Developing and implementing a strategic approach to ethics
A Vodafone case study

Page 0: Introduction

Vodafone is a leading global player in mobile telecommunications. It operates in over 26 countries worldwide. This Case Study looks at how the Vodafone Group and its UK subsidiary value ethics. It examines how ethics supports the company's growth. Ethics are also the "right thing to do". It describes some of the changes in this dynamic market and how Vodafone's ethics drive the company's actions...
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Page 1: Ethics and business aims

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Vodafone has grown rapidly since it was originally formed in 1984. It has responsibilities to its 60,000 staff and 151 million customers and shareholders. It also believes it has a responsibility to society. The company aims to continue to grow. Economies of scale improve efficiencies, enhancing the company's performance. This increases returns to shareholders and makes money available to...
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Page 2: Ethics, strategy and values

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Vodafone takes a strategic approach to its ethics and business decisions. This involves managers considering the impact of important decisions in the long-term. By discussing options managers are more likely to achieve agreement. Goals that are agreed are more likely to be met. Vodafone has six global goals. One of these is 'to be a responsible business'. This includes the issues of ethics...
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Page 3: The external environment

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Ethics guide companies in reacting to changes in the environment. Managers can use a number of different tools to understand the environment. This understanding is important. It helps managers to make better decisions. SLEPT analysis is one of these tools and which looks at changes in five areas: Social - trends in society Legal - legal restrictions and considerations Economic - the health of...
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Page 4: Ethical responses

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Vodafone's ethical approach drives its response to changes in the environment. Whilst described above in self-contained sections, many issues crossover, e.g. the advent of 3G technology and video content is related to society's concern about adult material reaching under 18s. Vodafone UK's research has revealed that parents do not know the types of content available via mobile phones. A...
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Page 5: Conclusion

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The mobile telecommunication industry is relatively young, compared to industries such as oil and manufacturing. Vodafone is a leading player in this sector and has grown quickly, like the industry itself. Such a growth presents challenges and the company's approach to ethics guides its continued growth. Ethics are central to the company's development. They guide staff through change.
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