The ethic case on TechFite Company

According to Ferrell and Fraedrich (2015)

A company’s ethics determine whether or not its operations are successful. An organizational structure with a set of goals and standards it seeks to achieve has ethics as a fundamental component of its operations and methods of operation. Numerous operations occur simultaneously in the business world, but they all must adhere to the required operating procedures and the goals that the organization has established. The authority to make decisions that are in the best interests of each person in the organization comes with the job of human resource manager, company as well as the responsibilities of ensuring that the operations of the organization are run smoothly by every employee involved in the company. Ethical issues often arise in the operations of a business and if no appropriately handled affect both the employees and the business activities being done, therefore compromising the goals of the business (Crane & Matten, 2016). However, applying the appropriate measures to resolve ethical issues, provides the firm with a satisfied workforce that is goal-oriented and performs their tasks that are aligned to realizing the objectives of the business. Ethics needs to be upheld in a business for the purpose of protecting its employees and the organization from malpractice, as well as benefit the society in which the company has its operations.

In the case of TechFite

The company needs to employ the use of corporate policies to solve some of the ethical problems that it faces. The company faces a challenge concerning the limited budget allocated to provide full-time employee benefits and therefore has resolved to limit the number of work hours for its employees so as to have most of them working as part-time staff. However, the company pays excessive bonuses to its top executives, which if moderated, could free up some funds to be able to provide employees with full-time benefits, therefore, making it possible for the company to have more full-time employees. Additionally, the company has failed to deliver on some of its promises to sponsor the community events, support youth development programs and investing in infrastructure to aid in the rebuilding of Dellberg City by utilizing environment responsible techniques. Certainly, some adjustments need to be made for TechFite to be able to retain its strong presence in the community. Muchlinski (2012) points out that the formulation of corporate policies in a business is put in place to protect the workers’ rights as well as the business interests of the company stakeholders.

Firstly, TechFite needs to put in place a Pay Policy

That revises its wages structure for all its employees and the top executives so as to have sufficient funds to have more employees on a full-time basis as well as satisfy their top officials. The purpose of the pay policy is to solve the problems of most employees being in part-time employment, while their top officials are receiving more than enough bonuses. This move will also ensure that the company’s culture of employee empowerment is achieved without compromising the benefits of the top managers who will also be able to receive moderate bonuses. Provided that the pay policy is utilized effectively, the company will benefit both the employees at all levels will be satisfied and will be able to meet the aims of the organization.

Secondly, Techfite needs to have a Grievance and Complaint Policy

That addresses the issues and problems that the company faces in its activities. Julich and Cox (2013) argue that in a business operation, there tends to be conflicts and complaints that arise from time to time and finding an amicable solution to these challenges will provide the organization with the capacity to satisfy and reassure its employees. A grievance and complaints policy will look into the complaints raised by employees of minimal wages and benefits that they receive. It will also look into the issues of part-time employments that is an area of concern due to the company policies set that does not allow the employees to meet the 40 hours necessary to receive full-time benefits. This policy will also encourage employee empowerment culture that TechFite has been known for, that makes it a great working place for any employee.

Thirdly, TechFite needs a Community Policy

That puts the company in direct contact with the community so as to provide beneficial services and fulfill the promises the company made to the community. The purpose of the policy is to make sure at all times that the company sticks to its culture of being actively involved in the community’s undertakings. The company operations in Dellberg, not only need to provide the employees in the City with employment opportunities and empowering the individuals that work for it, but also need to benefit the community by being involved in corporate social responsibilities (CSR). Brammer, Jackson & Matten (2012) define CSR as the activities undertaken by an organization to take assess and take responsibility for the social well-being and the effects to the environment of the community that they have based their operations. The corporate culture of TechFite is under threat as the company has not fulfilled its promises to sponsor community events, support local youth development programs and invest in infrastructure to assist Dellberg City to utilize environment-friendly techniques.

TechFite needs to fulfill its promises to the city of Dellberg

By engaging directly with the relevant stakeholders in Dellberg who will be able to assist in giving directions and the proper channels that the company needs to take to meet its CSR obligations. For instance, TechFite needs to engage with Youth groups and ministries to support the local youth development programs, which intend to provide beneficial leadership knowledge and skills to the youth who are considered to be the future generation leaders of the community. Furthermore, TechFite should also have a close working relationship with environmental groups to ensure that they work together towards realizing the rebuilding of the city by utilizing environmental responsible practices that do not harm the ecosystem. These courses of action do not break any laws and will only prove to provide benefits to the society and protect the environment of Dellberg City.

In conclusion

Ethics in a business needs to be adhered to for purposes of protecting its employees and the organization from malpractice, as well as benefit the society it operates in. The need to address the ethical issues that face TechFite is to ensure that the complaints of the employees are taken into account and addressed, and to benefit the city of Dellberg as they continue with their operations. The company also stands to benefit as a favorable firm to work for with a good reputation and strong culture that benefits both the employees and the society. TechFite will be able to gain acceptance in the various locations that the company branches out to since by addressing the ethical concerns that face the organization, they will be able to demonstrate their employee appreciation and the benefits they have to the community.

References

Brammer, S., Jackson, G., & Matten, D. (2012). Corporate social responsibility and institutional theory: New perspectives on private governance. Socio-economic review, 10(1), 3-28.

Crane, A., & Matten, D. (2016). Business ethics: Managing corporate citizenship and sustainability in the age of globalization. Oxford University Press.

Ferrell, O. C., & Fraedrich, J. (2015). Business ethics: Ethical decision making & cases. Nelson Education.

Jülich, S., & Cox, N. (2013). Good Workplaces: Alternative Dispute Resolution and Restorative Justice.

Muchlinski, P. (2012). Implementing the new UN corporate human rights framework: Implications for corporate law, governance, and regulation. Business Ethics Quarterly, 22(01), 145-177.