What is the Code of Ethics?
The company’s approach towards their ethical and moral duties has significantly strengthened in recent years.
Today the introduction of morality in the world of economics and business is due to the application and effectiveness of ethical tools that intervene in the regulation of relations between businesses and stakeholders.
The code of ethics is the main tool that almost all companies have now adopted, especially the large ones.
“The corporate code of ethics, also called the code of conduct, is a document that contains a set of social and moral rules dictated by the company and which all members of society must comply with. It is the charter of fundamental rights and duties where the ethical-social responsibilities (both internally and externally) of the company and the values it embraces are defined: it is voluntary and is not binding in accordance with the law. Its purpose is to remind everyone, always, of the spirit that drives the company and the reason why it was created. “
Sharing and Approval
The code of ethics may seem like a simple expression of goodwill, but it is not. It requires the people, to whom it is addressed, to adhere and approve the listed principles and standards, building relationships of mutual trust within organizations.
In this regard, it is fair to clarify that adherence to the rules of the code does not mean that personal values will have to be changed to adapt them to what the company “wants”.
The code of ethics expresses values and requires consensus only in the sphere of interpersonal economic relations, without interfering in any way in the sphere of freedom of thought regarding the religious, moral and political convictions of each of us.
Ethical Code: Why?
The values, the vision and the corporate mission are the fundamental elements of the ethical code. It identifies and enhances it and defines how to pursue and respect them. Ethical values must be considered fundamental principles that guide company decisions and the pillars that support interpersonal relationships.
The ethical principles of behavior on which the code is based are:
- compliance with the laws and regulations in force in the countries where the company operates
- equity and equality
- protection of the person
- environmental protection
- health protection
The code of ethics is aimed at all stakeholders, i.e. all those figures who are directly or indirectly involved in the business.
It is aimed at shareholders, management and directors who must take into account the principles listed above when making strategic decisions, setting objectives and proposing investments or new projects.
The code of ethics is aimed at employees and workers who must collaborate in achieving the corporate purpose. The code of ethics also regulates the company’s relations with third parties: customers, suppliers, public administration.
Companies adopt the Code of Ethics because on the one hand it defines behavioral standards, on the other it says that ethics does not conflict with the possibility of successfully conducting business affairs, but rather respecting moral rules is a prerequisite for making profits in the long run.
The code of ethics introduces a clear definition of the ethical and social responsibilities of the members of the company, preventing illegal behavior and building a good reputation, which is indispensable for growth.
The content, in fact, in addition to paying attention to the behaviors to be followed, also indicates the implications in the event of non-compliance and the methods adopted to ensure that this conduct is respected.
“As a business management tool, the code of conduct acquires fundamental importance, especially in view of the inspirational values and general rules that guided the birth of the company itself. And they have to keep doing it over time. “