ETHICS: Towards achieving a competitive advantage.

1. ISlamIC FInanCE EVOluTIOn Business islamica magazine
By Joy Abdullah
Strategically ethical
ethiCs: towards aChieVing
A CoMPETITIvE AdvAnTAgE.
We often hear of businesses resorting to immoral conduct vis-à-vis
their customers on the liability side or the state when organizations
look for loopholes to avert fulfilling their obligations to society. These
actions may in the short-term translate into companies’ balance
sheets being on the plus side, but ultimately, such shenanigans will eat
up at the profits and cause great harm to the general public. Proper
implementation of Islamic ethics shows it to be not only a strategic
weapon benefitting mankind towards a prosperous community as a
whole but also an effective way to create affinity and loyalty to these
companies’ brands.
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2. ISlamIC FInanCE EVOluTIOn Business islamica magazine
E
thics set the tone, man- ‘competitive advantage’. By basing manifestation of the organization
ner, and the platform upon its work culture on Islamic ethics an and its service).
which an organization’s cul- organization is automatically under-
ture is developed, resulting taking a particular code. A code that This single minded focus of provid-
in the way the establishment does its has a positive tone and manner and ing or highlighting the benefits the
business. This in turn shapes the way provides a socially interactive plat- recipient gets is the competitive ad-
a company’s employees interact and form in order to deliver value to its vantage for the organization. This
deliver the brand promise, internally ecosystem, i.e stakeholders which gets identified much more closely
and externally, resulting ultimately in include consumers and employees. (by the stakeholder) with regards to
the positive brand relationship that all the values the individual upholds;
marketers strive for in order to have The basics of Islamic ethics compel the overall brand experience is a
increasing trust and transactions (re- an organization to willingly under- positive and preferred one. In turn
peat business). Islamic ethics is de- take all activities which are moral this results in the organization hav-
fined as “good character”. The foun- and good, both at the individual lev- ing a profitable brand.
dational source towards the gradual
codification of Islamic ethics was the
Muslim understanding and interpre-
tations of the Qur’an and practices
of Prophet Muhammad (PBUH). Its
meaning has always been within the
context of active submission to God,
an act performed by the community
in unison. C
M
The fundamental force in Islamic Y
ethics is the notion that every hu- CM
man being is called to “command
the good and forbid the evil” in all
MY
spheres of life. Islam, as CY
a comprehensive way CMY
of life, encompasses K
a complete moral
system that is
an important Joy Abdullah
aspect of the is a brand en-
way it views abler who has dual
the world. We live in expertise in strategic
an era where good and evil are business planning and brand
often looked at as relative concepts. marketing. Such synthesis of
Islam, however, holds that moral po- el and at strategic planning enables Joy to
sitions are not relative, and instead, the group or col- aid brands in having a strong repu-
defines a universal standard by lective level. By virtue of tation, clear image, and efficient deliv-
which actions may be deemed moral these ethics, the organization is ery. By using ethics, values, governance
or immoral. Islam’s moral system is bound to develop a culture wherein requirements and desired brand objec-
striking in that it not only defines mo- employees learn and develop indi- tives in corporate planning, Joy minimiz-
rality but also guides the human race vidually and thereby benefit through es potential risks a brand may face, in
in the way to achieve it, at both an in- this self-improvement. This creates developing the brand’s experience (to its
dividual as well as a collective level. a strong positive disposition and stakeholders). He has strong knowledge
attitude, which is then reflected in of Asian & Indian markets. His articles
When we, as an Ummah, carry such the brand advocacy that these em- on the importance of ethical brand mar-
ethics into our work sphere or com- ployees deliver. The work culture keting encompassing brand reputation
mercial dealings we create an envi- approaches delivering the brand ex- management, employee-brand relation-
ronment or an organization whose perience as one of the benefits that ship and CSR. These can be viewed at
corporate culture is future-proof the recipient gets through his/her re- www.dailybaraka.eu and at http://www.
and automatically has a sustainable lationship with the brand (as a opalesque.com/index.php/archiveOIFI
50 www.islamica-me.com