Each day, entrepreneurs face myriad decisions about ethical issues shaping the fiber of their enterprises. With each choice, business owners establish their credibility and reputations as they form partnerships, close deals, and sign contracts. Every move?such as delivering on promises and looking out for others? interests beyond personal gains?determines entrepreneurs? ability to form a ?code? and sense of unwavering honor.
Doug Guthrie, dean of the George Washington University School of Business, addresses the issue of ?Paying More Than Lip Service to Business Ethics? in a recent issue of Forbes. He is an expert in the fields of economic reform in China, leadership and corporate governance, and corporate social responsibility.
?Touting the benefits of corporate responsibility and principled leadership is de rigueur in U.S. business these days, especially to rebut and placate the media or government regulators whenever the latest corporate ethical lapse hits the headlines,? writes Dr. Guthrie, professor of international business and professor of management at the George Washington University School of Business.
?Paying lip service to corporate responsibility is fashionable, of course, because it seems there are so many lapses, both large and small. Assessed individually they are frequently tales of greed gone bad; assessed globally, they reveal a pattern of abuse that undermines the social compact corporations have with their stockholders, consumers and society.?
The article also points to ethical corporate leaders who focus on social responsibility such as Ian M. Cook, chairman, president, and chief executive officer of Colgate-Palmolive. Dr. Guthrie stresses that business schools play a critical role in instilling this quality in entrepreneurs.
?It has not always been this way in U.S. business schools. For the last 40 years our mission has been teaching students how to serve the bottom line first and foremost. Sadly, there were times we taught our students that the end result was more important than the means of how we got there.?
What ethical dilemmas and choices have you faced?and made?while establishing and running your business? What do you hope other entrepreneurs will learn as a result of these experiences?
Source: http://bigmouthlocal.com/blog/business-ethics-and-principled-leadership.html
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