A
sound business is the harmonious relationship between what is ethical, moral,
and legal while earning profit. It is a corporate social responsibility to be
ethical. But sometimes companies tend to seek profit in unethical way.
In
my opinion, there is an inherent conflict between ethics and the pursuit of
profit because what may seem to be profitable may not be ethical. But I think
numbers do not lie. It is just a matter of how the decision-makers account and
give an amount to unquantifiable costs the business will possibly incur.
In
accounting parlance, businesses that are unethical are probably not recognizing
the right amount of expenses. Accounting standards observes the principle of prudence
or conservatism in presenting their financial statements wherein companies would
prefer overstating their expenditures and understating their income rather than
doing otherwise.
In
the ford case, the company understated the expenditures they have considered if
worst-case scenario will occur. But of
course, the human life is immeasurable and cannot be quantified. Moreover, the
company did not take into consideration the consequences of not taking actions.
In
my perspective, doing what is ethical means profit. It is the second goal an
organization must obtain aside from earning revenues. It is in conjunction with
the corporate social responsibility of an organization. Therefore, the business
strategies must be aligned with what is ethical.
Ethics
is the principles, norms and standards governing the organization. It is doing
what is good in business. It is doing what is right, fair, and just. What is
legal or right does not necessarily mean it is ethical. We have to consider all circumstances and all
aspects before taking actions.
In
application, as a form of our CSR, we will be conducting a service learning
program. As a starting point, had our
brainstorming. In that meeting, we have come with options but are not yet
concrete. I am so excited to do social service once again. I recall my NSTP
days wherein I helped build houses in cooperation with Gawad Kalinga. That
time, it was an eye-opener for me to see how blessed I am and at the same time
an eye-opener for me to do charity works.
