Ethical Business Practice: An Effective Tool in Enhancing Bank Employees’ Performance in Dumaguete City

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Another reason why ethical business practices are effective in improving employees’ performances is because it educates every employee in building profitable transactions and maintaining a healthy working environment. It just not guides every employee to do his/her works but also monitors him/her to be good enough in solving and controlling dilemmas, and in thinking before acting to prevent negative results that might affect everything in the workplace.

In a study of ethical decision-making, it was found out that a person who has an internal locus of control might be doing his/her responsibilities properly to decrease the possibilities of hurting or affecting other’s work or/and feelings, or might take all the consequences away by himself/herself to have better relationships with others. And sometimes, one individual violates those beliefs just to be more acceptable and productive. Overall, knowing more about your co-workers or your loci of control can be useful in any way and situation you might encounter and will help you to be more careful in doing anything and be more productive in the field of business (Crane & Matten, 2010, p. 156).

Business is very specific for it has its own do’s and don’ts or ethics. Ethics serves as principle set forth to guide behaviour or action in the workplace. It is a set of problem solving techniques intended to assist and offer alternative courses of action to workers who are facing problems regarding business. Philippine business practices are influenced by the different concepts and beliefs that Filipinos greatly believed in. It implies on what is right and wrong, what is allowed and not, what is legal or not in handling transactions which they base on what they accept as socially right and acceptable in the eyes for an honest business should be. In other words, they believe that good and fair business constitutes profit and prosperity (Sison-Angeles, n.d., pp.1-2).

Business practices act as a model basis for business conduct. Man is said to have natural sense of what is right and not. Due to the problems that occur in the business world nowadays which have caused employees to be morally wrong, business practice now aims to assist in creating general codes of conduct which can be useful in constructing business plans, strategies and assessments. It includes all behaviour and understanding in business that involves unacceptable acts which can led to legal actions. That’s why business ethics has something to do with making precise choices when engrossed in business (Gorospe & Quintos, 1995, pp.4-5). In addition, code of conduct or code of ethics in relation with business practices, is generally a more comprehensive statement of values and beliefs that defines the organization. Provision of fair opportunities in promotions and training, good working environmental and timely payment salaries for employees, complete information of the service and product should be made available, personal information of the customers should not be used for personal gain are few ethical business practices that should be followed to build an honest reputation and ensure smooth running of any organization.

Individuals who are practicing ethical business usually end with good decision-making skills and these individuals that have high educational training are more likely to have high potentials and can develop their ethical skills. Education is one of the most important factors of business ethics and is highly needed to every individual. Some students who are into business are self-centered in accordance to their values. Individuals can enhance and develop their morality by training and dealing with some ethical problems in a certain environment (Crain & Matten, 2010, p.152).

According to Wiesen (2014) on What Are Ethical Business Practices:

Many ethical business practices are related to how employees within accompany are hired, treated, and promoted. This often includes policies that discourage discrimination, attempt to avoid issues regarding fraternization between different levels of employees, and seek to find their ways to settle conflict within the company. These practices also often include insuring employees are given reasonable working conditions, are treated with respect… These practices often include treating customers with respect and honesty, not using personal information provided by customers in unscrupulous ways, and charging customers fairly for goods or services. When these types of practices are not observed or are broken, many customers show their dissatisfaction by no longer giving the company their business.

Werhane (1998) said moral imagination helps individual to see the possible things to do in operating in the workplace. It is an additive to life which can make one individual smile in his/her workplace and have a better transaction with the customers, co-workers and firms (Crane, 2010, pp.159-160).

And according to Paige (2003) on Types of Ethical Practices Employees Adhere to in the Workplace, “When challenging situation arise, employees who can control their emotions and actions exhibit ethical behavior in the workplace. Self-control prevents difficult situations from escalating into conflicts that disrupt workflow and threaten staff morale. Employees with self-control and discipline may strive to stay on top of their workload. When they avoid backlogs, they help their colleagues to maintain a steady work pace and they contribute to the overall productivity of the business.”

Conceptual Framework

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THE PROBLEM

Statement of the Problem

This dissertation aims to determine the effectiveness of ethical business practice as a tool in enhancing bank employees’ performance in Dumaguete City. Specifically, it seeks to answer the following questions:

- What are the common unethical business practices performed by bank employees?

- How do these employees’ misbehaviors affect the company?

- How will bank managers address this problem to their employees?

- What programs or alternative courses of actions should be taken into account to let employees realize or become aware of the importance of ethical business practice in enhancing their performance?

Statement