Welcome to MT140 Introduction to Management

Unit 8 Seminar

Ethics and Social Responsibility

Agenda

• General Questions and Announcements

• Introduction

• Discuss process of making ethical decisions

• Recognize the components of a diversified workforce

• Define and discuss sexual harassment

• Recap

• Unit 8 Coursework

• Conclusion of Seminar

Introduction

• Successful managers are aware of the ethical climate of the organization and strive to be an ethical leader within the organization.

• Corporate social responsibility involves consideration of the impact of an organization’s actions on legal, economic, ethical, and societal good-will factors.

• Managing diversity in the workplace is a critical issue, influenced by the increasing variety of differences characteristic of the modern worker.

Business Ethics

What do you think are the ethical dilemmas and issues that are challenging managers and employees today?

Ethical Dilemmas and Issues

• Manipulative brand marketing• CEO pay • Commercialism in schools• Religion at work• Sweatshops • Wages; workers feel underpaid

Process of Making Ethical Decisions

Process of Making Ethical Decisions• Step 1: Understand Moral Standards

-Universalism: all people should uphold values that society needs to function such as honesty

-Egoism: maximizes consequences for individual-Utilitarianism: seeks greatest good for greatest number of people

-Relativism: based on opinions and behaviors of relevant other people

-Virtue ethics: what is moral is what a mature person with good “moral character” would do

Process of Making Ethical Decisions

• Step 2: Recognize All Moral Impacts-Which people do they benefit and harm?-Which people are able to exercise their rights?

-Whose rights are denied? -“Veil of Ignorance” – John Rawls

Process of Making Ethical Decisions

• Step 3: Define Complete Moral Problem-Considers moral standards from step 1 and all moral impacts from step 2

-Caution: easy to find excuses for unethical behavior

Process of Ethical Decision Making

• Step 4: Consider the Following-Economic outcomes: potential profits and costs associated with unethical behavior

-Legal requirements-Ethical duties: i.e. proud to see action reported, doesn’t harm “least among us”, generates the greatest social good

Process of Making Ethical Decisions

What are some potential costs associated with unethical behavior?

Cost of Unethical Behavior

• Customer defections• Loss of reputation• Employee cynicism• Lost employee morale• Employee turnover• Government fines and penalties• Legal costs• Corrective actions

Process of Making Ethical Decisions

• Step 5: Propose Convincing Moral Solution-Behaving ethically requires..

-Moral awareness-Moral judgment-Moral character-Courage

Ethical Climate

• Ethical Climate: The processes by which decisions are evaluated and made on the basis of right and wrong

• How can companies influence their ethics environment?

Components of a Diversified Workforce

Affirmative Action vs.Managing Diversity

• Affirmative Action: focuses on correcting past exclusions of women and minorities

• Managing Diversity: moves beyond legislated mandates to be proactive and value people’s differences

Managing Diversity

Why is it important for a company to have a diversified workforce?

Advantages of Diversity

• Ability to expand customer base• Wide talent pool• Customers increasing diverse; leads to competitive

advantage• Suppliers more diverse due to globalization

Managing Diversity

• Managing diversity means being acutely aware of characteristics common to a group of employees, while also managing these employees as individuals

Managing Diversity

• Involves recruiting, training, promoting, and utilizing to full advantage individuals with different backgrounds, beliefs, capabilities, and cultures.

• Understanding and deeply valuing employee differences to build a more effective and profitable organization.

• Valuing the connections that arise and develop between diverse employees.

Managing Diversity

What are the challenges associated with managing a diverse workforce?

Managing Diversity Challenges

• Unexamined assumptions• Lower cohesiveness • Communication problems• Mistrust and tension• Stereotyping

Diversity training programs can help to overcome these challenges

What is Sexual Harassment

• Conduct of a sexual nature that has negative consequences for employment

• Two categories-Quid pro quo: submission to or rejection of sexual conduct is used as a basis for employment decision.

-Hostile environment: when unwelcome sexual conduct “has the purpose or effect of unreasonably interfering with job performance or creating an intimidating, hostile, or offensive working environment.”

Components of a Sexual Harassment Policy

1. Develop a comprehensive organization-wide policy on sexual harassment and present it to all current and new employees.

2. Hold training sessions with supervisors to explain Title VII of the Civil Rights Act of 1964 requirements, their role in providing an environment free of sexual harassment, and proper investigative procedures when charges occur.

Components of a Sexual Harassment Policy, cont’d.

3. Establish a formal complaint procedure in which employees can discuss problems without fear of retaliation.

4. Act immediately when employees complain of sexual harassment.

5. When an investigation supports employee charges, discipline the offender at once.

6. Follow up on all cases to ensure a satisfactory resolution of the problem.

What constitutes sexual harassment?

• Who can be a victim of sexual harassment?• Who can be a sexual harasser? • What other non-gender-related means of sexual

harassment might be used?

Recap

• In this seminar, we have discussed:

-The process of making ethical decisions-The components of a diversified workforce-Sexual harassment in the workplace

Unit 8 Coursework

• Reading: Chapter 3 pp. 54–69 and Chapter 8 pp. 175–182 in the Bateman and Snell Text.

• Discussion: Topic is diversity and social responsibility. You are presented with a very interesting scenario concerning Sandwich Blitz.

• Assignment: Topic is ethical issues. After reviewing a problem at Sandwich Blitz you are asked to identify and discuss the ethical issues.

• Review: 5 multiple choice questions

Thank you for attending!