ETHICS Definition Legal vs. ethical Frameworks or theories Ethical principles.

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Presentation transcript:

ETHICS Definition Legal vs. ethical Frameworks or theories Ethical principles

Ethics Principles of morality or rules of conduct The study of morals and systems or morality or principles of conduct concerned with: right or wrong should or should nots in behavior and decision making

Ethical versus Legal Behavior Not all moral norms have been codified. Society relies on more than laws to function effectively Acting legally is the minimum required behavior for business people –T–Trust is paramount – hence morality Not all laws are moral

Henderson’s Typology Ethical Unethical Illegal Legal Desired quadrant Undesired quadrant E.G. Chemical manager refuses to promote a pregnant female into an area of potential hazardous exposure. E.G. Marketing infant formula that needs to be mixed with water in an illiterate country with poor sanitation.

Ethical or Moral Frameworks Consequential Theories Rule-Based Theories Cultural

Consequential Theories Focus on goals, end results and/or consequences of decisions or actions Concerned with doing the maximum good and minimum harm Cost-benefit approach Example: Utilitarianism –Do the best for the most –Produce the most net utility Reliance on objective data when possible

Rule-Based Theories Emphasis is on duty, obligations and rights Categorical imperative (Kant) –Individuals should be treated with respect and dignity as an end in itself. No end justifies a harmful means –Criteria for treatment consistently applies across people (Justice criterion) Fundamentalism – rules come from “higher authority” –Torah, Koran, Bible, etc Rights – make decisions that respect and protect basic rights of individuals –e.g. Respecting Bill of Rights – U.S.

Cultural Theories Emphasizes different standards of conduct in different locations (like Texas) Local standards prevail Cultural relativism

Situational Ethics Similar to cultural relativism What is right varies with the situation Is this really ethical? Use the ethics principles and models for ethical decision making

Ethical Principles – Self Serving Models for Decisions Hedonist principle –Do whatever is in one’s self interest and not illegal Might-equals-right principle –Do whatever one is powerful enough to impose – but not illegal Organization interests principle –Do what is good for the organization – but not illegal

Ethical Principles – Balancing Interests Principles Means-ends principle –Overall good justifies any moral transgression Utilitarian principle –Act on the basis of whether the harm inherent is outweighed by the good Professional standards principle –Act on the basis of whether the decision can be explained before a group of peers

Ethical Principles - Concern for Others Principles Disclosure principle –How would the general public likely respond to the rational of the action or decision? Distributive justice principle –Act on the basis of treating an individual or group equitably Golden rule principle –Place yourself in the position of someone affected by your decision.

Examination of Ethics – Group Exercise Discuss scores on survey (you may abstain if you so choose) –Obtain a group average. Record to hand in. Do Group Exercise 2 – page 120. –Record on same sheet of paper. –When done, contact me for scoring sheet. –Compute scores and record.