As we noted last year, there are various reports about the most ethical firms in the world. One of the most comprehensive such reports is compiled by the Ethisphere® Institute.
According to its Web site:
“The Ethisphere® Institute is the global leader in defining and advancing the standards of ethical business practices that fuel corporate character, marketplace trust, and business success. We have a deep expertise in measuring and defining core ethics standards using data-driven insights that help companies enhance corporate character and believe integrity and transparency impact the public trust and the bottom line of any organization.”
“The World’s Most Ethical Companies® program honors companies that excel in three areas – promoting ethical business standards and practices internally, enabling managers and employees to make good choices, and shaping future industry standards by introducing tomorrow’s best practices today. Honorees have historically out-performed others financially, demonstrating the connection between good ethical practices and performance that’s valued in the marketplace. In 2016, 131 honorees were named spanning 21 countries and five continents and representing over 45 industries. In its 10th year, the list includes 14 ten-time honorees and 13 first-time honorees.”
Of the 131 honorees for 2016, 99 are U.S.-based companies!
Click the image to see the 2016 honorees, designated by industry as well as alphabetically.
Very good ethical ranking, you need to consider more about ethics when you choose you business partners. and when you make your business decision, you should consider not only on your profit but also business ethics.
it is a very good ethical ranking, companies need to consider more about ethics when they choose their business partners. Also, when you make a business decision, you should consider not only on you profit but also business ethics.
Being among the world’s best ethical companies shows how well a company’s employees behave among each other and toward his customers. Ethical behavior is about behaving right. It is important because manager use ethics to make decision in order to achieve their goals in a company. Behaving right toward customers build a good relationship among companies and his customers. A company that is honest toward his customers increase the customer’s satisfaction which will create a chance that a customer will come back to the company to purchase more items. Based on theories of ethics, there is an ethic called the utilitarian ethics which says that a correct decision was one that tended to maximize overall happiness and minimize customers overall pain in order for a company to produce a great net profit. This is true because the more you make your customers satisfy, the more they will be willing to come back to your company to buy more inventories and the company will benefit by making more profits.
Agreed
I think its really important for companies to be ethical in what ever they do. And some of these companies have shown that. Ethical behavior is about behaving right. It is important because manager use ethics to make decision in order to achieve their goals in a company
I think it’s interesting that the EthiSphere ranks the ethics of a company based on internally promoting ethical business standard and practices (which is important for employee values and core market values), enabling managers and employees to make good choices (this boosts employee empowerment and overall company morale), as well as shaping future industry standards by “introducing tomorrow’s best practices today”. Ethics is so important for not just the company, but for the entire community the company functions within, including the global market. I am very pleased that there has been a trend and a stress on corporate social responsibility. Corporations have the opportunity everyday to make a positive impact in the world, and they can strive to do so by first creating an ethical working environment.
The ethical report plays an important role in supervising company, the firms that have a higher rank order definitely will get more trust from society so that have a bright development. However, for these firms with lower rank order, this report can reminder them to implement more social responsibilities not only earning money.
One thing I thought was strange is that Colombia is on the list with a government agency being their one, most ethical company. From what I’ve read, Colombia is one of the most corrupt countries as far as their government goes so I would really like to know what makes this one agency so ethical.
99 companies are U.S. based, I think the most important reason is the laws are flawless. For some other countries, they might have some tradition or culture like they give gifts to their partners to improve the work they are working together, and there are some gray zones in the law. So the companies and staffs may have a chance to do something unethical in the gray zones.