When the concept of workplace ethics is considered, it is stated as a concept in which the organization holistically governs employees and refers to the overall workplace attitude. The way a company functions based on workplace ethics is always under the careful watch of the public but and the competitors. A truly ethical workplace should portray ethical behavior top to down and also inside out. The way that employees are treated in the company is directly related to the growth and the progress that the company has made over the years. It is to be kept in mind that workplace ethics does not only mean how the companyâ€™s employees will be treated. Workplace ethics is also related in a manner as to how the company treats its suppliersâ€™ other third parties involved in the companyâ€™s affairs. Based on workplace ethics, it boils down to the modern philosophy involved in the workplace. The concept states how there should be a collaboration of ethics and the undertaking of tasks, be it from the individualâ€™s viewpoint or the organization as a whole. An organization that does not combat and fight unethical behavior practices always suffers and may also be pushed for the winding up of the same. Can say that unethical behavior should always be reprimanded so that it does not lead to larger problems and chaos.
Agency: Concept And Definition
When the concept of the agency is taken into consideration, can state that it is a relationship between one person and another. In a relationship, the dominating person is a principal who commands the agent to work in a certain form of manner, certain clauses. The relation of the agency is based on the fiduciary relationship, which means that it is based on the concept of trust. The principal trusts the agent will work in a certain the way that will act in furtherance to the principalâ€™s best interests. Even though the general norm is that the relationship of the agency is based on the fiduciary aspect, many relationships of the agency may also not be based on the same.
They may vary with the amount of confidence attached to the relationship. It is stated that the relationship cannot be stated as one relationship; there is no hard and fast rule as to how an agency will work; it mostly depends on the parties in the contract of agency. The main motive underlining the basic concept of agency is that the personal interests of the principal always be kept first by the agency in the certain contractual relationships that they undertake. When we state about the relationship of the agency, it is stated that the agent will undertake the relationship in a way that not his interests are furthered. Still, their principalâ€™s relationship is taken into consideration.
Ethics In agency
As it has already been discussed, agency theory has several manifestations, and that is not a single had jacket rule as to how an agency will work. Throughout the ages, it is stated that the concept of agency has gone through a substantial amount of change and has evolved in many ways. In the relationship of agency, it is stated that there is the autonomy that works by the principal, on the person who is regarded as the agent. Ownership and control in the agency of relationship are bested in the principal, and they will direct as to how are agents work under his name, on his behalf. The principal does the governance of the agency, and the principal needs to take certain ethical measures while the agency contract is formulated. When we see from the other side, the agent also has to keep his best foot forward and further the principalâ€™s interests and not his own. Many legal writers believe that there should be some amount of freedom that is needed to be given to the agent. They act in an ethical manner and upholds the fiduciary relationship of the agency. One of the agentâ€™s ethical practices is that they shall not misrepresent the principalâ€™s name in the contractual relationships that the principal undertakes. In the relationship of agency, there is a need that the agent undertakes the relationship in the most ethical way possible, and the principle also acts ethically.
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