BUSINESS CODE OF ETHICS

Business Code of Ethics

Business Code of Ethics

Introduction

The main purpose of this paper is to select and organization and discusses its code of ethics. This paper also makes an evaluation that how this code of ethics has been used and why it is necessary for the organization to make modifications in its code of ethics. The code of ethics of Shell Oil Company has been discussed in this paper, and an analysis has been made on the possible reactions which could be taken by employees and managers for these codes.

Company's Overview

Shell Oil Company is one of the leading petroleum companies in the world. The company has annual sales of almost $56 mn per year. The company performs the functions of exploration and production of natural gas and crude oil. Shell Oil company has the mission of serving its clients and giving them the quality products and services. The company aims to provide the safe and protected environment to employees and workers of the company also to the community.

Ethical System used by the Organization

The Shell Oil Company uses the relativistic ethical system. In relativistic ethical system, the company uses the ethical system which is used as standard. There have been many debates on the concept of relativistic ethical systems. The relativistic ethical system leads to the position that the company is not much following the moral absolutes and no moral wrong and right (Clark, 2003). The company believes that social norms are the basis for the rights and wrongs. There is also a category of ethical relativism, which is termed as situational ethics.

How the code of ethics used?

Shell Oil company follows the given below code of ethics:

Transparency

By "transparency" generally refers to the accessibility of information in areas that concern the public. Transparency has three requirements base which must be satisfied to exercise real accountability with regard to the public and state: - A clear and easily accessible to the public;

- The obligation to explain and justify decisions of peer review committees;

- A presumption to the effect that all information should be accessible to the public and one exception to this rule can be motivated by public interest or need to protect the privacy of those involved.

Integrity

Integrity is the quality of the individual right and fair. The value of integrity draws attention to the financial or other situations in which a person would be to become a debtor of third could benefit from the exercise of influence functions (Svensson, 2003). All granting agencies are in a situation that requires particularly vigilant about conflicts of interest or apparent credibility property of these organizations depends on their conduct and the image they project respect to the requirements of integrity.

Commitment from top Management in Organization

Management should provide a strong role model and a willingness to build a strong culture within the organization they lead. The role of moral personality of a leader and very strong commitment to encourage the establishment of an ethics behavior within an organization, and can be used as a ...