Company ethics

A graduate wrote to me: “People always want to do the right thing. It is good for an established company to acting ethically in business. However, to a startup I think ethics is a luxury since we have to do whatever just to survive. We will deal with ethics when we are successful. What do you think? Please advice."

Answer: You start your email by the phrase: “People always want to do the right thing” so my advice to you is please do the right thing. Do not let someone lead you to do the wrong thing because you need to survive or doing unethical thing just to get your startup operating. Please stop the thinking that ethics is a “Luxury” when you can afford it. If you start your company from an “unethical foundation” it will remain an unethical company. Do not think certain rules do not apply to you because you are starting a company. Unethical behavior will damage your reputation, your family reputation, your business reputation. Even when you are successful, the past will catch up with you and you will feel uncomfortable for the rest of your life. If you start an unethical business, the laws will catch up with you too. Morale and ethics are not luxury, they are the principles that you must follow to be a good citizen and a human being.

How can you start a business with unethical practices in mind? How can people trust you when you do not consider doing work in an ethical way? Do not give yourself an excuse as you have to survive first. Instead of viewing ethics as a luxury, you must view it as the most important investment you will ever make. Do not build a house on sand and do not build a startup on unethical practices.

Sources

  • Blogs of Prof. John Vu, Carnegie Mellon University