SOCIAL RESPONSIBILITY OF BY TEAM NIFTY 50

BUSINESS AND BUSINESS ETHICS

ROLE BUSINESS IN
ENVIRONMENTAL PROTECTION
Business enterprises are leading creators of wealth, employment, trade
and technology.
It is the social responsibility of every business firm to protect
environmental resources.
In most cases, a modification or change in the process of production,
redesign of equipment, substituting poor quality materials with better
ones or other innovative approaches could greatly reduce or even
eliminate pollution entirely.
Some of the specific steps which can be taken by business enterprises
for environmental protection are as stated below:
(i)A definite commitment by top management of the enterprise to create, maintain and
develop work culture for environmental protection and pollution prevention.
(ii) Ensuring that commitment to environmental protection is shared throughout the
enterprise by all divisions and employees.
(iii) Developing clear-cut policies and programmes for purchasing good quality raw
materials, employing superior technology, using scientific techniques of disposal and
treatment of wastes and developing employee skills for the purpose of pollution control.
(iv) Complying with the laws and regulations enacted by the Government for prevention
of pollution.
(v) Participation in government programmes relating to management of hazardous
substances, clearing up of polluted rivers, plantation of trees, and checking
deforestation.
(vi) Periodical assessment of pollution control programmes in terms of costs and
benefits so as to increase the progress with respect to environmental protection.
(vii) Arranging educational workshops and training materials to share technical
information and experience with suppliers, dealers and customers to get them actively
involved in pollution control programmes.
BUSINESS ETHICS
 Refers to the moral values or standards or norms which govern the activities of a
businessman.
Ethics define what is right and what is wrong. By ethic we mean the business
practices which are desirable from the point of view of Society.
The purpose of business ethics is to guide the managers and employees in
performing their job.
 Example of business ethics are charging fair price from customers, giving fair
treatment to workers, earning reasonable profits and paying taxes tithe government
honestly.

Business ethics concerns itself with the relationship between business
objectives, practices, and techniques and the good of society. Business ethics
refer to the socially determined moral principles which should govern business
activities.
ELEMENTS OF BUSINESS
ETHICS
1. Top management commitment – The CEO and higher level managers must be
committed to ethical norms of behavior. This would set an example for all
employers and encourage them to follow ethical practice.
2. Publication of code – Code of ethics is a formal written document of the
principles, values and standards that guide a firms actions. It may cover areas
like honesty, quality, safety, health care etc.
3. Establishment of compliance mechanism: A suitable mechanism should be
developed to comply with the ethical standards of the enterprise. The mechanism
should be properly communicated to all in the organization.
4. Employee involvement: It is the employees of the lower levels who implement
ethical principal so they must be involved in the process of developing ethical
code.
5. Measuring results: Although it is difficult to measure the ethical results but
it must be verified and audited that have for work is being carried according to
ethical standards.