Final answer:
A formal statement of an organization's values and ethical principles designed to guide behavior in ethically challenging situations is known as a code of ethics. Codes of ethics are used across various entities, including businesses and professional organizations, to ensure integrity and address social concerns.
Step-by-step explanation:
A formal statement of an organization's values and ethical principles that provide guidelines on how to behave in situations susceptible to ethical dilemmas is referred to as the organization's code of ethics. These guidelines are essential for maintaining integrity and trust in professional conduct within the business and other professional environments. In addition to governing behaviors, these codes are tied to wider normative moral theories, attempting to address larger ethical and social concerns.
For example, professional organizations such as the IEEE Computer Society have established a Software Engineering Code of Ethics and Professional Practice, setting forth obligations for software engineers to ensure their work does not negatively impact quality of life, privacy, or the environment. This mirrors broader values such as well-being, virtue ethics, and corporate responsibility. Entities including businesses, governments, and professional associations all utilize these ethical frameworks to guide conduct and decision-making processes.