The ripple effect of organisational inclusiveness on perception of ethical climate - an empirical investigation

Business ethics is considered a key performance indicator for multiple stakeholders such as consumers, suppliers, shareholders, management and society. The adherence to business ethics has changed the way organisations function. The study argues that inclusiveness in an organisation drives several positive outcomes, including the perception of ethical climate. The study also tries to break the loop that suggests inclusiveness is practiced to enable the company to confirm legal requirements instead of a proactive approach. A conclusive research method was adopted in which primary data from 540 respondents was analysed. Findings indicate that inclusiveness at the workplace is a precursor to creating a positive perception of an ethical climate. Increasing inclusiveness and ensuring reduction in discrimination create a stable and positive work culture that enables the employee to positively perceive the environment and climate. The paper will add a new perspective of support for organisations to take a proactive approach toward inclusiveness.