Professional Documents
Culture Documents
Amount of
Explicit Control
High Low
Ethics
The code of moral principles and values
that govern the behaviors of a person or
group with respect to what is right or
wrong.
Codified Law
Values and standards that are written into
the legal system.
Free Choice
Ethical Dilemma
When all choices have been deemed
undesirable because of potentially negative
ethical consequences, making it difficult to
distinguish right from wrong. (The choices
also have attractive attributes.)
Common Ethical
Dilemmas
Individualism Approach
Acts are moral when they promote
the individual's best long-term
interests (e.g., the golden rule).
Moral-Rights Approach
Human beings have fundamental
rights (e.g., free consent, privacy, due
process)
Justice Approach
Standards of equity, fairness, and
impartiality.
Practical Approach
May include consideration of any of the
other four approaches and what actions
will please stakeholders most.
Factors Affecting Ethical
Choices
The Manager
Level or stage of moral
development
Learned Ethics
The Organization
Systems
Culture
Moral Development
Preconventional Level = concerned
with external rewards and
punishments
Conventional Level = conform to the
expectations of peers and society
(consistent with practical approach to
ethical decision making)
Postconventional (Principled) Level =
individuals develop a personal,
internal set of standards and values.
(About 20% of adults)
The Organization
Systems
Explicit rules and policies
Reward system
Culture
Common Values
Traditions
Guidelines for Dealing
with Ethical Dilemmas
Is it legal?
Is it right?
Is it beneficial? To whom? How much?
Is it harmful? To whom? How much?
with Ethical Dilemmas
(cont.)
Would you be willing to allow everyone
to do what you are considering?
Would you like your family to know?
Would you like your decision printed in
the newspaper?
Have you consulted others who are
objective and knowledgeable?
Social Responsibility
Owners, Investors
Employees
Suppliers
Customers
Government
Society
4 Views of
Responsibilities of
Business
1- Economic 2- Legal
Responsibilities: Responsibilities:
The only Social Social Responsibility
Responsibility = = Obeying the Law
Profit-Maximizing. (as well as making
a profit)
3- Ethical
Responsibilities