Day 2
• Discuss Ethics Learning Module
– What makes a decision unethical?
– Use notes in film
Ethics Learning Module
Hands on Exercise (p 30)
• On a separate sheet of paper, write down
your response and compute your average.
• Compare/discuss your answers on items
where there is disagreement.
• Were there more or less items where
group members agreed? Disagreed?
Ethics
• Study of moral issues and choices
• Moral implications spring from virtually
every decision . . . on and off the job
A Model of Ethical Behavior in the
Workplace
Cultural Influences
- Family
- Education
-Religion
- Media/entertainment
Organizational Influences
- Ethical codes
- Organizational culture
- Role models
- Perceived pressure for results
- Rewards/punishment system
Political/legal/
economic
influences
Individual
- Personality
- Values
- Moral
principles
- History of
reinforcement
- Gender
Ethical
behavior
Approaches to Ethical Situations
• Ethical decision tree
• Ethical Models: Approach to ethical
situations requiring an understanding of
relevant stakeholders and criteria for
deciding on “ethics” of a situation
Ethical Models
• Utilitarian model: An ethical decision is one that
produces the greatest good for the greatest
number of people.
• Moral rights model: An ethical decision is one
that best maintains and protects the fundamental
rights and privileges of the people affected by it.
• Justice model: An ethical decision is one that
distributes benefits and harm among
stakeholders in a fair, equitable, or impartial way.
Ethical Challenge
• Stakeholders: individuals or groups with an
interest, claim, or stake in an organization.
– Stockholders, management, employees
– Customers, suppliers, community, the public
– These stakeholders provide inputs and derive
something from the company.
• An ethical challenge arises when a situation or
decision forces a dilemma: which stakeholder to
please and which to displease.
Fourth Quarter Deal
• As a group, describe the ethical dilemma
facing the manager. Use either:
– Ethical decision tree
– Ethical models
IBM Cuts . . . (p.26)
• As a group, describe the ethical dilemma
from the point of view of senior
management. Use either:
– Ethical decision tree
– Ethical models
General Moral Principles
• Dignity of human life
• Autonomy . . right to self determination
• Honesty . . the truth should be told to those who
have the right to know
• Loyalty . . fidelity, keep promises, etc.
• Fairness
• Humaneness
• Common good
Ethical Behavior – Additional
Thoughts
• Hiring right people, firing undesirables,
modeling behavior, etc. not sufficient.
• Example: Women in SUNAT and police
women in Peru
• Reduce opportunities for unethical
behavior (through design of control
systems and processes)