39. Discuss how disclosures of a code of ethics by senior management could have a positive effect on public confidence and influence investors’ behavior. Discuss the consequences of not establishing a code of ethics.
The financial performance of an organization and other performance indicators could be greatly improved by a publically published and well-implemented ethics code. The most valuable benefit in an ethical code lies in the confidence it creates as well as the ethical behavior it promotes as well as the integrity it is able to keep, and the awe it could instill. There is a connection between the absence of workplace conflict and miscommunication, and the increase in productivity as long as everyone from highest to the lowest follows the same set of rules and behaves in a uniform manner towards each other which increases productivity (Camilleri 2022). Great teams are formed when employees who may be shy to speak out are encouraged to speak up. Employers who encourage employees to conduct themselves in a fair, honest and integrity will have a solid foundation upon the which they can tackle any issues that might be encountered. Cont…
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