Outcomes related to ethics can be viewed in all aspects of the organization, from the perception of employees regarding fairness, to the engagement and retention and finally to the reputation and sustainability. Culture might not be the only determinant of organizational behavior, but it certainly has its influence. A company can amend and reinforce its ethical culture with symbols, stories, routines and rituals. The organizational culture explains both the ethical actions and the unethical behavior within an organization. Collection of like- minded employees strengthens the unitary culture within the organization and promotes their ethics even more. Leadership behaviors which support the ethical behaviors leads in formation of an ethically-oriented culture (LRN).
The idea that is sent by the business leaders through the organizational culture helps in determination of the business ethics at the workplace- how ethics are defined, promoted, perceived, demonstrated and lived. On the basis of foundation of clear and solid corporate values for the ethical behavior, decision making can be done, fostering fairness, trust, compliance and transparency. With increasing size of organization, leaders have to understand that people come from different perspectives, values, backgrounds and cultures.
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