CHAPTER 5
Personal Values Influence Ethical Choices
CHAPTER PREVIEW
After studying this chapter, students should be able to:
1. Explain how moral intelligence contributes to personal and organizational success.
2. Understand how personal values are formed.
3. Understand values conflicts and how to resolve them.
4. Learn how to make the right ethical decisions based on your personal value system.
5. Understand the importance of corporate values and ethical choices.
PURPOSE AND PERSPECTIVE
Managers and owners of the most successful organizations today realize the importance of matching
corporate and personal values. When employees and executives share similar values, the organization
can go forward with its productive plans knowing that everyone is moving in the same direction. In this
chapter, students will learn the importance of developing a strong sense of character and integrity.
While each individual’s values are formed through multiple environmental influences, students need to
be aware of the danger of values drift as they face many of their career and life decisions. The chapter’s
focus is to establish the direct correlation between a person’s values and his or her ethical choices. This
may manifest itself through internal values conflicts as well as conflicts with others, both of which may
result in human relations challenges. Students’ awareness of these potential problems will strengthen
their ability to deal with them as they arise in their own organizations.
The problem of corporate crime is also examined, with an emphasis on establishing corporate ethics. As
organizations become multinational, their personnel need to be able to adjust to various corporate
cultures, ethical standards, and value systems that might be different from their current systems without
compromising organizational integrity.
PRESENTATION OUTLINE
I. Moral Intelligence in the Workplace
A. Moral intelligence: The mental capacity to determine how universal human principles should
be applied
B. Character: Your personal standards of behavior
C. Integrity: The basic ingredient of character exhibited when you achieve congruence among
what you know, what you say, and what you do
II. How Personal Values Are Formed
A. Core values drive behavior
B. Influences that shape your values
1. Generational influences
2. Your family
Chapter 5: Personal Values Influence Ethical Choices 19
3. Religious groups
4. Education
5. The media
6. People you admire
C. Identifying your core values
D. Avoiding values drift
III. Values Conflicts
A. Internal values conflicts
B. Values conflicts with others
IV. Personal Values and Ethical Choices
A . How to make the right ethical choices
1. Learn to distinguish between right and wrong
2. Don’t let your life be driven by the desire for immediate gratification
3. Make certain your values are in harmony with those of your employer
V. Corporate Values and Ethical Choices
A. Corporate crime
1. Environmental damage
2. Bribery and corruption
3. Product safety
B. How to prevent corporate crime
1. Establish and support a strong code of ethics
2. Hire with care
3. Provide ethics training
4. Develop support for whistleblowing
VI. Values and Ethics in International Business
CAREER INSIGHT EXERCISE
Students should be aware that résumé fraud is not uncommon and that employers check the information
provided in a résumé. Students can review their résumés to ensure they provide accurate information
about work and educational experiences.
TRY YOUR HAND EXERCISES
1. Students are asked to reflect on whether feeling rushed to decide may have influenced them to
make wrong moral choices in the past. This exercise should help students appreciate the
importance of taking the time to think things through and, perhaps, consult others for advice when
faced with an ethical dilemma.
2. This small group activity should generate some spirited discussion. Table 5.3 (“Whistleblower
Checklist”) should be referenced by each small group.
3. Answers will vary based on the values students choose to analyze.
CRITICAL THINKING CHALLENGE
Students practice making ethical choices based on their value priorities. The three scenarios present
choices involving (a) whether to relocate for a job opportunity against the wishes of your spouse and
children; (b) whether to practice whistleblowing in a situation in which your motives may be
questionable; and (c) whether to accept or refuse an opportunity to cheat on a high-stakes exam.
20 Chapter 5: Personal Values Influence Ethical Choices
SELF-ASSESSMENT EXERCISE
After taking the assessment, students identify a skill or attitude to be improved. They should prepare a
written goal and outline the steps necessary to achieve this goal.
YOU PLAY THE ROLE EXERCISE
This is a touchy situation but very real. Help students understand that the discussion should focus on the
benefits of behaving in an ethical manner rather than on making judgments as to Rob’s integrity.
CASE QUESTIONS
BELOW THE SURFACE: Leading a Cultural Turnaround
1. Students’ answers will vary, but should address the adequacy of Barra’s actions in meeting
personally with victims’ families and recruiting of a payments overseer who is experienced with
assisting families after tragic deaths.
2. Students can suggest a plan for keeping GM employees connected and out of silos by facilitating
and encouraging openness about problems and clear communication.
3. Students can discuss the importance of supporting the safety program by establishing a strong
code of ethics related to safety issues, hiring or promoting employees with care, providing ethics
and safety training as needed, and promptly recognizing appropriate reporting.
CLOSING CASE: People and Purpose at New Belgium Brewing
1. Students’ answers will vary.
2. Students’ answers will vary based on their commitment to clean energy.
3. Invite students to discuss the benefits of a culture based on shared environmental values. The
company mission draws together liked-minded employees and provides company unity.
ADDITIONAL APPLICATION EXERCISES
1. People just entering the business world often take the first job offered them. Now that you are
more in touch with your value priorities, why not use this information to help you select a first job
that will lead you toward your career and professional goals? Write down three or four questions
you might want to ask a prospective employer to discover if the position you are applying for will
satisfy your value needs. What help might the company’s policy manual give you in determining
possible value conflicts?
2. If you are not yet married, what value would there be in helping your potential spouse clarify his
or her values? What types of values conflicts are likely to surface during a marriage? How might
these discoveries affect your career goals?
If you are married, is there any value in determining your spouse’s values? How might values
conflicts affect the current divorce statistics? If you and your spouse have similar value priorities,
how can you use this understanding to get more out of your life together?