Evaluation of a business code of ethics Essay

Ethical behavior from employees is the creation for a productive chore. Trevino and Nelson de comely h acest behavior as being, consistent with the principles, norms, and standards of landmark of descent practice that have been agreed upon by society (2007, p. 16, para. 1). A enactment of moral philosophy is an example of the counseling a corporation would have employees act an instruction manual(a) for good behavior. Simply possessing a cipher of moral philosophy does not guarantee respectable behavior from employees. in that locationfore, a enactment of morality must outline consequences for intrusions. Employers must execute the label as soundly. A cipher of morality ensures that, if borrowed, employees will work diligently with ace and expertise, safeguard confidential information, and do so in a schoolmaster manner.Implementing and maintaining a computer reckon of draw and morals creates s consequence includeer confidence in a international pecun iary serve companionship. MetLife is one of the largest monetary services companies in the world as well as the number one life restitution conjunction in the f alone in States providing services worldwide in the quest beas investments, financial planning, banking, and insurance. MetLife was formed as a mutual insurance comp all in 1864 in the wake of the Ameri fag civilized War.The confederation would insure Civil War veterans against disabilities because of wartime injuries and sickness. After a prepare start in the first quartette courses and several re makeups, the company started to counseling primarily on the life insurance labor a move that would evince MetLife as one of the largest companies in the United States. Over the span of 143 years MetLife grew importantly through acquisitions and continuing to provide headmaster service and support to clients.Most latterly MetLife acquired American Life amends club (ALICO), and provides people financial services , life insurance, health insurance, and investments, in the following counties Australia, China, India, Japan, Korea, and Pakistan. This acquisition has attached MetLife a dominant spot in the global financial services market go into making MetLife the largest insurance company in the world. With to a greater extent than 50,000 employees worldwide, management accentuates an good unified culture with a shape subdi spate that goes above any give tongue to or federal official regulations with strict form monitor. instruction in addition creates a positive working(a) environment free of harassment in any form and develops employees with goals of creating professional relationships that outlive a lifetime as well as achieving high levels of gross sales and pay. In addition to MetLifes code of ethics both officers, four-in-hands, and employees are must follow and obey all applicable relegates and federal laws, company policies, and sedulousness regulations where the y hold a license to avoid any apprehension of impropriety. MetLifes Chief Executive policeman Robert Henrickson bring ups, For 140 years, MetLife has helped individuals and institutions build and protect their most(prenominal) valuable as draws (MetLife, 2005, p. 2).In accordance with this reputation, MetLife has a code of ethics in place to support these efforts with the core value integrity and honesty as the foundation of the honourable culture within the company. These core values are vital to the company achieving the MetLife vision to build financial freedom for everyone. The code of ethics at MetLife is a unpaid worker code of channel that expresss a duty-based ethical system.The foundation for the code is broad and encompasses the following unified values integrity, expertise, suitability, full disclosure, moderately competition, service, brand, confidentiality, professionalism, and reputation. However, a code of ethics does not guarantee ethical behavior. Managers enforce the code of ethics with employees as well as administer legal or corrective action that results from a deviation from the code of ethics.In the financial services pains deviations from compliance may result in a producer and manager acquire in serious trouble. Trouble can be any issue from fines to arbitration hearings and loss of licenses and registration. Therefore, some employees genuinely try to make a living and build a successful career following the code of ethics.This is a result of the presidencyal culture at MetLife. Employees and managers must make minimum sales number each year and impuissance to hit target numbers results in termination. Any major deviation from MetLifes code of ethics that results a fine or legal action against the company will have the same end. There is a strong acceptance and bond to the code of ethics.For example during quarterly compliance meetings employees get refresher training on important state and federal task laws that change often. The effect this has on the organization is a positive one. However, there are exceptions to this as some employees and competitors employees just have bad individualized ethics and draw negative financial aid to the industry for bad business practices.A recent example is the Ponzi scheme attached by Bernard Madoff. In one of the scald periods of economic uncertainty Madoff defrauded thousands of investors out of billions of dollars and at the same time planted the seeds of consumer misgiving against individuals working in the financial services industry. Management expects employees to do the dear thing for clients. The primary focus for employees is to achieve MetLifes vision through fair sales practices, excellent customer service, and making desirable recommendations to clients.Employees must draw together to strict corporate compliance observe that goes above state and federal regulations. For example an independent insurance agent, non-MetLife, must manage 16 ho urs of state mandated continuing direction classes each year whereas a MetLife agent must accord with state regulations as well as MetLifes annual continuing education courses. MetLifes courses are intentionally more than in-depth than the material that the state courses trail and emphasize ethics in all business practices.MetLife is proud of the reputation the company has complete in the financial services industry and expects employees to operate their personal business with the highest standards of conduct in all business endeavors (MetLife, 2010, p. 7). Managers also follow the same code of conduct and ethics. And can be held accountable for employee violation of the code of ethics. Management must adhere to strict company guidelines and complete umpteen more continuing education classes that cover a variety of topics some that employees take as well as galore(postnominal) separates that focus on corporate compliance regulations.State and federal laws to abide by so MetLife has its own regulations that cover all states and goes beyond any individual states laws or regulations. Each employee, manager or producer must complete an annual compliance review and salute an understanding of the concepts and practices covered by the code of ethics. Corporate ethics and compliance managers hold quarterly and annual compliance meetings with all employees to discuss industry incidents and violations that cost other companies and producers money, court proceedings, and careers.In the code of ethics there is secondary space for change to make monitoring employees easier or any individual employee more compliant. In the financial services industry state and federal laws change or are undergo tweaks a circumstantial each year. To that end MetLife releases a code of ethics each year that outlines any new practices or changes in the way employees are to do business, always retention standards consistent with MetLifes vision.In short, a code of ethics is a d emand tool for management in an organization such as MetLife. All directors, managers, and employees are expected to read the code of ethics and refer to it when making critical decisions. The company keeps employees up to date with compliance meetings and maintains a high standard of compliance monitoring and reviews.However, ethical behavior is not guaranteed alone because these systems are in place or available for review. Managers set the example for employees and set the standard for the employees they supervise. Under the duty-based system in place employees are expected to do the right thing for clients. The company hires from within only the best employees into management positions. This ethical system keeps organization simple dapple maintaining a strong compliance keeps financial transactions ethical and in line with MetLifes vision to build financial freedom for everyone.ReferencesMetropolitan Life redress Co. (2009). Keeping Our Promises. Retrieved February 6, 201 1 from www.metlife.com/assets/investments/products/annuities/CLVA6037-3.pdfMetropolitan Life Insurance Co. (2010). Representative Compliance Manual. How We Do Business. Retrieved February 5, 2011 from https//imetlife.metlife.com/wps/myportal/rpp/ subject area?contentId=8ac6c697baa72210VgnVCM1000000ae818acRCRDTrevio, L. K., & Nelson, K. A. (2007). Managing business ethics forthwith talk about how to do it right (4th ed.). Hoboken, NJ Wiley.