Organizational Challenges of Profit and Goals-Samples for Students

Question: In the Global Context, Discuss the Organizational Challenges of Profit, Goals and Corporate Social Responsibility. Answer: Introduction The aim of this essay is to evaluate the challenges that organizations face in relation to their profit, goals and corporate social responsibility (CSR). However, in this essay will further discuss the understanding of the ethical obligations and issues that are encountered by the organization. At the time of establishment, setting the goals becomes an important issue because based on it the organization builds its solid base from which to grow. Thus, organizations face challenging situations when there is lack in intellectually challenging goals. Another major goal that organizations face globally is related to profit where the main challenge arise due to poor management, dissatisfaction of the employees and obsolete performance management systems in the sphere of profit making (Craft, 2013). Lastly, another major challenge is faced by the organization in the CSR. Global businesses today have to consider more than productivity if they have to keep their customers, workers, shareholder as well as their community satisfied (Crane, Matten Spence, 2013). Therefore, situations become challenging when the organization has to balance both positive social change as well as the goals of the organization. Discussion Businesses have certain ethical obligations that split similarity with legal rules and regulations in deciding how a business performs itself while determining to make profit as well as attain strategic organizational goals. However, ethical obligations are actually more about unrestricted decisions and value-guided behavior (Thiel et al., 2012). Woolworths Limited believes in getting their customers trust by behaving responsibly as well as doing the correct thing for their customers as well as their community. However, the organization Woolworths is devoted in upholding human rights not simply with respect to its individual employees nut also for the workers who are part of their supply chain. However, their ethical obligations is mainly surrounded by the inclusive criteria on anti-corruption, labor rights, safe working conditions as well as environmental compliance. Therefore, is has been seen that ethical issues are becoming an essential feature when analyzing the success of the b usiness. Todays customers mainly prefer those brands, which avoids unethical reputations. Moreover, if organizations neglect their social responsibilities then they might land into legal troubles (Homburg, Stierl Bornemann, 2013). Therefore, organizations like Woolworths faced issues in areas like profit, goals and their CSR. Woolworth further faces issues with the value and ethics related to their stakeholders. Therefore, to preserve a strong relationship with their stakeholders, Woolworth has worked on a vigorous process of stakeholder engagement. Through this process, Woolworth can on a regular basis review of needs as well as opportunity of their stakeholders to keep satisfied. However, the main reason of Woolworth to focus particularly on their stakeholders is that it also needs to understand the various issues faced by their stakeholders in the economic, environmental as well as social areas. Moreover, in relation to these Woolworth also focuses on approval of problem solving approach to manipulate their stakeholders and get the maximum profit. However, this organization is always ready to face challenges as well as changes, which are connected to the stakeholders (Woolworthsgroup.com.au, 2018). Stakeholders have an adverse relation with the output or the revenue generated from business, which means they do have a concern or interest in full course of working. List of stakeholders includes groups, systems, accountants, member or organization. Since they pour investment in the working capital, therefore by default they become the member for the decision-making committee in an organization. When responsible for a small business, an owner apprises those who show interest in the organizations activities. Customers, business partners, employees, suppliers, investors and fellow business leaders are potential stakeholders (Brown Forster, 2013). In order to run a successful business agenda, it is significant to convince the stakeholders and to make sure that certain ethical responsibilities is maintained in terms of some decisions taken, including decisions of hiring and contract, to demonstrate and highlight companys social responsibility. An organization tends to operate schemes coming in worth full for responsible stakeholders and to make sure a complete sync is established between all the associates, directors, and CEOs of the company. Ethical theories: Self Interest, Enlightened or Otherwise: In this ethical theory most focus has been made on self interest or companys benefits to be the prime prospect without looking into the ways of how it affects society as a whole. Methods, which is concerned about only self-made methods through which business is prospered. This theory of business ethics can be used to justify almost any business decision (Broad, 2014). Duty to Principles or People: Self-interest methods can be possible in a free market, which does practically not exist in nature, or we can say it is hypothetical concept, as real markets are always bound by laws and other restrictions (Yazdani Murad, 2015). It is a debate or an unsettled fact that about who or what should be the obligations of a business leader. If a company has stakeholders or investors, then the business owner is bound by law to act according to their financial interest. Compassion and Consequences: Many have criticized basing the business operations on moral ethics. Business based solely on compassion cannot succeed economically, but that does not mean that ethical decision-making should be based solely in compassion. Another way of looking at ethical problems is to think about the possible course of actions. Work practices, which cause environmental problems, may bring immediate benefits for the stakeholders but it may cause largely affecting consequences (Ford Richardson, 2013). Virtue and Vice: It is an ancient theory of business ethics which says that a leader will have certain virtues like honesty and courage. Such practices are criticized heavily and no certain rules have been made (Prior, 2016). Some ethical theories are made keeping in mind the concept of pure free market according to economics and in real market scenario rules, competitors and regulations are always embossing. No theories suffice all the need of an organization. The best approach is use all the major ethical theories to assess a situation. For instance, before making a decision an owner should question himself about his planned course of actions. Is it in the best interest for the company? Is it going to satisfy the needs of stakeholders and investors? What is the likely socio-economic impact? After considering such questions thoughtfully, any decision made will be an ethical one. Woolworth Limited has maintained certain processes to conserve the satisfaction of their stakeholders and they are as follows: Providing proper working conditions to its employees, safeguarding their human rights, and ensuring safety standards in surrounding environment Policies regarding workplace safety, fair pay, employment conditions, motivating environment and job security. Company is also implementing improvement to make sure that their suppliers would be able to qualify according to the standards. Woolworth ensures regulation of labour rights in which the labour are free to choose their way of employment or job. If something went against their satisfaction level then they are not forced to work into that organization, in fact they are made free to make the decision of leaving the organization. No discrimination of caste, creed, color or gender should take place in the organization. Moves focus towards environment sustainability (Lewis Huber, 2015). By following such methods, Woolworth maintained its sustainability in the competitive retail market. They mainly focus on Stakeholder satisfaction, which in return yield them good results. However, in recent years the global organizations incorporate their policies into their performance management program so that they can hold their workers responsible for their actions as well as alert them to their liabilities to support professional standards during their job performance and their interaction with the colleagues and supervisors. Today organization also provides training regarding ethics to their employees so that it can help the employees address and determine the ethical dilemmas that go in between them and the goals of the organization. To make possible an effective organizational ethical training program companies train their employees through experiential learning or via role-play (Basarab Sr Root, 2012). Organizations today feel that they have certain responsibility towards the society where their focus mainly embraces time as well as money along with the duty to offer environmental products as well as services. They also crave to advance the lives of individuals around the globe. Conclusion To conclude this report, it can be said that throughout the globe the challenges that the organization faces regarding their ethical obligations are mainly in the areas of profit making, goal settings or their CSR responsibilities. Taking the organization Woolworth Limited as one of the global organization it can be said that they not only face challenges in value and ethics related to their stakeholders but also ethical dilemmas arises in keeping their customers happy through ethical profit making functioning. Thus, to avoid any unethical practices and develop a loyal relationship with their stakeholders, Woolworth prefers an engagement process for them so that it can keep all the stakeholders satisfied. Several theoretical approaches are applied to help the organizations globally to deal with ethical dilemma. However, today majority of the global organizations prefer to train their employees beforehand on business ethics so that it can help them understand and solve any kind of eth ical obligations. Moreover, they also prepared their policies depending on the ethical standards so that following it the employees can take the responsibilities of their own behavior and relationships with their colleagues and senior References Basarab Sr, D. J., Root, D. K. (2012).The training evaluation process: A practical approach to evaluating corporate training programs(Vol. 33). Springer Science Business Media. Broad, C. D. (2014).Five types of ethical theory(Vol. 2). Routledge. Brown, J. A., Forster, W. R. (2013). CSR and stakeholder theory: A tale of Adam Smith.Journal of business ethics,112(2), 301-312. Craft, J. L. (2013). A review of the empirical ethical decision-making literature: 20042011.Journal of business ethics,117(2), 221-259. Crane, A., Matten, D., Spence, L. (2013). Corporate social responsibility in a global context. Ford, R. C., Richardson, W. D. (2013). Ethical decision making: A review of the empirical literature. 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