Unit 37 D1

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D1). Evaluate the impact of the business’s ethical behaviour on its stakeholders and the business, what impact would they have on your business? Support with evidence of research. Ethnical organisations like Body shop have a code of conduct that they follow and applies mainly to their employees and suppliers. For example it states for the suppliers that “Employment is freely chosen”, “Working conditions are safe and hygienic” These principles are intended to guide your decision-making and workplace behaviour. Ideally, a code of ethics will significantly impact your work practices, because you will follow the principles when at work, but how much impact a code has depends on how your company uses it. http://www.bodyshopinfo.com/assets/c_of_c_suppliers.pdf http://www.bodyshopinfo.com/assets/c_of_c_employees.pdf Body Shop state on their website “we've helped to raise funds and global awareness of domestic violence. Since 2004, over £4m has been donated to local partners who fund the prevention, support and protection of abused women and children” http://www.thebodyshop.co.uk/values/DefendHumanRight.aspx. Body shop are defending human rights through complying with laws and giving better working conditions, and reasonable hours to work. • Pros: By the defending workers’ rights it impacts the business through the quantity of products that are being shifted to different shops also they will be able to produce more products due to the workers being motivated more through their wages (Maslow’s hierarchy of needs). • Cons: However by Body Shop defending the workers’ rights it also means that the costs are higher in their production and human resources. For example managers Skills and expertise Salaries, bonuses, status, and power this will all need to be taken into consideration as training will need to be enrolled. Body shop ethnical behaviour has an

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