Maintain Ethical And Professional Standards Essay
This secondary research undertaking will see the corporate administration that JSE listed companies uphold.
This research undertaking will find the extent to which these companies maintain ethical and professional criterions. Two companies will be chosen and their corporate administration will be collected and closely looked at, there will be a treatment of the information collected for each of the two companies. A decision will be made as to which company is better governed based on the information which has been collected for the research.
Corporate administration is a company ‘s operating rules in footings of their moralss, corporate societal duty, professionalism and the control which stakeholders have over the company to guarantee the above rules are followed. Two companies which have been chosen will be looked at closely in footings of their corporate administration. The purpose of the research is to find which of the two companies is better governed, and which of the two companies maintain ethical and professional criterions.
I have chiefly used the cyberspace as it is hard to acquire booklets with the relevant information about the corporation. I have looked at assorted sites about the corporation. I have tried to e-mail the corporation for specific information which I was unable to recover on the cyberspace. I have chosen the two companies as I enjoy eating at many of the eating houses which are franchises of the corporation and for the pick of the other corporation ; it is because my household stores with them.
Choice of companies
Both Shoprite Holdings Ltd and Spur Corporation are public companies which are listed on the JSE. These public companies have a Corporate Social Index which determines the sum of engagement they have in the community. Each of these two companies follows a similar concern construction ( Anonymous, Annual Report 2006, 2006 ) ( Anonymous, Investor attention, unknown ) , but each one has an single part to the community, socio-economic issues and the environment. Each company follows a different codification of moralss, but each company aims to non merely to do net income but to besides give back to the community and to supply for their consumers. I have chosen these two companies as they have great engagement in the community every bit good as provide first-class service for their clients. Shoprite Holdings Ltd provides for people who are good to make every bit good as those who are less advantaged.
Shoprite gives back to the community in huge sums and this is the ground why they are supported by the community. My household stores at Shoprite every bit good as chows at Spur which is another ground why I chose these two companies, to look at in closer item.“ Food is our passion.Welcoming you, our pleasance ”Introduction into Spur Corporation micro environment“ Our vision is to be the best household sit-down eating house in the market in which we trade ” ( Anonymous, Annual Report 2006, 2006 ) . “ Our mission is to be dedicated at all times to our clients and staff- to supply a ‘taste for life ‘ for our clients and to be a great topographic point to work for our staff ” ( Anonymous, Annual Report 2006, 2006 ) .Allen AmborExecutive presidentSpur Corporation follows the line and staff administration construction which has a board of managers who over look the full administration. Below the managers are the directors in each of the different Fieldss for illustration advertisement and fundss. Below the directors are the staff which interact straight with the clients ( Anonymous, Annual Report 2006, 2006 ) .
Spur corporation is good cognizant of the service which they need to supply their clients with.Ronel new wave DijkFinancial managerPierre new wave TonderPull offing managerMark FelleryDeputy pull offing managerMuzi KuzwayoIndependent non-executive managerDean Hydenon-executive managerKeith Getznon-executive managerKeith Maddersnon-executive manager MBE( deputy president )Phillip JoffeExecutive managerKevin RobertsonExecutive managerFiscal directorPublic dealingss directorFloor directorHuman resource directorSelling directorGeneral directorStaffStaffStaffStaffStaffStaffCorporate societal duty and sustainabilityCorporate societal duty is the duty of the organisation to give back to their community. The purpose of the male monarch II study is to better corporate administration throughout the whole construction of the concern. All public companies which are listed on the JSE are obligated to give back to their community.The male monarch III study is similar in context with respects to king II, but with the exclusion that concerns need to follow the “ ternary underside line describing “ which is “ People Planet and Profit ” . This so means that concerns should non merely concentrate on deriving a net income but besides giving back to their community.Spur Corporation chiefly focuses on supplying for the underprivileged kids ( Anonymous, Annual Report 2006, 2006 ) . By raising these financess and being a portion of these undertakings Spur purposes to derive consciousness as good citizens for the group of staff who are involved ( Anonymous, Annual Report 2006, 2006 ) .
The undertakings are chiefly aimed at featuring activities which they believe develop people particularly the immature South Africans ( Anonymous, Annual Report 2006, 2006 ) .Spur Corporation is involved in the undermentioned community undertakings:aˆ?Spur Soccer Masidlale ( ‘let ‘s drama ‘ ) – this undertaking focuses on developing kids from ages of 8 – 12. There are kids who come from many different communities and kids who have experienced different things in life ( Anonymous, Annual Report 2006, 2006 ) . This undertaking aims to learn these kids life accomplishments every bit good as assist them derive self- assurance and learn them many life accomplishments which will assist them in their hereafter ( Anonymous, Annual Report 2006, 2006 ) . This undertaking will chiefly concentrate on kids who are underprivileged ( Anonymous, Annual Report 2006, 2006 )aˆ?Spur Corporation is involved in charity golf circuit. In this undertaking there are many other administrations and rivals which donate money towards the charity programme and hence compete in the golf circuit ( Anonymous, Spur chairty golf twenty-four hours, 2006 ) . The money which is raised in 1000s is given to a charity. Spur aims to increase the contributions every twelvemonth ( Anonymous, Spur chairty golf twenty-four hours, 2006 ) .
Spur Corporation believes there should be a balance between doing a net income and besides looking and the long term demands of South Africa, the environment and their employees. There are specific people who are allocated the function to guaranting there is a manner in which Spur Corporation can cut down the impact they have on the environment. This squad looks at the sustainability of their scheme.Spur Corporation is involved in undertakings which are short term. The Spur Corporation is non involved in many corporate societal duty undertakings.
The undertakings which they are involved in are 1s from which South African kids can larn life accomplishments and derive personal growing. Therefore Spur Corporation needs to look at undertakings which are long term and 1s which can assist communities or kids for long periods of clip and non hold a “ hit and run ” attack. Once Spur Corporation gets involved in such undertakings to assist communities or certain kids, they begin to trust on the financess. Long term undertakings are most good.Socio-Economic issues and schemes usedSpur Corporation is involved in HIV/AIDS direction undertaking. The group:aˆ?Is supportive towards the issue and are non-discriminatoryaˆ?provides educational workshops about the issueaˆ?provides free entree to rubbers and educational picturesThis undertaking is aimed at educating the employees of Spur Corporation so they are cognizant of the virus and have the cognition to forestall undertaking the diseaseSpur Corporation is non involved in turn toing many socio-economic issues. There are many socio-economic issues which South Africa is confronting such as poorness.
Spur Corporation could concentrate on turn toing undertakings which are sustainable and which can better an issue which South Africa is confronting. Poverty is one of the biggest issues in the universe non merely South Africa hence Spur Corporation could acquire patrons every bit good as raise their ain financess to give toward a fund specifically for poorness afflicted communities within South Africa or around the universe.Natural catastrophes have affected the universe and many people ‘s lives. Spur Corporation could besides assist with contributions or fund elevation to elate these communities.
There are many other socio-economic issues which Spur Corporation could turn to. Contributions can be put into their budget as they are an administration which is doing high turnovers ( Anonymous, Annual Report 2006, 2006 ) .Code of moralssSpur Corporation has a codification of moralss which expects all employees to hold the highest moral and ethical criterions internally and externally ( with the stakeholders and stockholders ) . ( Anonymous, Spur Corporation Annual Report 2006, 2006 ) . The codification of moralss contains rules such as “ unity ; honestness and good transparence, nonpartisanship ; transparence and openness ; and accountablility and duty ” which all staff should adhere to ( Anonymous, Spur Corporation Annual Report 2006, 2006 ) .
The Spur Corporation has a high criterion to which they keep up to and therefore this is what helps the concern grow. Their codification of moralss guides staff on how to act with their clients and stockholders. The codification of moralss will besides assist stockholders to cover with any unehical behavior ( Anonymous, Spur Corporation Annual Report 2006, 2006 )Introduction into Shoprite Holdings limited micro environment“ Our mission of the Shoprite Group of Companies is to be the consumers ‘ preferred shopping finish, by retailing nutrient and non-food merchandises at the lowest monetary values from handily located mercantile establishments in an environment that is contributing to shopping. ” ( Anonymous, Customer attention, 2008 ) .Shoprite follows the line and staff administration construction. The line and staff administration construction is the board of managers over looking the full administration. Below the managers are the directors of each specific facet of the concern such as the human resource director.
Below the directors are the staff which work straight with the clients.Corporate societal duty and sustainabilityCorporate societal duty is the duty of the administration to give back to their community.The purpose of the male monarch II study is to better corporate administration throughout the whole construction of the concern. All public companies which are listed on the JSE are obligated to give back to their community.
The male monarch III study is similar in context with respects to king II, but with the exclusion that concerns need to follow the “ ternary underside line coverage ” which is “ People Planet and Profit ” . This so means that concerns should non merely concentrate on deriving a net income but besides giving back to their community.Shoprite Holdings is involved in many different community undertakings. Many of the undertakings are 1s which are sustainable as they take topographic point every twelvemonth and raise financess for a specific clip period. Other undertakings are 1s which Shoprite Holdings is straight involved in such as donating nutrient to the underprivileged communities.Shoprite purposes to assist better and do the universe a better topographic point for the present and future in footings of prolonging the environment, society and the economic system.Some of the undertakings which they are involved in are:aˆ?Shoprite community network- Shoprite purposes to elate underprivileged communities.
This undertaking is broadcast every month on many different wireless Stationss and each country chooses a community which they believe needs Shoprite ‘s assistance the most ( Anonymous, Community undertakings: Community, 2008 ) . The community which is chosen for the month as most meriting receives R10A 000 from Shoprite ( Anonymous, Community undertakings: Community, 2008 ) .aˆ?Mobile soup kitchens- Shoprite purposes to assist communities which are poverty afflicted and those which have been affected by natural catastrophes in South Africa ( Anonymous, Community undertakings: Community, 2008 ) . Shoprite sends out trucks every month to those communities they are cognizant of which need the nutrient ( Anonymous, Community undertakings: Community, 2008 ) .
Shoprite feeds many communities widely spread across South Africa ( Anonymous, Community undertakings: Community, 2008 ) .aˆ? Book collection- Many schools and libraries in South Africa do non hold sufficient financess to supply their students with books ( Anonymous, Community undertakings: Book aggregation, 2008 ) . Therefore Shoprite aims to make full the libraries and schools with every bit many books of all genres. Shoprite allows for the populace to drop books off at aggregation points at any Shoprite, Checkers or Checkers hyper shops throughout the state ( Anonymous, Community undertakings: Book aggregation, 2008 ) .aˆ?Strokes of genius- Is an art undertaking which allows for many creative persons and craftsmans to be recognised ( Anonymous, Community undertakings: Strokes of Genius, 2008 ) . This undertaking aims to animate and give kids who are less advantaged the chance to demo the equality of their endowment to that of kids who are privileged ( Anonymous, Community undertakings: Strokes of Genius, 2008 ) .
Shoprite is helped by The Department of humanistic disciplines and civilization, Department of economic development and Department of basic information ( Anonymous, Community undertakings: Strokes of Genius, 2008 ) .aˆ?Golden streetcar and catastrophe management- This undertaking aims to besides assist the underprivileged and those who have been affected by natural catastrophes ( Anonymous, Community undertakings: Golden streetcar, 2008 ) . Shoprite and Checkers have aggregation points at which public can donate things which will be donated to the communities ( Anonymous, Community undertakings: Golden streetcar, 2008 ) .
Shoprite besides donates covers and nutrient to people who have been affected by natural catastrophes ( Anonymous, Community undertakings: Disaster direction, 2008 ) . Shoprite has exigency programs which will assist those in demand. Shoprite is ever ready to assist those who are in demand ( Anonymous, Community undertakings: Disaster direction, 2008 ) .aˆ?Cuppa for Cansa- Shoprite Checkers are the chief patrons of this undertaking and they are involved as the purpose to derive consciousness about CANSA and raise financess to contend malignant neoplastic disease ( Anonymous, Community undertakings: Cuppa for Cansa, 2008 ) . Cuppa for Cansa besides aims to promote people to take a healthy life style every bit good as eat healthily ( Anonymous, Community undertakings: Cuppa for Cansa, 2008 ) .
aˆ?Casual day- is another undertaking which Shoprite is a chief patron of.Socio-Economic issues and schemes usedaˆ?Poverty – Shoprite Corporation is in involved in assisting communities which suffer from poorness ( Anonymous, Community undertakings: Community, 2008 ) . There are many communities in South Africa which have been faced with natural catastrophes and many people of those communities are unemployed ( Anonymous, Community undertakings: Community, 2008 ) . Therefore Shoprite reaches out to those communities and gives back in the signifier of nutrient and covers, to assist elate the communities. As poorness is a world-wide issue it is considered a socio-economic issue.
aˆ?Education- Shoprite runs undertaking with trade with facets of instruction as many South Africans are non provided with an instruction at all or some are but non one which is good plenty for them to be the future leaders of South Africa ( Anonymous, Community undertakings: Book aggregation, 2008 ) .aˆ?Shoprite Retentions addresses the issue of HIV/Aids in South Africa ( Anonymous, Organisational unity, 2008 ) . As HIV/Aids has been on the addition. Shoprite has a run which aims to educate staff on the unwellness every bit good as Teachs those with the unwellness how to pull off it. The staff are educated to the full and are provided with a advocate. The run helps employees by giving them a better apprehension of the unwellness every bit good as all safeguards which can be taken.Code of moralssA codification of moralss for Shoprite Holdings is non available to the populace.
This is a negative facet of the concern as the public demand to hold entree to their codification of moralss as they are a public company which is listed on the JSE. The codification of moralss gives public and other companies a better thought in which they are able to judge the concern harmonizing to their ethical motives and moralss of how the employees are meant behave with each other and with the clients.Analysis of information, comparing and sentimentBoth concerns follow the line and staff organizational construction.
This is a construction which is a good pick as there is merely one degree of authorization in the concern ; this avoids struggle and confusion between employees and authorization. There are assorted degrees in the construction which allows for directors at each degree which guide the concern every bit good as the employees in the right way. Both concerns are greatly involved in corporate societal duty, one more than the other.Spur Corporation is involved a just sum in CSR, but Shoprite Holdings Ltd has great engagement in assisting the community to go a better topographic point. Shoprite chiefly looks at assisting the young person and aged excessively, but more the young person in rural countries that do non hold much as they are the hereafter of our state. Shoprite Holdings and Spur Corporation both purpose to be involved in undertakings which are more long term than one time off as the community needs their input at all times.
South Africa faces many socio-economic issues which can be resolved by the input of the people of the state. Spur Corporation is merely involved in assisting with HIV/AIDS whereas Shoprite Holdings is involved in much more such as HIV/AIDS, instruction, poorness and natural catastrophes which are faced in many of the communities. Shoprite seems to be more cognizant of the issues which are faced by the state, and they are determined to take action and assist the community to be improved and non worsened.Spur Corporation has a codification of moralss which aims to keep a high concern criterion which they are cognizant will assist their concern to turn. The codification of moralss is in topographic point to guarantee employees maintain this high criterion in their work ethic every bit good as in covering with clients. Shoprite Holdings does non hold a codification of moralss which is available to the populace but as they are a public company which is listed on the JSE they will hold a codification of moralss which the company follows.
This is negative factor for Shoprite as the codification of moralss of the company gives the populace a better thought of the concern itself every bit good as the criterions of the concern and its employees.Shoprite Holdings Ltd merely lacks a codification of moralss available to the populace, but otherwise the concern maintains high criterions and purposes to be the best. It is clear that Shoprite is cognizant of the community and attentions to better the community is every facet. Spur Corporation is besides a public company but does non to the full address the issues at manus such as CSR.Discussion and decisionI believe Shoprite Holdings Ltd does uphold corporate administration every bit good as maintain ethical and professional criterions exhaustively. Spur Corporation does non keep these criterions to the full. Corporate administration is one of the chief facets of the concern and Shoprite Holdings maintains high criterions in footings of their moralss, corporate societal duty and professionalism.
Shoprite Holdings is to the full involved in corporate societal duty and turn toing socio-economic issues. Shoprite Holdings believes greatly in assisting the community as it is clear in the research done that they are exhaustively involved in all facets of the community such as instruction, poorness, HIV/AIDS and natural catastrophes.Shoprite Holdings has the right attack in which they address issues in the community as they are cognizant they should be more involved in long term undertakings instead than merely assisting one time and thenceforth burying about the community. Shoprite Holdings is a better governed concern and all the above proves this.Spur Corporation is a concern which is a luxury for many people and many people who are underprivileged do non derive from this. This is a ground why Spur should be more involved in CSR and turn toing socio-economic issues.
But Spur Corporation is barely involved.Shoprite Retentions should be commended as they are a company who provide for rich and hapless but are still involved to the full in the community. This is another ground why Shoprite Holdings is a better governed company.