Companies that value numerical profit above all else should not be surprised if employees act accordingly and do what is in their power to in crease the numbers.Not only does this overreliance on numerical profit lead to unethical behavior,but it also provides incentives to ignore the less measurable outcomes which might benefit the company. Workers basically look for companies to "put their money where their mouth is." If raises,promotions, and bonuses are awarded only on the basis of profit,employees will work to increase profits. Even if the company says other factors are important (e.g., good corporate citizenship, innovation, and high-quality products),this will be seen as mere lip service.
The ever-present salience of monthly, quarterly, and annual profit and loss statement may cause companies to emphasize short-run results. Too much emphasis on short-run optimization can lead to ethical problems. A solution is to focus on the long run. Companies that take a long-run orientation know that they cannot cheat customers and expect to retain their business.Eventually,shoddy materials and workmanship will be realized by the customer. The customer will go elsewhere, and regaining trust once lost is an agonizingly slow process.As a result, ethical people and companies often emphasize the long run as the best basis for behavior.