1 - Ch 4 Ethics and Social Responsibility (15 Qs) Ethics -...

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Ch 4 Ethics and Social Responsibility (15 Q’s) Ethics - The set of moral principles or values that defines right and wrong Ethical behavior Conforms to a society’s accepted principles of right and wrong Sources of code of ethics - Societal Ethics, Occupational Ethics, Organizational Ethics , Individual Ethics Workplace deviance : production, property, and political deviances, personal aggression: US Sentencing Commission Guidelines for organizations : who, what, why, examples of offenses: Who: Nearly all businesses are covered What: Punishes a number of offenses Why: Encourages businesses to be proactive How: Determine the punishment Examples of offenses : invasion of privacy, price fixing, fraud, customs violations, antitrust violations, civil rights violation, theft, money laundering, conflicts of interest, embezzlement, dealing in stolen goods, copyright infringement, extortion. Ethical dilemma: - All alternatives are undesirable or unethical - Potential ethical consequences are unclear - The quandary people are in when deciding which way they should act Three domains of human actions: Free choice vs. Law Free choice vs. Ethics
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Law vs. Ethics Seven ethical principles -Long term self interest (save more, spend less) ex: IBM retirement plan for those who worked 30 yrs & after -Personal value (never do anything not honest, open, truthful) ex: secretly award the dead man full benefit -Religious injunction (never unkind/ harm community) ex: IBM compassion and kindness and award full benefit to dead man. -Government requirement (minimal moral standards of society/ never take any action against the rule) ex: Don’t reward the dead man -Utilitarian benefit (never take action that doesn’t result in greater good for society) ex: Doesn’t lead to clear choice -Individual right (never take an action that infringes on others’ agreed-upon rights) ex: could be argued/ violating rule/ No benefit -Distributive justice (never take any action that harms the least fortunate among us in some way) ex: Award full benefit Overt integrity test : Estimate one’s honesty directly (asking don’t most people steal from company?) Personality-based integrity test : Test one’s honesty indirectly (prison inmate < middle level manager) Ethics training: Develops employee awareness of ethics Achieves credibility with employees Teaches a practical model of ethical decision making Rationalizations for unethical behavior: “It is not really illegal.” “It is really in everyone’s best interests.” “No one will ever know about it.” “The organization will stand behind me” Ethical climate: (Managers) 1. Act ethically 2. Are active in company ethics programs 3. Report potential ethics violations 4. Punish those who violate the code of ethics Whistle-blowing: reporting others ethics violation (fear of telling about violators) Social responsibility: a business’ obligation to pursue policies, make decisions, and take actions that benefits society
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This note was uploaded on 04/09/2010 for the course MHR 301 taught by Professor Sharif-zadeh during the Fall '07 term at Cal Poly Pomona.

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1 - Ch 4 Ethics and Social Responsibility (15 Qs) Ethics -...

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