounters a situation than challenges ones ethical beliefs and standards. Managing across border increasingly includes difficult ethical dilemmas. It is less clear where to draw the line between ethical behavior and the corporations other concerns, or between the conflicting expectations of ethical behavior among different countries. The paper aims to (1) discuss current ethical dilemmas in global environmental ethics, (2) examine how multinational would address conflicting norms and expectations by illustrating one case study of ethical dilemma and its resolution.

Nestls Corporate Crimes

1.0 Nestls ethical dilemmas 1.1. Unethical marketing practices

Infant formula In 1977, Nestle got embroiled in a controversy, when it was criticized for using unethical marketing practices endangering consumer health to promote its infant formula in developing nation. A number of aid agencies called for the boycott of Nestle products and this protest continued right into the 1980s, when Nestle agreed to adopt the infant formula

marketing code laid down by the World Health Organization and UNICEF. Although Nestle had a charter on infant formula, the company is usually violated the principles laid down in it (Refer to reference3).

Genetically Modified Foods Nestle was criticized for using genetically modified (GM)[1] ingredients in its food products, and was accused of dumping products rejected in Europe in developing Asian countries where the laws on GM products were either absent or less stringent. For Kant, the companys decision makers would have to be willing to advocate marketing the product even if they were themselves in the position of uniformed consumers. Therefore, providing unsafe products standard and ill-informed consumers by Nestle is absolutely wrong.

1.2.

Overcharged prices

Nestle launched bottled water, called Pure Life in some Asian countries like Pakistan andIndia (in 1998 and 2001 respectively). Nestle introduced bottled water, which provided safe clean water but priced it so high that it was unaffordable for the lower income groups. It turned water into a luxury by pricing it around $ 0.4 (in Pakistan) for a one liter bottle.

According to utilitarianism, ethical action is evaluated by looking at its consequences, weighing the good effects against the bad effects on all the people affect by it (Shaw & Barry, 2004). Most developing countries laced basic drinking water facilities. A very high water price was charged by Nestle limiting a number of people to buy it. Nestls action produces the worse for the greatest number of South Asian because people could not afford for water which is basic human needs and is sporadic and contaminated in south Asiacountries.

1.3.

Unfair labor practices

Nestle was one of the biggest purchasers of cocoa from Ivory Coast, a country in West Africa. UNICEF studies and International Labor Organization (2002) revealed that the workers on these plantation lived and worked in poor conditions. They were paid minimal wages and exploited by the land-owners. Most of the workers had been trafficked by bought and sold,

making them practically slave labor. Nestle purchased cocoa from these farms despite its awareness of the conditions of the laborers, thus making it a party to their exploitation.

Child labor was also employed on the plantation. UNICEF and The International Institute of Tropical Agriculture (IITA) studies (2002) revealed that over 200,000 children were shipped to Ivory Coast and other cocoa producing countries in Western Africa from neighboring countries like Mali and Burkina Faso, to work on the plantations, especially during the harvesting of cocoa or coffee beans.

Another unfair labor practice was occurred in Thailand. When a group of 13 workers, wording in a sub-contracting facility of Nestle in Thailand, organized themselves to form a union, Nestle immediately cut the number of orders to that company and asked the company to put the unionized workers on indefinite leave with half pay. The workers were force to quit because of their lowered pay (Manager 2001). In doing so, Nestle had clearly denied these workers their right to organize themselves to better their interests.

1.2. Applying De Georges principles

International business ethics refers to the conduct of MNCs in their relationships to all individuals and entities with whom they come into contact (Daft, 2002). Ethical behavior is judged and based largely on the cultural value system and the generally accepted ways of doing business in each country or society. MNC Manager must decide whether to base their ethical standards on those of the host country or those of the home country and whether these different standards can be reconciled (Donalson, 1996).

1.2.1.

Do no harm

Thompson & Stickerland, (2003, p. 65) asserts that a company has ethical duties to owners, employees, customers, suppliers, the communities where it operates, and the public at large. The norm of doing no harm requires Nestls management to look beyond its own interests (i.e., cheap cocoa, and high market-share). Unethical marketing of infant formula and GM foods in developing countries are example of doing harm knowingly and willingly and of benefiting from the lack of legal restraints to the detriment of the eventual consumers. If business follow Kants rule, it will provide a quality and safe product to its

entire market. Nestle decide to sell unsafe (GM) foods even it knows that the product is unsafe. In addition, Nestls marketing strategy in developing countries was to distribute free samples to nursing mothers, thus getting the baby used to the formula very early in order to get a hold on its captive market. Unethically, Nestl promoted the use of infant milk formula as a substitute for mothers milk. This unethical manner causes widespread infant malnutrition and susceptibility to infection, which could even lead to infant death. Following this norm, Nestle should preserve the safety and health of consumers by disclosure of appropriate information, proper labeling and accurate advertising.

Workers on cocoa production from Ivory cost were paid below minimal wages and were practiced as slave labor. Despite its awareness of the conditions of the labors, Nestle continued purchased of cocoa from these suppliers. The company must pressurize its suppliers to change because it is in a position of major buyer. Regarding to Nestls inThailand, the company should respect the right of employees to organize for the purpose of collective bargaining. Nestle had better prohibit retaliation to their employees, though disciplinary action, or an anti-harassment policy. In addition to Anti- harassment, companies need to develop policies and procedures to prevent retaliation against individual who file complaints of harassment or discrimination or who participate in their investigation (Zimmerman, 2002).

1.2.2.

Do more good

In Ivory Coast, Children worked in hazardous conditions using machetes and spraying pesticides and insecticides without the necessary protective equipments. Such exploitation involves in significant Nestls profit since the labors received only a very small proportion of the price paid for the Nestle product by the final consumer. According to the norm of doing more good than harm to host country, Nestle must stop buying cocoa from South Africa, which is under apartheid and uses child labor in hazardous working condition. For a utilitarian, however, these are considerations that can be balanced against other considerations, such as the benefit to others. On the other side of the balance are factors like corporate reputation (Orts, 1995). These factors can make corporate altruism worthwhile in the long run, even at the short-run expense of the stockholders. Nestle should demonstrate its ethical commitment through philanthropic contribution and use of its expertise and resources on numerous social problem in host countries.

Importantly, Nestle should integrate social and ethical issue in strategic process (see figure4). Along with an investment appraisal, such planning should include an environmental impact assessment. According to Whetton & Cameron (2005) leadership is the key success

for organizational change as well as the key to aligning organizational systems and follower behaviors around a new organizational vision. Ethical leadership practices are necessary prerequisite for organizational effectiveness (Ausguien, 2001). Therefore, Nestle top management must train to be ethical leadership (see Recommendation action in appendix3).

Figure4: Integrating social and ethical issues in the strategic management process Social & Ethical Issues
Environmental Analysis Establishing Organizational Direction Strategic Implementation Strategic Formulation Strategic Control Source: Adapted from Thompson & Stickerland (2003, p.7)

To upgrade companys ethics, Nestle must impose codes of conduct that treating other person with respect and should provide leaderships ethical training as leaderships are key person to make a strategic-decision. Examples of codes of conduct include do not use child or forced labor, provide a safe working environment, and respect worker rights to unionize (Refer to figure2). Corporate moral excellence can be alternative to develop Nestls ethical culture. For a corporate to be morally excellent, it must develop and act out of a moral corporate culture (Hoffman, 1994). In a situation with intolerance arise, manager should be guided by precise statements that spell out the behavior and operating practices that Nestls demand. Nestle must be careful when placing a foreign manager in a country whose values are incongruent with his own because this could lead to conflict with local managers, governmental bodies, customers and suppliers.

1.2.3.

Respect the human rights of their employees

Doing good business and being a good employer is pivotal and important guidelines in doing todays multinationals. In fact, ethical business must respect for human dignity, and protect the fundamental rights of people. According to Aristotelian, equal should be treated equally and unequal unequally (Hirschman, 2001). This infers that individuals should be treated the

same, unless they differ in ways that are relevant to the situation in which they are involved. If labors work the same jobs, they should be paid the same wage. If Nestle pays its labors less than other companies, then Nestle has an injustice in remuneration system. Violating human rights is immoral practices due to Kants principle. This indicates that Nestle exploited and treated others as means rather than as ends, as thing rather than as person. Not only does Nestle (exploiter) fail to do its duty to others, but also fails to do this duty to itself; Nestle make itself into an object.

1.2.4.

Respect local regulations

MNCs are subject to the laws, regulations, and jurisdiction of the countries in which they operate (OECD, 2004). Nestle must not resist against law that protect the countrys workers or consumers, even if such laws make operating in these countries less profitable. It is evidence that Nestle did not respect for domestic rules and regulation. Nestle broke Thai law bys paying workers less than minimum wage and cut them off. For consumer safety, Nestle did not respect the laws and regulations of the countries in which they operate with regard to consumer protection. In China, there is a regulation of GM food, which required that all products which were contained GM ingredients, be labeled explicitly. Despite consist of GM ingredients, Nestle products were not labeled. Indeed, it could not unilaterally continue with its double standard practice and ignore the concerns and demands of the general public in Asia.

A popular explanation of the term CSR is the continuing commitment by businesses to behave ethically and contribute to economic development, while improving the quality of life of the workforce and their families as well as of the local community and society at large. Over the last years an increasing number of companies worldwide started promoting their business throughCorporate Social Responsibility strategies because the customers, the public and the investors expect them to act sustainable as well as responsible. In some cases,CSR is a result of a variety of social, environmental and economic pressures while some other cases many large corporations, it is primarily a strategy to divert attention away from the negative social and environmental impacts of their lives. It enables the company to leverage its products, employee strength, networks and profits and up to some extent to create a sustainable change for marginalized communities. Despite certain criticisms on the CSR activities, more and more companies in the world are inclined towards corporate social responsibility. The CSR Executives have the task of reconciling the various programs, quantifying their benefits, or at least sketching a logical connection to the business, and securing the support of business line counterparts. CSR can not only refer to the compliance of human right standards, labor and social security arrangements, but also to the fight against climate change, sustainable management of natural resources and consumer protection. The various practices followed by the corporate in different parts of the world differ significantly. In the Developed nations, the basic needs of the population do not need so much support as in the under-developed nations. The demographies, literacy rate, poverty ratio and GDP of the country have significant role in determining the directions ofCSR initiatives of an organization. In the Asian

context, CSR mostly involves activities like adopting villages for holistic development, in which they provide medical and sanitation facilities, build school and houses, and helping villages become self-reliant by teaching them vocational and business skills. This Conference is designed to understand and deal with the unprecedented impacts of CSR on the working population, society and environment and therefore to elaborate the various frameworks for it with a view towards developing its practice in an evolutionary way. A popular explanation of the term CSR is the continuing commitment by businesses to behave ethically and contribute to economic development, while improving the quality of life of the workforce and their families as well as of the local community and society at large. Over the last years an increasing number of companies worldwide started promoting their business throughCorporate Social Responsibility strategies because the customers, the public and the investors expect them to act sustainable as well as responsible. In some cases,CSR is a result of a variety of social, environmental and economic pressures while some other cases many large corporations, it is primarily a strategy to divert attention away from the negative social and environmental impacts of their lives. It enables the company to leverage its products, employee strength, networks and profits and up to some extent to create a sustainable change for marginalized communities. Despite certain criticisms on the CSR activities, more and more companies in the world are inclined towards corporate social responsibility. The CSR Executives have the task of reconciling the various programs, quantifying their benefits, or at least sketching a logical connection to the business, and securing the support of business line counterparts. CSR can not only refer to the compliance of human right standards, labor and social security arrangements, but also to the fight against climate change, sustainable management of natural resources and consumer protection. The various practices followed by the corporate in different parts of the world differ significantly. In the Developed nations, the basic needs of the population do not need so much support as in the under-developed nations. The demographies, literacy rate, poverty ratio and GDP of the country have significant role in determining the directions ofCSR initiatives of an organization. In the Asian context, CSR mostly involves activities like adopting villages for holistic development, in which they provide medical and sanitation facilities, build school and houses, and helping villages become self-reliant by teaching them vocational and business skills. This Conference is designed to understand and deal with the unprecedented impacts of CSR on the working population, society and environment and therefore to elaborate the various frameworks for it with a view towards developing its practice in an evolutionary way.

CSR and Sustainability are interrelated and many use it interchangeably as well. However, I find it useful to distinguish between CSR and Sustainability in a business context. For businesses, it is useful to think about CSR in the context of the vision/mission of the business. What are the responsibilities of the business, why does it exist, and how it will go about meeting those responsibilities and goals. It is useful to think about Sustainability is the context how the business will operate, especially with a focus on the natural resources it consumes both directly (e.g., coal) and indirectly (e.g., electricity). How will the business be operated in way that allows it to make a profit today while not compromising the ability of future generation to meet their own needs.

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