Ethics also known as moral is determined by the class of philosophy to addresses about morality i.e. concepts such as good vs. bad, right vs. wrong and matters of justice, love, peace and virtue. The term is used to indicate how individuals or organization choose to conduct themselves in relation to universal moral behavior and actions. Ethics involve choosing actions that are right and proper and just. The individual behavior can be right or wrong, proper or improper and the managerial or individual decisions can be fair or unfair. Ethics are vital in businesses and all aspects of living. The foundation of society is built on Ethics. Without ethical principles a business/society is bound to be unsuccessful sooner or later. Business Ethics look at ethical philosophy, moral or ethical problems and deal with issues concerning the moral and ethical rights, duties and corporate authority between a corporation and its shareholders, workers, clients, media, government, provider and dealer. Ethics are connected to all discipline of organization including accounting information, human resource management, sales and marketing, fabrication, logical belongings information and talent, global business and financial system.
Social responsibility can be defined as the responsibility of the organisation to operate in ways that provides both its individual benefit like making a profit and also the benefit of its stakeholders- those people and groups who are affected in one way or another by the behavior of the organisation. For example, an industrial chemical plant has a responsibility not only towards its customers, but also towards the shareholders and the board of directors, and to those people who live in the surrounding area. This responsibility can be “negative”, meaning there is exemption from blame or liability, or it can be “positive,” meaning there is a responsibility to act beneficently. Let’s take an another Example, in corporate company a chief executive make expenditures on reducing pollution beyond the amount that is in the best interests of the corporation or that is required by law in order to contribute to the social objective of improving the environment. There are lot many benefits to any organisation of being social responsible. First and foremost benefit to organization is that to ensure the customers, suppliers and the local community knows what you are doing. Publicity like this can be a key part of using CSR to win contracts. People want to buy from businesses they respect. Through this way your business reputation will be growing day by day and it encourage customers to stay with you and do business with your company.