The Role of Ethics and Social Responsibility in Developing a Strategic Plan, Considering Stakeholder Needs, Research Paper Example

Historically, ethical factors have an upsurge impact in the administration of businesses. This is because most businesses are frowned upon due to lack of any form of social responsibility towards the community. This raises issues with the current key stakeholders because the businesses get low returns. Stakeholders only have one aim while conducting businesses, which is to make profit and high turnovers. Low returns due to failed social responsibilities by businesses create problems with stakeholders (Brooks & Dunn, 2010). This brings about the delicate issue of the role of ethics and social responsibility, which is in accordance with developing a strategic plan taking into account stakeholders needs.

The role of ethics in a business could be easily summarized as the significant factor, which helps enhance businesses and strategic plans. Presently, businesses have a social responsibility to practice ethical management and outstanding leadership methods. This has led to the creation of regulations to ensure that businesses are trading and acting in a social and ethical manner. This actualizes that company employees get fair treatment as well as guaranteed necessities. This should be in place when considering a strategic plan, which aims at satisfying the stakeholders’ needs. Ethics and social responsibility also guarantees that organizations produce legal and viable products to the public (Brooks & Dunn, 2010). This phenomenon creates trust among the public thus increasing the business turnovers. This turnovers influence the stakeholders’ interests in a positive direction.

Ethics in business and social responsibility provides that companies stop looking for the cheapest option in accordance with workforce. Companies nowadays have to make sure that employees get correct treatment and that their minimum wage is fair. The companies also make sure that they source their key products from well-managed and reliable sources (Werther & Chandler, 2006). This comes as a way of increasing profits within the organization to stabilize stakeholder’s opinion. Ethical and business ethics get aimed to increase profit margins and the image of the company to the public. It also sees guarantees that the public personalities are fair in order to attract many customers.

My ethical perspective has changed through the program as it has shifted from an economic perspective to a social one. Ethics no longer deal with factors inside the company, but rather outside of the company. This means that a business ought to conform to consumers’ needs in an ethical perspective. The program has helped me understand that there is a correlation between ethics within a business and the social responsibility of a business. This means that for business ethics to operate at an optimum there should be consideration of social factors surrounding the business. The other perspective that has changed is that ethics does not only affect the business, but the employees and employers as well. Ethics allows the integration of good working ideals between the two parties.

Conclusion

Peoples attitude are constantly changing, and ethics play a large role in businesses. This is because the public has the outmost say on whether the businesses are successful or not. The stakeholders in the businesses accept the values given as long as they represent a coherent front (Werther & Chandler, 2006). Stakeholders come second in businesses as the leading fronts are ethics and social responsibility of a business. However, when drawing a strategic plan, the stakeholders have a say in the issue as they play a vital part in the businesses.

References

Brooks, L. J., & Dunn, P. (2010). Business & professional ethics for directors, executives, & accountants. Mason, OH: South Western Cengage Learning.

Werther, W. B., & Chandler, D. (2006). Strategic corporate social responsibility: Stakeholders

in a global environment. Thousand Oaks [u.a.: Sage.