Good Corporate Citizen
Corporate Citizenship is…
• the adoption by business of a strategic
focus for fulfilling the economic, legal,
ethical & philanthropic social
responsibilities expected of it by its
stakeholders, including:
– business ethics
– social responsibility
– corporate volunteerism
– compliance
– reputation management
Good Corporate Citizenship
A) ETHICS IS
PRESCRIPTIVE
B) GCC MODELS AIM AT
ACHIEVING FAIRNESS
C) IMPORTANCE OF
DILEMMAS:
CHOOSING
BETWEEN 2 GOODS
The Roles we play
BEING A GCC: WHO HELPS? (pp.4-5)
A) MARKETING SPECIALISTS
-ETHICAL ADVERTISING
B) MANAGEMENT INFORMATION SPECIALISTS
-PRIVACY ISSUES
C) PUBLIC RELATIONS EXPERTS
-CORPORATE IMAGE
D) FINANCIAL ANALYSTS
-AN ETHICAL "BOTTOM LINE"
E) HUMAN RELATIONS EXPERTS
-ETHICAL HIRING PRACTICES
Models
AGENT OF CHANGE
AGENT OF SOCIO-MORAL
DEVELOPMENT
IMPLEMENTER OF ETHICS
PROGRAMS
AGENT OF MORAL LEADERSHIP
Models
AGENT OF CHANGE
Models
AGENT OF SOCIO-MORAL
DEVELOPMENT
Piaget
Motoric
Egocentric
Incipient cooperation
Codification of rules
Social/Moral Development
Piaget argues that moral development is
closely related with cognitive development
– for e.g., children have difficulties forming moral
judgments until they get out of egocentric thinking
and are able to assume another’s perspective
– rule-based games are a manifestation of concrete
operations in children’s social interactions
– these games provide structures circumstances in
which children balance the rules of society against
their own desires
methods for studying children’s moral ideas
– behavioral observations of games
– clinical interviews about rules and moral dilemmas
Rules in marble games
Piaget observed children’s rule-following
behavior during the game of marbles
(bilye)
and asked the children what the rules
meant to them
– alterability: Can the rules be changed?
– historicity: Have they always been the same
as today?
– Origıms: How did the rules begin?
Boys playing marbles
Piaget observed how children actually played
the game, and found that preschoolers typically
played in an egocentric manner
– if 2 boys were playing, each would play in his own
way
– they had little sense of winning, one might yell ¨I won
and you won too!¨
after age 7, children tried to follow common
rules that determine who wins
– at the beginning, Piaget found that children believed
that rules were fixed and unchangeable
they said the rules came from some prestigious authority,
from the government or God
after age 10, children were more relativistic
– they said the rules probably had changed over the years
– began to treat rules as social conventions that could be
changed if the other players agreed
Stages of moral development:
Piaget
P. argues that moral development
follows the children’s understanding
about the rules of games
Kohlberg: moral development
Modified and elaborated on Piaget’s ideas about
moral thinking
used interviews with individuals based on moral
dilemmas (e.g., the Heinz dilemma)
– In Europe, a woman was near death from cancer. One drug
might save her, a form of radium that a druggist in the same town
had recently discovered. The druggist was charging $2,000, ten
times what the drug cost him to make. The sick woman’s
husband, Heinz, went to everyone he knew to borrow the money,
but he could get together only about half of what it cost. He told
the druggist that his wife was dying and asked him to sell it
cheaper or let him pay later. But the druggist said no. The
husband got desperate and broke into the man’s store to steal
the drug for his wife. Should the husband had done that? Why?
Kohlberg: moral development
Found 3 kinds of morality that form a
developmental order
The preconventional morality: the child
shows no internalization of moral values, just
based on punishment (stage 1) or
reward/benefit (stage 2)
– Stage 1 (Heteronomous morality) (Age 4-7):
obedience for its own sake
involves deference to powerful people, usually the
parents, in order to avoid punishment
the morality of an act is defined in terms of its physical
consequences
Heinz should not steal the medicine because he will be
put in jail
Kohlberg: moral development
The preconventional morality
– Stage 2 (Instrumental morality) (Age 7-10):
the child conforming to gain rewards
although there is evidence of reciprocity and
sharing, it is a manipulative, self-serving reciprocity
rather than one based on a true sense of justice,
generosity, or sympathy
justice is seen as an exchange system; you give
as much as you receive
– I’ll lend you my bike if I can play with your wagon.
Heinz should steal the drug because someday he
might have cancer and would want someone to
steal it from him
The conventional morality: the child’s
internalization of moral values is
intermediate. He/she abides by certain
standards of other people such as
parents (stage 3) or the rules of society
(stage 4)
– Stage 3 (Good-child morality) (Age: 1012)
good behavior is that which maintains
approval and good relations with others
the child is concerned about conforming to
hiş friends’ and families’ standards to
maintain good-will and good relations
a social-relational moral perspective
develops, based on feelings and
agreements between people
Heinz should steal the drug for his wife. He
loves his wife and his wife loves him. You
can do anything for love!
HOW TO ETHICALLY AUDIT A
CORPORATION
GENERAL AREAS TO AUDIT:
i) INCOME
ii) SECURITY AND STABILITY OF
WORKFORCE
-training/retraining
iii) WORKPLACE CONDITIONS
-heat, light, food, aesthetics,
access for disabled
iv) JOB CONTENT
-satisfaction, challenge, variety
GENERAL AREAS TO AUDIT:
v) HEALTH & SAFETY
-incidence of injury/disease
-protection
*vi) MANAGEMENT STYLE
-transparent/cooperative
vii) NON-WORK OPPORTUNITIES
viii) AIDS POLICY
*ix) CORPORATE CITIZENSHIP
*x) ENVIRONMENT
-AIR, WATER QUALITY
-NOISE
-PACKAGING
-WASTE DISPOSAL
*xi) CUSTOMERS
-FULL DISCLOSURE
-TASTEFUL ADS
-RELIABLE WARRANTIES
xii) MILITARY:
*xiii) GENDER/RACE ISSUES
Herman Miller:
What we believe in…
• making a meaningful contribution to our customers
• cultivating community, participation & people
development
• creating economic value for shareholders &
employee owners
• responding to change through design & innovation
• living with integrity & respecting the environment
Exxon
We pledge to be a good coporate citizen in
all the places we operate and to be a
responsible member of the human
community. We will maintain the highest
ethical standards and are dedicated to
running safe and environmentally
responsible operations.