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Role of ethics in an organization
Role of ethics in an organization
Ethical dilemmas in non profit organizations
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Over the last 20 years, there has been a significant increase in nonprofit and nongovernment organizations (NGOs) in the United States. With the increase in organizations, also came an increase in scandals and in the 1990’s multiple nonprofit and nongovernment organizations lost the public’s trust due to misuse of funds, lavish spending, and improper advances to protected populations. These charity scandals not only hurt direct organization’s reputation, but also led to the mistrust of nonprofit and nongovernmental organizations as a whole (Sidel, 2005). To combat these reputations, NGOs and nonprofit organizations began to self-regulate through employing morally obligated and altruistic employees, accountability practices, and lastly through Codes of ethics can be a form of self-regulation and accountability for NGOs and nonprofits. Even if codes are not implemented, it is suggested organizations create and abide by a mission statement and/or a set of goals. Codes originally developed as a means to help the public regain confidence after the scandals in the 1990’s, but have grown the most in recent years with the increase in organizations. From 2000 to 2011, the use of codes has increased from 16.6 percent to 55.8 percent. Not all codes are created equal, they vary in clarity, length, applicability, and jurisdiction. Some states with an abundance of nonprofits have state regulations and codes, for example the Minnesota Council of Nonprofits was created in 1994 and created the Principles and Practices for Nonprofit Excellence, a 20 page, detailed report encompassing fundraising, employee wages, internal hiring processes and more. On the other hand, the Massachusetts Council created a one-page code emphasizing six core values (Bromley & Orchard, 2016). Although codes of ethics encourage better practice, higher standards, and attempt to hold NGOs and nonprofit organizations accountable, they do not include incentives or consequences (Sidel, 2005). However, they do include suggestions and most importantly resources. For example, the National Council of Nonprofits, Ethical Fundraising includes resources for how to handle gifts appropriately, suggestions for transparency, how to decline conditional gifts appropriately, and more. Since one of the largest issues in NGOs and nonprofit organizations includes funding and expenditures, finances are the main focus for codes of ethics. Therefore, one of the key tools for gaining trust and accountability in NGOs and nonprofit organizations is be transparency. The National Council of Nonprofits
Worth, M. (2014). Nonprofit management: Principles and Practice. 3rd Ed. Thousand Oaks, CA: SAGE Publications, Inc.
The nonprofit sector in America is a reflection some of the foundational values that brought our nation into existence. Fundamentals, such as the idea that people can govern themselves and the belief that people should have the opportunity to make a difference by joining a like-minded group, have made America and its nonprofit sector what it is today. The American "civil society" is one that has been produced through generations of experiments with government policy, nonprofit organizations, private partnerships, and individuals who have asserted ideas and values. The future of the nonprofit sector will continue to be experimental in many ways. However, the increase of professional studies in nonprofit management and the greater expectation of its role in society is causing executives to look to more scientific methods of management.
Retrieved April 4, 2014, from http://eds.b.ebscohost.com.proxy-library.ashford.edu/eds/pdfviewer/pdfviewer? sid=3117d496-29ac-4318-82c9-1dfeeac7cc64%40sessionmgr113&vid=12&hid=109 Hundley, K. (2013, June 13). Above the law: America's worst charities. CNN. Retrieved April 5, 2014, from http://www.cnn.com/2013/06/13/us/worst-charities/ Independent Auditors Report. (2012).
Throughout Dan Pallotta’s TED Talk he argues that the discrimination against nonprofits is limiting their ability to change the world. He believes that nonprofits operate under one rule book, while for-profits operate under another. And the book for-profits are encouraged to operate under, allows them to attract the best talent, spend money to make money, take risks, pay dividends, and take their time returning profits to investors.
Every ethical organization want to have all its employees behave ethically and make right decisions whenever they represent as a part of this organization. After read this week’s readings, I found that ethical attributes are substantially influence our daily decision making, especially for professionals in nonprofit organizations. Many of ethical attributes or filters and ethical decision-making models are discussed in these readings; moreover, many of them reflect my personal opinions on ethical decision-making process.
Clara Barton founded the American Red Cross after becoming involved in the work of the International Red Cross during the Franco-Prussian War. Her heart of giving and helping others convinced her that an American chapter was needed in her country in 1881. The ARC is a humanitarian organization that is dependent on the contributions of time, blood, and money from the American public to support its multiple lifesaving services and programs. The ARC’s mission is to prevent and alleviate human suffering in the face of emergencies by mobilizing the power of volunteers and the generosity of donors. The ARC from its humble beginnings and up to recently has provided great support the American public and military during times of need. However, recently the organization has drifted from is stakeholders and gone through difficult challenges. Instead of the focus being on the disaster victims, the American public and government has been on the mismanagement of the organization. The media and general public have been critical of their slow response to disasters, their inability to wisely manage donated funds and blood, its poor planning and communications with disaster victims and other agencies during relief efforts. This paper is based on the case study of the American Red Cross and will discuss the impact of the events from the case study on ARC’s “benefits of business ethics”, discuss the role that ARC’s stakeholder orientation played in this scenario, discuss the ways in which ARC’s corporate governance failed to provide formalized responsibility to their stakeholders, and recommend steps that ARC could follow to improve their stakeholders perspective.
Most organisations begin the method of establishing organisational ethical projects by introducing codes of conducts. It helps to generate public trust and improve
Code of ethics is to be utilized by AIHMA members, agencies, consumers, and others who choose to embrace it as a frame of reference. (AHIMA, 2014)
Ethics and social responsibility are integral components in developing a strategic plan while considering stakeholder needs. As such, ethics and social responsibility should be deemed as an essential strategic concern within all organizations. Ethics and social responsibility has the capacity to make or break an organization; the success of an organization’s strategic plan is dependent upon it. This paper will explain the role of ethics and social responsibility in developing a strategic plan while considering stakeholder needs. Lastly, this paper will elaborate as to how my ethical perspective has evolved throughout the program.
Nonprofit organizations are usually assumed to carry out their interactions with donors, employees, clients and other partners in an ethical manner, primarily because not-for-profit organizations are seen as serving altruistic purposes (Ingram, n.d.). True altruism focuses on an ethical behavior that results in doing good to people without expecting anything in return. Thus, leaders in non-profits are expected to make decisions that result in the benefit of their clients, rather than themselves. Unfortunately, nonprofits have recently come under a lot of scrutiny because of historical lapses in carrying out the decision-making process in an ethical manner. Non-profit leaders are usually tempted to carry out decisions in the same way as their
Worth, Michael J. Nonprofit Management: Principles and Practice. 3rd Ed. Copyright 2014 by SAGE Publications, Inc.
... “The Nonprofit Sector: For What and for Whom?” Working Papers of the Johns Hopkins Comparative Nonprofit Sector Project, no. 37. Baltimore: The Johns Hopkins Center for Civil Society Studies, 2000
Non-profit organizations do not belong to the commercial sector or the public sector, but occupy an intermediate position. It gives them greater flexibility in their work, but requires from manager’s considerable skills and experience in their management.
“Ethics can be defined as moral principles that govern or influence a person’s behaviour and values are the context in which an organisation or society’s norms are established and justified” (buzz text book).Ethics are the guidelines helping us tell the difference between the is wrong and right. Most people are encouraged by ethics to normally do the right things. Ethics and values are based on individual beliefs and standards in society that one if from, they vary from person to person. Leadership is the authority and capability for one to lead people in an organization in order to achieve goals. They are the main role players in all the organizations and are crucial to their success. Ethics in a business means taking the precise way’
Ethics is the study of right or wrong and the morality of the choices that individuals make. That basicly means the set of morals or responsibility that a person, group, or field have. Ethics can also be classified as code of morals. In business there are ethics that portray to business. These are called business ethics, business ethics just happen to be the application of ethics, morals, into the business field. Some examples of business ethics are obeying all rules and regulations even when nobody 's looking, which is pretty self explanatory, you shouldn’t be breaking rules. Even if it is as simple as washing your hands after you use the restroom or straight up lying to your customers, they are the ones making you money so if they find out