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start learning
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doing the good and right things with the good and right reasons
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start learning
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scandals show the ethics and the lack of it; scandals call for a change, show causes attributed and measures taken; big scandal is a tipping point that leads to a new perspective that applies broadly; scandals learn us a lot
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Phase 1 - ethics of individuals start learning
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key characteristics: empathic, balanced, courageous, accountable, having moral identity; selecting and promoting ethical people
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Phase 2 - business code of ethics start learning
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Nestle case - infant milk; managing business ethics is also making the ethics of business explicit; a good code is customised; content layers: purpose/mission, values, norms
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what code of ethics learns us? start learning
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companies all over the world embrace ethics; variety of topics, norms, stakeholders, structure and size; it is frequently updated, so ethics change
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Phase 3 - Business Ethics Programme start learning
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Enron movie; managing business ethics is implementing the code of ethics, just a code works counterproductive, because we need to implement those rules; content: ethics reward system, training, committee
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Definition of ethics programme start learning
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the formal organisational control system designed to impede unethical behaviour and promote ethical behaviour
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Phase 4 - Business Ethics Culture start learning
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Lehman Brothers; managing business ethics is creating an ethical business culture; formal organization has limited impact, can even be counterproductive; ethical culture largely explains ethical behaviour of managers and employees
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start learning
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vagueness of purpose is a potential antecedent to unethical behavior; rational-bureaucratic control theory; virtue of clarity
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rational-bureaucratic control theory start learning
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managers and employees behave unethically cuz they lack clear understanding of what is expected of them
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start learning
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ethical standards that managers and employees are expected to adhere to are concrete, comprehensive, understandable for them
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Culture of bad role-modelling of management start learning
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bad behaviour of management is a potential antecedent to unethical behaviour of employees; social learning theory; virtue of congruency
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start learning
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people learn what behaviour is expected by observing behaviour of role models
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start learning
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managers show to employees the right example regarding ethics
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culture of scantiness of resources start learning
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insufficient time, budget, info, authority is a potential antecedent to unethical behaviour; strain theory; virtue of feasability
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start learning
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people resort to unethical behaviour when they are unable to achieve their goals through legitimate means
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start learning
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managers and employees have sufficient resources to fulfil their ethical responsibilities
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start learning
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workplace characterised by demotivation, mistrust, dissatisfaction is a potential antecedent to unethical behaviour; Social bond theory; virtue of supportability
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start learning
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people engage in unethical behaviour cuz they no longer feel attached or committed to a given community
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start learning
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employees feel that they are stimulated by organization to be committed to ethics
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Culture of opaqueness of (un)ethical behaviour start learning
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managers/employees who don't understand the potential influence of their behaviour cannot account for for behaviour, which makes them antecedent of unethical behaviour; deterrence theory; virtue of transparency
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start learning
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unethical behaviour to be inhibited, potential perpetrators must believe that they will be caught
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start learning
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unethical behaviour and its consequences are observable to those who can act upon it
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start learning
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when criticism is neither encouraged nor accepted and readiness to discuss ethical issues is limited or even absent, unethical behaviour becomes more likely; communication theory; virtue of discussability
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start learning
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through sharing and discussing issues people learn from each other, create and better understand their context, and are more motivated to honour agreements
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start learning
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managers&employees experience in their organization room to discuss ethical dilemmas and alleged unethical behaviour
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Culture of laxity of unethical behaviour start learning
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when managers&employees are not punished for unethical behaviour or even rewarded for it, the message is that unethical behaviour is acceptable or even desirable, it makes unethical behaviour more likely; reinforcement theory; virtue of sanction ability
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start learning
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consequences of a decision made in past influence decision-making in future. Rewards will therefore lead to repetition and punishment to avoidance
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Virtue of sanction ability start learning
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managers&employees are being punished for behaving unethically and rewarded for behaving ethically
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start learning
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1. Ethical absolutism; 2. Utilitarianism; 3. Social ethics; 4. Tactical ethics
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start learning
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absolute concepts of right and wrong; religions claim a universal moral code
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start learning
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pragmatic approach to transcendental ethics (ethical absolutism); an action is morally right if it produces the greatest good for the greatest number of people
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start learning
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ethical standards will vary between societies, reflecting their histories and influences; i.e. death penalty is acceptable in some countries, in others not
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start learning
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people pursue ethical standards cuz it suits them to do so; managers can even make rapid improvements to work places prior to a health and safety inspection but ignore health and safety issues after
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Why should businesses be socially responsible? start learning
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1. The moral argument; 2. The business argument; 3. The strategic argument; 4. The critical argument
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