New Axes to Do Business in El Salvador, in Which We All Win, Based on Ethics and Trust By Kalena de Velado La Prensa Grafica, August 14, 2022

A view of San Salvador

 

ESG: new axes to do business in which we all win

It is common sense that no one wants to close deals with people who are corrupt, therefore, it is necessary to openly address the need for business ethics to create trusting relationships between those who do business.

Before the collapse of financial markets around the world, the new trend to select where to invest money was clear, leading experts to select companies based on their specific performance in environmental, social and governance (ESG) areas. This has led companies to advertise, advertise and market to publicize through campaigns their real actions in ESG.

This makes sense if we believe it is right to take care of both the sites and the people we work with, to ensure that there is business in the long run. For example, it is common sense that no one wants to close deals with people who are corrupt, therefore, it is necessary to openly address the need for business ethics to create relationships of trust between those who do business, whether they are small, medium and large companies.

Indeed, consumers now understand that it is good to give and receive clear accounts between those involved in economic transactions: who buys and who sells; between the one who receives a service and the one who provides it; between the one who directs and the one who executes the order. Ethics is like a toolbox to prevent corruption on both sides. It is a fair and realistic goal that there is a healthy, transparent and ethical business climate. Responsible business conduct is desirable, especially in a free market economy.

Business with ethics ensures the three new environmental, social and governance (ESG) axes that organizations are now looking for. That is why I remember the proposal on taking care of the business culture of Dr. Hugo Cruz, graduate of IESE Business School, Barcelona, and current professor at the University of the Isthmus, Guatemala, who commented on the need to have a management process system to create an ethical culture in the day to day, which accompanies the business codes and the mission statement, vision and values of companies so that they are not a dead letter.

I read research that suggests that the two important factors for an ethics program to be accepted by all employees and leaders are: (1) that ethics is perceived as an important part of leadership, starting with senior management showing exemplary conduct and (2) that employees feel that they are treated fairly. It is particularly important that company policies and administrative actions are consistent and that reward systems support ethical behavior. A set of rules is not enough, but we must aspire to recognize and live the universal values that underlie a culture of transparency.

It is necessary to emphasize the "inseparability between what is ethical for the man (woman) and the ethical for the company, since there are no two ethics: one that protects the man and another that protects the economic objective in the company. The primacy of the person responds to anthropological and ethical motives, but inseparably responds to the same economic reality. And this is not a question of ideology or religion, because if it were, it could not be put on the basis of management. If it were only a matter of faith, ethics would not serve as a fundamental criterion, because it would be enough not to agree with that religion that defends it to feel exempt from privileging the person over the technical instruments "... (Tomás Melendo Granados, PhD in Philosophy).

ESG: new axes to do business in which we all win | The Graphic Press (laprensagrafica.com)

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