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Business ethics lecture 2
placed in positions of trust who use
due care and loyalty in acting on behalf of
the best interest of the organization.
Duty of Diligence:
duty of care to make informed and
Duty of loyalty;
decisions should be in the interests of the
corporation and its stakeholders.
Conflict of Interest:
a person in a powerful authority
uses the position to obtain personal
gain usually at the expense of the
BoD and Officers’ compensation !
To remove the opportunity for
employees to make unethical
decions; developed formal systems
of accountability, oversight, and
control are knwn as corporate
How closely workplace decisions are aligned
with a firm’s stated strategic direction.
Alco compliance with ethical and legal
A system of checks and balances that limits
employees’ and managers’ opportunities to
deviate from policies and strategies and
that prevent unethical and illegal activities.
of auditing and improving
organizational decisions and actions.
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