ETHICS: MEANING & ESSENCE IN PEOPLE PRACTICE

 

Ethics in the practice of human resource management encompasses the application of moral standards, principles, and values to influence actions, inactions, policy development, decision-making, and the general management of an organization’s workforce and assets. Every single function of a people professional, whether dealing with an individual or a group within the organization, involves ethics. Some of the critical roles people professionals play that are ethical include equal opportunities, recruitment and selection, diversity, dignity at work, work-life balance, health and well-being, data storage, and performance management.

Any people professional who neglects the importance of ethics risks the success of the organization they work for. Ethics is a core standard and qualification for anyone managing and leading an institution's workforce. It is fundamental for building relationships within and outside the organization in ways that yield profits and benefits to the firm. It is also crucial for building a strong brand and reputation, as no reputation built outside of strong values and principles can endure. Ethics is essential for exemplary leadership in any firm, and its presence fosters a strong institution that experiences growth in performance and profit.

An audit tool is a planned document or framework used to evaluate and improve decisions, processes, and systems within an organization. There are nine stages to creating an effective audit tool. The first is to define the scope and purpose of the audit, which helps the team maintain focus. The second step is identifying key stakeholders and their interests, ensuring that all parties feel included in the process. The third is determining the decision-making process, examining how the decision to be audited was made. The fourth step is establishing the audit's objectives and criteria, clarifying what the audit aims to achieve. Developing a checklist of questions follows, ensuring the inclusion of relevant HR policies and procedures to meet the audit’s intended outcome. The next stage considers using a risk-based approach, assessing the level of risk involved in the audit. The eighth stage is to pilot test the tool for effectiveness, followed by refining and finalizing it.

Such a system for developing an audit tool ensures that the process itself is ethical and acceptable to all parties, including those who may feel victimized by the decision being audited. By addressing potential controversies upfront, such as the audit's objectives, the process minimizes any ambiguity in the final results. This proposed process is a perfect tool for assessing the ethical examples mentioned earlier.

In people practice, ethics cannot be over-emphasized. The success or failure of many small, medium, and large businesses is largely determined by how ethical their business decisions are. When businesses primarily deal with people, maintaining a sense of doing what is right in all situations builds trust and respect among stakeholders. Even during setbacks, it is often the ethical standards that provide an organization with the opportunity to stay in business.

Ethics in human resource management is essential for guiding decision-making, policy development, and workforce management. People professionals must uphold ethical standards in areas like equal opportunities, recruitment, diversity, and performance management to ensure organizational success. Ethics is crucial for building strong relationships, a positive reputation, and exemplary leadership, which contribute to growth and profitability. An effective audit tool, developed through a systematic process, helps evaluate decisions and ensure ethical practices within an organization. Ultimately, businesses thrive when ethical decisions are prioritized, fostering trust, respect, and resilience, especially during challenging times.

 

PAUL ANANG AMASAH

THE COLLEGE BUSINESS CONSULT

18^TH DECEMBER, 2024

THECOLLEGEBC@GMAIL.COM