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HUMAN RESOURCES: SOCIAL RESPONSIBILITY AND BUSINESS ETHICS
CHAPTER 2: HUMAN RESOURCES: SOCIAL RESPONSIBILITY AND BUSINESS ETHICS
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Changing Attitudes Toward Social Responsibility and Business Ethics
To meet society’s expectations, managers will need to be more socially responsible. Most of 500 largest U.S. corporations now have a code of ethics.
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Corporate Social Responsibility
The implied, enforced, or felt obligation of managers, acting in their official capacity, to serve or protect the interests of groups other than themselves.
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Legislating Ethics and Social Responsibility
Procurement Integrity Act of 1988 – passed after reports of military contracts for $500 toilet seats Federal Sentencing Guidelines for Organizations (FSGO) – outlined an effective ethics program
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Legislating Ethics and Social Responsibility (Continued)
Corporate and Auditing Accountability, Responsibility and Transparency Act – known as Sarbanes Oxley Act, primary focus is to redress accounting and financial reporting abuses in light of recent corporate scandals
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Stakeholder Analysis and the Social Contract
Organizational stakeholder Social contract Obligations to individuals Obligations to other organizations Obligations to government Obligations to society in general
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Social Audit Systematic assessment of a company’s activities in terms of its social impact
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Ethics Discipline of dealing with what is good and bad, or right and wrong, or with moral duty and obligation Sources of Ethical Guidance – a number of sources to determine what is right or wrong, good or bad, moral or immoral
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A MODEL OF ETHICS Sources of ethical guidance
Our beliefs about what is right or wrong Lead to Determine Our actions Type I Ethics Type II Ethics
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Human Resource Ethics The application of ethical principles to human resource relationships and activities A Code of Ethics – many companies have a code of ethics
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Professionalization Of Human Resource Management
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The Nature of a Profession
A vocation characterized by the existence of: A common body of knowledge A procedure for certifying members of a profession
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HR Professional Groups
Society for Human Resource Management – largest national professional organization for human resource management individuals American Society for Training and Development – largest specialized professional organizational in human resources
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HR Professional Groups (Continued)
WorldatWork – consists of managerial and human resources professionals responsible for establishment, execution, administration or application of compensation practices and policies Human Resource Certification Institute – goal is to recognize human resource professionals through a certification program
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