Developing Ethical Culture and CSR in Organizations

XXXX XXXX Task 2- Developing Organizational Ethics and Social Responsibility C206- Ethical Leadership Western Governors University August 1 st , 2023

A- Corporate Social Responsibility Corporate Social Responsibility (CSR) is important for all businesses because it helps keep business owners accountable for the wellbeing of employees and the customers that the company serves. CSR comprises four pillars of responsibility, these include economic, legal, ethic, and philanthropic. These pillars highlight the importance of providing high-quality products and services. These pillars also stress the importance of well-being of all living things. The CSR is intended to encompass the vision and mission of the company and to define the goals and culture of the company. A1- Primary and Secondary Stakeholders The primary stakeholder for Paradigm Toys would be the employees and customers of Paradigm Toys. The secondary stakeholders when it comes to Paradigm Toys would be the outside investors and news media that reports on the Paradigm Toys company. A2- Responsibility for Stakeholders Stakeholders have expectations for Paradigm Toys and it is important that these expectations are met. To meet the expectations for Paradigm’s primary stakeholders, Paradigm commits to protecting the environment by manufacturing toys using biodegradable materials, the company also invests in researching renewable energy in its plants. By making commitments to make the world a better place which will not only attract new customers and employees. To meet the expectations of the secondary stakeholders, Paradigm should commit to facilitate a fundraiser. The fundraiser would include multiple components. The first would be to develop an ad-campaign to promote a fundraiser that donates a portion of all sales during

Christmas months to St. Jude’s Research Hospital. The second component would be to organize a toy drive to donate Christmas gifts to the St. Jude’s Research Hospital. B1- Importance of Ethical Culture A business should have a strong ethical culture, this is important because it affects the judgment of employees and other stakeholders. Establishing a code of conduct for employee, maintaining self-respect, and clear communication is imperative to promoting a strong culture within Paradigm Toys, when a company has a strong ethical culture, employees are more likely to stay longer and customers will continue to come back to your organization B1a- Fostering an Ethical Culture Ownership of Paradigm Toys is responsible for establishing and promoting an ethical culture. This is done by the ownership establishing the standards from the above section and not only enforcing it, but living by those standards. Leadership of the company must also use those standards to bring in new staff to the company. It is also important that the new employees are made aware of the culture and the standards from the time that the employee interviews with Paradigm. B2- Ethics Audit An ethics audit is important to check that Paradigm Toys is holding itself to the culture, code of conduct, and other standards set by leadership of Paradigm. An ethics audit should be organized by an outside organization. This audit should include survey data collected by stakeholders and should also include confidential random interviews with stakeholders. Once the

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audit is completed, the results should be sent through all of the organization. Leadership and other stakeholders should work together to improve the ethical culture of their organization. B2a- Value of an Ethics Audit The value of implementing an ethics audit brings to light things that Paradigm can improve on within its ethics and culture. Identifying the areas to improve help Paradigm develop new training and new policies/standards to consider. This could also bring to light a shortcoming that Paradigm might need to focus on improving. An ethics audit could also show that Paradigm is doing what it says it is doing and can show potential stakeholders how healthy the culture of a company truly is. C1- Ethical Dilemma An example of an ethical dilemma would be a patient who is sixteen years old, comes to the ER with complaints that align with the teen possibly being pregnant. The teen is scared of their mother finding out, and would like you to hide if the teen is pregnant from the mother. The minor would like to know all of their options available to them. The mother is in the waiting room. Since the teen is a minor, the parent may need to be informed of the situation if consent for certain procedures or billing purposes. C2- Potential Solutions According to the State of Michigan Compiled Laws (MCL) 333.9132, An excerpt of the Public Health Act, allows for minors to seek healthcare for reproductive health without need of

parental consent. In Michigan, minors may receive contraceptive and prenatal care under this act without parental consent. According to MCL 722.903, which is an excerpt of The Parental Rights Restoration Act of 1990, a healthcare provider must receive consent from at least one parent or guardian before performing any abortion procedures unless the minor is able to petition for a waiver. The law is not specific on what qualifies for a waiver. C3- Ethical Choices In this scenario, the minor should be informed that we cannot inform the minor’s parents. The minor should be informed of the risks and benefits of not informing the minor’s parents. The minor should also be offered resources on counseling and other family planning resources. Lastly, the minor should be informed of their rights to terminate the pregnancy, Michigan law allows termination during the first trimester. The teen should also be informed of the provision of the Michigan law, regarding parental consent. D1- Critical Components of Ethics Training Program The three key components that should be included in an ethical training program at Paradigm would be: a. Company Code of Conduct b. Importance of Communication c. Customer Privacy and Responsibility

D1a- Explanation of Critical Components The first key component of the training program should be the code of conduct. This is an important component because it shows what is expected of each employee. This also sets the tone as to what is acceptable and can help to really establish company culture. The next key component of the training program should be an emphasis on communications. To be the best self, Paradigm Toys needs to communicate with everyone. When a company encourages communication from both the employees and the company it promotes everyone being aware of what the company is feeling and more importantly what the employees are feeling. The last key component of the training program should be an emphasis on customer privacy and responsibility. This is incredibly important for the brand of Paradigm Toys to make sure that the company does not lose customers and does not have a civil liability. It is also incredibly important for the customers to trust Paradigm Toys, there are hundreds of other toy retailers that customers could go to if they do not trust Paradigm Toys. D2- Delivery Methods The best delivery method is a hybrid method. This is best delivered this way to allow for the employees to hear directly from company leaders via a video recording. This will allow messaging to be consistent no matter who leads a training session. An instructor led portion would also allow for team building with their location and allow for activities that may be better suited to be performed as hands on.

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References Michigan legislature . Michigan Legislature - Section 333.9132. (n.d.). http://www.legislature.mi.gov/(S(qakj2pkr2hw525sy1oith0ao))/mileg.aspx? page=getObject&objectName=mcl-333-9132#:~:text=The%20consent%20of %20any%20other,a%20child%20of%20a%20minor Michigan legislature. Michigan Legislature - Section 722.903. (n.d.). https://www.legislature.mi.gov/(S(eqmxrqbbfrhc2yccnd5kib0k))/mileg.aspx? page=getObject&objectName=mcl-722-903

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