MN7181 - People and Organisations: Principles and Practice in Global Contexts - 10


Ethical Context of Human Resource Management

Defining HRM

"The process of hiring and developing employees so that they become valuable to the organization. HRM includes conducting job analyses, planning personnel needs, recruiting the right people for the job, orienting and training, managing wages and salaries, providing benefits and incentives, evaluating performance, resolving disputes, and communication with all employees at all levels".

HRM is the term used to describe formal systems devised for the management of people within an organization.

HRM can be defined in different ways, inclusive of different words and technical jargon, but in simple, as the process of managing employees in a company and it can involve hiring, firing, training, and motivating employees.

What is Ethics?

Ethics – discipline dealing with what is good and bad and with moral duty and obligation.
Ethics are those values which has been imbibed within an individual reinforced externally that help him into distinguish between right and wrong and to act accordingly. There can be several sources of ethics like religion, organizational culture, culture, legal obligations etc.

Ethics in HRM  

According to Winstanley, Woodall and Heery (1996), “ethics is a special branch of philosophy that focuses on the questions related to morality, that is concepts such as good and bad, right and wrong; fairness and righteousness”. Business ethics deals with the degree and extent of morality to be used in business (George and Zoe, 2010). Morals, standards, values and ethics have becoming more complex in the present modern society and the concept of absolutes is taken away by ambiguity. As per Pitt (2007), human relation management is concerned with a variety of ethical issues to be dealt with for making decisions related to businesses”. Before making the decisions, the various alternatives catering to the needs of the business must be checked and their effects on the lives of the employees must be considered. Nowadays the relationship between ethics and HRM is becoming a major issues to be taken care of. A significant turning point has been experienced by ethics and Human Resource Management.

The business ethics mainly put attention on social and ecological responsibilities of the companies within the society. Ethics are now becoming one of the most important internal concerns for the companies. Previously, the interests of the employees were not taken into consideration but now it has become one of the interests of the main responsibilities of the company to ethically manage human resources (Cristian and Andra, 2009). Now it’s the era of ethical leadership.

Areas of HRM Ethics
  • Basic human rights, civil and employment fights (Job security, feedback from tests)
  • Safety in the workplace
  • Privacy
  • Justifiable treatment to employees (Equity and Equal Opportunity)
  • Respect, fairness and honesty based process in the workplace


Role of HR in promoting Ethics
  • Improve recruitment and selection tests
  • Conducts ethics training
  • Ensure no pitfalls in performance appraisals
  • Rewards and disciplinary system
  • Improve and facilitate two way communication
  • Avoid discrimination among employees based on factors such as, caste, color, culture, religion, appearance
  • Equal opportunities to be given to all employees for his advancement and development
  • Measures should be taken for employee safety while working in the organization




References:
http://www.businessdictionary.com/definition/human-resource-management-HRM.html
https://www.inc.com/encyclopedia/human-resource-management.html
https://www.slideshare.net/saumyasingh7921/ethics-in-human-resource-management
https://www.ukessays.com/essays/management/critical-analysis-of-ethics-and-hrm-management-essay.php
https://www.i4cp.com/trendwatchers/2004/09/10/hrs-role-in-promoting-ethics
http://www.businessdictionary.com/definition/human-resource-management-HRM.html

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