Personal and
Business
Ethics
Business Management
The Scope of Management
Personal & Business Ethics
OBJECTIVES
 We will explore the
principles of
personal and
business ethics and
their role in business
decisions.
 We will explore the
relationship
between social
media and ethics
in the decisionmaking process.
ESSENTIAL QUESTIONS
 Describe
the
difference
between legal
and ethical
conduct.
 How are business
ethics
established?
 What is a
whistleblower?
Personal Ethics
Ethical Decision-Making
1)
2)
3)
4)
5)
What is the ethical dilemma?
List the facts that have the most
bearing on the dilemma.
Identify the stakeholders involved
and how they may be affected.
Describe all possible actions and
alternatives.
Determine a course of action.
Case #1
 Lorna
is an administrative assistance in
the Human Resources department. Her
good friend, Bill, is applying for a job
with the company. She has agreed to
serve as a reference for him.
 Bill approaches her for advice on
preparing for the interview. Lorna has
the actual interview questions that will
be asked of all applicants.
Case #2
 Emily
works in Quality Control. Once
a year, her supervisor gives away
the refurbished computers to the
local elementary school.
 No specific records are kept of this
type of transaction, and Emily really
needs a computer for her son in
college.
Case #3
 Richard
& Conway are talking in the
hallway about the employee benefits
program. Conway has had recent
financial trouble, and he is explaining
how the benefits program has a
loophole that will allow him to receive
financial assistance.
 Cathy overhears. Later, she is
approached by her supervisor who
says he has heard rumors about
employees taking advantage of the
benefits program.
Ethical Issues
Ethics
 Laws
provide a minimum standard of
behavior for people and businesses to
follow.
 Many behaviors are neither allowed or
disallowed by law.
 Ethics refers to standards of moral
conduct that individuals and groups
set for themselves
 Ethics help define what behaviors are
valued as right or wrong.
Describe the difference between legal & ethical conduct.
Business Ethics
 Ethical
behavior is closely linked to
personal values – underlying beliefs
and attitudes that individuals or
groups possess or share.
 Business
ethics are a collection of
principles and rules that define right
and wrong conduct for an
organization.
Describe the difference between legal & ethical conduct.
Business Ethics
 Not
all firms have the same rules of
ethical conduct.
 Ideas of ‘right and wrong’ vary from
manager to manager, business to
business, and country to county.
 Have you heard of…
 Tyco
International?
 Enron?
 MCI?
How are business ethics established?
Role of Ethics in Business
 Some
companies hire Chief Ethics
Officers to ensure workers are
trained in the company’s ethics
policies.
 Many
businesses have created a
code of ethics to guide managers.
formal, published collection of values &
rules that reflect philosophy and goals
How are business ethics established?
Communicating Ethical Standards
 Formal
Training
 Memos
 Newsletters
 Posters
 Employee
Manuals
How are business ethics established?
Business Ethics Example
 In
Japan, it is an accepted business
practice for employees to give
expensive gifts to their bosses.
 In
the United States, gifts may be
considered a form of bribery and
are discouraged.
 Should
an American company
behave in Japan as it does in its
home country of the United States?
Real-World Business Ethics
Nike Case Study
Whistleblowers
Person
who exposes
misconduct or alleged
dishonest or illegal activity
occurring in an organization
Whistleblower
Protection Act
Edward
Snowden – fugitive or
whistleblower?
What is a whistleblower?
Closing Task #1
1)
Describe the difference
between legal and ethical
behavior.
2)
Explain how business ethics are
established.
3)
Do you think whistleblowers need
protection? Why or why not?
Using Social Media
Social Media in Business
 Social
media is always changing
and should be watched closely to
monitor trends.
 Take
full advantage of the benefits
of social media!

Positive Image

Networking
 Always
remember to use RESPECT.
Social Media Policies in the
Workplace
It’s All About Respect
Closing Task #2
1)
Describe the potential
benefits of using social media
for personal or business
reasons.
2)
Explain at least two concerns
that exist regarding the way
businesses or employees use
social media.