V3I5P17

Analyzing Ethical Culture and Fairness Optimization in Organizational Decision-Making

Abirami S^1*, Dr. Jayasree Krishnan²

Abstract

Sustainable human resource governance requires a commitment to establishing ethical cultures and equity in corporate decision-making. The research presented in this dissertation focuses on determining how employee perceptions, fairness optimization, ethical leadership, and transparency in HR policies impact corporate decision-making within the Indian IT services sector using an experimental design. Primary data was collected from 118 employees of IZEON Innovative Pvt. Ltd., Chennai, using a structured five-point Likert-type questionnaire and descriptive research methodology. The validity of all instruments was very high based on the values of Cronbach’s Alpha that were recorded at between 0.910 and 0.942. The use of SPSS software was used in conducting various statistical tests such as multiple regression, Pearson correlation, independent sample t-test, and ANOVA. It was discovered that there is a strong positive correlation between ethical culture and corporate decision making (r = 0.775, p < 0.001). Transparency in HR policies was identified as the most important variable in corporate decision making (r = 0.815, R² = 0.664). The regression analysis conducted revealed that the entire regression model explained 73.3% of variance (R2=0.733; F(3,80) =77.715, p<.001). Although age impacted perceptions of fairness significantly (p=.273) as opposed to gender (p=.013), additional analyses demonstrated that organizational commitment and fair treatment did not predict decision making to an acceptable degree. Continuous ethical behaviour, open HR communication and inclusive leadership were necessary to create employee trust and support fair organizational decisions.

Keywords:

Ethical Culture, Fairness Optimization, Organizational Decision-Making, HR Transparency, Organizational Justice, IT Sector, India