Ethical motives is basically what a individual believes is good or bad. By definition moralss is “rules of behaviour based on thoughts about what is morally good or bad” ( Merriam-Webster. 2013 ) . There are different theories of moralss which include virtue moralss. utilitarianism moralss. and the deontology theory. Virtue moralss is the theory that fundamentally says that a individual throughout their life should endeavor for moral excellence through life experiences. This theory looks at a individual over a period of clip to find if they have good ethical motives and considered an ethical individual versus establishing it off of one incident or “slip-up” . These “slip-ups” can be forgiven taking in history past workss of moral depravity and ethical Acts of the Apostless. The utilitarianism theory is moving morally for the good of a group or society. This theory is really popular in the United States and other Western capitalistic democracies. Utilitarianism works when the people in that peculiar group or society agree on what is considered moral and what would be deemed good for them as a whole.

The utilitarianism theory can besides be seen as societal duty with the existent definition being the “obligation of an organization’s direction towards the public assistance and involvements of the society in which it operates” ( BusinessDictionary. com. 2013 ) . The deontology theory provinces that someone’s actions are based on that is inherently right with no other computations being taken into consideration such as effects of the action. Deontology is based merely on rule and is justified through the construction of action. nature of ground. and the operation of the will ( Boylan. 2009 ) . Ethical motives and societal duty play a important function in the development of a strategic program particularly when sing stakeholders demands and dockets. Company’s primary mission is to do money and turn a net income for their stakeholders. This is done in many different ways and are outlined in the strategic program.

The company nevertheless needs to guarantee that their operations are ethical and non harmful to society or the community environing. Many companies walk a all right line between ethical and unethical when doing attempts to execute for their stakeholders. Stakeholders primary aim is to do as much net income as possible and in most instances in the shortest sum of clip possible. This is where companies are sometimes found traversing the line of moralss and societal duty. This may include cutting corners to hold a better competitory border within the industry therefore swerving off from the company’s original strategic program. In old ages past some companies have been caught carry oning unethical operations in the name of net income ( Wheelen & A ; Hunger. 2010 ) . The authorities has enacted statute law to do these activities less appealing to companies. Companies are now tasked with developing strategic dockets to suit their stakeholders demands and dockets while still sing moralss and societal duty.

Basically a company has to do it clear to stakeholders that their best involvements are foremost but moralss and societal duty will take precedency when developing a strategic program to take the company to success. The most popular and remembered company for transgressing ethical boundaries for stakeholders dockets would be Enron. Enron who began as a fighting energy supplier climbed its manner to the top of the nutrient concatenation in the industry to basically go a agent of energy. The company appeared to hold a great trade of moralss and societal duty from the outside looking in but things were non as they appeared after the company unraveled. It was found that top executives of the company were distorting paperss about net incomes and basically shed blooding the company of all of its assets over the old ages until its inevitable autumn.

This included doing non so ethical concern partnerships and doing efforts to conceal its debt through clever accounting fast ones to avoid entering the information on balance sheets ( Sims & A ; Brinkmann. 2003 ) . This all in an effort to maintain stock monetary values mounting to embroider the pockets of the executives and stakeholders likewise. Many stairss could hold been taken within Enron to avoid this state of affairs while still remaining successful. The first measure would hold been to develop a strategic program that non merely provided way for the company but set mileposts for the company to win.

Other stairss to avoid this type of activity is to develop cheques and balances within the company and non leting a choice few top executives to command everything without any answerability. The executives of the company set the tone for the company and when employees see them moving unethically so it is believed this acceptable within the company. Executives should be puting a positive illustration and promoting their employees to take the same attack.

Decision

Ethical motives and societal duty come manus in manus when covering with the universe of concern. When developing a strategic program a company needs to guarantee these countries are addressed and balanced when sing the demands and dockets of its stakeholders. This can every bit simple as maintaining stakeholders informed that it is indispensable to move ethically for the long term wellness of the company. Enron is a premier illustration of the adversities a company every bit good as its employees and stakeholders can confront when a company puts moralss and societal duty to the side. This besides reinforces the fact that companies should develop their strategic program with these in head and so lodging to the program so taking appropriate stairss to maintain the program updated to go on on the route to success.

Mentions
Boylan. M. ( 2009 ) . Basic moralss: Basic moralss in action ( 2nd ed. ) . Upper Saddle River. New jersey: Pearson. BusinessDictionary. com. ( 2013 ) . Social duty. Retrieved from hypertext transfer protocol: //www. businessdictionary. com/definition/social-responsibility. html Merriam-Webster. ( 2013 ) . Ethic. Retrieved from hypertext transfer protocol: //www. merriam-webster. com/dictionary/ethic Sims. R. R. . & A ; Brinkmann. J. ( 2003. July ) . Enron moralss: Culture affairs more than codifications. Journal of Business Ethics. 45 ( 3 ) . 243. Retrieved from hypertext transfer protocol: //www-rohan. sdsu. edu/faculty/dunnweb/rprnts. enronethics. hypertext markup language Wheelen. T. L. . & A ; Hunger. J. D. ( 2010 ) . Concepts in strategic direction and concern policy ( 12th ed. ) . Upper Saddle River. New jersey: Pearson Education.