Sport Management Ethical Principles

Morals vs. Ethics Morals Conformity to established rules, or accepted notions of right and wrong. Examples: Athletes taking steroids Teammates giving their best effort In business…trusting other parties will deliver the agreed upon goods or service Shared Morality – society depends on people upholding certain basic values. It cultivates trust between strangers and enables us to function in society. Ethics Involves more difficult questions of rightness, fairness or equity. Ethics – values that guide our decision making Ethical dilemmas involve equally important/compelling values. Ethical dilemmas are solved when we decide which values are most important; which values will be held to a higher standard Examples: Should the high school basketball coach play everyone equally? Should NFL games continue after 9/11 attacks?

Ethical Considerations When Making Ethical Decisions, Consider That… The outcomes of ethical decisions affect a diverse group of people whose interests are in conflict (athletes, fans, community businesses, media). Ethical decisions in sport fall under great public scrutiny.

Ethical Considerations How to Make Ethical Decisions 1. Make a rational argument for each viewpoint 2. Weigh the pros and cons of each, considering… a) Financial costs b) Effect on organization’s reputation c) The law d) Impact on winning

Ethical Considerations Codes of Conduct/Ethics When faced with ethical decisions, managers shouldn’t look at just their own values to aid in decision making. Must consider the values of the society in which they live and/or the values of the organization in which they work. How do organizations tell employees about their values?  Code of Conduct/Ethics

Ethical Considerations Code of Conduct/Ethics – Visible statement of an organization’s ethical philosophy and beliefs. Outlines the values under which an organization operates. Provides employees with guidelines for their behavior, and establishes how ethical issues will be handled. Found in every type of organization and corporation in the U.S. Typically clear, straightforward, not long or complex; focuses on the goals of the organization, not just rules and punishments.

Morality and Corruption The biggest difference between moral decisions and ethical decisions is the extensive ramifications of immoral choices. Immoral decisions can lead to corruption, which can destroy a business. Corruption is systemic…it starts small but can eventually become standard operating procedure and there is no way to fix it…consequences go far beyond the people who started it.

Corporate Corruption Scandals Corporate corruption scandals with ramifications on the sport world include… 1. WorldCom 2. Enron 3. Adelphia Communications

Enron Scandal Touches Sports Enron owned the naming rights to the Houston Astros’ ballpark. When the scandal surfaced, the Astros no longer wanted to be associated with Enron. They paid Enron over $2M to un- name stadium and later sold the naming rights to Coca Cola, who named it Minute Maid Park.

Adelphia Scandal Touches Sports The founder of Adelphia, John Riggas, owned the NHL’s Buffalo Sabres. He used Adelphia funds to operate the team. At the time of the arrests, the team owed Adelphia $150 million. The NHL took over the team to try to save it, but it eventually declared bankruptcy and was sold to new owners.

Immoral Behavior of Parents Violence, bad language, abuse and general bad behaviour of parents has undermined all the terrific benefits of youth sports.

Immoral Behavior of Parents Preserving the Integrity of Youth Sports 1. Parental Code of ConductCode of Conduct 2. PSA’s directed at parents; to see themselves through the eyes of their children PSA’s 3. Local organizations dedicated to promoting ethical behavior in sports  Lehigh Valley Coalition on Sport EthicsLehigh Valley Coalition on Sport Ethics