It refers to the recognition and acknowledgement of values as an important dimension of administration and includes values as a core component of an institution like government, NGOs and Private firms. In simple words, Ethical Management means the inclusion of ethics in all components/framework/steps of management i.e., POSDCORB
- Planning (value of inclusion, sustainability)
- Organising (Impartial)
- Staffing (based on rational rules)
- Directing (democratic)
- Coordinating (sympathetic)
- Reporting (objectivity, truth)
- Budgeting (veil of ignorance)
Impacts of lack of ethical management
- Means orientation
- Absence of Public service spirit
- Alienation of weak and poor
- Moral corruption
- Culture of secrecy
Why we need ethical management
Inadequacy of traditional values
Because values of traditional bureaucracy as per Max Weber’s concept –
- Neutrality
- Objectivity
- Impartiality
- Mean/rules oriented
- The hierarchical arrangement of positions ensures accountability.
- Civil service anonymity
- Expertise etc.
Reasons behind the inadequacy of traditional values
These traditional values are not adequate in the present scenario
- The role of government agencies is changing from regulator to facilitator SEBI, TRIFED, NABARD,
- Aim of government agencies changing into regulation to development
- Involvement of IT in governance
- Increasing demand for specialised/technical administration.
- Need for new public management systems: application of private sector management principles to public administration.
New emerging values
To face these new challenges there is a need for a new set of values such as
- Flexibility
- Innovation
- Competition
- Team spirit
- Risk-taking
- Efficiency
Many traditional values that have lost their relevance
- Procedural correctness
- Centralisation
- Secrecy
Many traditional values are still relevant
- Honesty
- Impartiality
- Objectivity
- Non-partisanship
- Empathy
- Dedication to public service
- Legality.
Lack of Management of Ethics
It is the process of creating and using tools and techniques which can help in integrating values with the conduct of administration, employees and citizens. It includes:
- Lokpal
- Whistle-blowers protection
- Code of Conduct and Code of Ethics
- Professional socialisation
- Developing leadership
- Rewarding ethical conduct. Eg: Civil Services Day,
- Audit Methods: legal/procedural audit, performance audit, Propriety audit, social audit, green audit, gender audit etc
Importance of management of ethics:
- Compliance towards ethical behaviour
- Resolving value conflicts and ethical dilemmas
- Accountability
- Public interest Tools for management of audit
- Budget
- Parliamentary committees
