1、Strategic Management Concepts:A Competitive Advantage Approach,Concepts and CasesSeventeenth EditionChapter 10Business Ethics,Environmental Sustainability and Corporate Social ResponsibilityCopyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedCopyright 2020,2017,2015 Pearson Education,I
2、nc.All Rights ReservedLearning Objectives10.1 Explain why good ethics is good business in strategic management.10.2 Explain why whistle-blowing,bribery,and workplace romance are strategic issues.10.3 Discuss why environmental sustainability is a key issue in strategic planning.10.4 Discuss why corpo
3、rate social responsibility(CSR)is a key issue in strategic planning.Copyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedFigure 10.1 The Comprehensive,Integrative Strategic-Management ModelSource:Fred R.David,“How Companies Define Their Mission,”Long Range Planning 22,no.1(February 1989
4、):91.See also Anik Ratnaningsih,Nadjadji Anwar,Patdono Suwignjo,and Putu Artama Wiguna,“Balance Scorecard of Davids Strategic Modeling at Industrial Business for National Construction Contractor of Indonesia,”Journal of Mathematics and Technology,no.4,(October 2010):20.Copyright 2020,2017,2015 Pears
5、on Education,Inc.All Rights ReservedBusiness Ethics Business Ethics principles of conduct within organizations that guide decision making and behaviorCopyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedSocial Responsibility,Environmental Sustainability Social Responsibility actions an
6、organization takes beyond what is legally required to protect or enhance the well-being of living things Sustainability the extent that an organizations operations and actions protect,mend,and preserve rather than harm or destroy the natural environmentCopyright 2020,2017,2015 Pearson Education,Inc.
7、All Rights ReservedTable 10.1 Seven Principles of Admirable Business Ethics1.Be trustworthy;no individual or business wants to engage in business with an organization it does not trust2.Be open-minded,continually asking for ethics-related feedback from all internal and external stakeholders.3.Honor
8、all commitments and obligations.4.Avoid misrepresenting,exaggerating,or misleading with print materials,actions,or words.5.Visibly be a responsible community citizen.6.Use your accounting practices to identify and eliminate questionable activities.7.Follow the Golden Rule:Do unto others as you would
9、 have them do unto you.Copyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedHow to Establish an Ethics CultureCode of Business Ethics To ensure that the code of ethics is read,understood,believed,and remembered,periodic ethics workshops are needed to sensitize people to workplace circum
10、stances in which ethics issues may arise.Copyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedBusiness Ethics Topics That Have Become Important Whistle-blowing Bribery Workplace romanceCopyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedWhistle-Blowing Whistle-blowing refe
11、rs to employees reporting any unethical violations they discover or see in the firmCopyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedAvoid BriberyBribery the offering,giving,receiving,or soliciting of any item of value to influence the actions of an official or other person in discha
12、rge of a public or legal duty a crime in most countries of the world,including the United StatesCopyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedWorkplace Romance Workplace romance can be detrimental to morale and productivity favoritism complaints can arise confidentiality of recor
13、ds can be breached reduced quality and quantity of work could result personal arguments can lead to work arguments whispering secrets can lead to tensions sexual harassment charges may ensue conflicts of interest could ariseCopyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedEnvironmen
14、tal Sustainability Employees,consumers,governments,and society are especially resentful of firms that harm rather than protect the natural environment.Conversely,people today are especially appreciative of firms that conduct operations in a way that mends,conserves,and preserves the natural environm
15、ent.Copyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedSustainability ReportsSustainability report:reveals how a firms operations impact the natural environment discloses to shareholders information about the firms labor practices,product sourcing,energy efficiency,environmental impac
16、t,and business ethics practicesCopyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedISO 14000/14001 Certification(1 of 2)The I S O 14000 family of standards concerns the extent to which a firm minimizes harmful effects on the environment caused by its activities and continually monitors
17、 and improves its own environmental performance.Copyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedISO 14000/14001 Certification(2 of 2)I S O 14001 is a set of standards adopted by thousands of firms worldwide to certify to their constituencies that they are conducting business in an
18、environmentally friendly manner Results in an Environmental Management System(E M S)Copyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedReasons Why Preserving the Environment Should Be a Permanent Part of Doing Business(1 of 2)Consumer demand for environmentally safe products and packa
19、ges is high.Public opinion demanding that firms conduct business in ways that preserve the natural environment is strong.Environmental advocacy groups now have more than 20 million Americans as members.Federal and state environmental regulations are changing rapidly and becoming more complex.Copyrig
20、ht 2020,2017,2015 Pearson Education,Inc.All Rights ReservedReasons Why Preserving the Environment Should Be a Permanent Part of Doing Business(2 of 2)Many lenders are examining the environmental liabilities of businesses seeking loans.Many consumers,suppliers,distributors,and investors shun doing bu
21、siness with environmentally weak firms.Liability suits and fines against firms having environmental problems are on the rise.Copyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedCorporate Social Responsibility Ralph Nader proclaims that organizations have tremendous social obligations.M
22、ilton Friedman asserts that organizations have no obligation to do any more for society than is legally required.Copyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedCorporate Social Responsibility(CSR)and Performance Research reveals a u-shaped relationship between CSR and corporate fi
23、nancial performance,whereby firms with the greatest CSR are generally also the firms with the highest financial performance;firms with the lowest CSR tend to have higher performance than those with moderate social responsibility.Important to know that no social need can be met if the firm fails.Copy
24、right 2020,2017,2015 Pearson Education,Inc.All Rights ReservedFood Suppliers and Livestock Welfare Consumers expect humane treatment of animals.Consumers are flocking to organic products.Copyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedWildlife Welfare Consumers globally are becomin
25、g increasingly intolerant of any business or nation that directly or indirectly destroys wildlife,especially endangered wildlife,such as tigers,elephants,whales,songbirds,and coral reefs.Copyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedTable 10.5 10 Companies With The Best CSR Reput
26、ation as Rated by Consumers1.The Lego Group2.Microsoft3.Google4.Walt Disney Company5.BMW Group6.Intel7.Robert Bosch8.Cisco Systems9.Rolls-Royce Aerospace10.Colgate-PalmoliveCopyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedFigure 10.2 How to Gain and Sustain Competitive AdvantagesCopyright 2020,2017,2015 Pearson Education,Inc.All Rights ReservedCopyright
