OUMM3203
PROFESSIONAL ETHICS
MAY 2022 SEMESTER
Name: Ho Trung Hieu
Class: 20BOES01
Student ID: 201401064
Email: [email protected]
Instructor: Tran Thi Tuong Vi
1.Introduction
1.1 Name of the organization : ACB bank
-Asia Commercial Joint Stock Bank was founded on June 4, 1993.
-Throughout the course of its operations and expansion, ACB seeks to become
one of Vietnam's leading banks. Presently, ACB operates a diverse transaction network
consisting of 350 branches / transaction offices, 11,000 ATMs, and 850 Western Union
agents around the country (by 2020).
-ACB Bank is a bank founded entirely with funds from local and international
investors.
-Given that ACB is a joint-stock bank and that the majority of its shares are held
by people, it may be claimed that ACB is a private bank.
1.2 Nature of business:
- The ACB's primary activity is microfinancing; it collects excess monies from
the public and loans them to economically active impoverished groups at a spread that is
often expressed in terms of interest and fees. In addition, To distinguish banks from other
nonfinancial businesses, a bank is a financial institution that offers banking and other
financial services to its clients. A bank is often believed to be an entity that performs
basic financial services, such as receiving deposits and extending loans. In addition, there
exist nonbanking institutions that offer banking services without matching the legal
definition of a bank. The banking sector is a subsection of the financial services sector. In
almost every nation, banks serve as the primary cornerstone of financial stability. In
addition to financial intermediaries, banks play a critical role as national financial
institutions that interact with individuals on a daily basis.
-A banking system is also referred to as a system that provides and offers cash
management services to customers, reports the transactions of their accounts and
portfolios throughout the day, trades with financial and bank-issued financial instruments,
provides currency exchange, and disburses various types of funds. The primary players in
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any nation's financial system are banks. Customers have access to a variety of banking
services and possibilities. All banks protect cash and valuables and provide loans, credit,
and payment services, such as checking accounts, money orders, and cashier's checks.
Investment and insurance goods are also provided by the banks. Some of the
conventional divisions between banks, insurance businesses, and securities firms have
reduced as various models for collaboration and integration within financial sectors have
evolved. Despite these changes, banks continue to take deposits and lend cash from these
deposits, which is their core function. On the other hand, the primary benefits that
distinguish banks from other organizations are their local and international payment
system offerings. This is an advantage that other schools cannot provide. Next fields
concern general banking operations: As financial tools, banks accept deposits and provide
loans. In addition to providing loans and accepting deposits, banks distinguish themselves
from other financial organizations by being the only ones to provide transaction accounts.
Retail customers, SME clients (small and medium clients), and corporate or business
clients may establish accounts. Depositors place their cash in banks, which are then
utilized for the distribution and development of various loan and financial instruments.
Banks are entities that supply and maintain a steady flow of liquid assets for all other
financial and nonfinancial organizations. The best and simplest method to comprehend
the banking system and how it operates is to examine the process of accepting large
deposits from "big man" corporations and then redistributing those money to retail
consumers in the form of smaller loans and financing instruments. Banks perceive pricing
disparities to represent their profit margin. At the same time, banks serve as transitory
attorneys for monetary politics. By monitoring and regulating the banks, the central bank
is able to maintain and influence the financial conditions of the nation.
1.3 Number of employees : 9,382
-As of December 31, 2014, Asia Bank employed 9,382 individuals in total.
Ninety-three percent of ACB's employees have bachelor's or graduate degrees, and they
get professional training at the company's own training facility. During the years 1998-
1999, the International Finance Corporation (IFC) financed an employee training
program managed by Far East Bank and Trust Company (FEBTC) of the Philippines on
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behalf of the American Community Bank (ACC). -lip-pin implantation In 2002 and 2003,
all levels of management participated in the Bank Training Center's banking management
courses.
1.4 Organisational chart
2. Identification and explanation of approaches in improving ethical behaviour in
organisations
2.1 1st approach: Ethical codes
-A code of ethics is a set of guiding principles intended to assist professionals in
doing business with honesty and integrity. A code of ethics document may explain the goal and
objectives of the company or organization, how professionals are to address challenges, the
ethical principles based on the organization's fundamental values, and the professional's
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obligations. A code of ethics, often known as a "ethical code," may include corporate ethics, a
code of professional practice, and a code of behavior for employees. Understanding Codes of
Ethics will be the topic of the next section. To clarify, Business ethics refers to how a company's
activities are guided by ethical ideals. Issues such as employer-employee relations,
discrimination, environmental concerns, bribery, insider trading, and social responsibility come
under the banner of business ethics. While there are several regulations that establish
fundamental ethical norms within the business community, it is mostly up to the leadership of a
corporation to define a code of ethics. Businesses and trade associations generally have a code of
ethics that workers and members are expected to abide by. A violation of the organization's code
of ethics may result in termination or expulsion. A code of ethics is essential because it clearly
outlines the standards of conduct and creates the framework for preventative measures. While a
code of ethics is not often needed, many businesses and organizations choose to adopt one as a
means of identifying and distinguishing themselves to their stakeholders. Given the significance
of climate change and the profound influence that human conduct has had on the environment,
many businesses have included climate considerations into their code of ethics. These principles
outline how the organization is committed to functioning sustainably or how it will transition to
doing so. In many circumstances, this dedication to sustainability increases a company's
expenses, but since customers are more concerned with the sorts of firms they connect with, it is
frequently worthwhile to incur these expenditures to maintain a positive public image.
Businesses of all sizes rely on their management personnel to establish an ethical standard for
other workers to follow. When administrators adhere to the code of ethics, they transmit the
message that all employees are required to comply. There are several types of ethical codes. A
code of ethics may take several forms, but its primary purpose is to guarantee that a firm and its
personnel comply with state and federal laws, behave themselves with an exemplary ideal, and
conduct business in a way that benefits all stakeholders.
In conclusion, a code of ethics is a collection of guiding principles meant to train
professionals to operate in an honest and useful way toward all parties concerned. A firm creates
an industry-specific code of ethics and mandates that all of its workers adhere to it. From the
industrial period to the contemporary day, corporations' moral decisions have developed. In the
world we live in now, working conditions, a company's influence on the environment, and its
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treatment of inequality are all deemed significant in ways they were not two centuries ago. A
code of ethics helps in ensuring that organizations always behave with integrity.
2.2 2nd approach: Ombudsman Position
An ombudsman is an official, typically appointed by the government, who investigates
complaints (typically lodged by private citizens) against businesses, financial institutions,
universities, government departments, or other public entities and attempts to mediate or make
recommendations to resolve the conflicts or concerns raised. In certain nations, ombudsmen may
be referred to as public advocates or national defenders, among other terms. Ombudsmans
evaluate complaints lodged against corporations, other groups, and the government. Depending
on the jurisdiction, an ombudsman's ruling may or may not be enforceable. Nevertheless, even if
the ruling is not binding, it often carries a great deal of weight. Members of Congress in the
United States act as ombudsmen. Depending on the nature and complexity of the complaint, the
time required to process it might range from 90 days to nine months. The Role of the
Ombudsman Ordinarily, an ombudsman has a wide mandate that enables them to handle broad
problems in the public and occasionally private sector. Nevertheless, occasionally an
ombudsman's duty is limited to a particular sector of society; for instance, a children's
ombudsman may be responsible with defending the rights of a nation's youth, while in Belgium,
the many linguistic and regional groups have their own ombudsmen. Members of the United
States Congress serve as ombudsmen at the national level in the United States, representing the
interests of their constituents and maintaining staff tasked with advocating for constituents
experiencing administrative difficulties, particularly those caused by maladministration.
Ombudsmen are generally funded by levies and case costs, which are free for consumers to use.
There are ombudsmen in a broad range of nations and institutions within those countries. They
may be appointed on a national or local level and are often found in major enterprises as well.
Ombudsmen may concentrate only on complaints involving a single institution or public office,
or they may have a broader scope. Depending on the jurisdiction, an ombudsman's ruling may or
may not be enforceable. Nevertheless, even if the ruling is not binding, it often carries a great
deal of weight. Ombudsmen facilitate the submission of complaints against institutions (e.g.,
governments, enterprises, organizations, news outlets, and schools) without the complainee's
influence. They undertake impartial and fair investigations at no expense to the complaint, and
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they provide remedies or mediation services. When corruption exists, ombudsmen may
investigate, expose, and assist in correcting unlawful activity. Ombudsmen assist in preventing
governments from misusing their authority by, for example, passing unjust laws and exercising
unrestrained control over their subjects. In addition, they aid in restoring faith in the system's
fairness and capacity to handle problems. Besides conducting investigations and delivering
resolutions, ombudsmen act as a source of information on policies and processes. As an impartial
party, they are able to facilitate dialogue between parties and explain difficulties that impede
development. On the other side, an ombudsman provides little advantage if their effort yields
mediocre or no outcomes. The lack of commitment and service undermines the complainant's
and the audience's confidence. It is doubtful that a swift conclusion will be reached if the claim is
complicated. Investigations involve time and may need extra resources. Regardless of the advice
or resolution, the institution has the last say in determining how to settle the situation. Unlike
attorneys, ombudsmen are unbiased, with the exception of situations in which they argue for the
rights of others. Some are conversant with the law or have legal training, but they are unable to
provide legal advice. 2 If the complaint disagrees with the settlement, they may take other
proceedings, such as a lawsuit against the institution. However, once a matter has been brought
to a court, an ombudsman cannot investigate it.
2.3 3rd approach: Ethics Hotlines
An ethics hotline (sometimes known as a "whistleblower hotline") is a method for workers and
other stakeholders of an organization to report unethical activity, such as fraud, waste, abuse,
misconduct, or breaches of company rules or laws and regulations. Ethics hotlines often consist
of an anonymous web form to be filled out and submitted, or a phone number to call and leave a
message with an operator. These communications are always transcribed by the operator, and the
transcriptions, not the actual audio messages, are provided to the organization. These hotlines are
accessible around-the-clock, seven days a week. Most ethical hotlines use third-party providers
in order to protect the privacy of its users and cultivate their confidence. In the past, ethical
hotlines were seen as a means of silencing complaints rather than addressing them. Motives for
maintaining an ethical hotline: The Association of Certified Fraud Examiners discovered that
firms employing an ethical hotline suffered 50 percent fewer expensive frauds and caught fraud
50 percent faster. Ethics hotlines let you to monitor your company from the viewpoint of your
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workers and other interested parties without fear of reprisal. Typical objections to the hotline
include, "At my site, I am attempting to foster a culture of trust and open, adult dialogue." Well,
this is all well and good, but why should an ethical hotline prevent you from establishing a
culture of trust inside your family? The positives of ethics hotlines exceed their negatives. By
far. Here are several: Hotlines are an established resource. Companies are now able to recognize
and handle a multitude of problems and concerns thanks to. Therefore, hotlines are a strategic
need for maintaining a company's ethical fiber. A public ethics hotline serves as a deterrent for
prospective offenders. According to research, in-house hotlines do not adequately secure
businesses. A third-party whistleblower hotline service enables your staff feel safer and more
confident to disclose wrongdoing since they are less likely to be recognized and, thus, less likely
to face reprisal. Hotlines save businesses a TON of cash. This is only one illustration of how.
The Hotline receives a call from a dismissed employee stating that his discharge was unjust. The
conclusion of an impartial, independent review is that the firing was not improper. Thus, it is
supported. Personnel call the former employee again, indicating that an independent review of
the firing was conducted and that "I regret to inform you that the termination remains." We wish
you nothing but the best in the future." Anyone who has made a significant number of these calls
will verify that the great majority of the time the caller expresses thanks for the inquiry and the
response. They feel pleased that someone heard them, since this is often what they want most. It
is exceedingly unlikely that such individuals would retain lawyers and sue the corporation for
wrongful termination. However, without the Hotline, a proportion of them would have sued the
corporation. This phenomena cannot be quantified in monetary terms, but experience indicates
that it is not negligible.
2.4 approach: Ethics Training
The goal of Ethics Training is to "enable employees to perceive and solve ethical challenges by
developing their moral intuitions, which are implicit in everyday choices and actions" (Sacconi,
de Colle & Baldin: The Q-RES Guidelines for Management, 2002). Similarly, ethics training
programs aim to "enable all members of the organization to grasp, share, and apply the ethics
code's values" (de Colle & Gonella, "The Social and Ethical Alchemy", 2002). Training in Ethics
helps members of a company to assess the moral soundness of their judgements and use moral
principles and values while making business choices. In doing so, ethics training achieves a
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balance that is acceptable to all parties. Implementing ethics training entails not only informing
employees about decisions made by the company's management, but also putting each corporate
member in a position to comprehend, internalize, and contribute to the achievement of the
corporate mission by consciously orienting their own choices and daily actions. The specialists at
the DCU Institute of Ethics provide support in planning and conducting a large variety of ethics
training activities that equip participants with a set of "ethical capacities" and yield the following
organizational advantages: In general, regarding employees: Enhancement of their capacity to
recognize and evaluate ethical challenges (Awareness-Raising Training); Regarding decision-
makers: Enhanced capacity to understand and apply corpus of ethical values. Facilitating the use
of CSR and sustainability instruments (e.g., code of ethics, social and ethical accounting,
sustainability reporting, Internal ethical audits, ethics committee, etc.); These benefits may be
obtained via a range of training methods and formats, such as awareness-raising seminars and
problem analysis training. Focus groups on certain organizational difficulties and stakeholder
ties; Role-playing exercise for a group
3.Suggestion on the best approach for the selected organisation
I believe that the best approach for ACB Company is to adhere to ethical code. By emulating
others, countless firms and organizations have adopted an ethical code. The CFA Institute
(CFAI), which gives the Chartered Financial Analyst (CFA) degree and creates the CFA tests, is
an appropriate example. CFA Charterholders are some of the most regarded and well-known
financial specialists in the world. According to the CFAI website, members of CFA Institute,
including CFA Charterholders, and candidates for the CFA designation are required to adhere to
the following Code of Ethics: Regarding the general public, clients, prospective clients,
employers, employees, colleagues in the investing profession, and other participants in the global
financial markets, conduct yourself with integrity, expertise, diligence, and courtesy. Place the
integrity of the investing profession and the interests of consumers ahead of their own. Exhibit
appropriate prudence and independent professional judgment while doing investment analysis,
making investment recommendations, taking investment actions, and engaging in other
professional activities. Practice and encourage others to practice in a way that reflects well on
themselves and their profession. Promote the integrity and viability of global financial markets
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for the greater good of society. Maintain and improve their professional competence, and
endeavor to achieve the same for other investment professionals.
4.Discussion on how to protect employees’ rights to privacy and at the same time to protect
the employer.
Employee privacy rights limit an employer's ability to examine an employee's products, person,
conduct, comments, and communications. Employee privacy rights limit what an employer may
do with an employee's possessions, person, conduct, comments, and communications, especially
at work. The nature and scope of these rights are rising issues, especially with the internet and
social media. These communication channels may seem private, but they're not. Employers may
search business computers, social media, and the web. Employment law covers obligations and
rights for present, former, and future workers. It covers wrongful termination, discrimination,
employment safety, taxes, and remuneration. Federal and state laws govern many of these
problems. When an employer and employee establish a contract, state contract law may apply.
The rights of public and private employees may differ. Passwords, information segregation, or
electronic lockboxes may provide workers subjective privacy expectations, but corporate policies
may undermine any objective expectation, and some technologies may not be regarded private.
Privacy problems in the workplace must be evaluated case-by-case since legislation haven't kept
up with technology. Employee privacy rights cover work and personal information, but company
policy governs them. Technology lets companies track employee activity. Many methods of
surveillance are legal, and most companies do it. Employers may look at employees' "digital
footprints" to gauge their conduct. Almost every office computer activity may be seen freely.
The employer can hear and read most office talks. Using an employer's equipment isn't private.
Work Internet/email privacy
Companies may monitor employee email, laptops, and phones. All monitoring rules must be
documented, established, and signed by employees. Email and computer monitoring guidelines
must state that employees should not expect privacy when using corporate resources or on
business property. Employers don't have the time or resources to monitor every employee, so
they block access to irrelevant websites or utilize monitoring software to discover infringement.
Employers may use applications to monitor employees' displays, hard drives, and computers in
real time. Employers may also monitor email, which may include private communication. Not
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usually checked, but kept in case it's required later. Additional monitoring includes technology
that analyzes terminal idle time and keystrokes per hour, which may disclose whether personnel
are below or above thresholds. Workphone Privacy Employers may monitor workplace calls,
with limits. The ECPA prohibits employers from monitoring employees' personal phone calls,
even if made or received at work. Act requires firms to declare that conversations are monitored
and makes it a civil violation to read, disclose, delete, or prevent access to an employee's
voicemail. Employers may monitor customer or client calls for quality control, but must tell
California call recipients. A pen register tracks extension dialing. This shows employers
extension numbers and call durations. Data may be utilized to measure staff client time. Private
companies may monitor employees through camera in a parking garage for safety and security.
Employers must advise employees, customers, and anybody in camera range that their property
is monitored. Audio in video recordings violates federal wiretap laws on spoken
communications. Surveillance cameras must be utilized to deter violence, theft (including
internal theft), or monitor staff productivity. They can't be used in restrooms, locker rooms, or
break rooms. The NLRB bans companies from employing video surveillance to spy on unions.
Doping, Private organizations may test employees for drugs and alcohol, but data cannot be
shared, and many regulations restrict an employer's authority to drug test existing staff.
exclusions: Risky jobs for oneself or others. Drugs may have caused the accident. Slurred speech
or bloodshot eyes indicate drug usage. How, when, and why are these conditions not legislated?
To prevent lawsuits, a company should announce its drug policy. Human rights Job rights
include nondiscrimination, fair compensation, and privacy. Job seekers have rights, including not
being discriminated against based on gender, age, race, religion, or national origin. Worker
privacy is a right. It includes briefcases, handbags, lockers, and private email. Freedom from
harassment and discrimination are employee rights. Expecting a chemical-free, risk-free
workplace. Fair pay, the freedom to criticize or sue a company (called "whistleblower rights")
Federal labor legislation Federal laws cover jobs. Review: Physical or mental handicap that
inhibits vital living activities. Bans disability discrimination. A handicapped individual who can
perform crucial employment activities with or without accomodation can't be discriminated
against. Age Discrimination Act Young employees can't be favored by employers. 40-year-olds
in enterprises with 20 or more workers may apply. Doesn't prohibit employing elders. The FLSA
governs work hours and breaks. Overtime and pay are governed by the feds. FMLA compels
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firms to give 12 weeks of medical leave. The employee must have worked 1,250 hours before
leaving. Allows competent staff on leave. Reciepts Legislation doesn't protect private firm
workers' employment references from future employers. Not a good idea to give out employee
data such name, date of birth, SSN, salary level, or work schedule. A HR worker should handle
the request and record who wants it and why. Before sharing employee info, seek formal
approval. Web search Private firms may search for an employee, their workplace, their property,
or even their car if on company property. Personal searches may lead to legal action against an
employer, and forced body searches are perilous. GPS-tracking Employers may use GPS to
follow employees in company-owned automobiles or equipment provided there's no reasonable
expectation of privacy. Minnesota, California, Texas, and Tennessee forbid employees from
using GPS to track individuals, but not business cars. Businesses track employee cell phone
whereabouts. Mail, Your employer may open your mail. Federal law bans blocking mail, yet it's
delivered at the workplace. media watch Companies often regulate what workers may say on
social media about the organization. Compliance Building contains social media rules for
companies. In certain locations, corporations can't penalize workers for social networking
outside of work unless it harms the organization. Generally, work-related posts should be
avoided. The National Labor Relations Board (NLRB) has ruled on corporate social media
initiatives. Companies shouldn't ban federal labor law actions like discussing worker conditions
or compensation. Unrelated to a group activity, minor issues are generally safeguarded. Many
states shield job hopefuls from companies that require social network passwords or usernames.
5. Summary
In conclusion, during the course of this project. Significant improvement has been made in the
students' capacity to use the notion of organizational methods to enhance ethical behavior inside
an organization. In addition, the optimum organizational strategy for ACB is being clarified. In
addition, the employee's right to privacy is clarified, as is the employer's right to be protected.
All of these statements are crucial to an organization's ethics.
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