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Comparison between two retail companies picked are Walmart and Costco

The two retail companies picked are Walmart and Costco whose 2017 Financial statement links are provided below: WALMART https://www.nasdaq.com/symbol/ wmt/financials?query=income- statement COSTCO https://www.nasdaq.com/symbol/ cost/financials?query=income- statement Both organizations are well known brands and position themselves well with their customer base. Walmart’s value proposition is “We save people money so they can live better”. On the other hand, Costco’s value proposition is “All-in-one convenience and everyday affordability”. Both retailers focus on cost saving for their customers. Looking at their financial statements and by analyzing them a few key areas are evident when comparing the two organization. Looking at the current ratio and quick ratio we can determine the short-term solvency of each organization. The current ratio can be determined by dividing the assets by the liabilities. Walmart’s current ratio sits at 0.86 while Costco’s sits at 0.99. The quick ratio is c...

Does management, in your view, help shape the values and ethics of an organization?


Ethics is an important part of a successful organization because owners and managers have to set the standard of ethics in the organization. It is management responsibility to set tone and shape the normal working environment. Seeds are easy to sow for unethical behavior in the mind of employees and it is especially important when people who are responsible does not set good example. Employees should know that there are personal and professional rights within the company. As if an employee is facing harassment, than the management should take it seriously. The working conditions are necessary and work schedule should be appropriate and fair. The administration, who does not keep employees' moral rights, will end up creating policies that can adversely affect the morale and motivation of workers (Fabian, 2017).

Is employee behavior, ethical or not, a by-product of the organization's ethical climate? 

Employees trust their management at the time when employees and executives practice ethical, respectful promises and act as a moral model. For example, an employee believes that he is treated fairly and morally, he will show same kindness to his colleagues, but if he believe that he is unfairly treated, he will behave radically different and will impact the environment of the organization. Low salary, no growth in career, non-equality between employee groups and no willingness from their managers in career development can affect employee's behavior. When the manager is unreliable, employees show bad behavior. Finally, the immoral environment will interrupt the business. For example, if a manager takes a credit for subordinate work, some employees will start copying behavior. Honest employees will begin to protect themselves by hiding their work from their colleagues and supervisors. Team work will reduce the capacity of the company due to lack of result and support. On the contrary, if managers perform ethical behavior and employ a good attitude, then positive corporate culture will help business grow and helps everyone succeed (Kulczak, 2016).

What ideally is the manager's role in helping to create and maintain organizational integrity?

Organizational integrity is based on the concept of self-governance in accordance with a set of guiding principles. A manager's role is to create an environment that supports ethical behavior, and to generate a sense of common accountability. Law enforcement is seen as a positive aspect of origination life, rather than non-steady barriers imposed by foreign authorities. Manager and leaders can positively influence the methods of moral behavior by fairly allocating organizational resources and linking them appropriately. There are five key resources to be manage by all mangers: people, money, capital assets, information, and time. Owners of these resources can use such methods to meet equality, equality and fair, or unequal equality and injustice. Managers who value justice and fair are more likely to change moral behavior in the organization (Kerns, 2003). Manager may also influence moral behavior in the organization by appreciate, motivate and recognize good work by their subordinates. Nobody wants to feel that it is not being appreciated. Rewarding system for your employees often encourages and appreciates their achievements. Tell them for the mistakes, and use the positive perspective to complete their tasks. Always acknowledge a well-done task and make sure your employees know what they are appreciated for good work.

Using your professional experience as a backdrop, provide examples of managers who have demonstrated ethical behavior (or not) and discuss how this affected the organization, the employees, etc.

Favoritism can reach a point where it damages productivity and costs key workers who leave because they don’t get recognized or promoted. When managers do not set parameters for how workloads should be assigned and how promotions, raises and bonuses are given, the culture of the organization is affected. I have worked with a previous manager who had this favoritism problem and not set rules for promotions. He would favor the employees who are close to him, praise him for his good or bad behavior and when the time comes for bonus and promotion these employees will benefit the most despite their low productivity in the work. This affected the whole department, as employees feel demotivated all the time, and many started to look to change the department or even the company. I was one of the employee who was affected for this bad practice by this manager and eventually I left the company just because of him. I believe that unethical behavior can cost the company as turnover will increase and experience employees will leave the company and only low productive employees will stay in the company.

References

Fabian, Karina. (2017, May 04). How Leaders Shape Company Culture. Retrieved from URL

https://www.businessnewsdaily.com/9917-leaders-company-culture.html

 

Kerns, Charles. (2003, March 15). Creating and Sustaining an Ethical Workplace Culture. Retrieved from URL

https://gbr.pepperdine.edu/2010/08/creating-and-sustaining-an-ethical-workplace-culture/

 

Kulczak, Paulina. (2016, December 01). The effect of organizational culture on employee behavior. Retrieved from URL

https://sites.psu.edu/psy533wheeler/2016/12/01/the-effect-of-organizational-culture-on-employee-behavior/

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