Business Ethics in Banking

Business Ethics in Banking

Introduction

Banks play a major role in the structure of the financial system both at the state level and at the international level, and therefore, better service from the banks are important both for the state and for society as a whole. This is caused by an increased interest in the issue of business ethics banks, which leads to the development of relationships with clients. For example, several of the leading countries in exploring issues of business ethics in the banking business. Therefore, banks and specifically international banks needs to carry out a very big "ethical program" with the development of codes of conduct, with an "ethical training" of employees and even created special sections on ethics (Jelena, 2007). This paper will specifically discuss the business ethics in banking sector.

Discussion

With the results of a continuing series of scandals in the business, and whose origin was easy to detect in "a significant lack of ethical values", it is important to highlight the role of the importance of ethics with meaningful aspects in organizational behavior. The aspect of ethics has followed the collapse and transcends iconic companies like Enron, Global Crossing, Arthur Andersen and WorldCom in the U.S. and other problems in Europe, as Vivendi and BBVA, with different kinds of these, but having a common denominator, the lack of transparency in corporate governance processes and lack of understanding of "ethics" reduced to a superficial view and ambitious.

Every organization including banking sector is required to know the real meaning of ethics that is the branch of philosophy dealing with right and wrong, rights and moral obligations, and Principles governing moral behavior of a person or group. The Business Ethics contains rules and moral principles that govern the behavior in the related field. The difference between an ordinary decision, and ethics would be in the role that values ??and judgments play in ethical decisions (Peter, 2009) . Furthermore, it has been known that organization is going to be a system where various resources, such as human, financial, economic, cultural and technological to exist, where the first point converges significantly in this growth through time and changes in the market with economic factors that every organization has to face, inflation, globalization, social movements, etc.

Banks are considered as an institution of public trust from its activities, because of the fact that its services and steps are regulated by the provisions of law, the principles of ethics and good customs of the trades and the Principles of Good Banking Practice .United States Banking Ethics Committee task is to assess the compliance of the banks, which are its members and their employees and by individuals through which banks perform banking transactions, the rules set out in the Rules. The Commission does not seem ratings for individual complaints and requests bank customers. However, they are used to make evaluations of a general nature. If on the basis of a letter or a customer complaint the Commission considers the advisability of taking a position in relation ...