Indian and Asian Approaches to Theory and Ethics

Asian and Indian Approaches to Ethics and Theory

Business ethics is a form of applied ethics dealing with moral rights and wrong. (Thite, 2013). In the contemporary business environment, a firm orientation to corporate ethics is influenced by its organizational culture, and India has become one of the rising superpowers in the contemporary global economy where HR (human resources) are very critical for organizational strategic advantages because effective management of employee is crucial for organizational innovative advantage. Moreover, HR focuses on employee welfare and functions to develop their talents for a firm's growth. Despite the benefits of the HR to organizational market advantages, organizations face real challenges in balancing ethical values and business with reference to HR function. A firm ethical reputation determines the ability of a firm to attract and retain talent and competent employees.

Objective of this paper is to explore Asian and Indian approaches to ethics and theory

1. Ethical dilemmas and Issues

Danon-Leva, Cavico, & Mujtaba, B.D. (2010) define business ethics as a specialized field that provides an interaction between business and ethics. Thus, several Indian firms are internationalizing their businesses operating in both developing and developed countries investing in HR practice to comply with international standards and employment regulations. Marta, et al. (2013) define institutionalization of ethics as a level by which organizations incorporate ethics into corporate decision making. Similar to India where organizations are integrating ethics in their organizational practice globally, Thailand has also integrated ethical practice in their business operations. For example, Thailand has shown an increased interest in the quality of works by integrating ethical practice in business operations. Despite Thailand's effort in promoting quality of life through an ethical practice, the institutionalization of ethical practice in the United States and Thailand is different. A collectivistic is the characteristics of Thailand culture while individualistic is the characteristics of American culture that strengthens or weakens the internationalization of ethical practice. Marta et al. (2013) point out institutionalization of ethics is very important in corporate decision making, however, Thai organizations demonstrate a lower level of implicit and explicit ethical practice compared to the U.S. organizations that integrate a high level of ethical practice in their decision making that affect QWL (Quality of Work). The QWL refers to a level where employee derives satisfaction from a variety of needs such as resources, outcomes, and activity stemming from workplace participation. However, the degree of Thai ethical practice and level of development in Thailand do not make Thai organizations recording lower or higher level of QWL.

2. Ethical theories, moral frameworks or values influencing Ethical Dilemmas

Marta (2013) identify ethics institutionalization as one of the ethical theoretical frameworks where business organizations implicitly and explicitly incorporate ethics into their organizational decision making. Typically, implicit ethics refers to ethical behavior where open communication and leadership are incorporated in the organizational ethical behaviors.

However, Danon-Leva, Cavico, & Mujtaba, (2010) identify an uncertainty avoidance as a degree by which individuals believe they are being threatened by written or unwritten rule. Moreover, individualism is one of the ethical frameworks where individuals are expected to meet the needs of themselves and the needs of their immediate family only. However, collectivism refers to a situation where individuals with integrated birth form close ties. Comparative analysis of ethical orientation in Hong Kong and the United States reveal that the United States ethical orientation is influenced towards individualism, however, Hong Kong is increasing moving towards self- independence.

Generally, Thai organizations are more characterized by uncertainty avoidance than the U.S. firms. Since collectivism is more characterized in the Thai organizations, ethical policy of the organizations is to use a collective responsibility as the ideal workplace values.

3. Positions and Perspectives compared to Western ethical theories

Thite, (2013) argues that ethical positions and perspective in Asia are different from Western ethical theories. Both India and Thai organizations believe in collectivism as an ideal ethical orientation for organizations, however, western ethical theoretical framework relies on individualism. Indian companies demonstrate a level of collectivism where management put employees' interest above the shareholders.

However, Marta et al. (2013) believe that OWL dealing with a level of employee satisfaction is lower in Thai organization compared to the U.S. organization where QWL is considered higher because of the level of the U.S. development. Moreover, the authors believe that lower order QWL and higher order QWL are higher in western countries than Asian organizations such as Thai organizations because the U.S. organizations are able to meet employee social esteem, self-actualization, esteem, and esthetic needs. However, explicit and implicit and explicit ethics institutionalization are stronger in Thai organizations than American organizations.

4. Conflict among the ethical Frameworks, and the Implications.

The point of conflict among ethical frameworks is individualism in the U.S. organizations and collectivism cultural orientation of Thai organizations making them integrate the ethical theory of collectivism in the organization practice. However, Individualism is the ethical practice of the U.S. organizations because the U.S. culture relies on individualism than collectivism. The implication of this conflict is that the U.S. Company might face challenges in operating in Thailand successfully because of the conflict in cultural practice. Thus, western organizations intending to operate successfully in Thailand without facing cultural conflict should integrate the integrate theory of collectivism in their ethical orientation.