Global Journal of Enterprise Information System DOI: 10.

18311/gjeis/2018/21427

Organizational Blunders – Role of HR in Promoting Ethical

Values
Kapil Bansal*
Institute of Business Management, GLA University, Mathura, Uttar Pradesh, India; kapil.bansal@gla.ac.in.

Abstract
Corporate ethics is a hotly debated issue nationally and internationally. In the race to get bigger, and richer, we have left ethical
values behind. As Human resource managers, we could help turn the tide by ensuring HR leaders play a pivotal role in promoting
corporate ethics, identifying and counteracting the challenges HR will face in enforcing the ethical values. However ‘trouble’ in
corporate ethics is just the tip of the iceberg. There are a number of parties with vested political interests ready to claim their share in
the business booty. Every now and then we read about corporate scams and crooked politicians trying to cover up for their corporate
buddies. These merchants of unethical values reap billions of rupees while the people in general and bright young corporate staff
in particular suffer. The objective of the paper is to explore the role of HR in promoting ethical value. Furthermore, the paper also
examines how HR ethical values in corporations will reduce government complicity. Our methods, assumptions and conceptual
tools will emphasize the fact that HR Professionals can make a difference by enforcing strong ethical values in Corporations. The
recommendations suggested by the researcher, if implemented, we hope will make people more aware of ethical values leading to
a win-win situation for organizations and the public at large.
Keywords: Business, Challenges, Ethics, Government

Paper Code (DOI): 21427; Originality Test Ratio: 2%; Submission Online: 05-June-2018; Manuscript Accepted: 06-Jun-2018;
Originality Check: 16-Jun-2018; Peer Reviewers Comment: 18-Jun-2018; Double Blind Reviewers Comment: 21-Jun-2018;
Author Revert: 23-Jun-2018; Camera-Ready-Copy: 25-Jun-2018; Editorial Board Excerpt: 26-Jun-2018.
Editorial Board Excerpt: At the Time of Submission (ToS) submitted paper had a 02% plagiarism which is a good indication as far
as originality report is concerned and falls under an established percentage for publication. The editorial panel is of an scrutiny that
paper had a following shadowing by the blind reviewer’s which at a in a while stages had been set right and revise by an author(kapil
bansal) in a variety of phases as and when essential to perform consequently. The reviewer’s had in an original stages comment
with minor revision with a subsequent aside which at a short span restructured by an author. The comments related to references,
abstract and body text is noticeable both subject-wise and research wise by the reviewers during evaluation and further at blind re-
view process too. All the comments had been collective at a variety of dates by the authors’ in due course of time and same had been
integrated by the author in addition. By and large all the editorial and reviewer’s comments had been incorporated in a paper at
the end and further the paper had been earmarked and strong-willed under “View Point” type as its highlights and emphasize the
Organizational Blunders and how HR impact in Promoting Ethical Values

1. Introduction compliance, diversity, stakeholder engagement and involve-

ment in different areas, safety in every area, privacy, and so
Today business organizations are synonymous with scan- on. Essentially, human resource professionals have to graft the
dals. Market rigging scandals around the globe have exposed ethics onto the organization which is most important through
the inadequacy of HR practices in corporations. The human these stand-alone programs. A different and easy approach is
resource seems to avoid the Implementation of basic ethical to unite ethics into the organization’s usual activities - its deci-
values on which the crucial decisions are based. Corporation sion-making, its performance management systems, and above
top brass design parameters under which HR experts need all its management processes3.
to set and enforce norms and standards of ethical values.
Corporations have to decide on the ethical stance it’s going to 2.  Literature Review
take - a compliance, a fair-dealing or/and a good citizen orien- The moral infringement happens when people, associations,
tation? Fundamentally, it has to enforce ethics as about acting expert and social orders neglect to manage esteems like genuine-
fair and responsible in everything it does. Many companies ness, equity and an unmistakable meaning of what is good and
are taking a piecemeal approach. They have a program - on bad6.

*Author for correspondence

4.4 VP-4 21427-mayura.indd 1 9/20/2018 9:26:02 AM

 Organizational Blunders – Role of HR in Promoting Ethical Values

As a few creators state in late productions, morals additionally around by mafia in Gaya in the year, 2003 morning, almost a year
turn out to be increasingly an inward worry of associations. Though after he had griped of defilement on the Golden Quadrilateral task
once the interests of workers were disregarded or just viewed as one to the Prime Minister’s office. Knowing the perils that encompass
of a few partners’ interests, the “moral administration of representa- genuine individuals kicking the entire degenerate framework24.
tives”36 picks up in centrality. Johns (1995:32) states that “the ideal The demonstration of passing up an individual is now and
opportunity for the moral initiative has come”. Particularly human again considered as being unfaithful to the association or organi-
asset administration (HRM) assumes a definitive part in presenting zation that he or she is joined with. The by and large winning
and actualizing morals. The work diagrams a few parts of morals in perspective of the shriek blower inside the business, with respect
HRM. It portrays moral worries that developed in late HRM faces to the administration and partners, is that this individual is a
off regarding the perspective that morals ought to be a vital issue for trickster to the association11.
HR experts. Various moral structures and their application in HRM Marshal et.al. (1979) opined that in the discerning perspec-
arrangements and practices are checked on. Here, the attention is tive of the firm, the representative’s fundamental good obligation
predominantly on obstructions and impediments to presenting is to move in the direction of the objectives of the firm and keep
moral gauges in HRM exercises31. away from any exercises that may hurt those objectives. To be
The National Business Ethics Survey (NBES) (2000) discovers exploitative, fundamentally, is to go astray from these objectives
much that is empowering for associations that are putting their to serve one’s own particular advantages in ways that, if unlawful,
endeavors into working environment morals. For instance, work- are considered a type of “office wrongdoing**”.
ers have elevated standards for morals inside their associations.
More than nine out of 10 respondents say that they “anticipate
that their associations will make the wisest decision, not exactly 3.  Research Methodology
what is beneficial.” This finding proposes that most representa-
This research paper endeavors to toss light on the applied
tives are not all that sceptical about morals at work*.
issues related with Role of HR in advancing Ethics. It is engag-
Dark colored (2003) brought up a great part of the current
ing examination where the attention is on a reality discovering
concentrate on business morals has been coordinated against
examination with sufficient elucidation. For this reason, second-
budgetary defilement, particularly a worry with bookkeeping
ary information was gathered. The secondary information was
principles. However, concern has been raised over an extremely
gathered from daily papers, magazines, books, diaries, meeting
wide scope of issues.
procedures, Government reports, and sites.
The deceptive routine with regards to HRM itself has addi-
tionally hit open consideration:
3.1  Changing Face of Ethical Values
1. Off-shoring and misusing “shabby” work markets;
Through the times we have seen the importance and role of
2. Using youngster work;
ethics in many kinds of corporations undergoing massive
3. Reneging on organization annuity assertions;
changes. Not only in the corporate have ethical values under-
4. Longer working hours;
gone a paradigm change, the change is visible in each and every
5. Increasing work push; and
field of human endeavor. Let us try and plot the ‘progress’ of
6. The utilization of questioned and questionable practices in
the corporate through its changing areas of interest (Figure 1).
contracting and terminating of workforce.
Cambridge Advanced Learner’s Dictionary characterizes
Corporate responsibility

Ethos as “the arrangement of convictions, thoughts, and so forth Society and

Global
interests
about social conduct and relationship of a man or gathering” Customer country

while Oxford Advanced Learner’s Dictionary characterizes it as Employee interests interests

Business
“the ethical thoughts and demeanours that have a place with a interests &
interests

specific gathering or society”. Indian Ethos is about what can be growth prospects

named as “national ethos”.

Satyendra Dubey (Indian Express, 2003), an eminent fellow 60s 2000
who was working for National Highway Authority of India who was Source: AT Lawrence, J Weber (2014)***
punished for basically making the best decision. He was gunned Figure 1.  Changing face of ethical values.

* National Business Ethics Survey (NBES) - “How employees view ethics in their organization”, Ethics Resource Centre, 2003.
** Marshal B. Clinard, corporate corruption: The Abuse of power (Praeger, 1990).
***Business and Society: Stakeholders, Ethics Public Policy/AT. Lawrence, J. Weber (2014).

76 Vol 10 | Issue 1 | January-March 2018 | www.informaticsjournals.com/index.php/gjeis GJEIS | Print ISSN: 0975-153X | Online ISSN: 0975-1432

4.4 VP-4 21427-mayura.indd 76 9/20/2018 9:26:03 AM

 Kapil Bansal View Point

So with corporations now ready to conquer the globe, what is 3.2  Corporate and Political Nexus
it that will make them stand apart from the hoard that is ready to
Corporation’s investment in political parties to an amount
crush them under the hoofs of competitive pricing and promo-
that could be seen as a corporate capture of the foundation.
tions. We intend to make ethics that bane which will take our
Critics spot this as a fair and ethical setback, because of the
national talent forward onto the world scene and the government
level of business control over government policies and deci-
will help us, albeit ethically.
sions which accompanies the funding. Critics do not suggest
that the company should give up, returned, or even limited.
3.1.1  Ethics in Business The protest is regarding the corporate control, which they see
But before we move forward, let us take a look at the world’s as threatening ‘government autonomy’, and as inimical to the
richest corporations, the ‘government empires’ that have been public good.
‘contributing’ a lot to our changing ethical values. One fears the Such is the case even with the highly ‘advanced’ and ‘demo-
law more than one respects it, and one respects ethics more than cratic’ societies of the world. A few examples are:
one fears it. That significantly brings out the spirit of a code of
ethics both by connotation and obligation. Mores embark on • The pharmaceutical companies of the United States,
where the laws end. Thus the doctrines of ethics are much more • The nuclear power corporations of Japan, and
venerated than the philosophy of law, and rest above and ahead • Meatpacking industries of Europe.
of their functions and scope. Punishment in the episode of dis-
regard for ethics is more self-inflicted. Unethical behavior of a The scams involving politicians of cabinet ministerial levels
single person working a particular profession injures and belit- and companies with ‘goody’ reputations have been a severe rage
tles the entire profession together with those who practice it. to public poise previously falling in the shadow of financial
Such is the case of the infamous lawmakers of our country – the inequality. The companies socially unconscious appeared to
political bodies. A few glaring examples where the government justify their irresponsible behavior with the mentality “everyone
forgot to clean up its act and the corporations made the most of is doing it”.
the lack of values are as follows. In all the cases under mentioned,
the common man paid the price: 3.3 An Analysis with Respect to Role of Ethics
in Combating Corruption in Business
1. Political nexus in stamp paper scam under scrutiny (www.
frontline.in/static/html/fl2023/stories/20031121002204700. Following areas are to be considered while making a plan for
htm), combating corruption and increased role of ethics in performing
2. Piper Alpha disaster: how 167 oil rig workers died (https:// business activities:
www.theguardian.com),
3. Karen Silkwood: Plutonium Whistleblower (time. 1. Ethical attribute; which inculcates wisdom/self-control/
com/3574931/karen-silkwood), moral values/courage/justice/social responsibilities in our
4. Space Shuttle Challenger disaster (www.history.com/topics/ activities
challenger-disaster), and • If he exhibits some or even one of them then it is highly
5. DC10 and the Famous Cargo Doors (www.airliners.net › possible that the person will tend towards ethical or ‘mor-
Technical/Operations) ally correct’ decision-making.
2. Policy aspect; by deciding the plan of action to be taken in
In all the mentioned cases, warnings with an alertness of respect of a certain situation
the hazards and risks went unheeded, and the whistleblowers 3. Study the consequences; social benefits and/or personal
suffered harsh penalties for their public-spiritedness. And the benefit
government did nothing, but tries and covers – up their abysmal 4. Evaluate the outcome on the TRUST scale:
performances and failures. T = Transparency; truly open, which an individual could feel
free in expression to all- (Employers, peers, subordinate
• 300 feared drowned in Kenyan ferry sinking (From Herald and even to family and friends)
Scotland) and that warning had gone unheeded, R = Responsibility; feel committed to the interests of all to the
• The emission of Union Carbide popularly known as Bhopal maximum as far as possible.
gas disaster, India, 3,000 killed and 2,00,000 injured but were U= Uncompromising; assuring activities towards higher
ignored by the local authority, and moral values
• Nuclear tragedy, Chernobyl enclosed similar ingredients. S     = Successful; producing results with strong values

Vol 10 | Issue 1 | January-March 2018 | www.informaticsjournals.com/index.php/gjeis GJEIS | Print ISSN: 0975-153X | Online ISSN: 0975-1432 77

4.4 VP-4 21427-mayura.indd 77 9/20/2018 9:26:03 AM

 Organizational Blunders – Role of HR in Promoting Ethical Values

T = Temperate; taking care, avoiding risks, wild decisions, 3.7  Moral Attributes
extravagancies in the form of bribes etc.
• Act ethically and beyond reproof,
• Decision making; Compare the results: ethical vs. unethical.
• Construct reliance all the way through their trustworthiness
and authenticity,
3.4 A Proposed Solution to Unethical Activities • Confess their own mistakes and meet head-on with unethical
actions in others, and
3.4.1  Resolve the Ethical Dilemma Through the
• Take strong ethical stands, even if they are unpopular.
Personal Values of Ethicists
Based on the extensive literature review, the researcher has found 3.8  Social Responsibility
that if following suggested ethical attributes are being implemented
• Feel empathic and taking the active care of their concerns, and
in any of the organizations will lead to overcoming the problem
• Exhibit compassion and value others perspective.
of organizations blunders which ultimately lead to the promotion
of business ethics and develop prosperity and lead to the achieve-
ment of organization goals (Figure 2). 3.9  Justice
• Find a sense of harmless purpose of doing something,
• Utilize the groups’ core values in building decisions and illu-
minating choices, and
Courage
• Abide by human and legal laws in pursuing any kind of a goal
or mission.
Wisdom Self-control

3.10 Wisdom
Ethical Values
• What should one do and what not to,
• Intuitive intelligence analyzing the consequences of one’s
Social Responsi- actions, and
Moral
bilities • Ability to differentiate between right and a wrong approach.
Attributes

3.11 Challenges
Justice
• The government will have a role to play. There may be more
hardships and challenges to face given the active role of gov-
ernments in the industry,
Source: Journal of Business Ethics 15: 827-838, 1996. © 1996 • Imposing a uniform code of ethics is an uphill task given the
Kluwer Academic Publishers, Printed in the Netherlands diversity of the workforce in Indian conditions,
Figure 2.  Resolve the ethical dilemma through the personal • Even if such a uniform code is enforced, the fact that it will
values of ethicists. gain compliance from the workforce is questionable,
• Enforcing ethical practices is both time and money consum-
3.5 Self-Control ing, and
• Deal with their impetuous thoughts and distressing emotions • Ethics is more than obeying the law.
as well,
• Stay cool, calm and collected, affirmative, even in difficult 3.12 Suggestions
moments, and • Corporations must have the policies to promote, if not
• Reflect visibly and stay focused under stress. require, peers to bring dilemmas to one another’s attention,
• Corporations should have set rules and policies to resolve
3.6 Courage dilemmas and conflicts of interests,
• To present with self-assurance, self-confidence; having cha- • HR professionals need to be equipped with methods, tools,
risma, and and equipment to evaluate one’s performance on ethical
• Able to formulate decisions regardless of fears and standards already communicated to employees, and
pressures. • HR professionals and initiators should set paradigms of
attaining progress with ethical attributes.

78 Vol 10 | Issue 1 | January-March 2018 | www.informaticsjournals.com/index.php/gjeis GJEIS | Print ISSN: 0975-153X | Online ISSN: 0975-1432

4.4 VP-4 21427-mayura.indd 78 9/20/2018 9:26:03 AM

 Kapil Bansal View Point

4. Conclusions 11. DeGeorge R. Whistle Blowing: Permitted, Prohibited, Required.

University of Notre Dame Press, Notre Dame; 1985.
Any organizations efforts to raise ethical standards are noteworthy. 12. Dewey John. Reconstruction of Philosophy, Mentor Books, New
They aim at increasing the accountability of governments and busi- York; 1920. https://doi.org/10.1037/14162-000.
nesses and curbing corruption. If one is always to the right and leaves 13. Duska R. (2007). Contemporary Reflections on Business Ethics.
Boston: Springer.
no loopholes, the task may become uphill, but at least at the end of the
14. Elliott C, Turnbull S. Critical Thinking in Human Resource
day one can answer one’s own conscience and meet the eyes of those
Development. Routledge, London; 2005. p. 141–54.
who should always profit – the masses. Unethical practices under-
15. Frederic RE. A Companion to Business Ethics. Massachusetts:
mine good governance, distort public policy and lead to the wrong Blackwell; 2002. https://doi.org/10.1111/b.9780631201304.2002.x.
allocation and misutilization of wealth and damage the private sec- 16. George A Steiner, Steiner JF.. Business, Government and society: A
tor. Most of all, though, unethical practices hurt those who can afford Managerial perspective, NY: Mcgraw Hill; 1991.
it the least. Managing it is possible only with the HR implications of 17. Haydock Wes, Ethical Issues in Human Resource Management, The
those entire stake-holders in the integrity and transparency of that Ethical Organisation, Macmillan, London; 1996.
system. HR professionals by unification can raise ethical standards 18. Hope-Hailey V, Gratton L, McGovern P, Stiles P, Truss C. A cha-
in the industry and in turn the government. Enforcing ethical values meleon function? HRM in the ‘90s, Human Resource Management
is about stamping out scandals, scams, and corruption. Journal. 1997; 7(3):5–18. https://doi.org/10.1111/j.1748-8583.1997.
“Corporation’s only social responsibility is to make the most tb00421.x.
19. http://EzineArticles.com/2403479 Retrieved May 11, 2010,
of the return so long as it stays within the purview of the game; in
20. http://saintl.org Retrieved May 11, 2010,
open and free competition without deception or fraud”.
21. http://www.helleniccomserve.com
22. http://www.hinduonnet.com/op/2003/03/25/stories/20030
32500110200.ht m
5. References 23. http://www.icfaipress.org
1. Amartya Sen. Consequential evaluation and practical reason, 24. http://www.indianexpress.com/full_story.php?content_id=36191
The Journal of Philosophy. September 2000; XCVI(9):485. 25. http://www.indianexpress.com/full_story.php?content_id=36659
https://doi.org/10.2307/2678488. 26. http://www.tehelkaexpose.com
2. Aurobindo Sri. Essays Divine and Human, Aurobindo Ashram, 27. h t t p : / / w w w. t i m e . c o m / t i m e / s p e c i a l s / p a c k a g e s / c o m -
Pondicherry; 1994. pletelist/0,29569,1877351,00.html, 25 People to Blame for the
3. Beschorner T, Muller M.. Social Standards: Toward an active ethical Financial Crisis.
involvement of businesses in developing countries, Journal of Business 28. http://www.tribuneindia.com
Ethics. 2007; 73(1):11-21. https://doi.org/10.1007/s10551-006-9193-3. 29. Jackal Robert. Moral Mazes: The World of Corporate Managers,
4. Brown D. From Cinderella to CSR, People Management. 2003; 9(16):21. Oxford University Press, New York; 1988.
5. Caldwell R. The changing roles of personnel managers: Old ambi- 30. James G. In Defense of Whistle Blowing. McGraw Hill, New York;
guities, ‘New Uncertainties’, Journal of Management Studies. 2003; 1984. p.249-60.
40(4):983–1004. https://doi.org/10.1111/1467-6486.00367. 31. Jones C, Parker M, (2005). Business ethics. London: Routledge.
6. Chakraborty SK. Ethics in Management - Vedantic Perspective. https://doi.org/10.1007/s10551-004-4602-y.
Oxford University Press, New Delhi; 1996. 32. O’Neill J. The Market: Ethics, Knowledge and Politics. London:
7. Chakraborty SK. Management and Ethics Omnibus. Oxford Routledge; 1998. https://doi.org/10.4324/9780203358467.
University Press, New Delhi; 2001. 33. Pinnington AH.; Macklin R; Campbell T. Human Resource
8. Chakraborty SK. Management by Values, Oxford University Press, Management: Ethics and Employment, Oxford: Oxford University
New Delhi; 1991. Press; 2007.
9. Chakraborty SK. Managerial ransformation by Values: A Corporate 34. Prakash S. Ethical Issues in Contemporary Human Resource
Pilgrimage, Sage Publications, New Delhi; 1993. Management; 2006.
10. Crane FG. The teaching of business ethics: An imperative at busi- 35. Valasquez. Business Ethics, Pearson Edition, 2004.
ness schools, Journal of Education for Business. 2004; 79(3):149–51. 36. Winstanley D, Woodall J. Ethical Issues in............... 2000.
https://doi.org/10.3200/JOEB.79.3.149-151.

Vol 10 | Issue 1 | January-March 2018 | www.informaticsjournals.com/index.php/gjeis GJEIS | Print ISSN: 0975-153X | Online ISSN: 0975-1432 79

4.4 VP-4 21427-mayura.indd 79 9/20/2018 9:26:03 AM

 Organizational
ORIGINALITY REPORT
Blunders – Role of HR in Promoting Ethical
Values
2%
ORIGINALITY REPORT

2Organizational
SIMILARIT Y INDEX

%
PRIMARY SOURCES Blunders – Role of HR in Promoting Ethical Values
SIMILARIT Y INDEX

1
PRIMARY
www.humanrightsinitiative.org
IntSOURCES
ernet 18 words — 1%
18 words — 1%
1 www.humanrightsinitiative.org
16 words — 1%
2 Steven
Int ernet M. Mintz. "Aristotelian virtue and business
ethics education", Journal of Business Ethics, 08/1996
Annexure-I 2
Crossref
Steven M. Mintz. "Aristotelian virtue and business
16 words — 1%
ethics education", Journal of Business Ethics, 08/1996
12 words — < 1%
3 highered.mcgraw-hill.com
Crossref
Organizational Blunders – Role of HR in Promoting Ethical Int ernet

Values
12 words — < 1%
3 highered.mcgraw-hill.com
10 words — < 1%
4 www.publishingindia.com
Int ernet
ORIGINALITY REPORT Int ernet

10 words — < 1%
www.publishingindia.com
2%
SIMILARIT Y INDEX
4
Int ernet

EXCLUDE QUOTES ON EXCLUDE MATCHES OFF

PRIMARY SOURCES
EXCLUDE BIBLIOGRAPHY ON

1 www.humanrightsinitiative.org
Int ernet 18 words —1% Source: http://www.ithenticate.com/
EXCLUDE QUOTES ON
EXCLUDE BIBLIOGRAPHY ON
EXCLUDE MATCHES OFF

16 words — 1%
2 Steven M. Mintz. "Aristotelian virtue and business
ethics education", Journal of Business Ethics, 08/1996

Prevent Plagiarism in Publication

Crossref

3 highered.mcgraw-hill.com
The Editorial
Int ernet 12 words — < 1%
Board had used the ithenticate plagiarism [http://www.ithenticate.com] tool to check the originality and further affixed
the
4 similarity index which is 02% in this case (See Annexure-I). Thus the reviewers and editors are of view to discover it suitable to
10 words — < 1%
www.publishingindia.com
publish in this Volume-10, Issue-1, January-March, 2018.
Int ernet

EXCLUDE QUOTES ON EXCLUDE MATCHES OFF

EXCLUDE BIBLIOGRAPHY ON Citation:
Kapil Bansal
“Organizational Blunders – Role of HR in Promoting Ethical Values”,
Global Journal of Enterprise Information System. Volume-10, Issue-1, January-March, 2018. (http://informaticsjournals.com/index.php/gjeis)
DOI: 10.18311/gjeis/2018/21427
Conflict of Interest:
Author of a Paper had no conflict neither financially nor academically.

80 Vol 10 | Issue 1 | January-March 2018 | www.informaticsjournals.com/index.php/gjeis GJEIS | Print ISSN: 0975-153X | Online ISSN: 0975-1432

4.4 VP-4 21427-mayura.indd 80 9/20/2018 9:26:03 AM

Copyright of Global Journal of Enterprise Information System is the property of Kedar Amar
Research & Academic Management Society (KARAMS) and its content may not be copied or
emailed to multiple sites or posted to a listserv without the copyright holder's express written
permission. However, users may print, download, or email articles for individual use.