The School of Management & Entrepreneurship Master of Business Administration

COURSE WORK Preparing Code of Ethics for New Business

BUSINESS ETHICS
Prepared by: Hardik. R. Shah (Enrollment No. - 01201124) Sem III (Block I)

Submitted to: Dr. Kamlesh Misra, Vice Chancellor and Provost, AURO UNIVERSITY, SURAT

Introduction
The name of the company is Vardhaman Corporation and is engaged in franchise business of FMCG goods. The companys belief on governance is based on ten core values of which trust is essential one. It means that other can rely on them on speaking of truthiness, to honour commitments and to treat people fairly.

1. Code of Ethics
Company developed ethics so that its employees can work ethically towards the success of the enterprise. Employees must follow companys policies including those specific to their business unit. 1. Market Food which is safe to eat. The company is engaged in food business. Nothing speaks to their corporate values than their relentless on food safety. Consumers must have confidence to use their product and to serve them to their families without getting fear of getting sick. The company is marketing and selling only those food items which are not injuries to health and is not malfunctioned. 2. Market Responsibility. Marketing is designed to persuade people and Vardhman Corporation is very successful to it. Customers willingness to buy depends on trust of ads. Vardhman corporation take good care that what is shown in ads must be legal and should provide the ingredient as stated. If its not then they will be no longer working with them. 3. Treat People Fairly. Fairness is essential element of trust. Employees must ensure that they will work fairly and with honest. Company is having strict provision that management will treat employees without any discrimination or harassment based on age, sex or any other legally protected status. 4. Respect the Free Market.

Company is in strong in favour of not violating anti-trust and competition law which restrict consumer choice. If stock is in warehouse and demand is there it should be supplied rather than keeping it for later to earn huge profit by creating artificial scarce. 5. Compete Fairly. Company emphasis on not to spy on their competitors or steal information which they are trying to keep confidential. If some external source information employees get than also they should access it fully and if found it is collected improperly than they should not use the same.

2. Basis of Code from Moral Standpoint

According to me code of ethics is necessary in organisation. It gives one chance to think of morally right or wrong before one reacts in situation. Other may be following wrong practises but what is the difference if we also tend to follow that same wrong practise.

3. Enabling Ethics at Work-Place

No set of rules will answer every question one face at work place. When the above 8 codes dont address the situation, what should one do? The answer lies in values. If following values are imbibed by employees than all will succeed together: Inspire trust. Act like owners. Keep it simple. Be open and inclusive. Tell it like it is. Lead from the head and the heart both. Discuss, decide and deliver.

Employees when themselves believe that it is their business than they will perform above expectation and that to with rules framed. Employees when given the necessary freedom to discuss without considering the position level and employee owner relationship their grevances reduces and healthy work environment is created in organisation.

Strong formation of ethics is necessary but compulsion should not restrict one-self from being independent. Employees should be made understand for what ethics are made and what is its importance and rules will be followed automatically. Even when it is violated situation should be analysed first and foremost under which act is made.