978-1285197159 Chapter 1 Explain that once a set of alternatives has been

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Quick Quiz 2

1. A(n) _____ provides an organization with vision and leadership in the area of business

conduct.

2. (True or False) A corporate ethics officer should have a background in law.

3. A(n) _____ is a statement that highlights an organization’s key ethical issues and identifies

the overarching values and principles that are important to the organization and its decision

making.

4. In a(n) _____, an organization reviews how well it is meeting its ethical and social

responsibility goals, and communicates its new goals for the upcoming year.

D. Creating an Ethical Work Environment

1 Explain that employees in highly competitive workplaces may feel the pressure to

engage in unethical conduct to meet management’s expectations, especially if the

organization has no corporate code of ethics and no strong examples of senior

management practicing ethical behavior.

Teaching

Tip

Discuss reasons why employees might not report ethics violations, even when

the appropriate reporting mechanism is in place.

III. Including Ethical Considerations in Decision Making

3 Note that most of us have developed a decision-making process that we execute

automatically, without thinking about the steps we go through. Use Figure 1-4 to aid the

discussion.

A. Develop a Problem Statement

1. It is important for students to understand that a good problem statement answers the

following questions: What do people observe that causes them to think there is a

problem? Who is directly affected by the problem? Is anyone else affected? How often

does the problem occur? What is the impact of the problem? How serious is the

problem?

C. Identify Alternatives

1. Explain that it is ideal to enlist the help of others, including stakeholders, to identify

several alternative solutions to the problem. Brainstorming with others will increase a

person’s chances of identifying a broad range of alternatives and determining the best

solution.

D. Evaluate and Choose an Alternative

1. Explain that once a set of alternatives has been identified, they should be evaluated

based on numerous criteria, such as effectiveness at addressing the issue, the extent of

risk associated with each alternative, cost, and time to implement.

2. Point out that the alternative selected should be ethically and legally defensible; be

consistent with the organization’s policies and code of ethics; take into account the

impact on others; and provide a good solution to the problem.

3. Note that philosophers have developed many approaches to aid in ethical decision

making. Use Table 1-5 to aid the discussion.

Virtue Ethics Approach

1. Explain that the virtue ethics approach to decision making focuses on how people

should behave and think about relationships if they are concerned with their daily life

in a community. It does not define a formula for ethical decision making, but suggests

that when faced with a complex ethical dilemma, people do either what they are most

comfortable doing or what they think a person they admire would do.

2. A problem with the virtue ethics approach is that it doesn’t provide much of a guide

Utilitarian Approach

1. Explain that the utilitarian approach to ethical decision making states that one should

choose the action or policy that has the best overall consequences for all people who

are directly or indirectly affected.

Fairness Approach

1. Explain that the fairness approach focuses on how fairly actions and policies

distribute benefits and burdens among people affected by the decision.

2. Decisions made with this approach can be influenced by personal bias, without the

decision makers even being aware of their bias.

Common Good Approach

1. Explain that the decisions and policies that use the common good approach to

decision making implement social systems, institutions, and environments that

everyone depends on and that benefit all people.

E. Implement the Decision

1. Explain that once an alternative is selected, it should be implemented in an efficient,

effective, and timely manner.

F. Evaluate the Results

1. Note that after the solution to the problem has been implemented, the results must be

monitored to see if the desired effect was achieved, and its impact on the organization

IV. Ethics in Information Technology

1. Point out that the ability to capture and store vast amounts of personal data, and greater

reliance on information systems in all aspects of life have increased the risk that

information technology will be used unethically. Use the examples on pages 24-25 to aid

the discussion.

Quick Quiz 3

1. The _____ to decision making focuses on how you should behave and think about

relationships if you are concerned with your daily life in a community.

2. True or false. In the common good approach, the ethical choice produces the greatest excess

of benefits over harm.

3. A(n) _____ is a clear, concise description of the issue that needs to be addressed.

Discussion Questions

1. Many employees are aware of reporting procedures for ethics violations, but which of the

managerial behaviors would be worthy of reporting as an ethics violation? At what point

does managerial behavior warrant reporting?

2. Do you think it is appropriate for businesses, when operating in foreign countries, to adjust

their code of ethics in order to fall in line with the ethical norms of the host country?

Additional Projects

1. Design an ethics training program for low-level employees, and describe what changes (if

any) should be made to the same program in order to target middle management.

2. Write an essay discussing the ethics, risks, and benefits of using cookies and spyware to

track customer browsing and online purchasing habits.

Additional Resources

Key Terms

Bathsheba syndrome—the moral corruption of people in power, which is often facilitated

by a tendency for people to look the other way when their leaders act inappropriately

Code of ethics—a statement that highlights an organization’s key ethical issues and

identifies the overarching values and principles that are important to the organization and

its decision making

Common good approach—based on a vision of society as a community whose members

work together to achieve a common set of values and goals

Corporate ethics officer (also called a corporate compliance officer)—a senior-level

manager who provides an organization with vision and leadership in the area of business

conduct; ethics officers come from diverse backgrounds, such as legal staff, human

resources, finance, auditing, security, or line operations

of institutions (the police, courts, law-making bodies)

Moral code—a set of rules that establishes the boundaries of generally accepted behavior

Morality—refers to social conventions about right and wrong that are so widely shared

that they become the basis for an established consensus

Morals—one’s personal beliefs about right and wrong

Problem statement—a clear, concise description of the issue that needs to be addressed in

a decision-making process

Supply chain sustainability—a component of CSR that focuses on developing and

maintaining a supply chain that meets the needs of the present without compromising the

ability of future generations to meet their needs

Stakeholder—someone who stands to gain or lose, depending on how a situation is

resolved; an organization’s stakeholders include shareholders, employees, customers,

suppliers, and the community

Utilitarian approach—states that you should choose the action or policy that has the best

overall consequences for all people who are directly or indirectly affected

Vice—a habit of unacceptable behavior