Social & Culturally Appropriate Behavior-Free-Samples for Students

Question: Discuss about the Ethical, Social and Culturally Appropriate Behavior. Answer: Introduction Questions about the ethical, social and culturally appropriate behavior in organizations arises from the organizational goals(Hammer, 2000, p. 455). Tower insurance is a business in the insurance industry of New Zealand. Controversies arise when the organization engages in unethical practices. This report highlights ways in which the insurance organization becomes unethical. The company covers a wide variety of covers including car, natural replacement value, accident, liability cover among others. Utilitarian and deontological ethical issues arise in the insurance business because of the personal duties and collective regulations. The report uses theoretical approaches to describe these. Customers have accused insurance companies of failure to provide compensation in various issues. There have been doubts about good business practices by insurers and legal practitioners appointed to follow up on the covers on behalf of the client. The Fredrick Hertzbergs theory explains this dissatisfaction(Gawel, 1997) Arguments against and for the insurance companies determines the consumers decisions concerning some of the covers and the role of self-motivation for consumers and employees as individual persons. Although self-motivation pushes clients to adopt personal policies, others like the car insurance are mandatory requirements from national laws. Professional conduct determines the success of the industry (Schermerhorn, et al., 2004). Personal covers for mobile phone, jewelry and home office equipment, bring to light the value placed on material items. Principles of Business Ethics (Section 1) When setting organizational goals, the expected ends determine the goals. Social insurance and price offerings may be questionable but the competition in the industry shows that it has business opportunities. Tower insurance is not clear about its official goals but its operative goals provide concrete steps towards claiming an insurance policy(Limited, 2017). Rule of publicity It is not clear whether the marketing tactics used influence the consumer choices but insurance companies have a challenge of remaining true to their business terms through the publicity rule. It states the importance of accountability in business. Tower insurance provides adequate information about its process for getting the claim. Whether this is a marketing strategy or an attempt to gain consumer trust, it is evident that organizational goals indicate legitimacy(Hatch Cunliffe, 2012, p. 269). Equivalent price and service first principle The connection between theory and practice where service comes before profits is controversial. The companys introduction of technology in its claim structures and processes is an indication of good will to make the claim process effective. However, there have been complaints about insurance online system failure and risk evaluation during the pricing process(Ngu, et al., 2012). Tower Insurance is a business entity out to make profit hence it does not operate like nonprofit organizations, which promote social good. However, its objective of making money needs a business model with a monetary process agreeable to stakeholders. Conscience in business and spirit of service Changes in the business environment causes a shift in management practices. The Psychosocial and social processes influencing insurance policies and the spirit of service(Fotaki, et al., 2012). Individual and groups shape the organizational behavior hence ethical considerations also focus on these determinant factors. These elements explain the relationship between professionals and customers in the organization. People have perceptions and individual values, which motivate their actions(Pinder, 2014, p. 389). Business strategy and Ethics Ethics is about mutual benefits and people need to benefit from it. According to Crowther Guler ( 2008, p, 100-115) CSR strategy as an ethics strategy presents roles for everyone in the organization. When the organization grows in profits, it needs to improve its employees salaries and standards. It should also offer customers a good deal. One of these major challenges is in maintaining ethics in business by incorporating human aspects(Miles, 2012). The insurance industry as the center of focus has its own barriers. CSR practices improve the society through immense benefits. Tower insurance must also avoid monopolistic control of the business environment. Professional Behavior in Organizational Management (Business Section 2) The framework for business ethics has a foundation on ethical theories(Hagen, 1965). The contemporary theories support traditional and normative theoretical approaches. In business, the descriptive theories describe the ethical situations while the normative provides the general rules for behavior controls(Turner, et al., 2014). It also provides guidelines for healthy competition and business practice. Application of Descriptive Ethics for business entity Descriptive ethics analyses the moral initiatives in the insurance industry for buyers and business relationships (Koh, et al., 2014). Tower insurance has business responsibilities towards clients as well as stakeholders. Unfair competition in which businesses disregard competitors is wrong. Some ethical elements guiding business values include: Accountability in pricing Honesty with competitors and clients Trust with client information and privacy mode Loyalty to customer and industry rule Fairness when hiring employee Respect for other brands Sticking to the legal framework Showing concern for clients and employees Commitment to duty and excellence A business gains a good reputation because of its fulfillment of moral duties and contribution to wellness. This means the business needs to sell products and services that promote the good of human life(Crowther Guler, 2008, p. 76). The fact that Tower Insurance has claim-processing directions on its website is a strategy to portray its image as sincere. This comes in handy because the industry has an influx of malpractices featuring failure to compensate the clients. Ethics and functions of managers Business is the integration of personalist and common good or virtue ethics(Sison Fontrodona, 2012). Managerial decisions base their judgments on ethical standing in line with the organization. The insurance business specifically needs to adhere to high standards because it has a human face. Its attempt to maximize on profits at the expense of the consumer lowers credibility on the part of the brand and its industry. Strategic brands have considerations for personal opinion as well as group efficacy. Unifying these perspectives enhances the performance of the organization. Ethics protects the organization in the present as well as the long term(Grant, 2016). Managing change in a global business where best practice is the main factor of motivation means Tower Insurance needs to stand out from the crowd with unique policies. Ethics for buyers Common good in advertising means a brand will market itself responsibly. Tower Insurance uses proper words that convince the client without presenting a malpractice. Customers should watch out for misrepresentation of company products in policy and overcharging its premium. In addition, providing inadequate information prevents the client from fully understanding the cover. Although business is about willing buyer, willing seller, the public needs protection from exploitation.(Ford Richardsine, 2013). It is common to find misleading adverts in print and digital media. When Tower indicates that a client can pursue a claim, it should be so. Ethical Dilemma (Section 3) Ethical dilemma in business occurs when individuals have to choose between doing the right things and wrong things(Trevino Nelson, 2016). Globalization comes with threats to human existence and the sustainability of nature. Therefore, organizations need to adopt a multidimensional management approach that considers CSR as corporate planning(Crowther Guler, 2008, p. 129). Managing organizations in a global environment has challenges and benefits. The demand for high performance caused by competition in the market environment adversely affects the ecosystem leading to new trends in CSR(Daft, 2014, p. 68). Motivational Theories Maslow Self-actualization theory by Abraham Maslow shows how people make decisions(Maslow, 1943). These may appear correct to some people but for some it is wrong. In business, self-actualization needs or highest needs include excelling through experience or exposure. Sometimes the legally correct option conflicts with personal values. The insurance organization, state laws and personal principles set ethical standards in this case(Crane Matten, 2016). The diagram explains how an employee in insurance can emerge as a leader through self-actualization. Figure 1: Explanation of Maslows hierarchy and job satisfaction (Dempsey, 2012) From the above diagram, self-actualization needs such as hobbies, personal growth, training, and creativity motivate individuals to the right actions. In social dilemma, people have to satisfy their psychological needs first. A good salary gives an assurance of provision of basic needs. The lower level needs of safety given by a good working environment encourages work groups to succeed. When teams succeed, the team leader gets recognition for the performance hence potential for further growth(Daft, 2014, p. 144). ERG Theory An improvement of Maslows theory is the ERG theory by Clayton Aldefer(Aldefer, 1972), which states that people increase competence because of related needs including physical wellness. In New Zealand, medical insurance is one of the most controversial in insurance claims and compensations.(Dunedin Monika, 2014). Tower Insurance medical expenses plan offers to cater for bills in the event of injury, of sickness. The package also pays for company travel for treatment and contributes to travel back in the event of death. It would be unethical for the company to forfeit the agreement in the event of death because the client would not be available to pursue the claim. It is a good idea that the company has corporate communication, which updates its clients(Fassin Buelens, 2011). The right model of communicating needs is to demonstrate feelings, and ideas. It decodes the organizational goals and provides a response to customer inquiry about the insurance plans. Hertzbergs Two Factor Frustration occurs due to failure to meet these needs. The two-factor theory by Fredrick Hertzberg explains this dissatisfaction(Hertzberg, 1968). The theory suggests searching deeper for reasons causing dissatisfaction. A conflict of interest arises when the Tower Insurance Company uses is expertise to influence the buyer negatively. Cases of malpractice in the industry such as misrepresentation and exploitation are common. Figure 2 Hertzbergs approach (Bishop, 2016) The competitive environment means that Tower insurance interacts through formal system under the guidance of value systems. Although Tower insurance operates under the influence of organizational rules, it has the legal obligation to provide quality services within its professional framework(New Zealand Psychologists Board, , 2010). Therefore, customers and employees in the insurance sector derive satisfaction and dissatisfaction from factors such as work environment and interpersonal relations. Managers need to use rewards and sanctions, which influence human behavior in the industry(Ford Richardsine, 2013). Sustainability Factors in the Insurance Industry (Section 4) Interaction patterns in business guide the business processes between an organization and the customer. Tower Insurance Limited and its clients have a mutual relationship, which enables the claimant to trust that Tower will pay them even in the event of death. Paying an organization in advance for risk management raises questions of normative ethics. Rational thinking explains the right and wrong of human action in the business environment(Board, 2010). Sustainability and corporate performance Deontologists explain that people are motivated towards fulfilling certain duties(Israel, 2014). If Tower insurance maintains value in the business, the industry grows and other organizations feel the need to uphold good practices. The rule based principle guides businesses in the industry for future benefits. When some individuals try to exploit the insurance organizations by faking incidences in order to reap off from the insurance companies, the business is at risk. Self-regulation guides consumers as well as professionals. Employees in the insurance firm have a duty to uphold high standards of value. Reports about some employees colluding with consumers to steal from insurance firms are common(StateWideInsurance, 2017). The fraudulent dealings are ethical questions of employee responsibility to their duties and loyalty to the organization. Governments role Crowther Guler (2008, p, 29 ) defines stakeholders as crucial persons without whom the organization wouldnt be in existence. These are the people and the government. The utilitarian perspective offers the definition of morality from a maximum good perspective. The government in New Zealand regulates the insurance business laws in order to prevent malpractice and exploitation of clients. In the same way, the insurance industry regulates charges in the industry for its shareholder value. In New Zealand, compulsory third part insurance covers for injuries and repairs(AA, 2017). The policy considers the overall good and encourages plans. The government works with insurance business firm owners in order to prevent road accidents caused by negligence and poorly maintained vehicles. Organizational objectives Agents virtue theorists like Aristotle reveal how consequentialism theory in ethics guides CSR practices on the right and wrong of an action. It is unethical for car repair plans to overcharge insurance plan service providers for repairs(Sayid, 2017). However, this happens even in the medical care where health care providers overcharge patients who have personal care. Tower Insurance has its values and norms, which guide how it discharges its policies. It does this with regard to professional codes of conduct and accountability to the stakeholders. Ethics is important in industries because it upholds standards and regulations, including advertising(AANA, 2017). In effect, ethics proposes that business should not just focus on making more money rather; it should provide customer satisfaction, community support and employee benefits. Strategic management sets ethical goals for the industry and business environment. Conclusion The fact that there is no standard definition of Corporate Social Responsibility in New Zealand means that stakeholders have personal initiatives to maintain ethics in business undertakings. The insurance industry comprises of service providers, clients, government, legal bodies and insurance brokers among others. These have social, cultural and individual values, which guide their choices. Managerial ethics provide guidelines that determine the ethical and unethical (Schermerhorn, et al., 2004). Ethical management calls for commitment to codes of conduct, government regulations and in situational factors. The New Zealand industry is flexible to local and global ideas of CSR for sustainability. Ethics covers the task oriented, social and individual values. Defined by different theories they include consequential and non-consequentialist approaches. These approaches help in the service operations, price mechanisms and business dynamics. 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