Business Ethics & Corporate Governance

Program Credit Course Code : PGPM : 3 : SL GM 602 Class of Sessions : 2012 : 30

Fourth Semester

AIM
The course aims to provide a brief background of ethical, moral and value based issues in evaluation of society and its impact on business relationship.

Learning Outcomes
1. Explain the concept of ethics, moality, values and utilise them to solve typical real life business problems. 2. Demonstrate the ethical perspectives in different functional department of the organisation such as marketing, finance, strategy and ethical issues at workplace. . !naly"e the different approaches of #orporate $ocial %esponsibility &#$%' and discuss the current #$% practices in (ndia as well as abroad. ). #ompare the different *lobal #orporate *overnance models and assess the change in *overnance mechanism over the period of time. +. %ate different organisations as per the different #orporate *overnance rating models. ,. Discuss the recommendations of different committee reports as well as different clauses and acts regarding #orporate *overnance mechanism R F R !C "##$S -usiness Ethics and #orporate *overnance #orporate *overnance /rinciples, 0echanisms 2 /ractice -usiness Ethics 2 #orporate *overnance %&'(#R ) P&"L*C%'*#!

!.# .ernando
$wamy Dr. /artha $arathi, -i"tantra 2111 (ndian Text Edition

!n (ndian /erspective 3 !. #. .ernando 3 /earson Education -usiness Ethics4 #oncepts and #ases $ixth 0anuel *. 5elas6ue" Edition -usiness Ethics 0anaging corporate citi"enship and sustainability in the age of globalisation 7 $econd Edition -usiness Ethics 2 #orporate *overnance #orporate *overnance -usiness < *overnance 2 $ustainability !ndrew #rane, Dirk 0atten 7 8xford 9niversity /ress (9/ T .:. $atheesh ;umar 7 8xford 9niversity /ress, 2111 The (nstitute of #ompany $ecretaries of (ndia &Taxmann', 2111

Detailed Syllabus &nderstanding thi+s: 0orality, Ethics 2 value4 Ethical absolutism, relativism, sub=ectivism, 0eta Ethics, :ormative Ethics& Telelogical Ethics, deontological ethics 2 Ethics by virtue' , !pplied Ethics, Traditional Ethical Theories 4 #onse6uential , :on #onse6uential Ethics of %ights 4 0oral %ight, >egal right, /ositive %ight, :egative right, ;antian %ight 2 #ategorical (mperative ,Ethics of ?ustice 4 Distributive ?ustice, %etributive =ustice 2 #ompensatory =ustice, Ethics of care 3 >aw and morality4 ;ohlberg 0odel, *illigan 0odel . Managing "usiness thi+s4 Organisation & its Customers : /roducts safety 2 liability, product information, (ntellectual /roperty %ight !cts , !dvertisement 2 regulations, #onsumer %ights 2 #onsumer protection !ct Organisation & its employees : Ethical issues, discrimination at work place !ffirmative action, reinforcing and structuring ethics in organisation, code of conduct, Employees responsibility in the organisation. Organisation & natural Environment: Environment /rotection !cts, sustainable development, green marketing, Environment and social impact of pro=ects. Ethics in 0arketing, .inance and business Ethics in global contexts. Cor-orate So+ial Res-onsi.ilit/: Trusteeship concept of 0ahatma *andhi, 0ultiple $takeholder theory, $ocial responsibility of business4 debates for and against. London Grou- "en+hmar0ing Model, %+0erman1s Model, Carroll1s Four Part Model, *ndi+es for CSR: "usiness in n2ironment 3"* 4 *nde5, 6o7 8ones Sustaina.ilit/ Grou- *nde5, 'omorro7 *nde5. "usiness of Mohammad 9unus. Com-le5it/ of thi+al *ssues: #onflicts in decision making from ethical and economic point of view7 Ethical Dilemma4 Prisoner1s 6ilemma 7 $olving ethical dilemma 0anagerial integrity and decision making with special reference to bribery, child labour, wages etc. thi+al Leadershi-4 /ersonal (ntegrity and self development 3 wisdom based leadership. 2oluation of Cor-orate Go2ernan+e:. @istory of #orporate form and models 7 #orporate 8b=ectives

and goals, 8wnership pattern 3 (ssues in managing public limited firms 3 !gency problems, stewardship concept. *lobal and :ational /erspectives 3 *lobal #orporate *overnance models 7 !nglo !merican and %elationship model &*ermany, ?apan and .rance'7 #laims of 5arious $takeholders 7 Ahy governance 3 #hanges in eighties 7 #adbury %eport, @ampel %eport and 8E#D #ommittee %ecommendations 3 $8B !ct.
*nternal Cor-orate Go2ernan+e Me+hanism:

-oard of DirectorsC .unctional #ommittees of -oardD #ode of conduct, Ahistle blower protection act. 5ternal Cor-orate Go2ernan+e Me+hanism4 Emerging role of %egulators in (ndia, *ate keepers. 0inority (nvestor /rotection, %ole of (nstitutional (nvestors, #orporate %aiders 3 #ompany >aw take over code
Cor-orate Go2ernan+e Ratings : "usiness

5+ellen+e %7ards Cor-orate Go2ernan+e in *ndia4 #orporate form in (ndia post independence and post liberalisation 73 #((, ;umaramangalam, :arayanamoorthy, :aresh #handra, ?? (rani #ommittee reports 3 >egal and %egulatory #hanges 3 introduction and modification of #lause )E, -oard composition, $tructure, numbers and types of directors, duality of the roles of #hairman 2 #E8, mandatory and voluntary re6uirements with special references to various committees and disclosure norms, 7 #orporate governance in practice in (ndia under (ndian #ompanies act, #orporate frauds &Enron, Aorldcom, -##(, $atyam, ', 0oney laundering , .E0! 2 #ompetition act Cases ! Dent in Aal 0artFs public (mage7 The /% $trategy #hina !viation 8ilFs #ollapse4 $ingapore (:#Fs challenges, #hild labor in #oca (ndustry7

Obesity Concerns: Burger Kings Product Revanges,

Source: Case Studies for Managers, Vol. II, IBSPCD -hopal *as Tragedy

Source: BECG Main Reference Book

Suggested S+hedule of Sessions

Topic
9nderstanding Ethics 0anaging -usiness Ethics #orporate $ocial %esponsibility #omplexity of Ethical (ssues Ethical >eadership Evaluation of #orporate *overnance (nternal #orporate *overnance mechanisms External #orporate *overnance 0echanisms #orporate *overnance %atings #orporate *overnance in (ndia 'otal 30 1 1 G

No of Sessions

/D. to Aord