Answer & Explanation:1-What ethical qualities would you want to see in a prospective employer’s organization? Would these qualities affect your decision to accept a job offer in this organization? Why or why not?2-Review the philosophical approaches to ethical decision making in Chapter 2. Think about your own ethical decision making. Which approach or approaches would you use in making a decision? Why?No Plagiarism !!! no references. using easy vocabulary is enough.ch02.pptch03.ppt
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Managing Business Ethics
Chapter 2
Treviño & Nelson – 6th Edition
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Chapter 2 Overview
Ethical Dilemmas
Prescriptive Approaches
Focus on consequences (consequentialist theories)
Focus on duties, obligations, principles (deontological theories)
Focus on integrity (virtue ethics)
Eight steps to making sound ethical decisions
Practical preventive medicine
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What is an Ethical Dilemma?
A situation where values are in conflict
Two or more values you hold dear – or –
Personal value conflicts with organizational
value
Value
Value
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The Layoff
You’re the plant manager in one of ABC Company’s five plants.
You’ve worked for the company for 15 years, working your way
up from the factory floor after the company sent you to college.
Your boss just told you in complete confidence that the
company will have to lay off 200 workers. Luckily, your job
won’t be affected. But a rumor is circulating in the plant, and
one of your workers (an old friend who now works for you) asks
the question. “Well, Pat, what’s the word? Is the plant closing?
Am I going to lose my job? The closing on our new house is
scheduled for next week. I need to know.”
What will you say?
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Prescriptive Approaches
Focus
on consequences (consequentialist theories)
on duties, obligations, principles
(deontological theories)
Focus
Focus
on integrity (virtue ethics)
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Focus on Consequences
(Consequentialist Theories)
Utilitarianism – best known
consequentialist theory
Identify
alternative actions and
consequences to stakeholders
Best
decision yields greatest net
benefits to society
Worst
decision yields greatest net
harms to society
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Focus on consequences – classic
Trolley example
A runaway trolley is hurtling down the
tracks toward 5 people who will be killed if
it proceeds on its present course. You can
save these 5 by diverting the trolley onto a
different set of tracks, one that has only 1
person on it, but if you do this that person
will be killed.
Question: Should you turn the trolley to
prevent 5 deaths at the cost of 1?
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Consequentialist Questions
Can
I indentify all the stakeholders?
Immediate, distant?
What
are the potential actions I could take?
What
are the harms and benefits for stakeholders
given potential decisions/actions?
What decision will produce the most benefit (and
least harm) for the greatest number of people, and
for society at large?
Consequentialist Analysis
Stakeholder
Option 1
– Costs
Option 1 Benefits
Option 2Costs
Option 2 Benefits
#1
#2
#3
#4
….etc.
Bottom line = action that produces the greatest good for
the greatest number of people, for society overall!
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Focus on Consequences
(Consequentialist Theories)
Advantages
Practical
Already underlies business thinking
Challenges
Difficult to evaluate all consequences
Rights of minorities can be sacrificed
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Focus on Duties, Obligations,
Principles (Deontological Theories)
Decisions based upon abstract universal
principles: honesty, promise-keeping,
fairness, rights, justice, respect
Focus on doing what’s “right” (consistent with
these principles) rather than doing what will
maximize societal welfare (as in
utilitarianism)
+ Ethical rules (simplified)
Kant’s categorical imperative
“What kind of world would it be if everyone behaved this
way?” “Would I want to live in that world?”
Rawls’ veil
“What would decision be if decision makers knew nothing
about their identities or status?”
Golden
of ignorance – for deciding what’s fair
Rule
“Treat others as you would have them treat you” (Assumption
is that both parties are ETHICAL! An ethical person wouldn’t
expect someone else to be unethical for him/her.)
+ Deontological Questions
Which values or principles apply?
Which are most important and why?
What are my ethical duties, obligations?
Have I treated others as I would want to be treated?
(Golden Rule)
Have I assumed that the other(s) is ethical and responsible?
If everyone behaved this way, would that be
acceptable?
Would I want to live in that world? (Kant’s categorical
imperative)
What would be a fair action if identities were
unknown? (Rawls’ veil of ignorance)
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Focus on Duties, Obligations, Principles
(Deontological Theories)
Advantages
Rights approach found in public policy debates (e.g.,
abortion)
Challenges
Determining rule, principle, or right to follow: Golden
rule, Kant’s maxim
Deciding which takes precedence
Reconciling deontological and consequentialist
approaches when they conflict
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Focus on Integrity
(Virtue Ethics)
Focus
on integrity of moral actor rather than the
act
Considers character, motivations, intentions
Character defined by one’s community
Need
to identify relevant community
Disclosure rule
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Virtue Ethics Questions
What does it mean to be a person of integrity in
this situation, profession, etc.?
What ethical community would hold me to the
highest ethical standards?
Do carefully developed community standards
exist?
What would the broader community think if this
were disclosed? New York Times test?
What would my “harshest moral critic” expect me
to do?
What would my “ethical role model” expect?
What do I want my professional reputation to be?
+ Virtue Ethics –
Management as a Profession
The
proposed “Hippocratic Oath”
Managers as agents of society – serve public interest, enhance
long-term value for society
Enterprise well-being over self-interest
Obedience to letter/spirit of law and other contracts
Behavior of integrity – self and others
Accuracy and transparency in reporting outcomes & processes
Treat others with respect/fairness re: others, the powerless
Knowledge/fact-based decision making
Accept responsibility as a professional manager
Would this have made a difference in the financial crisis???
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Focus on Integrity
(Virtue Ethics)
Advantages
Can rely upon community standards
Challenges
Limited agreement about community standards
Many communities haven’t done this kind of
thinking
Community may be wrong
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Eight Steps to Sound Ethical
Decision Making
1.
2.
3.
4.
5.
6.
Gather the facts
Define the ethical issues
Identify the affected parties
Identify the consequences
Identify the obligations
Consider your character and
integrity
7. Think creatively about potential
actions
8. Check your gut
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Practical Preventive Medicine
(When Asked to Make a Snap Decision)
Pay attention to your gut
Ask for time
Find out about organizational policy
Ask manager or peers for advice
Use New York Times test (disclosure rule)
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The Cost to Society of Dying in a Pinto
(in 1971 dollars) equals…
$200,725
The benefit and cost of an $11 safety improvement
would have been:
benefit = $49.5 million
cost
= $137 million
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Managing Business Ethics
Chapter 3
Treviño & Nelson – 6th Edition
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Chapter 3 Overview
Ethical Awareness and Ethical Judgment
Individual Differences, Ethical Judgment, and Ethical
Behavior
Facilitators to and Barriers to Good Ethical Judgment
Toward Ethical Action
Gioia’s Personal Reflections on the Pinto Fires Case
+ The Relationship between Ethical
Awareness, Judgment, and Action
Ethical
Awareness
Ethical
Judgment
Ethical
Action
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Case
You’ve just started a new job in the financial services industry.
One afternoon, your manager tells you that he has to leave
early to attend his son’s softball game, and he asks you to be on
the lookout for an important check that his boss wants signed
before the end of the day. He tells you to do him a favor—
simply sign his name and forward the check to his boss.
What might influence whether you see this as an ethical issue
or not?
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Influences on ethical awareness
If peers agree that something is “wrong”
If ethical language is used
If potential for serious harm is recognized
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Individual Differences Influence
How We Make Ethical Decisions
Individual Differences
Ethical Decision-Making Style
Cognitive Moral Development
Locus of Control
Machiavellianism
Moral Disengagement
Ethical
Awareness
Ethical
Judgment
Ethical
Actions
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Cognitive Moral Development
Level I (Preconventional)
Stage 1 – Obedience and Punishment Orientation
Stage 2 – Instrumental Purpose and Exchange
Level II (Conventional)
Stage 3 – Interpersonal Accord – Conformity – Mutual Expectations
Stage 4 – System Maintenance – Upholding duties, laws
Level III (Postconventional or Principled)
Stage 5 – Social contract and individual rights
Stage 6 – Theoretical stage only
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Why is Cognitive Moral
Development Important?
Because most people reason at the
conventional level and are looking outside
themselves for guidance
That makes “leading” on ethics essential
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Locus of Control
An individual’s perception of how much
control he or she exerts over events in life.
External
Internal
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Connection to Ethical Behaivor?
Internals are more likely to see the
connection between their own behavior
and outcomes and therefore take
responsibility for their behavior.
Therefore, internals are more likely to do
what they think is right
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Machiavellianism
Self interested
Opportunistic
Deceptive
Manipulative
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Moral Disengagement
The tendency for some individuals to deactivate their
internal control system in order to feel okay about doing
unethical things
Eight mechanisms used for doing this
Euphemistic language
Moral justification
Displacement of responsibility
Advantageous comparison
Diffusion of responsibility
Distorting consequences
Dehumanization
Attribution of blame
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Moral Disengagement
STOP
AND
THINK
“It’s not my responsibility – my boss told me to do it.”
“It’s not my responsibility – my team decided this.”
“It’s no big deal!”
“It’s not as bad as (what someone else) is doing.”
“They deserve whatever they get.”
“They brought this on themselves.”
+ Cognitive Barriers to Good Ethical Judgment
Faced By All of Us
Barriers to Fact Gathering
Overconfidence
“Confirmation Trap”
Barriers to Consideration of Consequences
Reduced number
Self vs. others
Ignore consequences that affect few
Risk underestimated: illusion of optimism, illusion of control
Consequences over time – escalation of commitment
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More Cognitive Barriers
Thoughts about integrity
Illusion of superiority or illusion of morality
Paying attention to gut
Careful! Gut may be wrong
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Unconscious Biases
The IAT and race bias
The role of emotions
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How it felt to be a recall
coordinator…
“The recall coordinator’s job was serious business. The
scripts associated with it influenced me more than I
influenced [it]. Before I went to Ford I would have argued
strongly that Ford had an ethical obligation to recall. After I
left Ford, I now argue and teach that Ford had an ethical
obligation to recall. But, while I was there, I perceived no
obligation to recall and I remember no strong ethical
overtones to the case whatsoever. It was a very
straightforward decision, driven by dominant scripts for the
time, place, and context.”
Dennis Gioia, former recall coordinator at Ford
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Toward Ethical Action
Script Processing
Cognitive frameworks that guide our thoughts and actions
Cost-Benefit Analysis
Too simplistic a way of analyzing
No moral dimension
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Case
Mary, the director of nursing at a regional blood bank, is concerned
about the declining number of blood donors. It’s May, and Mary knows
that the approaching summer will mean increased demands for blood
and decreased supplies, especially of rare blood types. She is excited,
therefore, when a large corporation offers to host a series of blood
drives at all of its locations, beginning at corporate headquarters.
Soon after Mary and her staff arrive at the corporate site, Mary hears a
disturbance. Apparently, a nurse named Peggy was drawing blood
from a male donor with a very rare blood type when the donor
fondled her breast. Peggy jumped back and began to cry. Joe, a male
colleague, sprang to Peggy’s defense and told the donor to leave the
premises. To Mary’s horror, the male donor was a senior manager with
the corporation.
– What is the ethical dilemma in this case?
– What values are in conflict?
– How should Mary deal with Peggy, Joe, the donor, and representatives of the
corporation?
…
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