How to practise good businessThe Gupta saga and ethical indiscretions at Steinhoff, McKinsey and KPMG have most recently shone the spotlight on unethical business practises in South Africa. This is not a uniquely South African problem, the world is plagued by scandals of corruption and alleged wrongdoing in politics and business alike. ©Angela Waye 123rf.com “Some of the allegations against these companies have not yet being put to trial, but the collateral damage is done. Tainted reputations have driven away important clients to the detriment of share price performances,” says Jannie Rossouw, head of Sanlam Business Market. “Though these examples are known because they have been exposed in the public domain, forensic research shows that some small businesses are just as bad and are using smarter ways to conceal bribes to win contracts, tenders and appointments.” Caught in a web of deceitRossouw says business owners, no matter how small their operations may be, need to realise that one wrongdoing can ruin it all. “You may believe that in business it’s about 'dog-eats-dog' or that 'good guys always come last', but the reality is that if your actions are not consistent with what society and individuals typically think are good values, you may slowly drive yourself out of business. Individuals and communities want to do business with ‘good’ people.” He says if people are supporting you with their hard-earned money, they expect you to be honest, fair and to treat everyone with dignity and without prejudice. If you are charging unsuspecting customers more than you reasonably should, or if you are not honest with your business partners and suppliers about your operational and financial standing, Rossouw warns that you are likely to get caught up in your web of deceit sooner rather than later. Similarly, evading tax or helping someone else to write non-existing business expenses, or being involved in unlawful activities, such as price fixing means that you are not operating within the parameters of the law. “There is truth in Aldo Leopold’s statement that ‘ethical behaviour is doing the right thing when no one else is watching- even when doing the wrong thing is legal’. Sewing moral fibre into all your business decisions will help you build a good reputation and offer the peace of a clear conscience. You’ll also stand a better chance to retain good employees, giving you a competitive edge,” he says. Good business practises
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