How Entrepreneurs Can Address the Importance of Ethics in their Organizations


Q1. Cal Whiting believes entrepreneurs need to address the importance of ethics in their organizations. However, in his own company he is unsure of where to begin because the entire area is unclear to him. What would you suggest?

It is suggested that Cal Whiting start with the human resources department within his organization. Any social aspect of a company will function through human resources. Human Resources deals with various employee personalities, and it is a team of experts trained in emotional and cultural intelligence.

Cultural and emotional intelligence are baselines to developing a code of ethics within an organization. Writing and distributing these guidelines for everyone in the organization to read and follow (Kuratko, 2016). Cal Whiting is advised to meet with his human resources staff, to get a sense of what specific rules, boundaries, regulations, and behavior he can expect from the people he employs. Disseminating these foundational guidelines in writing, will allow him to know exactly where he can begin to establish ethics within his organization.

Q2. Where can he begin?

Gathering current information from human resources on their findings of how the various teams and departments throughout the company approach ethics. Unethical practices have a corrosive effect on free markets and free trade (Kuratko, 2016). Frontline managers can conduct one on one interviews where their personal opinions and insights can be gathered and organized into a database that shows ethical issues that need to be immediately addressed. Keeping the morale of employees and frontline supervisors inspired and uplifted is paramount, and that can only happen when you know what their ethical concerns are.

Q3. What should he do?

Incorporate speaking and gathering of data from human resources and frontline supervisor interviews, Cal Whiting can then, examine and analyze information to gain an understanding of his team’s cultural, emotional, and professional business practices. This will develop into a code of ethics that resonates with his management teams and the personnel he employs. This will also, filter out any employee who does not agree with the code of ethics, or individuals who are not on board with the new expectations of the company.


Kuratko, D. D. (2016). Entrepreneurship: Theory, Process, and Practice 10th Edition . Boston: Cengage Learning.