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7/26/2019 Business Ethics UTAR assignment
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UNIVERSITI TUNKU ABDUL RAHMAN (UTAR)
FACULTY OF BUSINESS AND FINANCE
(Academic Year 20!"20#)
Oc$%&er 20! Seme'$er
Bachelor of Business Administration (Hons)
Bachelor of Marketing (Hons)Bachelor of Business Administration (Hons) EntrepreneurshipBachelor of Commerce (Hons) Accounting
Bachelor of Finance (Hons)
A''ime$ C%*er S+ee$
MARKIN, SCHEME FOR ,ROU- ASSI,NMENT
N%. A''e''me$ Cri$eriaMar/'
A%ca$i%
Mar/'
A1arded
1 Introduction 10 marks
Contents 10 marks
! "ecommendation 10 marks
# $iscussion 10 marks
% Conclusion % marks
& Format % marks
T%$a %0 marks
Comments'
ame of Marker '
ignature of Marker '
$ate '
1
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Ta&e % C%$e$'
-ar
$
C%$e$' -ae
1 Introduction
1*1 Introduction of Ethical $ilemma
1* "elated Issues on Ethical $ilemma
1*! +he Importance of Ethical $ilemma to +he ociet, or -rgani.ations
1/
/!
!/#
Contents
*1 "eie the topic ith literature support
* "eleant +heories E2plaining the "elationship of +he Concepts
*! Comprehensiel, $iscuss the Concepts Inherited in Ethical $ilemma
*# E2plain the "elationships Among the Concepts
*% E2plain the Concepts From the 3s,chological and ociological Approach
*& +o $ifferent +heories E2plaining the "elationship Beteen4Among the
Concepts
#/%
%/&
&/5
5/6
6/11
11/1!
! 3art C' $iscussion
!*1 7,ing
!* Fraud
!*! $iscrimination!*# e2ual Harassment
1!/1#
1%/1&
18/1516/1
# 3art $' "ecommendation
#*1 Implications to societ,9 organi.ations9 and management
#* :ustif, the recommendations ith literature supports
1/!
#/8
% Conclusion 8/5
"eferences A1/A&
. I$r%d3c$i% % E$+ica Diemma
2
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Ethics is referred to an indiidual;s moral emplo,ees must decide hat the,
think is the right course of action (Cad=ur,9 n*d*)* +his ma, inole re
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sometimes9 hen take a cigarette =reak9 some orkers ill hold an off/the/cuff outdoor meeting*
+hat is not onl, unhealth, for the other people attending9 it also gies the smoker another
cigarette =reak effectiel,* +he most people use a fault, model of unethical =ehaiour =ecause
the, think that =adG people do =adG things (:ohn9 01!)* But in man, cases9 the rong is made
=, the good people such as good leaders9 good managers and good emplo,ees* For e2ample9 the,
fail to recogni.e that the pro=lem the, are confronting has an ethical component and is not solel,
a marketing or finance or other kind of pro=lem (:ohn9 01!)* +he, are lack the a=ilit, to sole
the pro=lem from an ethical perspectie* o that9 the goal of ethics training is not to change
peoples ethics and it is to enhance peoples sensitiit, to ethical issues and proide them ith
tools for resoling ethical dilemmas effectiel, (:ohn9 01!)*
+he ethical dilemma is een more difficult to decide =ecause there is not a rongG
anser* +he toughest ethical dilemmas in the orkplace occur hen to or more competing
alternaties are present9 each haing its on set of ethical alues9 the choice of hich ala,s
offers a less/than/ideal solution (Chris9 01!)* +his kind of situation ill happen =ecause people
often caes in to faoura=le outcomes against each other hich is fairness ersus compassion
(Chris9 01!)* +he toughest ethical challenge to naigate is rightG ersus rightG* A difficult
ethical dilemma decision is not necessaril, the same as a decision that is eas, to make* ou ma,
=e faced ith a situation here it is er, not clear hat ould =e the right or rong thing to do*
For e2ample a=out the ethical rule hich is l,ing* If ,ou sa,9 ;I kno it is rong to tell a lie9 =ut I
allo m,self to tell lies heneer it suits me9; then this is the clearest possi=le eidence that ,ou
don;t reall, =eliee it is rong to tell a lie (?eoffre,9 005)*
For e2ample9 ,ou are a ne officer ho need to assign =, a training officer for the first
si2 months of ,our emplo,ment* +he training officer is a close friend ith three Assistant Chief
of 3olice and the =rother/in/la of the Datch Commander* In one da,9 ,ou respond to a =urglar,
call at a local conenience store at '!0 am* +he manager has =een notified* ou are needed to
ait !0/!% minutes for his arrial* 7ater9 ,ou o=sere ,our partner take a soda9 cand, and a =ag
of chips* He consumes the soda and chips* Dhen the manager arries9 the to of ,ou depart from
the store* In the e2ample9 e can learn that some of the companies like to place their emplo,ees
in impossi=le positions* If a superisor demands that ,ou do something ,ou find unethical or
een illegal9 such as fa=ricating financial data or iolating federal emplo,ment las9 ,ou hae
4
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options (:ill9 01)* If these kind of situation happened9 ,ou can make reports to the goernance
=odies* If u can aoid it9 do not @uit the organi.ation9 =ut after ,ou make reports9 ,ou ant to
prepare to get fired and ,ou ma, find another
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In addition9 di'crimia$i% ala,s happens in the orkplace ithin our societ, toda,
due to negatie practice of ideas in our surrounding (imon9 n*d)* +he main factor that initiates
discrimination to arise is conscious or unconscious action hich =rings positie or aderse
effects toards an indiidual to act upon something* It can =e in the =asics of religion9 se29
marital status9 se2ual orientation9 colour9 race9 age or an, other status*
Se63a +ara''me$is also one of the relations hich knon as an, unanted se2ual
=ehaiour toards an indiidual =, another (-*C* Ferrell9 010)* It is a form of se2
discrimination hich iolates certain las* It can also occur in a er=al9 isual9 ph,sical or
ritten form hich the ictim feels unpleasant and find it offensie =, =eing harass =ecause of
their se2ualit,* +herefore9 people in different culture ill hae different perceptions of actions
that considers as harassment that arise in the issue of ethics dilemma*
Furthermore9 &ri&er5can also =e a related issue of =usiness ethics =ecause it can =e
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soled first and ill not make an, peoples angr,* +hus9 the preparation is important to identif,
the ethical dilemma*
-ne sign is that ;ethical; dilemmas touch more heail, than others on matters of principle
(3ersonal Finance ociet,9 01#)* ome of the e2amples of principles are impartialit,9
accounta=ilit,9 fairness9 confidence and openness* +hese e2amples ma, =e faced in the conflict*
For e2ample9 histle/=loers often face a conflict =eteen the principle of truth and the
principle of lo,alt,9 hen eighing up hether to report a concern(3ersonal Finance ociet,9
01#)* 3eople make a =ad ethical choice ill influence pu=lic relations sta, in a nightmare
orld* For e2ample9 some companies operate ith destro, the air or atmosphere to achiee their
goals and the to2ic materials hich pollute the enironment ork against greenG societal
aluation* Man, peoples in the orld are er, selfish9 =ecause the, ant to achiee their goal
and career9 the, do not think a=out other peoples*
In the perfect orld9 the compan,s =usinesses and their emplo,ees ala,s do the right
things* But9 noada,s9 in this real orld9 man, peoples face in the ethical dilemma at the
orkplace* An ethical dilemma is a pro=lem here a person has to choose =eteen a moral and
an immoral act (+err,9 n*d*)* +he emplo,ees in the compan, ill ala,s face man, ethical
dilemmas in their careers9 so that the compan, should proide some training and gie some
information a=out ho to sole the @uestion for them to help them in their decision making* In
ethical dilemma9 people ill make unethical decision9 this kind of pro=lem ill make the
organi.ation fall to an unsta=le slope hich concerns the legalit, of compan, =usinesses* If an,
emplo,ees in the organi.ation found in guilt, or the management of the organi.ation manage in
guilt, a,s9 the punishment ill =e seered such as9 the high legal fees and fines need to pa, and
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-ar$ B9 C%$e$'
Re*ie1 $+e $%7ic 1i$+ i$era$3re
Ethical dilemma can =e defined as a circumstance that fre@uentl, inoles comple2 and
conflicting principles of ethical =ehaiour as there is no clear guideline on ho to act and
respond to a particular pro=lem (oor Ha.lina Ahmad9 Mahfoo. A* Ansari L "ehana Aafa@i9
00%)* Furthermore9 ethical conflicts are unaoida=le hen an indiidual;s personal =usiness
ethics is not consistent ith that of the corporation (oor Ha.lina Ahmad et al*9 00%)* It is
essential for an indiidual to identif, the presence of ethical dilemma as it acts as catal,st for the
decision making process (oor Ha.lina Ahmad et al*9 00%)* +here ill =e a great danger in an
organi.ation if an ethical dilemma is failed to acknoledge*
+he ethical decision making process is denoted =, a four/component model esta=lished =, "est9
hich are recogni.e an ethical dilemma9 formulate a
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"ecogni.ing an ethical dilemma is crucial as a person ill =ecome aare that he or she is
fronting an ethical pro=lem in the orkplace (alentine et al*9 01!)* In order to recogni.e the
e2istence of an ethical dilemma9 there are some criteria depicting the ethical dilemma situations*
Firstl,9 the fairness components pla, an important role in management decisions in ethical
dilemma situations (7itschka9 uske L Brandteiner9 011)* econdl,9 the commitment as the
=ehaiour that sticks to the rules een if personal elfare is adersel, affected (7itschka et al*9
011)* +hirdl,9 the reciprocal altruism acts as a cooperatie =ehaiour that anticipates a
reciprocal =eneficial act from other persons (7itschka et al*9 011)* All of the three elements hae
=een applied =, the managers hen considering the ethical dilemma in the orkplace*
After recogni.ing an ethical dilemma9 a person ill formulate the
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As a conclusion9 the organi.ation should hope to see the incremental improements in orkers
a=ilit, to make the ethical decisions through deeloping a stronger ethical culture so that it can
lead to a more ethical orkplace (alentine et al*9 01!)*
2 C%m7re+e'i*e5 di'c3'' $+e c%ce7$' i+eri$ed i $+e $%7ic.
Ethical issues are confusing and multifaceted and not onl, =lack and hite (Delker L Berardino9
01!)* "ecogni.ing an ethical issue or condition is necessar, to ethical decision making =ecause
a person =ecomes conscious that he or she is facing an ethical dilemma in the orkplace
(alentine9 am9 Hollingorth L Hall9 01!)* 7,ing9 se2ual harassment9 discrimination and
fraud are the four ethical dilemmas that ala,s happen in the orld toda,*
L5irelates to distort the truth and philosophers and theologians hae categorised l,ing as
unethical and immoral =ehaiour 7,ing is er, common in dail, life and it is difficult to resole
ith its occurrence (7eine L cheit.er9 01#)* 3eople not onl, lie for on =enefits =ut also
others people =enefits* +here are three t,pes of l,ing hich are
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harassment in the orkplace poses something of an ethical dilemma for career guidance practice
=ecause it is identified that a=out half of all orking omen are likel, to =e ictims at some
stage of their emplo,ment (Bimrose9 00#)* e2ual harassment is a t,pe of se2 discrimination
and it defined as an, repetitie9 unanted =ehaiour of se2ual nature perpetrated upon one
indiidual =, another (Ferrell et al*9 010)* +he most common t,pes of se2ual harassment are in
er=al t,pe hich include se2ual
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fines9 imprisonment or =oth (Ferrell et al*9 010)* 3ressure9 opportunities and
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+he reasons for people to conduct fraudulent actions are due to the pressures to pu=lish9 achiee
career promotion9 the lure of reputation and mone, (Jarc. et al*9 011)* Fraud and deceit in
=usiness can isi=le itself in a fe a,s of affecting all =usiness disciplines populations and
countries* As a =usiness communit,9 e should ala,s keep in mind that all t,pes of fraud and
deceit can ruin the reputation in the e,es of the pu=lic and practice good ethical =ehaiour9
honest, in our life*
"esearchers argue that se2 testing is a sensi=le (though imperfect) a, to assure the safet,9
competitieness and fairness of omen sport9 =, accuratel,G arranging competitors into suita=le
categories according to conention9 science and humanitarian alues* Although there is no
gender discrimination hae =een recogni.ed through se2 testing in sport9 a num=er of selected
omen hae =een unfairl, dis@ualified from competition since se2 test ere formall, introduced
into international games9 ith conse@uences that e2tend aa, from their sporting career (Dells
L $arnell9 01#)* +esting has caused harms to omen athletes* +herefore9 an, accommodations
are attempted through priac, clauses and integration polic, in se2 testing policies =ased in the
adantage thesisG assumptions of fairness appears to receie main concern oer the impact of
discrimination* Conse@uentl,9 critics emphasi.e that se2 testing participates in a tradition
=iological concept of se2 difference actuall, help to construct and disseminate social hierarchies
and stereot,pes for the gender discrimination and fairness (Dells et al*9 01#).
2.! E67ai $+e c%ce7$' r%m $+e 7'5c+%%ica: '%ci%%ica %r 7+i%'%7+ica a77r%ac+.
+he simplest definition for 7'5c+%%5is that it is the stud, of the humans mind and =ehaiour
(Dhat is ps,cholog,9 n*d*)* +he applications of ps,cholog, comprise the mental health treatment9
performance enhancement9 self/help9 ergonomics9 and man, other areas that affecting health and
dail, life (Dhat is ps,cholog,9 n*d*)* It is @uite challenging to capture eer,thing that ps,cholog,
coers in
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Dh, can e sa, that ethical dilemma can =e originated from ps,chological approach According
to 7ai and Ba=cock (01)9 Asian Americans hae =een largel, ignored in the orkplace
discrimination* It is definitel, er, ital for haing a set of skills needed in the
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to protect people from harm (7eine L cheit.er9 01#)* +hat is h, e alue
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conse@uences of all possi=le alternaties and choose the one that result in the greatest =enefit
(Ferrell et al*9 010)*
e2ual harassment in the orkplace has =ecome the focus of much academic researches acrossdisciplines and also much media attention (Firestone9 Miller L Harris9 011)* +he research
indicates that the se2ual harassment is a idespread phenomenon ith arious negatie impacts
(Firestone et al*9 011)* More than half of the harassed orkers stated the negatie impacts for
their personal ell/=eing> a third of the harassed orkers reported the negatie conse@uences for
their ork situation including resignation9 tasks reduction9 change of orkplace and short of
orking condition> and the rest of them said the negatie implications for the ork satisfaction9
orking climate and motiation ($ragoO9 n*d*)* ince there are man, negatie conse@uences
contri=uted from the se2ual harassment9 =ased on the utilitarianism theor,9 the greatest utilit, to
the societ, ill lead to forcing the organi.ations to preent se2ual harassment in orkplace*
+herefore9 the management of a compan, is responsi=le to esta=lish a rigorous standard and
polic, regarding the se2ual harassment on the
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that e@ual respect must =e gien to all persons (Ferrell et al*9 010)* $eontologists consider that
e should not inole in committing fraud in order to ma2imi.e the profit* Hoeer9 utilitarian
consider an action is accepta=le if the action can create greater =enefit* For e2ample9 researcher
found out that hite/collar criminals claimed that the, felt reasona=le in committing fraud in
order to sae their compan,9 the emplo,ees
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-ar$ C (Di'c3''i%)
4. L5i
Most of the people ala,s think that l,ing is =ad* For centuries9 philosophers and theologians
hae characteri.ed l,ing as unethical (7eine L cheit.er9 01#)* imilarl,9 ethics scholars
hae argued that the honest, is a critical component of moral character and it is also a
fundamental aspect of the ethical =ehaior* ome lies are perceied to =e more ethical than an
honest statement* 3rosocial lies are intended to =enefit the target and hae small or su=stantial
conse@uences (7eine L cheit.er9 01#)* For e2ample parents ma, tell prosocial lies a=out
their marriage to protect their children9 the goernment authorities ma, tell a prosocial lie to the
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citi.ens9 and hoping to protect them and doctors ma, tell a prosocial lie a=out the seerit, of a
prognosis in order to help their patient (7eine L cheit.er9 01#)*
+here as a famous case stud, hich happened in ordstrom and it as a=out a clerk
helping an elderl, oman* +his oman came to ordstrom for returning a set of ne tires hich
ere for her hus=ands automo=ile* he ished to return them =ecause her hus=and as recentl,
deceased* nfortunatel,9 there is no automotie department in ordstrom* B, seeing ho
distressed this oman as9 the ordstrom clerk decided to take the tires =ack and reim=ursed the
oman out of his or her pocket* In this e2ample9 l,ing as used as a demonstration of the
organi.ational improisation and resulted positie outcome for the customer (Cona,9 01#)* De
can argue that there is still a good side of l,ing* 3rosocial l,ing is an ethicall, am=ialent act9 it
signals care for others =ut also disregard for the moral principle of honest, (7eine L
cheit.er9 01#)* +he ma
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the ?reat 7eap forard =ut persisted in their polic, and imposed a s,stem of deception* $ue to
lack of free de=ate hich a=le to stimulate the action9 10 millions of people died of the staration
in ,ear 16%6 to ,ear 16&19 it as hidden for ,ears* +here are good and =ad side of l,ing*
4.2 Se63a Hara''me$
e2ual Harassment reflects the une@ual poer relations =eteen the omen and men in
the societ, (g L -thman9 00)* It can =e said as a serious infringement on the right of the
orkers ithin a compan, and the ictims are forced to deal ith some unpleasant and
humiliating e2perience hich might cause in emotional and also ps,chological trauma* Besides
that9 it can create an offensie and hostile orking enironment for those orkers hich impede
the productiit, and also the social interaction ithin the compan, ("amsaroop L 3arumasur9
008)* In order to sho that the se2ual harassment is actuall, occurred9 the complaining parties
must sho that the ph,sical conduct is unelcome* Most of the se2ual cases inole omen
ith the loer income* +hose ictims might e2perience some kinds of emotional reaction
heneer the se2ual harassment occurred* e2ual harassment cases ala,s reduce the
productiit, and also the teamork and the idea generation hich impact on the compan,s
effectieness ("amsaroop L 3arumasur9 008)*
Moreoer9 most of the companies and goernment ala,s cancel the contracts ith those
companies ho hae se2ual harassment pro=lem =ecause such pro=lem might reduce the
reputation of those companies ho cooperate ith them and the, are doing this for discouraging
se2ual harassment ("amsaroop L 3arumasur9 008)* ome omen argued that se2ual
harassment consists of the use of male se2ualit, to e2ercise and to reinforce the poer of those
men and to control oer the omen* +he, said that it is a se2ual iolence and gender
discrimination (g L -thman9 00)*
In Israel9 the la prohi=its intimidation or retaliation that accommodates se2ual
harassment9 referred to pre
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stress leels and also their mental health (7unen=urg9 010)* +hose harassed ictims also might
=e more likel, to leae the compan,* Besides that9 the, also tend to hae some negatie attitudes
toard their superisors or coorker (7unen=urg9 010)*
Hoeer9 a trul, consensual se2ual relationship or the se2ual conducts ma, not =e
considered as unelcome if it is participated illingl, and hence it is not a se2ual harassment*
De can argue that it is an ethical =ehaiour* In fact se2ual harassment has =een misconceied =,
=oth omen and men as simpl, a harmless e2pression of an indiiduals =asicall, se2ual nature
to others and hence some omen are flattered =, se2ual attention and ould flirt =ack (g L
-thman9 00)* According to =iological model9 men and omen are attracted to each other and
the, ould like to relate to each other in se2uall, oriented manners in the orkplace (g L
-thman9 00)* Dith this e can argue that it is
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+he utilitarian argument against discrimination maintains that societ,;s productiit,
ill =e highest hen
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or are targeted for la,offs* +hus9 although the influence ma, =e su=tle9 the cause
ma, =e age stereot,pes and the effect9 discrimination*
Hoeer9 these same indiiduals implicitl, har=or negatie emotions and cognitions
toard omen (or minorities)9 driing them to discriminate in inconspicuous or rationali.a=le
a,s (Cortina et al*9 01!)*
tilitarianism on the other hand has also its upsets as9 giing reards9 salaries and
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compensation9 the o=
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-ar$ D9 Rec%mmeda$i%'
!. Im7ica$i%' $% '%cie$5: %rai8a$i%': ad maaeme$.
In societ,9 people do not ala,s lie een though l,ing might increase monetar, pa,offs*
(Erat* 9 01!)* Hoeer9 people might hire someone to lie for them to allo themseles aoid
from the disutilit, of l,ing* (Erat* 9 01!) According to Erat* 9 01!9 the possi=ilit, of
delegating to an agent is depending on the incenties* In the results shos that omen hae
higher possi=ilit, to delegate an agent as compared to men* (Erat* 9 01!)* ome ma, lie a=out
good deeds =ecause it seems to =e a self/defensie strateg, as this strateg, might decrease ones
ulnera=ilit, of social distrust* +he research recommended that =, emplo,ing the standard
principal/agent frameork and e2plains the delegation from differences in information9 a=ilit,9
and cost or from the credi=ilit, =ecause of handing off the decision/making authorit,* +here is
one model hich is the principal select an appropriate incentie scheme and delegates it to agent
and conse@uentl, gain credi=ilit,* (Fershtman9 C*9 :udd9 J* 7*9 L Jalai9 E* 1661) For e2ample9
people might =e aerse to hire an illegal immigrant to help them doing things for less than the
minimum ages9 this doesnt mean that the people choose to hire onl, legal orkers* In this
situation9 that people hae an alternatie course of action to hire an agentG and act on that
people =ehalf ith the possi=ilit, of this person might engage in some actions that he ould not
do*
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In the =usiness organi.ation9 it is a form of human communit, contri=uted to commerce*
(Dallace* :9 000) According to Dallace* :9 0009 people ma, perceie to ork in a =usiness
=ased on lies and ithout =eing distur=ed =, it* ome people might tolerate to an enironment in
hich the emplo,ees are routinel, lied to if the emplo,ee is the t,pe of a=le to thrie in an
enironment* Hoeer9 some emplo,ee might resign due to lack of integrit, =ecause there is an
incentie for eer,one to =e honest in =usiness* An organi.ation ho is lack of integrit, ma,
lead to man, pro=lems for e2amples hen customers hae discoered the, hae =een laid9 the,
ill not return to the organi.ation* Besides9 emplo,ees ho hae =een laid to ill leae the
organi.ation too and this cause the organi.ation hard to recruit ne emplo,ee*
For the management9 leader is like a flag* (Dallace* :9 000) 7eader needs to hae good
ethical alues for their emplo,ee in order to salute him* +he honest, of the leader is the
cornerstone of the structure* o9 if the emplo,ees found out that the, are =eing laid9 the, ill
reduce the confident leel toards the leaders*
e2t9 ith the technolog, adancement9 stakeholders are a=le to look through and get to
kno the situation of compan,* Hoeer9 some listed compan, might disclose less information
a=out ho their =usiness is =eing conducted for instances the policies and situation in the
compan, to satisficed the inestors and stakeholders* (u* +L Chen* :9 006)*Hence9 hat are
the conse@uences A compan, ho is lacking of transparenc,9 the stakeholders or inestors
might not ant to trust the compan,* takeholders ill uncertain that hether the compan, has
alread, taken into account as ell as taken preentie steps on fraud and corruption* According
to De=le, (001)9 ?oernment and shareholders groups are asking for accounta=ilit, and
transparenc, on the part of multinational corporations =, giing the potential of high profile
incidents that poor corporate =ehaior ma, lead toG*
Apart from l,ing and fraud9 as far as historical records sho9 the more ciili.ed a
societ, =ecomes the more su=tle the stigma and discrimination getsG* ("oseal* D9 n*d*)$iscrimination is still happening in the societ,* +he conse@uences of discrimination in societ,
are o=iousl, reflecting on race9 religion and disa=le discrimination* oada,s9 one of the main
reasons cause iolence is race discrimination* For e2ample9 hite people ala,s fight ith =lack
people due to the, ere discriminated* 3eople might not understand a=out others culture hich
ma, cause them to look don on others* Furthermore9 discrimination in religion might endanger
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the peacefulness of the societ,* Dhen there is a conflict =eteen different religions9 this ma,
easil, lead to a ar*
-n the other hand9 discrimination also happens in organi.ation and management as ell*
$iscrimination in the organi.ation such as age9 gender9 disa=ilities9 se29 race and so forth*
$iscrimination in the organi.ation can hae serious conse@uences and effect toards the
offender and also the ictim* (7isa* F9 n*d*) Dhen the discrimination in the organi.ation has
spread9 the morale ill decrease9 trust =eteen each other ill =e =roken9 and significantl, the
compan, =ottom line ill =e =roken* Besides that9 ?oogle Compan, has faced serious pro=lem
in discrimination of gender in their compan,* (Cla=urn* +9 01#) Dhen an emplo,ee is =eing
discriminated9 he might feel helpless and an2iet, as ell as lack of interest in
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ictims =ut also the o=serers ho ala,s @uit the
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unethical =ehaior9 the, should also reard their emplo,ees ho hae done in ethical =ehaior
in order to encourage them to continue doing ethical =ehaiors*
Hoeer9 leader needs to =e aare of the appropriateness of punishment standard =,
giing punishment according to the leel of unethical =ehaiors in order to sho fairness among
the emplo,ees =ecause a too harsh punishment of a small unethical =ehaior ill lead to reduce
the confidence of emplo,ee in doing orks that ma, =ring =enefit to the organi.ation in future*
In short9 an organi.ation should hae a standard of ethical =ehaior set =, the ethical leader to
assure that their emplo,ees are clearl, understand the standard hich is e2pected =, the
organi.ation* +hrough this9 the emplo,ees potential performance ill =e ma2imi.ed*
Fra3d
"ecentl,9 pu=lic has largel, captured their attention to the cases of fraud* (CBIAED9
008) According to the American Institute of Certified 3u=lic Accountants (AIC3A)9 small and
midsi.e companies suffer a greater share of fraud losses than do the largest companiesG*
(CBIAED9 008) o9 hat are the recommendations to preent this issue
Firstl,9 compan, should re@uire a =ackground check on all emplo,ees* According to
3"-+EC+ -" C-M3A9 01!9 =ackground report is a great a, to protect the @ualit, and
culture of =usiness* +he manager should check for an, inconsistencies =eteen the application
and the report of the =ackground* For e2ample9 a persons dishonest, might proe detrimental to
the =usiness* o9 the manager should look into deeper the persons =ackground or consider
another person* +he manager must kno ho the, are hiring as the manager can take time to call
the preious emplo,ers* (3"-+EC+ -" C-M3A9 01!)
Besides that9 the manager should actiel, inole in checking compan,s finances*
(3"-+EC+ -" C-M3A9 01!) +he, hae the o=ligation to kno the cost and e2penses
run =, the compan,* In detail9 manager need to recogni.e an, costs seem too high or the profitseem too lo for the compan,s sales olume* egregation of duties is also ital in a compan,*
Eer, emplo,ee should hae their on ork to preent them manipulate others ork easil,*
Furthermore9 according to (3"-+EC+ -" C-M3A9 01!) the compan, should
implement internal controls =, asking some @uestions in order to ealuate and get to kno
29
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current internal policies* For e2ample9 the manager needs to ask a=out is there an, =lank checks
as =eing left out Is there an, suspicious people hae access to ,our signature stamp 7ast =ut
not least9 in order to raise the aareness a=out fraud emplo,ees should =e educated a=out fraud*
(3"-+EC+ -" C-M3A9 01!)* +he compan, can hae fraud aareness training in the
compan, to assist the emplo,ees kno a=out the su=tle and not so su=tle instances of fraud* In
short9 emplo,ee ma, =e a=le to keep this aareness at the forefront and the, ill also get to
kno the conse@uences of fraud*
Se63a Hara''me$
In order to reduce se2ual harassment issue in the orkplace9 leaders are automaticall,
pla,s an important role and perceie ethical =ehaior* +herefore9 the emplo,er should also
implement positie duties toards the emplo,ees* According to (Dright* :9 010)9 Australia as
introduced a model here=, if an emplo,ee is se2uall, harassed in the orkplace9 the
responsi=ilit, is lies ith the emplo,er =ecause the emplo,er holds a positie dut, to preent this
issues from happening* In detail9 emplo,er has the responsi=ilit, to update the orkplace
policies relating to se2ual harassment* Besides that9 emplo,er needs to organi.e a regular staff
meeting to remind emplo,ee the compan, polic, that se2ual harassment is prohi=ited* If
emplo,ee =reaches the orkplace polic,9 the emplo,ee should e2pect to =e disciplined =, his4her
emplo,er*
Furthermore9 the leader should also implement other measures to reduce the risk factors
of omen orkers* (Ismail* M* *9 Chee* 7* J*9 L Bee9 C* F9 008)* For instances9 emplo,er ma,
rearrange the ork area to let the omen orkers ork in the full ie of other emplo,ees*
Emplo,ees also encouraged to dress properl, at the orkplace* +he introduction of legall,
=inding standards and positie duties for emplo,ers is a positie step forardG* (Dright* :9
010)* +hrough this step9 it can encourage the emplo,ee to hae self/regulation in order to
achiee social change in the orkplace* (Dright* :9 010) Hoeer9 the author also proposed thatthe duties must =e in clear and unam=iguous term9 the, should =e goerned as ell in order to
preent emplo,ers not fail in their responsi=ilit, to preent se2ual harassment*
-n the other hand9 Mala,sian goernment has officiall, launched the Code of 3ractice on
the 3reention and Eradication of e2ual Harassment in 1666 in order to deal ith the se2ual
30
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harassment issue* (Ismail* M* *9 Chee* 7* J*9 L Bee9 C* F9 008)* Mala,sia goernment has also
put efforts =, conducting orkshops to enhance the aareness and implement the a,s to handle
such case* In short9 preention ill =e an effectie a, to deal ith the pro=lem in the long term
as people are =eing educated to deal ith it and aare of se2ual harassment*
Di'crimia$i%
As mention in the
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-ar$ E9 C%c3'i%
oada,s9 people are ala,s tr,ing to make a decision that is =enefitting to the
compan,* Hoeer9 sometimes =eing =eneficial to the compan, =ut there is unethical* +herefore9
ethical dilemma is occurred hen this situation happened* Ethical dilemma is influence =,
personal alue hen a person has the a=ilit, to make to choices9 =ut can onl, perform one or
the other that among seeral rong and unethical action* ome people prefer to make decisions
=ased on ethical code =ut most of people are desired to reach the goal of the compan, een
though there are unethical* +hus9 there ill =e a great danger in the =usiness orld if an ethical
dilemma is failed to acknoledge* +he good nes is that situation such as ethical dilemma does
not hae a perfect solution9 choosing either of the alternaties ill not =e entirel, rong*
Ethical dilemma is ala,s occurred in our dail, life like making decision* +here is
essential in the decision making process* It affects the use of different modes of reasoning =,
decision makers* Dhen people make the decision that is onl, =enefitting toard them9 the, ill
start to anal,.e the ethical dilemma encountered9 and then select an appropriate mode of
reasoning to resole the situation in an ethicall, accepta=le fashion* As a result9 it leads to ethical
actions* For e2ample9 people ma, act unethicall, to make the decisions in such conflicting
situation ho eigh profita=ilit, a=oe alues and morals* +hus9 ethical misconduct =, an
indiidual ill =e detrimental to the interest of stakeholders*
According the
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At the end9 this stud, is proed that ethical dilemma is er, common and ala,s
occurred in our dail, life and in the professional9 corporate and also in the =usiness orlds* B,
referring the 0
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orkplace/h,/do/some/organi.ations/stum=le4Wsthash*En%+Yi&Y*dpuf
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