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OLYVIA-CELINE-FEBY

Defining Ethics

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OLYVIA-CELINE-FEBY

DEFINING ETHICS

Ethical VS Unethical

What are Ethics?Moral Philosophy which involves systemat iz ing, defending, and recommending concepts of right and wrong conduct (According to Wikipedia)

Are not standards of the law, doesn’t always resulting in legal punishment

Consists of unwritten rules we have developed for our interactions with each other

What are Ethics?Generally accepted rules of conduct that govern society, play critical role in an orderly society

Both standards and expectations for behavior

Beyond laws and legal rights

Often correlated with norms and values such as fairness, justice, equality, honesty

Ethics E(que,e

moralprinciplesthatgovernourbehavior

setofrulesindica5ngtheproperandpolitewaytobehave

Principles behavior

differentthingstodifferentpeople

differaccordingtoculture,ethnicity,religion,country

personal;therightandwrongarejudgedindividually

social;itisnotcreatedbyanindividual

Theories to Resolve Ethical Dilemmas

Divine Command TheoryEthical Egoism TheoryThe Utilitarian Theory

The Categorical Imperative and Immanuel KantThe Contractarians and Justice

Rights TheoryBack to Plato and Aristotle: Virtue Ethics

Divine Command TheoryBased upon religious beliefs, tenets of faith.

Decisions are made on the basis of guidance from a divine being.

Runs in parallel with natural law in some countries.

•  Example: 1.  In Muslim countries, adultery = unethical,

illegal, punishable2.  U.S. declaration of independence relied

on notion of natural law. We had rights because they were give to us by our Creator.

Advantages Disadvantages

Objec5ve:IfGodisthesourceofmoralitythenwearenotresponsiblefor

determiningamoraldecision,butsimplymakingitaccordingtoGod's

teachings

IfGoddoesn'texist,thenhecannotbethesourceofmorality

IfGodisthesourceofmorality,thenhisteachingswillinevitablybemoral

Theoryexcludesatheists;ifeveryonedoesnotbelieveinGod,theywillnot

liveaccordingtohismorals-notUniversal

Godisnon-physicalandgreaterthanthehumanmindcanunderstand,justasmoralsare,soitislogicaltosaythat

theysharethisrela5onship

ItisdifficulttointerpretGod'steachings,andhencehismoralsalso

Ethical Egoism TheoryKeyword: humans act based on their own self-interest

Morality should be based solely on self interest alone

Receives more contras since it is difficult to rely only on pattern of selfish behavior

Thus, there must be a greater power in government

Utilitarian Theory“Greatest happiness principle” à bring greatest good to the greatest number of people

Minimizing harms and bad impacts of our proposed solutions from the viewpoints of all those who are affected

Example: outsourcing manufacturing of clothing to developing countries

Utilitarian Theory

Advantages Disadvantages

Clearandaneasy-understandguidelines Whodecidesgoodandbad?

Focusonhappinessandbenefits Favori5sm

Takesintoaccountallelements Time-consuminganddifficult

The Categorical Imperative and Immanuel KantIn simplest terms, you cannot use others in a way that gives you one-sided benefit

Evaluating motivations for action, all based on goodwill and pureness of heart

Morality is obligation and duty

Example : do business in a good term (CSR, etc) since you want to earn popularity is not sufficient basis for your action.

Advantages Disadvantages

Mo5vesvaluedoverconsequences(whichwehavenocontrolof)

Inflexible,rigid

The Categorical Imperative and Immanuel Kant

The Contractarians and Justice Theory

Referred as theory of justice and social contract.Living in society requires rules and laws.

Fair equality of opportunity.

Theoretically, viable to the extent that individuals are relatively equal in power when the contract is both negotiated and renegotiated. 

In real world, we always have an imperfect contract which represents the interests of the stronger, more interested, or more persuasive parties.

Rights Theory or Entitlement Theory (Contract-based)Everyone has a set of rights

It’s up to governments to protect those rights (enforcement of laws with right intentions)

Members of society agree to give up some freedoms for the protection enjoyed by organized society

Example: protection of human rights (sweatshops, euthanasia, abortion, privacy)

Moral Relativists Theory

Believes in time-and-place ethics

No absolute rules, virtue ethics or even social contract

Focus on pressure of the moment and whether pressure justifies the actions taken

Example: parents stealing for their starving child will be justified

Moral Relativists Theory

Advantages Disadvantages

Promotestoleranceandnon-judgmentalcomprehension

Someac5onsarenotexcusable

VirtueEthicsTheory

Emphasize the role of character and virtue in moral philosophy rather than either doing one’s duty or acting in order to bring about good consequences

Requires training as individuals are able to resolve dilemmas if they have cultivated and nurtured virtue

Example : 1.  Attentiveness = listening and understanding2.  Courage = doing the right thing despite the cost3.  Justice = treating others fairly

THE TYPES OF ETHICAL DILEMMAS

Taking Things That Don’t Belong to YouSaying Things You Know Are Not TrueGiving or Allowing False ImpressionsBuying Influence or Engaging in Conflict of InterestHiding or Divulging InformationTaking Unfair AdvantageCommitting Acts of Personal DecadencePerpetrating Interpersonal AbusePermitting Organizational AbuseViolating RulesCondoning Unethical ActionsBalancing Ethical Dilemmas

DILEMMA

A difficult problem seemingly incapable of satisfactory

solution

Perplexing situations

TAKING THINGS THAT DON’T BELONG TO YOU

Regardless of s ize or motivation, unauthorized use of someone else’s property or taking property under false pretenses still means taking something that does not belong to you

USING THE PHOTOCOPY MACHINE AT WORK FOR YOUR PERSONAL NEED

USING YOUR FRIEND’S PEN WITHOUT PERMISSION, THEN KEEP IT FOR YOURSELF

SAYING THINGS YOU KNOW ARE NOT TRUE

Virtue of Honesty

STATED COLLEGE DEGREE ON RESUME, BUT HAVE NOT YET GRADUATED.

ASSUME YOU ARE TRYING TO SELL YOUR CAR, ONE IN WHICH YOU HAVE AN ACCIDENT, BUT

WHICH YOU HAVE REPAIRED. IF THE POTENTIAL BUYER ASKS IF THE CAR HAS BEEN IN

ACCIDENT AND YOU REPLY “NO”

GIVING OR ALLOWING FALSE IMPRESSIONS

Legal technicality category

What you have said is technically the truth, but it does mislead the other side

Allowing False Impressions

IF YOU REMAIN SILENT WHEN YOUR COWORKER WAS BLAMED FOR SOMETHING

YOU DID, YOU WOULD LEAVE A FALSE IMPRESSION.

YOU HAVEN’T LIED BUT YOU ALLOWED AN IMPRESSION FALSE BLAME TO CONTINUE.

BUYING INFLUENCE OR ENGAGING IN CONFLICT OF

INTEREST

Finds someone in the position of conflicting loyalties

The officer is conflicted between hi duty to negotiate the best contract and price for his corporation and his interest as a business owner in maximizing his profits

The interest are in conflict, and this category of ethical breach dictates that those conflicts be resolved or avoided

HIDING OR DIVULGING INFORMATION

Taking your firm’s product development or trade secrets to a new place of employment constitutes an ethical violation:Divulging proprietary information.

Hiding the fact that your company’s product has significant side effects (could be harmful to consumers) is the ethical violation:Hiding Information

A BANK THAT SELLS FINANCIAL AND MARKETING INFORMATION ABOUT ITS

CUSTOMER WITHOUT THEIR KNOWLEDGE HAS DIVULGED INFORMATION THAT SHOULD BE

KEPT CONFIDENTAL.

TAKING UNFAIR ADVANTAGE

Taking unfair advantage to those who were not e d u c a t e d o r w e r e unable to discern the nuances of complex contracts

COMMITING ACTS OF PERSONAL DECANDENCE

Personal conduct outside the job can influence performance and company reputation

A COMPANY DRIVER MUST ABSTAIN FROM SUBSTANCE ABUSE BECAUSE WITH ALCOHOL OR DRUGS IN HIS BLOOD, HE CREATES BOTH

SAFETY AND LIABILITY ISSUES FOR HIS EMPLOYER

PERPETRATING INTERPERSONAL ABUSE

Consists of conduct that is demeaning, unfair, or hostile, or involves others so that privacy issues

arise

A CEO UPBRAIDED HIS MANAGER WHO HAD NOT MET THEIR MONTHLY SALES TARGET IN

FRONT OF OTHER MANAGERS

The Former CEO of HealtSouth, Richard Scrushy

PERMITTING ORGANIZATIONAL ABUSE

Covers the way companies treat employees

The critical issues raised are child labor, low wages, and overly long work hours.

Although a business cannot change the culture of another country, it can perpetuate – or alleviate –

organizational abuse through standards of fairness and respect in its operation here

UNDER AGE LABOR IN INDIALOW WAGE LABOR IN CHINA

VIOLATING RULES

Many rules, particularly those in large o rgan iza t ion tha t end toward bureaucracy from a need to maintain internal controls or follow lines of authority

Stanford used funds from the federal grant for miscellaneous university purposes.

Questions arose about the propriety of the expenditures,Which quite possibly could have been legal under federal regulations

But were not within the standards, policies, and guidelines on what were considered appropriate research expenditures.

DECEMBER1

51990

CONDONING UNETHICAL ACTIONS

The wrong is actually a failure to report an ethical breach in any of the

other categories

RECENT STUDIES INDICATES THAT OVER 80% OF STUDENTS WHO SEE A FELLOW STUDENT

CHEATING WOULD NOT REPORT THE CHEATING

IF YOU WERE TO STAND BY SILENTLY WHILE YOU WITNESSED A FELLOW EMPLOYEE

EMBEZZLING COMPANY FUNDS BY FORGING HER SIGNATURE ON A CHECK THAT WAS TO BE

VOIDED

BALANCING ETHICAL DILEMMAS

There are no right or wrong answer

Rather, there are dilemmas to be resolved

Levi Strauss and Google struggled with their decisions. Whether to do business in PRC or not.

•  Human Rights violation by the government there

•  Government’ censorship on information distribution, including through the internet

HOW WE AVOID

ETHICAL DILEMMAS

?

CALL IT BY A DIFFERENT NAME

Example: Ilegal music downloading is unethical, but we call it sharing music thus make ourself less guilty.

By labeling what we do in a good way, we make ourself believe that it is a good thing,

but the truth is that we are lying to ourself so we won’t feely guilty or facing the

consequences.

RATIONALIZING DILEMMAS AWAY

“EVERYBODY ELSE DOES IT”

We simply convince ourself if “everybody does it” then it become right.

Example : If everyone speed during the red light, then others will follow, by seing other done it making them less guilty

RATIONALIZING DILEMMAS AWAY

“IF WE DON’T DO IT, SOMEONE ELSE WILL”

In a though competition people need to think ahead from their competitors, so in

some cases they feel like they are compel to do something risky and unethical and people

will rationalize their action be convincing themself that “ if we didn’t do it, someone else will”

Example: A food company “CelineFood” buy their ingredients from meat supplier that have no health certificate which make the price cheaper, they rationalize their action if we didn’t Do it first soon other will have the same ideas and try to do it as their leverage.

RATIONALIZING DILEMMAS AWAY

“THAT’S THE WAY IT HAS ALWAYS BEEN DONE”

We convince ourself that a certain values or activity are right because “thats the way

It has always been done”, we are afraid to erase those things because it make us feel

that we erase a tradition/ some part of our identity.

Example: In our C community women always at home do their do dishes, clean house, etc. It is unethical, we cannot keep women inside a house like a prisoners, but C have always been taught that way thus if he erase those things he would be feeling responsible for ignoring the elders way of life and losing of his community identity.

RATIONALIZING DILEMMAS AWAY

“WE’LL WAIT UNTIL THE LAWYERS TELL US IT’S WRONG”

We look at the other side when we know that what we do is wrong, we will stoponce some tell us to stop or giving us a punishment.

Example : Jerry is selling drugs to teenagers , in the end he get caught by the police and sentence into 10 year in prison, he regret what he did but its already too late.

RATIONALIZING DILEMMAS AWAY

“IT DOESN’T REALLY HURT ANYONE”

We believe that what we do won’t harm anyone or assume that it is fo the greater good,

but in the reality what we do will always has it consequences, so when you do

bad things we will face its consequences.

Example: WM Company produced a toxic smoke every day it could effect its surrounding. They convince the people that it won’t harm them, but in the future there will be consequences.

RATIONALIZING DILEMMAS AWAY

“THE SYSTEM IS UNFAIR”

We blame others in our fault, in our misery, thus when we do something unethical

it make us feel much better or less guilty.

Example: A pick pocket blame the government for its poor living condition now, but in reality the pick pocket never try to a decent job in the first place.

RATIONALIZING DILEMMAS AWAY

“IT’S A GRAY AREA”

We believe there is no right or wrong in certain situation, thus it rationalize us to do things

Using our own beliefs as an indicator of what is ethical and unethical.

Example: A 17 year old girl is pregnant, her mother want her to keep the baby because She believe that killing the baby is not the solution, but her father want her to do the abortion because he believe if she keep the baby she will disgrace the family name in the society.

RATIONALIZING DILEMMAS AWAY

“I WAS JUST FOLLOWING ORDERS”

When our lives depend on others we tend to follow their orders blindly, even when we

Know its wrong they simply have a bigger influence than us.

Example: Andrew is an accuntant to company E, the company orders Andrew to manipulate its income to evade paying taxes, Andrew cannot refuse its clients demand because Andrew make a living from making E company report.

QUICK TEST OF YOUR ETHICAL BELIEFS

“1” REPRESENTS “COMPLETELY AGREE”

“4” REPRESENTS “COMPLETELY DISAGREE”

CIRCLE THE NUMBER FROM 1 TO 4

I CONSIDER MONEY TO BE THE MOST IMPORTANT REASON FOR WORKING AT A JOB OR IN AN ORGANIZATION1 2 3 4

I WOULD HIDE TRUTHFUL INFORMATION ABOUT SOMEONE OR SOMETHING AT WORK TO SAVE MY JOB1 2 3 4

LYING IS USUALLY NECESSARY TO SUCCEED IN BUSINESS1 2 3 4

1

2

3

CUTTHROAT COMPETITION IS PART OF GETTING AHEAD IN THE BUSINESS WORLD1 2 3 4

I WOULD DO WHAT IS NEEDED TO PROMOTE MY OWN CAREER IN A COMPANY, SHORT OF COMMITING A SERIOUS CRIME1 2 3 4

ACTING ETHICALLY AT HOME AND WITH FRIENDS IS NOT THE SAME AS ACTING ETHICALLY ON THE JOB1 2 3 4

4

5

6

RULES ARE FOR PEOPLE WHO DON’T REALLY WANT TO MAKE IT TO THE TOP OF A COMPANY1 2 3 4

I BELEVE THAT “THE GOLDEN RULE” IS THAT THE PERSON WHO HAS THE GOLD RULES1 2 3 4

ETHICS SHOULD BE TAUGHT AT HOME AND IN THE FAMILY, NOT IN PROFESIONAL OR HIGHER EDUCATION 1 2 3 4

7

8

9

I CONSIDER MYSELF THE TYPE OF PERSON WHO DOES WHATEVER IT TAKES TO GET A JOB DONE, PERIOD1 2 3 4

10

TOTAL THE NUMBERS YOU CIRCLED

THE LOWER YOUR SCORE, THE MORE QUESTIONABLE YOUR ETHICAL PRINCIPLES REGARDING BUSINESS ACTIVITIES.

THE LOWEST POSSIBLE SCORE IS 10THE HIGHEST SCORE IS 40

BIBLIOGRAPHY•  Business Ethics Picture www.skilledup.com•  Obama and Japanese Emperor Picture www.daily.co.uk.com •  Newspaper, https://news.google.com/newspapers?

nid=1314&dat=19901215&id=zW5RAAAAIBAJ&sjid=YwgEAAAAIBAJ&pg=4344,2693396&hl=en

•  Business Ethics Case Studies and Selected Readings Sixth Edition. Jennings, Marianne.