Ethics refers to the principles or codes of professional conduct (Bednarz, 2013). The concept is a branch of philosophy, which is broader in comparison to what the law dictates. Joshi, Sharma and Kumari, (2016) adds that ethics is also different from public opinion and customs. For instance, when an individual accepts rewards from the father in law, the situation is considered to be socially acceptable but ethically unacceptable. Ethics is also a field of study which looks into the inquiry of standards of conduct and moral judgment. Moral philosophy is also a vital aspect of ethics. Other scholars look at ethics as the system of codes of morals that an individual acquires. The code of morals is specific to a single individual, a religious group, a particular profession or even a specific group of people in a society.
The field of philosophical study is relevant to the areas of economics, political science and also politics. There is a possibility of applying ethics to different aspects of society such as human sexuality, war, the society's perception of the roles and responsibilities of individuals and also ideas of feminism. Initially, many individuals perceived ethics as a concept that is only applicable to administrative compliance. In modern times, much attention is given to the fact that respect is earned only through being accountable for one's actions, and this is the point of application of ethics in the modern society (Joshi, Sharma & Kumari, 2016).
Ethics is relevant in every society since it plays a vital responsibility if shaping and guiding people's behavior in every society. Majority of human beings have attempted to maintain human behavior with an objective of maintaining human interest and the model society at equilibrium since the eyes of the law may not be in every place.
Through ethics, the human is in a position to regulate ethical behavior. Moral decadence is evident everywhere. For instance, there are notable cases reported of athletes cheating in their career through taking drugs. It is called doping. There are also various issues of bribing cases in the Olympics. In the recently ended FIFA World Cup, there was a case of an African referee receiving bribes from a football team to favor them during the match. Whether it is business, friendship, or any other form of human interaction, there is continued worsening of ethics in the modern society.
Globalization characterizes the modern society. As a result, levels of honesty are becoming rare day by day. There is increased self-interest as a result of increased individualism. The reason behind this is increased westernization, economic inflation, and selfish foreigners and also expatriates who do not pay much attention to the established laws and norms set in the society.
Ethics is relevant in shaping people's behaviors. As a result, people will be in a position to know what is right or wrong, depending on the norms of the society. Ethics also acts as a guiding force which dictates people's sense of what is right and wrong. Globalization has made the world to be a global village, and in one way or the other, people are connected. Ethics pushes for good behavior to the general public. Ethics also works to ensure that there is no bad thing.
The rationale for Case Study
The relevance of the topic
The article looks at the ethical issue of conflicting client's interest. It is an aspect of professional ethics which include individual, corporate and also organizational standards of behavior (Lander, Koene & Linssen, 2013).). Every professional is expected to adhere to a specific code of conduct which pertains to their profession. Business ethics is present in different organizations, and it is sometimes referred to as corporate ethics. These identify the challenges that are evident in the business environment.
In the contemporary society, most organizations define their tactic towards professionalism via an agreed set of secret modules. Some of these modules include honesty, transparency, integrity, accountability, confidentiality, objectivity, obedience to the rule of law and also loyalty.
Usually, a career or a profession refers to a vocation with which for one to qualify to be part of must attain a high level of academic qualification and a certain amount of technical experience. In professional ethics, there exist relationships with and roles towards some essential stakeholders of a business.
A professional area of accounting is ethically relevant. The reason for this relevance is that accountants, in general, have the moral and ethical responsibility of enhancing and protecting the corporate objectives and aims of their clients. Accountants perform the role of accountability of finances. They prepare annual statements of accounts, tax compliance and also the establishment of due meticulousness to procure other small hardware businesses. In this regard, accountants should always be honest and straightforward in all their undertakings. Some professional bodies exist to safeguard and protect the interest of accountants. These professional bodies act in the interest of the accounting profession (Apostolou, Dull & Schleifer, 2013).
How the Topic Contributes to Learning
Ethical conduct among accountants is a critical topic, especially for businesses. One of the ways it contributes to learning is through enhancing confidentiality. The issue of privacy is vital in other professions as well. For instance, in the counseling profession, under no circumstances is a counselor allowed to disclose any form of information of the client to any other individual. In statistics, when surveys are conducted, respondents are always assured of the confidentiality of the information that they provide. The information provided is only used for statistical purposes. Accountants are not allowed to disclose any form of information obtained from other companies, more so, rival companies. The reason for this is conflicting interests. The competing business would use this information to outdo the other company.
The topic chosen is also relevant because it advocates for ethical behavior. Most professions today have a set code of conduct which every employee is expected to adhere. These codes of conduct are in line with a company's missions, values, and motto. The code of conduct, therefore, is a guideline that helps in the achievement of set aims, goals and objectives. Through the code of conduct, professional behavior is enhanced.
Lander, Koene and Linssen (2013) assert that the topic of conflicting interests also advocates for integrity. Integrity refers merely to the act of doing the right thing even if no one is watching. It is vital for every professional individual to uphold integrity regardless of their profession. Integrity is an essential aspect of ethics. People with strong moral character are considered to be of high integrity. It mainly entails living an honest life, regardless of the situation. It is also about being true to oneself and adhering to ethical and moral principles.
An accountant, Chris Crowson (Real name withheld) is a sole proprietor who works to offer a wide range of accountancy services for a minor enterprise (Company Z). The company maintains a computer accessories shop in Los Angeles. It is in this chop that Chris offers his services. A client decided to involve an alternate corporation of accountants. Chris and the alternative firm have been requested to tender their services. These services include preparing end year accounts, due diligence exercise concerning the initial purpose of purchasing company Z which offers computer accessories in Los Angeles; and tax compliance work. Chris believes that he was not lucky to secure the tender on a cost basis. Company Z also does not make much profit and suffers competition from other computer accessories business which it intends to purchase.
Besides company Z, Chris also provides his accountancy services to another individual business owner (Company Y). Three weeks ago, this sole proprietor suffered a heart attack, and Chris is acting on his behalf for some clients. The sole proprietor will not be available for the next three months.
One of the customers of Company Y runs a business dealing in electronics. The boss and the major stakeholder of this company invite Chris to a meeting. The objective of the meeting is to discuss an upcoming business venture which he is considering. The client elaborates that he has an intention of making an offer for the small computer accessories business which Chris is working for. It is this business that Company Y wants to acquire. The client, Ted (name withheld for confidentiality) is aware that there are other bidders for the same business. However, Ted is unaware that it is Company Y used to be Chris's client.
After this meeting, Chris starts feeling uneasy. Chris has a genuine feeling of wanting to assist Ted and his company. Chris also wants to help Ted's company to deliver a valued service on behalf of the consultant for whom Chris is the permanency worker. Chris realizes that he is in custody of confidential info about the strategies of the aforementioned client. Chris is aware of the problems of Company Y and its enthusiasm to acquire company Z.
The above-narrated case study is an ethical challenge for the targeted individual (Chris).The case study tests aspects of integrity, confidentiality and professional behavior. Chris ought, to be honest in all his undertakings. He ought to ensure that he does not reveal or disclose any confidential information to his previous client to the advantage of company Y. Chris also ought to safeguard his reputation and that of his accounting profession.
The above case study challenges the ethical principles of the accounting profession and the company that he currently works for (Apostolou, Dull, & Schleifer, 2013). Ideally, Chris should not disclose to Ted (the director of company Y), Company Z and its managers and the targeted business and its proprietors. Chris ought to also deliberate the proprietor for whom he is standing-in as a permanence provider.
Confidentiality is a complex issue, and one is expected not to encompass any third parties in the course of resolution devoid of a decent purpose. Any form of discussion of ethical predicament risks penetrating confidentiality. If the initial sole proprietor is fit enough, he/she ought to be well-versed of the predicament and the actions that one decides to take.
The above case study is concerned with three major ethical issues-confidentiality, professionalism, and integrity. These are explained in relation with the accounting profession under the topic of conflict of interest. Chris is in an ethical dilemma and is required to make vital ethical issues.
Apostolou, B., Dull, R. B., & Schleifer, L. L. (2013). A framework for the pedagogy of accounting ethics. Accounting Education, 22(1), 1-17.Bednarz, T. F. (2013). Ethics in business. Practical Ethics for Food Professionals: Ethics in Research, Education and the Workplace, 52.
Joshi, T., Sharma, S., & Kumari, S. (2016). Ethics in Business. E-Commerce for future & Trends, 1(3), 1-2.Lander, M. W., Koene, B. A., & Linssen, S. N. (2013). Committed to professionalism: Organizational responses of mid-tier accounting firms to conflicting institutional logics. Accounting, Organizations and Society, 38(2), 130-148.
Cite this page
Ethical Loyalty - Case Study Paper Sample. (2022, Feb 24). Retrieved from https://speedypaper.com/essays/ethical-loyalty-case-study
If you are the original author of this essay and no longer wish to have it published on the SpeedyPaper website, please click below to request its removal:
- Free Essay: Schulich School of Medicine Recommendations
- Free Essay on Utility of Mathematics
- Business Management and Finance Essay Sample
- Marketing Essay Example on Importance of UPS Logo Change
- Literature Review Example on the Role of Giftedness in Solving Global Problems
- Essay Sample on Rap/Hip Hop Music and the Artists
- Essay Example on How to start a C Corporation in California