Discussion and responses

The concept of social responsibility is established by a system of ethics, in which decisions and actions must be ethically validated before proceeding. If the action or decision causes harm to society or the environment then it would be considered to be socially irresponsible. The concept of social responsibility and ethics can also applies to both individual and group capacities. It should be incorporated into daily actions/decisions, particularly ones that will have an effect on other persons and/or the environment. In the larger, group capacity, a code of social responsibility and ethics is applied within said group as well as during interactions with another group or an individual. Businesses have developed a system of social responsibility that is tailored to their company environment. If social responsibility is maintained within a company than the employees and the environment are held equal to the company’s economics (Klawuhn, 2011). Maintaining social responsibility within a company ensures the integrity of society and the environment are protected.

     Large organizations and publicly held companies often use corporate governance to promote business ethics and social responsibility. This governance creates the framework of policies, procedures, and guidelines for all individuals financially invested in a company. Outside stakeholders who do not have an investment can also benefit from corporate governance (Murphy, 2013). Large organizations and publicly held companies typically face more scrutiny pertaining to business ethics since they command large portions of a region or nation’s economic resources. These companies must try to provide benefits to local communities and increase the living standards of as many people as possible, and they must be careful not pollute the surrounding environment. While business ethics certainly play an important role in the business environment, it is possible for governments and individuals to demand too much social responsibility from companies. While companies should not abuse or misuse natural and economic resources, companies cannot pay for all the needs or wants of individuals (Murphy, 2013). Some governments, individuals, or special interest groups can try to force companies into paying more money to improve society than the company can afford. This can result in lower business profits and the inability to pay for future, more reasonable and responsible social items.

     Improper conduct in leadership levels usually has a direct impact on the attitudes and performance of employees. Employees who do behave ethically, for example, will begin to feel like following the rules won’t get them ahead within the company. This causes the motivation and performance of otherwise model employees to erode over time. On the flip side, some employees may see unethical behavior and assume it’s ok to adopt it themselves. If a restaurant manager is seen stealing money from the cash register at the end of the day, the bartenders and servers will start to think they should be doing the same thing. This type of behavior can have repetitive results that will eventually erode the very foundation that a good company's reputation was built on.

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