India needs positive environment for whistleblowers: Experts

MUMBAI: India needs to create a positive environment for whistleblowers, industry experts said here today at the Second Business Ethics Conference organised by Xavier's School of Management (XLRI) in collaboration with XLRI Alumni ( Mumbai Chapter).

"India needs to create a positive environment for whistleblowers since anonymity is a concern. We would have to adopt similar policies followed in developed economies where whistle blowers are considered an essential aspect of corporate governance,' Tata Sons Group Executive Council, Chief Ethics Officer, Mukund Rajan said.

JRD Tata Chair Professor of Business Ethics at XLRI Fr Oswald Mascarenhas said, "Ethics deals with human behaviour and is currently reckoned as a responsible action programme for the betterment of individuals, groups, organisations and societies".

He said that ethics become relevant wherever people interact and function together. Hence, every field of business such as planning and strategy, accounting, finance, human resources management, business law, marketing, business research, and production management involves ethical issues and challenges, he said.

"Most corporate failures today reflect low levels of wisdom, low level of ethical maturity and often, a badly trained conscience. In the past two decades, fraudulent corporate business practices precipitated cash crises and subsequent bankruptcies," he said.

He cited examples like Enron, WorldCom, Global Crossing, Qwest Communications, Tyco, Satyam, 2G, 3G, CWG and Sahara.

"Organisations which stays ethical in all its products and services would have corporate advantages that translates to higher revenues, market share, profitability, and market capitalisation," he said.