Current

Ethical Issues In Finance

               Financial managers have the dutyto reports, check  accounting functions, plan                  investment strategies and to check  direct cash management function it     involves   in branch management functions at banks and other financial institutions.some ethical issues faced are 

[1] Accuracy

A company’s financial manager is required to ensures that all financial publications are accurately and fairly made and  the financial condition of the company is properly mentioned. Accounting errors and financial fraud are increasing day by day, it will damage the interests of shareholders, employees and affect ther confidence in the financial system of the company.

[2] Transparency

 Financial documents reflect the company's performance with reference  to its peers, and the internal strengths and weaknesses of the company. The Regulatory agencies are required to publicly trade companies to submit periodic financial statements and make full disclosures of material information so that appropriate informations can be drawn.

[3] Timeliness

Timely financial information is very  important and thus it should be accurate and transparent. Management, investors and other stakeholders require timely and properly arranged information to make or to take right decisions. Many cases  publicly are present within traded company's stock.

[4]Integrity

Financial managers should strive for the important component known as integrity. Customers, shareholders and employees are to be in a condition where they can trust a financial manager's words. Managers should not allow , bias conflicts of interest, they should not present fake documents. Managers should disclose real conflicts of interest, such as an investment position or an ownership interest.

[5] Sales vs. Advice

The boundaries between sales and  the financial industry are becoming increasingly opaque, as there are new platforms and there are a lot of methods for business  to emerge. 

Current

Unethical Issues In Finance

There are many  unethical issues faced by the finance some of the unethical issues faced by finance managers or department are:

[1] Profiteering

Profiteering is the  gain of making more money at public expense. It is be cheating the government of the nation, or it may be by robbing the developing countries, or it may be by over-charging consumers and exploiting them for medical, food and other needs.profiteering has a very unethical aspect.since it will decrease the number of customers

[2] Unethical banking practices

The unethical ways of banking practices, particularly million rupees failed loans, inflicts pain on bank customers whose pockets

are being exploited. the taxpayers who are innocent are paying for these loses.companies may bribe the banks and present the fake financial informations and claim benefits from the government.this is one of the major sector were a large amount of unethical practises are carried out

[3] Illegally-obtained funds

Here there  are no prper indications as to the amount of illegally-obtained funds in the banking system througout the globe.some companies illegally obtain funds by cheating the banks,government etc.... the most effected department is the income tax department.many people are not paying the tax which is a great lose for the government of the nation.

[4] Investment fraud

 An advance-fee is the most common feature of financial frauds. posing as a agent for a bank, oil money etc, offers a business loan on favourable terms. The victims may be offered low-interest loans or high-interest investments in return for payment of the advance fee. Once the fee is paid, the loan or investment disappears. And thus many new young and vibrant investors will go out of the field.

[5] Unethical practices of accountants

Although there are many ways by which accounting standards are set many companies do unethical practices in keeping proper accounting information inorder to escape from income tax .

                  CURRENT         ETHICAL ISSUES IN                 MARKETING

Ethical issues in marketing arise due to the conflicts and lack of agreements on special issues. Parties involved in all marketing transactions have a lot of expectations about how the business relationships will be and how various transactions need to be carried out.

[1] Ethics in Advertising and Promotion

Sexuality is the major place of discussion when ethical issues in advertising  are considered. Violence is another  important ethical issue in advertising, specially where the children should not be affected by the contents in the advertisement.Some select different methods of advertising that may strongly offend some groups  of population even when 

they are of strong interests. 

[2] Pricing Ethics

There are various forms of unethical business practices related to pricing the products and services.

Ø Bid rigging it is the type of fraud in which commercial contract is promised to one party, however, and in that other parties also present a bid.

Ø Predatory pricing is the practice of sale of the  products or services at  negligible price, intending to make competitors out of the market, or to create some barriers to entry,so that they can rule the market.

[3] Anti-Competitive Practices

There are various practises that are anti-competitive in nature. For example, bait and switch is a type of fraud where customers are "baited" through the advertisements saying some products that have a low price; however, the customers finds out that the advertised good are unavailable and they are "switched" towards a product that is more costing  and was not intended in those advertisements.

[4] Delivery Channels

Direct marketing is one of  the most controversial form of advertising channels,they are like that  particularly when approaches are unsolicited. TV commercials and direct mail are the very common examples. Electronic spam is one majour issue and telemarketing push the borders of ethics and legality more  powerfully.

[5] Using Ethics as a Marketing Tactic

Major corporations fear the damage of  their image associated due to unethical practices. Marketers have been very fast  to understand the market’s taste or like for ethical companies, often moving faster to take advantage of this shift in the  consumer  taste. This results to the propagation of ethics itself as a  component of a corporate image.

Current Unethical Issues In Marketing

There are many unethical practises done or faced by marketing  departement or managers,some of such practises are:

[1] Misleading advertising

Misleading advertisements are very much unethical—they’re illegal. The Federal Trade Commission (FTC) regulates “truth in advertising,” and strictly watching  that businesses make very accurate statements in their advertisments . However, it is very common for advertisers to exaggerate some of the features and fake others in order to make their products look more  attractive as possible, and the line becomes somewhat blurry.

Contacting people without consent.

Many businesses have used this tactic to contact people whom they dont   know.
this is happening because of stealing or due to misuse of credentials or private informations which is unethical.

[3]. Insensitive controversy.

making up a bit of good controversy more can be an effective way to get more attention in marketing. you can stand out as a thinking leader by presenting a not so popular opinion, and cultivate discussion among the readers. However, when you enter into a world of controversy , you will be probably end up making more enemies than new fans.

[4] Stereotyping 

Considering women as sex symbols just to draw attention to a product.While it might be intuitive to use models in adverts for beauty products and , having half-naked models in advertisements for generators, heavy machinery, smartphones and other products will not strongly related to women is both nonsensical and unethical.

[5] Exploiting emotions or a news event

 events like this  pop up every once in a while, then make  quick exit when the consumers complain about feelings that are manipulated. Such was the case after the September 11 terrorist attacks, when some of the  advertisers tried to evoke sympathy – for New Yorker, firefighters and survivors – while also selling their products.This is exploiting emotions for business which is unethical.

     

Current Ethical Issues In        Human Resource

There are many ethical issues that are faced by the Human Resource department in the current time.Some of the current ethical issues faced by the human resource department are:

[1] Employment Issues:

HR professionals are facing a maximum number ofethical dilemmas in the areas of hiring of employees,Because their  main duty is to recruit and appoint new employees as well as to work for the good will of employees.

(a)Problems faced by HR related to employees:

Ø Pressure to hire a friend or relative.

Ø  Fake credentials submitted by a job applicants

Ø Discovery that an employee who has been with the organisation for some time, is skilled and has established a successful record, had faked about his educational credentials.
    

[2]Cash and Incentive Plans:

Cash and incentive plans consists of issues like basic salaries, annual increments , executive perquisites and long term incentive plans.

Ø difference in salary scales due to gender difference.

Ø  company may  face financial problems at the time of giving increments.

[3] Employees Discriminations:

The problem of discrimination among employees on the basis of their caste, sex, religion, disability,  occurs . A crucial ethical challenge arises when there is more pressure on the HR manager to protect the firm or an individual at the expense of someone belonging to the group which is  discriminated.

[4] Privacy

Human resources are involved in most of employee relations including hiring, firing, compensation, benefits etc.. Human resources representatives have access to the most sensitive informations. Keeping this information private is an ethical issue. Human resources managers have a duty to maintain the confidentiality of an employee's personal information.

 [5] Safety

Employee safety is a major issue faced by human resource managers. The department must prevent such situations. Human resources must act on dangerous conditions that concerns safety issue in the organisation.  

[6]  Diversity

Workplace diversity faces various qualities, characteristics and experiences that evaluates one worker from another. Treating an employee differently because of these differences creates an ethical issu. HR managers implement policies that promotes diversity in the organisation and welcome the different charecteristics of the entire organisation.

[7] Sharing Personal Information

Human resources files are to be stored in secure locations and should be made available only during management review. Sharing personal information with anyone else inside or outside the company without the concern of  a supervisor presents an ethical issue.

Current

     Unethical Issues In HR

There are many unethical practises done or faced by HR departement or managers,some of such practises are:

[1] Disguised Salaries:

 This is the major unethical problem where the salary that is offered is misquoted. The extent of difference between the actual salary in-hand and the one quoted at the time of recruitment ranges from lakhs to  thousands . The senior employees and the higher managers have  learnt their lessons by passing through many hurdles and will search about salary fixation.

 [2] Training Policy

All HR departments have training related problems  as training is one of the main function of HR. Only a few HR managers are able to do this function in the overall management of the organization thus, actually targeting learning and development strategy.  when training is not in a systematic manner  it loses all significance in the minds of workers.

[3] Job Descriptions

Most organizations today makes a good a and clear job descriptions and job specifications. However, the actual application of these Job descriptions remains rare with most  managers preferring to use a far good flexible approach. when the job descriptions are not prepared in a true manner it creates issues.

 [4]  Direct Line to CEO:

 Many companies offer direct communication to the CEO or the HR Director through their emails t. It is one of the good HR policiewhich has become unethical  in a few organizations. What happens is that the employee who dares to reach  the CEO or HR Director is penalized by  and the HR department 

[5] Harassment:

Harassment is creating a big issue for the employee to perform his duties. Harassment  are resorted by the bosses or co-workers with many motives. Harassment in an organisation is common 

[6] Unlimited Hours of Work:

Since last 15 years and more  there is a revolution in working hours. there is a huge violation in the working hours because many organisations are forcing employees for more hours of work which make employees unmotivated.