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Business Ethics Midterm

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Midterm1 Report | Faculty: Dilara Afroze Khan (DAK) | Name: Saahir Mahbub Id: 1110091030 Course: Bus401.2 |

Introduction
- There was no individual identity for HRM. But, as time passed people recognized the importance of HRM in organizations. They realized that HRM is not just to hire people. Apart from hiring, HRM has lot of functions which help an organization to achieve a competitive advantage. Effective HRM practices support business goals and objective. Thereby, effective HRM practices are strategic. It can improve the performance of an organization by enhancing customer satisfaction, innovation and productivity. Among the stakeholders that manager’s decision making affects, employees have a special status because most managers whatever their salary or financial stake in the company are employee themselves. This puts managers in a dual moral relationship with the corporation. As organizational leaders they have duties to the corporation and must often place the organization’s interests ahead of their own or those of their fellow employees. Like other employees, they also have a claim to fair treatment and respect in terms of their material and moral concerns. Now, in this case it can be seen that a pharmaceutical company is facing problem with HRM issues among the employees regarding harassment, assault, presenteeism. Being an HRM consultant to the pharmaceutical company, these certain issues need to be addressed.

Model and Justification It can be seen that this pharmaceutical industry is already facing problems with HRM issues which was mentioned earlier. According to Friedman, he stated that in a free enterprise private property system, a corporate executive is an employee of the owners of the firm. He has direct responsibility to his employers. That responsibility is to conduct the business in accordance with their desires, which generally will be to make as much money as possible while conforming to the basic rules of the society. Both those embody in law and those embodied in ethical custom. The key points that in his capacity as a corporate executive, the manager is the agent of the individuals who own the corporation and establish the eleemosynary institution, and his primary responsibility is to them. The corporate executive is also a person in his own right. As a person, he may have other responsibilities that he recognizes or assumes voluntarily to his family, his conscience, his feelings of charity, his church, his clubs, his city, his country. There is one and only social responsibility of business to use its resources and engage in activities designed to increase its profit so long as it stays within the rules of the game, which is to say engages in open free competition without deception or fraud. Friedman believes that the manager’s foremost objective should be to make as much money as possible for the owners of the firm. He maintains this responsibility is constrained only by the need to obey the law, to respect a minimal set of ethical values, principally the avoidance of fraud and force, and to keep in mind the firm’s long term strategic interests. Apart from this, managers should not worry about exercising social responsibility to promote social benefits or to prevent social harms.
Friedman’s argument has two main thrusts. One focuses on a manager’s moral obligations to his or her firm’s owners or shareholders. The second stresses the manager’s relative incompetence to make moral decisions about the use of firm’s resources. * The first argument draws its force from the view rooted in business law that a corporate executive or manager is an agent of the firm’s owners. Having freely entered into an employment contract with them, the manager is obligated to serve their lawful interests, which generally are the maximization of profits. Although a manager may use his or her personal time or money to pursue other goals, including moral objectives like reducing poverty, cleaning up the environment or educating the inner-city poor, he or she may not divert the corporate resources for this purpose unless doing so somehow contributes to longer term profitability. Friedman describes the manager who misuses corporate resources as wrongly assuming the role of elected official and imposing taxes on the firm’s owners without their consent. Ordinarily, we call a person who appropriates other’s goods without their permission a thief. This in effect is what Friedman would call a manager who uses corporate resources (including managerial time and effort) for any purpose other than profit maximization. * The second argument is that the concept of business ethics is that managers are not competent to exercise moral oversight of the business. Because managers are not trained to make socially responsible decisions and companies do not hire them for this purpose, these decisions are better made by public officials accountable to those who elect them. Friedman assumes that a strict division of labor best serves society needs with managers single-mindedly pursuing profit within the limits of the law while government impose constraints on this pursuit by forbidding certain forms of conduct or by levying taxes to fund public goods.

Managerial conduct and liability:
If Friedman’s contractualist approach does not rule out corporate manager’s bringing ethical considerations to bear on their decision making, a more complete understanding of the contractual obligations in this area may require managers to maintain independent moral oversight of their business dealings and occasionally to subordinate profit to ethics. The basic idea is that corporation and its managers have an implicit contractual relationship to society that follows from the grant of limited liability corporations enjoy. A social commitment to protect the corporation would cease to make sense if corporate owners or managers willfully abused their responsibilities. The implicit social contract behind the existence of the modern corporation, in other words, assumes that corporate owners and managers will exercise substantial responsibility for the conduct of their firm’s business. Friedman is right to stress the moral and legal duties managers owe to the firm’s shareholders.

HRM policy for managers:
Hiring: For hi ring these steps are followed: * Initial Screening * Completion of Application form * Employment test * Comprehensive interview * Background test * Physical examination * Final employment decision * Collect applications from candidates those have been dropped by them solicited and unsolicited in response to advertisement that are published in national medias * Then, conduct a written examination * Among them who passed the written examination successfully are invited to attend an oral test or viva. Here, potential candidates are interviewed by the personal development manager or manager of the department * Those that get the green signal from the viva, then are asked face a comprehensive interview in front of board of directors. * These members take the final decision of selecting employees
Harassment:
 Talk with the employee who is complaining. Guarantee to the employee that he or she is safe from retaliation and took appropriate action in reporting the incident or general situation.
 Inform the employee that you need to know immediately about any retaliation, purported retaliation, or ongoing harassment the employee experiences.
 Ask the employee to tell you the whole story in his or her own words. Listen; take notes. Write down relevant facts such as dates, times, situations, witnesses, and anything else that seems relevant.
 Tell the person accused that a complaint has been filed, and that no acts of retaliation or unethical actions will be tolerated. Ask the person to be patient while you conduct a thorough investigation.
 Assure the person accused that a fair and just investigation will be conducted on their behalf as well as that of the accuser.
 Interview any potential witnesses in the same manner. Interview any potential witnesses in the same manner. Ask open-ended questions and seek facts that support or disprove the employee’s allegations.
 Interview the person who is accused of sexual harassment. Apply the same listening and respectful approach you accorded the person who filed the complaint and the other witnesses.
 Take all the information you received and attempt to reach a decision. Make the best decision that you can with the information you have. Consult with other HR colleagues to do the right thing.
 Make decisions about whether sexual harassment occurred. Provide the appropriate discipline to the appropriate people, based on your findings. Make work or assignment setting adjustments if necessary.
 Recognize that you are not perfect, no situation can be perfectly investigated. Even when harassment may have occurred, there may be no facts or witnesses that corroborate a complainant’s statement.
 Assure that no further incidents occur by following up, and documenting you’re follow-up. with the employee who made the original harassment claim. Keep documentation separate from the personnel file.
 Afford the employee, who may have been wrongly accused, the same courtesy of follow-up and documentation. Adjust working situations fairly where necessary for the comfort and productivity of all.
Presenteeism
* Employees who miss more than three consecutive unscheduled days, may be required to present a doctor's release to the Human Resources department that permits them to return to work. * PTO taken in excess of the PTO accrued can result in progressive disciplinary action up to and including employment termination. This time will be unpaid. The only possible exception to this policy must be granted by the company president. * PTO accrued prior to the start of a requested and approved unpaid leave of absence must be used to cover hours missed before the start of the unpaid leave. * Under the company's Family and Medical Leave Act (FMLA) policy, all accrued PTO time is taken before the start of the unpaid FMLA time. * Unscheduled absences, due to illnesses of four hours or more that result in consecutive days absent from work are considered one absence incident in relationship to potential disciplinary action.

Progressive disciplinary action relative to incidents of absenteeism is administered on a rolling 12 month calendar as follows:

--One - three incidents: No disciplinary action - Supervisory coaching
--Fourth incident: Verbal warning with a documented coaching session
--Fifth incident: Written warning in the employee's file
--Sixth incident: Employment termination

An employee who receives a second written warning in a rolling 24 month time period will have his or her employment terminated. * An employee who has used all of his or her FMLA and Short Term Disability benefits, and is still unable to return to work, will have his or her employment terminated. * Any employee who misses two consecutive days of work without notice to their supervisor may be considered to have voluntarily quit their job.
Promotion: The more efficient employee works, the more quickly promotion is awarded. To award promotion, the company systematically evaluates performance of each employee following the set criteria.
Safety:
* Establishment of safety committees or work groups. A safety committee is a joint employer-employee committee responsible for health and safety matters. * Appointment of health and safety representatives. In certain cases, the representatives are elected. * Recruitment of adequate number of qualified safety officers * Formulation and or review of health and safety procedures * Other relevant safety and health matters
It is a good human resource policy to consider implementing safety and health rules and procedures even if the legislation appears as not being relevant your organization. Employment law provisions may actually apply so you need to check.
Functions of Committees and Representatives
Some of the functions are as follows: 1. Health and Safety Representative * To inspect workplace to ensure that there is a safe and healthy working environment * To issue notices on Occupational Health and Safety (OHS) improvements after holding consultations with all parties concerned * To participate, with the consent of the employer, in interviews concerning OHS matters 2. Occupational Health and Safety Committees * Responsible for OHS policies and procedures, their formulation and reviews * To review measures taken to make the workplace healthy and safe * To report any unsafe situation * To resolve health and safety problems as soon as they crop up * To monitor whether safety procedures are followed and that safety equipments and protective clothing are properly kept and maintained in good working order
Training in all Aspects of Workplace Safety
All managers are responsible for the implementation of health and safety programs. It follows that they are also responsible for ensuring that required training in health and safety is provided.

HRM policy for non- managers: * The company should encourage employee participation in educational programs to increase their abilities in their present positions * To prepare them for future positions * To keep them current with new advancement or technologies or as part of their career development program * The HR Manager should be responsible for coordinating training and development programs and reimbursement with each employee or department manager to develop each employee to their potential and support the objectives of The Company and department. * Implementing the company strategy across all the territory * Handling as per the subordinate vise responsibility * Fulfill the company need * Utilize the resources of the company in organize manner

Bibliography

http://wiki.answers.com/Q/Role_and_responsibilities_of_an_area_manager_in_pharma#slide=4 http://hrknowledge.blogspot.com/2009/06/concepts-of-hrm-personnel-management.html

http://hrcouncil.ca/hr-toolkit/policies-guideline.cfm

http://www.bizmanualz.com/sample-policies-procedures/view?sample=abr41m

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/215463/dh_129657.pdf

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