Ethical Decision Making:
Earning Public Trust
Sally Rhys, MS, SPHR, CCEP
International Public Management Association: Human Resources
Western Region Conference
April 28, 2011
Diego’s Dilemma
Sally Rhys, Focus on Business Ethics,
4/28/2011
Ethical Dilemma
Right vs Right
Sally Rhys, Focus on Business Ethics,
4/28/2011
The Four
Dilemmas
Sally Rhys, Focus on Business Ethics,
4/28/2011
#1
Truth
vs
Sally Rhys, Focus on Business Ethics,
4/28/2011
Loyalty
#2
Short
Term
vs
Sally Rhys, Focus on Business Ethics,
4/28/2011
Long
Term
#3
Individual
vs
Community
Sally Rhys, Focus on Business Ethics,
4/28/2011
#4
Justice
vs
Sally Rhys, Focus on Business Ethics,
4/28/2011
Mercy
The Four Dilemmas

Truth versus Loyalty

Short Term versus Long Term

Individual versus Community

Justice versus Mercy
From How Good People Make Tough Choices by Rushworth Kidder
Sally Rhys, Focus on Business Ethics,
4/28/2011
Three Moral
Frameworks
Sally Rhys, Focus on Business Ethics,
4/28/2011
Ends Based Thinking

“The greatest good for the greatest number.”
Sally Rhys, Focus on Business Ethics,
4/28/2011
Rule Based Thinking

A suitable rule for
everyone else to follow
in similar situations.
Sally Rhys, Focus on Business Ethics,
4/28/2011
Care Based Thinking

The Golden Rule: “Do
unto others as you would
have them do unto you.”
Sally Rhys, Focus on Business Ethics,
4/28/2011
The Three Moral Frameworks

Ends Based

Rule Based

Care Based
Sally Rhys, Focus on Business Ethics,
4/28/2011
Decision Making
Models
Sally Rhys, Focus on Business Ethics,
4/28/2011
#1: Santa Clara University
1.
2.
3.
4.
5.
Recognize the situation as an ethical issue
Get the facts
Evaluate alternative actions
Make a decision and test it
Act and reflect on the outcomes
From Markkula Center for Applied Ethics
Sally Rhys, Focus on Business Ethics,
4/28/2011
#2: The Four Imperatives
Legal: Societies’ Agreements
Pragmatic: Good
for Business
Personal:
Individual Value
Perceptual: Need for Support
From Moral Leadership in Business by LaRue T. Hosmer and Navran Associates
Sally Rhys, Focus on Business Ethics,
4/28/2011
Four Imperatives cont’d

Legal Imperative:



Is this action according to laws?
Is it in accordance with commonly accepted rights
of others?
Pragmatic Imperative:


Is this action likely to make good business sense?
Is this action going to support more efficient
production?
From Moral Leadership in Business by LaRue T. Hosmer and Navran Associates
Sally Rhys, Focus on Business Ethics,
4/28/2011
Four Imperatives cont’d

Perceptual Imperative:



Would I be proud to see this reported on national
TV?
Will this action build a sense of community?
Personal Imperative:


Is this congruent with my values?
Would I condone this activity in others?
From Moral Leadership in Business by LaRue T. Hosmer and Navran Associates
Sally Rhys, Focus on Business Ethics,
4/28/2011
!!! Fatal Flaw!!!
Sally Rhys, Focus on Business Ethics,
4/28/2011
#3: Person-Situation
Interactionist
Situational
Moderators
Stage of
Cognitive
Development
Ability to
Apply
Previous
Models
Individual
Moderators
Sally Rhys, Focus on Business Ethics,
4/28/2011
Stages of Cognitive
Development

1&2: Concerned with concrete
consequences

3&4: Concerned with what is “right”

5&6: Right is determined by universal values
or principles
Sally Rhys, Focus on Business Ethics,
4/28/2011
Personality:
Individual Differences

Sense of Self


The Situation


Self management, e.g. resist impulses, follow own
convictions
Follow the crowd: Degree of dependence on context vs
internal moral compass to guide actions
Self determining

Master of own fate: Degree of belief that outcomes are due
to self rather than fate/luck/destiny
Sally Rhys, Focus on Business Ethics,
4/28/2011
Situational Variables

Job Context




Good behaviors noticed?
Bad behaviors punished?
Pressure due to time, budget, resources?
Organizational Culture




Norms
Role models
Obedience to authority
Responsibility for consequences
Sally Rhys, Focus on Business Ethics,
4/28/2011
Oregon State Guidelines
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4/28/2011
Washington State Guidelines
Sally Rhys, Focus on Business Ethics,
4/28/2011
California State Guidelines
Sally Rhys, Focus on Business Ethics,
4/28/2011
IMPA-HR: Principles and
Values Statement





…highest standards of professional
competence and personal conduct
…respect the dignity of all individuals
…uphold all federal, state, and local laws..to
instill in the public a sense of confidence and
trust about the conduct of my employer
..avoid a conflict of interest
…not compromise, for personal gain.., my
integrity
Sally Rhys, Focus on Business Ethics,
4/28/2011
Case Study




Find a case study at your table
Find a decision making model at your table
Apply assigned model to case study:
debate to force higher contributions
Think about process, not so much outcome



Santa Clara
Four Imperatives
Prepare to share key insights about the
model
Sally Rhys, Focus on Business Ethics,
4/28/2011
Report out

What did you learn by using the model?

What is the impact on different stakeholders?

Could you personally live with the decision?
Sally Rhys, Focus on Business Ethics,
4/28/2011
In the moment…
Sally Rhys, Focus on Business Ethics,
4/28/2011
Publicity Test
Would I want this on the front page of a major newspaper?
Sally Rhys, Focus on Business Ethics,
4/28/2011
Fairness Test
Would I treat my best
friend this way?
Sally Rhys, Focus on Business Ethics,
4/28/2011
Universality Test
Would I recommend others go in the same direction?
Sally Rhys, Focus on Business Ethics,
4/28/2011
What would you do if you were
Diego?
Sally Rhys, Focus on Business Ethics,
4/28/2011
Ethical Leadership
Sally Rhys, Focus on Business Ethics,
4/28/2011
Resources






How Good People Make Tough Choices, Rushworth
Kidder
Moral Leadership in Business, LaRue T. Hosmer
www.scu.edu/ethics/practicing/decision
Ethical Decision Making in Organizations: A PersonSituation Interactionist Model, Linda K. Trevino,
Academy of Management Review, 1986
Defining Moments, Joseph L. Badaracco, Jr
Me!
Sally Rhys, Focus on Business Ethics,
4/28/2011
Thank you!
Sally Rhys, MS, CCEP, SPHR
www.FocusonBusinessEthics.com
Sally@FocusonBusinessEthics.com
971-678-0489
Have ethics. Will travel.
Sally Rhys, Focus on Business Ethics,
4/28/2011