MBA402 Governance, Ethics and Sustainability Report Sample
Your task is to draft a Code of Ethics for the Australian Cereal Manufacturer Noumi Limited:
https://noumi.com.au
https://www.ibisworld.com/au/company/freedom-foods-group-limited/8231/
formerly trades under the name Freedom Foods:
https://ffgl.com.au/brands/australias-own/
You are required to research recent news articles and other information about Freedom Foods, to discover some of the problems this company has faced in recent years.
The information you uncover will provide a brief Background discussion for your Code of Ethics.
Your Code of Ethics must specifically address the following ethical categories:
• Discrimination
• Exploitation
• Dishonest and Fraudulent Behavior.
Each section of your Code of Ethics will define the relevant ethical category, and then provide rules to Guide the behavior of employees and other company stakeholders.
1.1 Background
The best practices such as professionalism, honesty, and integrity that will help to set out the ethical guidelines for an organisation are known as the code of ethics. Terminations are sanctioned for the members who are found not to follow the code of ethics set by the organisation (Maranzan et al. 2018, p.361). In a few industries, specific laws in business codes are governed, involving finance and banking. Professional codes of ethics, codes of ethics based on compliance, and values-based codes are the few main types of codes of ethics. To commit to sustainability, companies' code of ethics focuses on the climatic changes that have been an integral part (Kusumaningrum, Sumarsono & Gunawan, 2019, p. 617).
As per MBA Assignment Experts overview, Noumi Limited is an Australia-based company whose primary purpose is to provide its customers with a healthier form of cereals. They manufacture their food, including proper nutrition, dairy beverages, and origins in plants to nourish the plants, their customers, and the communities (Bussu et al. 2021, p.667).
The blue label on dairy products, meat, and eggs sold in the retail outlets recognise Freedom Food. This is a scheme whose concern is the welfare of the animals. Freedom Food was renamed and is presently known as Noumi Ltd. this happened after the existing shareholders of Freedom Food voted in favour of the new moniker (Maranzan et al. 2018, p.361).
The cereal and snack company Freedom Foods is being probed by the corporate regulator ASIC for several "significant" accounting issues. The troubled firm also warned that $590 million in write-downs will reduce its profits. Its historical financial figures were erroneous, among other things, the business said in a flurry of notifications released after the ASX had closed on Monday (Abc.net.au, 2022). In an organization, fairness is done when the employees are promoted, but dispute arises when an unskilled and non-deserving employee is promoted. The code of ethics is enforced to establish fair and responsible practices for protecting the integrity of a particular profession, the code of ethics is enforced (Kusumaningrum, Sumarsono & Gunawan, 2019, p. 617). With the help of these codes of ethics, it is easier to explain the workers who go against moral dilemmas. The code of ethics in an organisation is enforced because they hold the morals and principles of a profession or an organisation.
This study will deal with the code of ethics used by the Australian Cereal Manufacturers based on discrimination, exploitation, dishonesty and fraudulent behaviour, whistleblower protection, and enforcement (Bussu et al. 2021, p.667).
2.1 Discrimination
Discrimination is defined as the unjust treatment of different category of people depending on the type of caste, religion, race, gender, age, etc., they belong to (Chapman et al. 2020, p.111).
2.1.1 Prohibitions
In our company, everyone working as an employee in any department is treated equally. No one is treated differently or discriminated against based on religion, caste, class, age, name, gender, etc. We respect every individual personal right, personal dignity, and privacy. We maintain a workplace which is free of harassment and discrimination (Chapman et al. 2020, p.115). Thus, in our organisation, we believe that the employees in an organisation should not also be discriminated against for any sexual orientation or engage with any physical or verbal harassment or other things that are abovementioned.
We do not deny jobs to any applicant whom we find is disabled or is of a different race, etc. (Chapman et al. 2020, p.117). Such behaviours which interfere with or create problems in others' work are also not allowed. Behaviours are inferior, abusive, intimidating, etc. Discrimination in our organisation is also prohibited for those who bring sexual remarks and advances which are not accepted.
2.1.2 Expectations
We expect our employees to raise the issues to the H.R. department if they face any issues of discrimination or harassment, as mentioned above or even if they see any such thing happening with another employee (Chapman et al. 2020, p.112). They are expected to do the same. If they have queries, they are free to ask anything related to the discrimination or harassment happening in our organisation. Form the employee who has noticed its co-worker facing discrimination is expected to go and encourage the employee if they reluctant then the information should be sent to the manager (Chapman et al. 2020, p.119). The company expects the company itself and its employees to be concerned about the welfare of their other co-workers. The employees must also help the company create an environment free of harassment and discrimination.
Any employee discriminating other employees will be subject to disciplinary action, which may include but will not limit to a formal written warning notice and/or termination of employment.
2.2 Exploitation
Exploitation is the actions of treating the individual unfairly which can be termed as misbehave, misuse, etc., so that benefit from someone else's work can be gained (Feichtner, 2019, p.601).
2.2.1 Prohibitions
In a working organisation, more sexual exploitation is expected, and our company is entirely against it. In our organisation, we consider sexual exploitation as gender-based violence. It is a very unwelcome code of ethics. This creates barriers in the workplace, and the employee or employees' feels uncomfortable working in such a situation (Feichtner, 2019, p.602). This is a very offensive act, and the company promises to take important actions against the employee or employees who are found to do this act. We know that women are the main target for such a situation. Specifying the acts to prevent it, acts like touching any employees which makes them feel uncomfortable, commenting or telling something to any employee or any other co-worker in front of everyone or personally which also makes them feel uncomfortable or does not sound very typical, is also prohibited in our company (Feichtner, 2019, p.603). We also have rules that are against labour exploitation.
2.2.2 Expectations
We expect the employees to maintain a distance or a certain distance from each other while talking or explaining something to create a comfortable environment for the company and employees. The employees in our organisation are expected to report to the human resource management department about such a situation if they face it or if they notice any other employee-facing it (Feichtner, 2019, p.605). The employees are also expected to work as a team where they should take measures on the spot of the other co-worker they see is facing sexual exploitation. As a company in the 21st century, we do not blame women for being the reason for arising issues of sexual exploitation. We have fixed specific dress codes, which should be maintained by both men and women equally (Feichtner, 2019, p.608). The employees are expected not to exploit any labour in our company because he is from a lower class or is not well educated. This harms the dignity of the company.
Any employee found to be exploiting other peers, will be suspended by Noumi for 1 month.
Dishonest and Fraudulent Behaviour is termed as the intention to gain unauthorised benefits leading to deliberate or failure of act defines fraud and dishonest conduct (Waharudin, 2019, p.20).
2.3.1 Prohibitions
In our organisation, we consider dishonesty and fraudulent behaviour coming from the employees when they are found to be dishonest. Dishonesty is not being truthful to the company. We expect our employees not to take advantage of our trust in them. The company shares little sensitive information with its employees, trusting that they will not harm the company's prestige (Waharudin, 2019, p.22). If the information is found to be liked, this leads to nothing but not trusting the employees. Actions will be taken where the employees can be forced to resign from the company, or the company can black mark the employee's resume or a case can be filed against the employees with compensation. Suppose we find that the employees have been leaking critical information about the company to the competitors (Waharudin, 2019, p.24). In that case, strict action will be taken that can lead the employee to life-long jail or life-long unemployment.
2.3.2 Expectations
As a company, we expect our employees to be honest with us. We do not want to create any problems for them and do not expect them to do the same. A culture of trust within the organisation should be created (Waharudin, 2019, p.26). We as a company will organise a meeting where we will share our weaknesses and strengths with our employees and always encourage them to strengthen those weaknesses and always make them realise that we trust them, but that does not mean that the employees have the right to take disadvantage from it and leak the information or treat it as a useless part (Waharudin, 2019, p.28). We expect our employees to draw a line between authority and responsibilities. We also expect our employees to follow the policies developed for managing and retaining the documents.
If any employee is seen to be engaged in any dishonest or fraudulent behavior, Noumi will send them warning letters and will be kept under supervision.
As per the act of Whistleblower 2014, it allows an individual to disclose to the Competent Authority which controls the acts of corruption or the willful misuse of discretion or power or crimes done by the public servants' (Scott, 2021, p.7).
2.4.1 Prohibitions
The fourth area of responsibility in our organisation is Whistleblower Protection. This ethic is conducted to protect the ethical officers who have been found guilty of misconducting investigations. We do not expect this protection act to be used much in our organisation because too much usage can lead the company to face legal issues, ultimately harming our prestige (Scott, 2021, p.9). Such protection is conducted even when the officials do not follow the mentioned ethical cases. When the mentioned code of ethics is disregarded without any fear of retaliation, Whistleblower Protection is applied to stop such things in the company. In our company, the ethics officer who had been found guilty might be replaced with some other staff (Scott, 2021, p.2). Many companies do not take this seriously, but here all this will be strictly prohibited. As it is misconducting, if it is seen that the employees have been found doing this more than once, then they would be asked for simple resignation. Nothing much will be done against them, as the company does not want such an employee (Scott, 2021, p.5).
2.4.2 Expectations
We as a company expect our employees to follow the code of ethics mentioned by the company in its rule book and not violate it. We also hope they understand the usage of Whistleblower Protection. They need to understand that the more valuable it is for easy identification of the wrongs done by the employees, the more it will involve society and the faster will lose the prestige of the company will be harmed (Scott, 2021, p.1). The employees are expected to maintain fairness and loyalty to avoid the constant usage of this protection regularly. Doing what is more just and fair will avoid conflicts that will harm loyalty.
Any information of the whistleblower of the company will not be disclosed and will be keep anonymous.
Enforcement is an act that pressurise laws, rules, or obligations with compliances or compelled observances (Picard and Islam, 2020, p.393).
2.5.1 Prohibitions
The company's code of ethics is published for the employees, so that they can maintain the behaviour and take precautions before falling into any trouble. If the employees' code of ethics is not followed or prohibited, then we as an organisation have the right to dismiss or terminate the employee. Violating the code of ethics is equal to violating the company rules and regulations (Picard and Islam, 2020, p.394). A few rules, even though violated, do not matter a lot. For instance, not maintaining the proper dress code is not as essential or violating as stealing someone's credit card details. Depending on the violation of the rule and the type of rule that the employee is violating, we as the organisation have the right to take legal actions against the employee if they are found violating the ethics regularly (Picard and Islam, 2020, p.395).
2.5.2 Expectations
We as a company expect our employees to follow the ethics that are being shared with them. The code of ethics is created and enforced so that the employees do not fall in often, and it is easier for the company to maintain an environment of comfort in their workplace. They are also expected along with the company to protect the ethics and spread it to other employees about the importance of following (Picard and Islam, 2020, p.396). We as a company expect that an organisation grow only when the employees decide to work as one with the organisation.
The company will provide the Code of Ethics to the employees on the first day of employment to ensure that they maintain them. Training along with workshops will be provided to the employees of the organisation.
Code of Ethics is the concern of this assignment. This assignment gives a brief background understanding of the topic. It will provide which states that being a company self, how the code of ethics will be applied and what the company will not expect and what the company will expect from its employees depending on those codes of ethics. Each code of ethics had been mentioned separately, such as discrimination, exploitation, dishonesty and fraudulent behaviour, whistleblower protection, and enforcement. This study will give the reader a complete understanding of how they can use the code of ethics in a company and how the company can go against the employees.
Abc.net.au. 2022. Freedom Foods accounting scandal worsens, with ASIC now investigating. [online] Available at: [Accessed 12 September 2022].
Bussu, S, Lalani, M, Pattison, S and Marshall, M, 2021 Engaging with care: ethical issues in Participatory Research Qualitative Research, Vol. 21, no. 5, pp.667-685 https://e-space.mmu.ac.uk/624934/1/Bussu%20et%20al_RIR_Engaging%20with%20care_December%202019.pdf
Chapman, C.R, Mehta, K.S, Parent, B and Caplan, A.L, 2020, Genetic discrimination: emerging ethical challenges in the context of advancing technology, Journal of Law and the Biosciences, Vol. 7, no.1, p.lsz016, https://academic.oup.com/jlb/article/7/1/lsz016/5651192
Feichtner, I, 2019, Sharing the riches of the sea: the redistributive and fiscal dimension of deep seabed exploitation, European Journal of International Law, Vol. 30, no.2, pp.601-633, http://www.ejil.org/pdfs/30/2/2967.pdf
Kusumaningrum, D.E, Sumarsono, R.B, and Gunawan, I, 2019 Professional ethics and teacher teaching performance: Measurement of teacher empowerment with a soft system methodology approach, International Journal of Innovation, Creativity and Change, Vol. 5, no. 4, pp.611-624, https://www.ijicc.net/images/vol5iss4/Pt_2/54216_Kusumaningrum_2019_E_R.pdf
Maranzan, K.A, Kowatch, K.R, Mascioli, B.A, McGeown, L, Popowich, A.D, and Spiroiu, F, 2018, Self-care and the Canadian Code of Ethics: Implications for training in professional psychology, Canadian Psychology/Psychologiecanadienne, Vol. 59, no. 4, pp.361, https://doi.apa.org/doiLanding?doi=10.1037%2Fcap0000153
Picard, H and Islam, G, 2020, ‘Free to Do What I Want’? Exploring the ambivalent effects of liberating leadership, Organization Studies, Vol. 41, no. 3, pp.393-414, https://halshs.archives-ouvertes.fr/halshs-01958935/file/Picard%20Islam_OS_2018%20%28Free%20to%20do%20what%20I%20want_OS_author%20copy%29.pdf
Scott, A.W, 2021, VA Accountability and Whistleblower Protection Act of 2017, Pepperdine Policy Review, Vol. 13, no. 1, p.7, https://digitalcommons.pepperdine.edu/cgi/viewcontent.cgi?article=1197&context=ppr
Waharudin, M.F.H, 2019, The Effect of Islamic Marketing Ethics toward Customer Satisfaction, Trust and Loyalty to Islamic Banks, International Journal of Innovation and Business (IJIBS), Vol. 11, no. 1, https://ijibs.utm.my/index.php/ijibs/article/download/79/61