All businesses must meet certain standards of law and minimum cultural standards. All are further influenced by the general cultural aspects of their time. But in spite of these tendencies uniform conduct, there are important differences among business.
Importance of written codes of conduct:
Written codes of conduct are very important for an organization. It helps to regulate codes among the employees easily than other farms of conducts. The importance of written conducts is stated below.
(a) The code presents a generalize deal that the firm seeks to attain, and the ideal is supplemented by policies which explain how the ideals will be achieved.
(b) The code recognizes obligations to each of the main claimant groups affecting the business.
(c) These types of codes help people both within and without the firm realize that the firm is not serving any single interest.
(d) These codes also give employees a sense of purpose because they show employees that the firm is providing useful outputs needed and wanted by various segments of society.
(e) The codes of some firms deal directly and specifically with abuses that tend to occur in their industry.
The models of business conducts are stated below,
(a) The Austere model:
- Ownership interest
- Profit objective
(b) The Household model: Employees job, benefits, and paternalism.
(c) The Vendor model: Consumer’s interest, tastes, rights dominate the organization.
(d) The Investment model: Survival, long-term profit motive.
(e) The Civic model:
- Corporate Citizenship.
- Social responsibility.
- The positive commitment to social needs
(f) The Artistic model: Civilization with a better quality of life.