Question

• You are asked to choose an existing business (profit or non-profit) and prepare a report that evaluates their “ETHICAL BUSINESS PRACTISE”.

• The objective is to make an “audit report”, thereby assessing their business practices in terms of (choose max. 4):

• - Corporate governance and finance

• - Marketing

• - Employee Relations

• - Sustainability

• - Technology

• Each of the (max. 4) issues you choose, has to cover a minimum of 250 and a maximum of 400 words.

Answer 1

Taking the case of Tata Steel - One of India's largest behemoths from the house of TATA.

Corporate Governance : Tata Steel has a well defined and clearly stated code of conduct policy for all its employees. They have a clear statement that business must function in a way that respects the rights of all stakeholders.  There is well defined whistleblower policy for business associates and for employees at all levels. There is a clear redressal mechanism for any suspected ethics breach - including anonymous reporting of the same. There is a clear method to speak up and report the same as well. They have a strict no bribery , no inducements policy. Company has other governance mechanisms in place including policy for prevention of sexual harassment , insider trading prevention etc. The company has also got a guideline of dealing in a fair, transparent and ethical manner with customers . The company commits to respect all the laws of the country in which they are operating fully. the company also clearly states that they shall compete in an ethical manner and without resorting to unfair trade practices. Suppliers and business partners are also expected to abide by the TATA code of ethical conduct.

Employee Relations is an equal opportunity employer . The company undertakes to prevent or avoid discrimination on the basis of religion, race , gender , ethnicity or sexual orientation and to assess the suitability of a person for a job without taking any other aspect in mind while hiring. The company takes the responsibility to create a conducive work environment built on tolerance, trust , cooperation and respect for individuals privacy. They dont employ child labour or any forced labour. There is no restriction to join any association which doesnt interfere with the employees ability to deliver on the job or is a conflict of interest. There is strict data privacy guidelines and no violation of the same is tolerated . The policy on promotions, increments etc is also clearly spelt out in an effort to be fair and transparent to employees.

Sustainability

The company commits to minimise the use of natural resources and not waste it. They promise to follow all sustainable practises as prescribed by Government and/or experts in the field.TThe company is committed to offset the effects on the environment due to their business operations. They also work with the communities that they operate in to ensure 1) minimise the impact of their business on the lives of the community 2) work with the community to improve their standards of living. the company also has a clear CSR policy wherein it commits resources of money as well as people and management time to address real causes associated with development in the country.

Finance - the Company commits to comply with all regulatory, legal and financial accounting rules and regulations of the country they operate in . the company commits to follow ethical practices in financial reporting. the company also commits to delivering financial value to all stakeholders through their business operations. they promise to engage with the government and other regulatory authorities in a constructive manner to promote good financial compliance. They also promose to cooperate and not impede any audit, investigation ordered into their affairs by the regulatory authorities or any governmental body.