Daily Information 9/24 Warm Up: Grab a handout from the center table. Objectives: Describe the nature of business. Identify a business you would like to start Warm Up: Grab a handout from the center table. Answer the questions in your warm up book. Agenda: Warm up Continue the “Pick a business” activity Intro. to HR P.P. Vocab. Benefit Package Bottom Line

Human Resources Imagine you have started your own business. What process will you follow with regard to hiring new employees? Once you have hired your employees, how will you retain them?

Daily Information 9/24 Warm Up: Objectives: Describe the nature of business. Identify a business you would like to start Warm Up: Grab your paper from last class off the center table. Agenda: Warm up Business activity Intro. to HR P.P. Vocab. Benefit Package Google Life Benefit Article Bottom Line

Chapter 2 Vocabulary Baby Boom Baby Bust Frost Belt Sun Belt Rust Belt Labor Force Labor Participation Rate Glass Ceiling Sticky Floor Syndrome Comparable Worth

Daily Information 9/25 Warm Up: What are your plans this afternoon? Objectives: Describe the nature of business. Identify a business you would like to start Warm Up: What are your plans this afternoon? Agenda: Warm up Intro. to HR P.P. Benefit Package Google Life Benefit Article Bottom Line

Daily Information 9/26 Warm Up: Objectives: Describe the nature of business. Identify a business you would like to start Warm Up: What is one thing you learned from watching Shark Tank? Agenda: Warm up Finish Shark Tank video Vocab. Intro. to HR P.P. Benefit Package Google Life Benefit Article Bottom Line

Chapter 2 Social and Ethical Environment of Business

What is Human Resources? The function within an organization that focuses on recruitment and management for the people who work in the organization. Advocate for both the company and the people who work in the company.

Human Resource Issues Compensation Hiring Performance Management Safety and Wellness Benefits Employee Motivation Employee Training

Focus on Hiring Employ candidates Retain candidates Create employee oriented workplaces To do this, you must have a good understanding of the labor force and its background.

Labor Force People 16 years and older that are able and available to work (not all looking for work) Labor participation rate: willing and able to work Equal employment: outlaw discrimination (race, gender, national origin, color, religion, age, and disability) Comparable worth: equal pay for similar job requirements (men and women)

Employment Practices

Population Growing population determined by birth rate, death rate (people are living longer), level of immigration Changing population 1983-2001 – Generation Y 1965-1982 - Generation X 1945-1965 - Baby boom Moving population The Belts: frost, sun, and rust

Population of the United States

Daily Information 9/30 Warm Up: Objectives: Describe the nature of business. Identify a business you would like to start Warm Up: What issues fall under the umbrella of Human Resources? Agenda: Warm up Benefit Package Google Life Benefit Article Bottom Line

Benefit Package Review the benefit package in your base group. **List the types of benefits that are included in this package **What benefits are not included?

Benefit Package What will your business offer in the way of benefits to your potential employees? Be specific! How will these benefits motivate potential employees to work for your business? **Remember, you want to keep your employee turnover rate low.

The Google Life List your top 5 benefit choices

Benefit Packages for Small Business Read: The Best Benefits Package For Small Businesses

Bottom Line What issues fall under the umbrella of Human Resources?

Daily Information 9/24 Objectives: 1. Describe the nature of Human Resources 2. Identify a benefit package and create one for your business. Warm Up: What is Human Resources? If your business had a Human Resources department, what would this department contribute to the business? Agenda: Warm Up Human Resources P.P. Vocab. Review benefit package Bottom Line

Daily Information Objectives: Discuss how the values of Americans have changed. Explain how businesses have adapted. Warm Up: Personal values have a direct impact on the type of job you will have and how you will manage a business. List the values you find important. List the jobs you think will match these and why. Agenda: Warm Up Continue benefit package activity Changing values P.P. Group review Bottom Line

Benefit Package What will your business offer in the way of benefits to your potential employees? Be specific! How will these benefits motivate potential employees to work for your business? **Remember, you want to keep your employee turnover rate low.

Daily Information 10/1 Warm Up: No warm up today!! Objectives: Identify the ways in which values have changed. Warm Up: No warm up today!! Agenda: Warm up Benefit Article Changing Values Bottom Line

Daily Information 10/2 Warm Up: Objectives: Identify the ways in which values of Americans have changed. Describe ethics and social responsibility in the workplace. Warm Up: What did you think of the activity from yesterday? Did it help you have a better understanding of the article? Agenda: Warm up Changing Values PP Ethics Video Ethics Intro. Bottom Line

Chapter 2 in Perspective Human Resources Hiring (Interview Process) Compensation Package (Salary, Benefits, Perks) Motivation (Equal Employment, Comparable Worth) Labor Force (Generations, Moving Population, Participation Rate)

Changing Values Transformation of the family Children living at home ( because of the economy) Divorce rate Birth rate Both parents working How have businesses responded to the needs of the fast-paced family life? Time-saving products and increased services

Workplace Dynamic Today more men and women work side-by-side then they have in the past This has led to increases in: incidents of sexual harassment dining out safety in the workplace

Increased Competition Strive to produce more for less demands on employees = stress Quality of home life suffers Job insecurity = work longer hours lawsuits This has caused the post-baby-boom generation to feel less loyal to employers (generation X and Y)

Social Issues Problems at home are brought to work How can this affect employee performance? Trouble focusing on the task at hand Come in late Call out of work often Disorganized Become argumentative

Employer Response Redesigning jobs Improving health and safety varied, challenging, rotate tasks, empowerment Improving health and safety wellness, fitness, and incentive programs; counseling services Family-friendly practices Family Medical Leave Act (FMLA) Provide day-care facilities and/or flexible hours Work from home or telecommunicate

Name That Term Code of Ethics Business Ethics Social Responsibility Collection of principles and rules that define right and wrong conduct for an organization Business Ethics Formal, published collection of values and rules that reflect a firm’s philosophy and goals Code of Ethics The duty of a business to contribute to the well-being of society Social Responsibility

Name That Term Ethics Stakeholders Any individuals or groups affected by a firm’s actions, such as owners, customers, suppliers, employees, creditors, government, and the public Stakeholders Standards of moral conduct and behavior that is valued as right or wrong Ethics

Business Ethics What is more important – a business’s responsibility to society, its employees, or to its stockholders? Who determines to what moral standard businesses should be held? Additional Resources PBS Video about Business Ethics in the 21st Century http://watch.wliw.org/program/business-ethics-21st-century/ In a new 30-minute documentary, William F. Baker leads a timely discussion about the future of American corporations and how they are redefining their approach to achieving success. 27:04 11/1/09

Video: Business Ethics in the 21st Century http://watch.wliw.org/program/business-ethics-21st-century/ In a new 30-minute documentary, William F. Baker leads a timely discussion about the future of American corporations and how they are redefining their approach to achieving success.

Daily Information 10/6 Warm Up: Objectives: Discuss the role ethics has in business Identify ethical dilemmas Analyze the pros and cons of social responsibility in business. Warm Up: Have you ever had to do something you thought might be or knew was wrong, but felt you didn’t have a choice or that it was worth the risk? Agenda: Warm up Ethics Intro. Bottom Line

Identifying Ethical Issues Fairness and honesty Businesspeople are expected to refrain from knowingly deceiving, misrepresenting, or intimidating others. Organizational relationships A businessperson should put the welfare of others and that of the organization above his or her own personal welfare. Conflict of interest Issues arise when a businessperson takes advantage of a situation for personal gain rather than for the employer’s interest. Communications Business communications that are false, misleading, or deceptive are both illegal and unethical.

Factors Affecting Ethical Behavior Source: Based on O. C. Ferrell and Larry Gresham, “A Contingency Framework for Understanding Ethical Decision Making in Marketing,” Journal of Marketing, Summer 1985, p. 89.

Factors Affecting Ethical Behavior Individual factors Individual knowledge of an issue Personal values Personal goals Social factors Cultural norms Coworkers Significant others Use of the Internet Opportunity Presence of opportunity Ethical codes Enforcement

Factors Affecting Ethical Behavior Individual factors Individual knowledge of an issue Personal values Personal goals Social factors Cultural norms Coworkers Significant others Use of the Internet Opportunity Presence of opportunity Ethical codes Enforcement Bernard Madoff What factors have to be at work to allow something like the Bernie Madoff “ponzi scheme” to be as successful as it was for as long as it was?

Encouraging Ethical Behavior External to a specific organization Governmental legislation and regulations Within an organization Code of ethics A written guide to acceptable and ethical behavior as defined by an organization; it outlines policies, standards, and punishments for violations Organizational environment Management direction Employee training Ethics officer Whistle-blowing Informing the press or government officials about unethical practices within one’s organization

Government Regulation Sarbanes-Oxley Act of 2002 adopted tough new provisions to deter and punish corporate and accounting fraud and corruption. Additional Resources Has Sarbanes-Oxley Failed? NY Times Room for Debate on Sarbanes-Oxley http://www.nytimes.com/roomfordebate/2012/07/24/has-sarbanes-oxley-failed 7/24/2012

Whistleblower Protection How important is whistleblower protection? To what extent should an employer be free to hire and fire whom they choose? Would you be scared to report your employer? Additional Resources News story about a whistleblower who was fired from a Florida DoT http://www.fox4now.com/multimedia/videos/?bctid=1069666351001 The Human Resources Dept said they “just happened” to find out about a DUI in the employee’s past. NY Times video http://www.youtube.com/watch?v=r9-3K3rkPRE The filmmaker Laura Poitras profiles William Binney, a 32-year veteran of the National Security Agency who helped design a top-secret program he says is broadly collecting Americans' personal data. Related Article: http://nyti.ms/STdGJz 8:28 © JOHN ROMAN IMAGES/SHUTTERSTOCK

Social Responsibility Social Responsibility – The recognition that business activities have an impact on society and the consideration of that impact in business decision making Social responsibility costs money but is also good business. How socially responsible a firm acts may affect the decisions of customers to do or continue to do business with the firm. Does a company’s social responsibility affect your decision to do business with them?

Did You Know…. Getting involved socially = advancing a businesses interests As societal values change, businesses will continue to shape and be shaped by the society in which it functions.

CLASS EXERCISE How ethical is it? The manufacturer of a leading insect spray changes the formulation of its product to eliminate problems experienced by people allergic to some of the ingredients. The manufacturer does not inform consumers. The change in the formula will make the product less effective.

CLASS EXERCISE How ethical is it? A bribe is paid to a company official in the island country of Kocomo to facilitate the movement of a product in that country. Bribes are a normal and expected business practice in Kocomo.

CLASS EXERCISE How ethical is it? A beer company engages in an advertising campaign that is targeted to undergraduate college students, many of whom are under the legal drinking age.

CLASS EXERCISE How ethical is it? A rental car company strongly advises customers to purchase insurance when renting a car. Although most personal car insurance covers the insured motorist when driving a rental car, most rental car customers are not aware of this.

CLASS EXERCISE How ethical is it? Consumer Reports publishes the results of a study on shampoos that provides strong evidence that all shampoos are basically the same. In fact, the results suggest that a mild dish-washing liquid will do the same job for a lot less money. After the study is published, a leading shampoo marketer claims that its product will remove oil, add body, condition, and replenish hair better than any competing shampoo and do it all in one step.

Daily Information 10/9 Warm Up: Objectives: Discuss the role ethics has in business Identify ethical dilemmas Analyze the pros and cons of social responsibility in business. Warm Up: What role does ethics have in business? Agenda: Warm up Whistleblower video Social Responsibility PP cont.. Bottom Line

Whistle-Blower: NY Times Video How important is whistleblower protection? To what extent should an employer be free to hire and fire whom they choose? Would you be scared to report your employer? http://www.youtube.com/watch?v=r9-3K3rkPRE The filmmaker Laura Poitras profiles William Binney, a 32-year veteran of the National Security Agency who helped design a top-secret program he says is broadly collecting Americans' personal data.

The Evolution of Social Responsibility in Business In the first quarter of the 20th century, there were very few government protections for workers or consumers.

The Evolution of Social Responsibility in Business Early 1900s: Caveat Emptor – “Buyer Beware” What you see is what you get, and if it’s not what you expected, too bad. Most people believed that competition and the marketplace would correct abuses. The government became involved only in cases of obvious abuse.

The Great Depression and Beyond Pressure mounted for the government to help with the economy and social conditions. Additional Resources PBS film about the Civilian Conservation Corps http://www.pbs.org/wgbh/americanexperience/films/ccc/

The Great Depression and Beyond As government regulation has increased, so has everyone’s awareness of the social responsibility of business. Additional Resources Economist article on The Consumer Financial Protection Bureau http://www.economist.com/blogs/schumpeter/2012/01/consumer-financial-protection-bureau

View of Social Responsibility (18th century) Economic model Society will benefit most when business is left alone to produce and market profitable products that society needs. Company’s primary responsibility is to make a profit for its shareholders. Social responsibility is the problem of government, environmental groups, and charities. Additional Resources Overview of Corporate Social Responsibility from Prof. Thomas Beschorner, University of St.Gallen http://www.youtube.com/watch?v=E0NkGtNU_9w

Views of Social Responsibility (Present Day) Socioeconomic model Business should be concerned with the impact of its decisions on society. Firms take pride in social responsibility activities It is in the best interest of firms to take the initiative in social responsibility matters. Society will demand changes if a corporation is not a responsible member of society. Provides protection against legal action from special-interest groups.

Social Responsibility PRO CON As a part of society, business can’t ignore social problems. Business has the means to tackle social problems. Addressing social problems can create a more stable environment. Socially-responsible decision making prevents government intervention. Businesses are primarily responsible to shareholders. Corporate time, money and talent should be used to create profit. Individual businesses can’t be expected to solve problems affecting society in general. Social issues are the problem of government officials elected for that purpose.

Stakeholders Expectations Businesses should be responsible and responsive to their interests. Donating money to flood victims Providing college scholarships Sponsoring an exhibit on Hindu art at a local museum

Business Response Ensure their activities do not harm the natural environment Respect the individual rights of a rapidly diversifying workforce As societal values change, each business will continue to shape and be shaped by the society in which it functions.

Ethics Assignment How will you respond to ethical questions?

Employee Privacy Employers monitor: Phone calls E-mail Internet usage Computer activities Movements in the building Do employees have a right to privacy, or does their time belong completely to their employers? 63

Bottom Line What did we talk about today??

Fortune’s Most Admired Companies in 2013 Apple Google Amazon.com Coca-Cola Starbucks IBM Southwest Berkshire Hathaway Walt Disney FedEx