1. MANAGEMENT INFORMATION SYSTEMS 7/E
Raymond McLeod
Chapter 5
Ethical Implications of
Information Technology
Copyright 1998 Prentice-Hall, Inc. 1

2. Socially Conscionable Citizens
Moral
Ethical
Legal 2

3. Laws Lag Behind
In 1966, a programmer used computer code to keep his checking account from being flagged as overdrawn. When the bank discovered the crime the programmer could not be charged with a computer crime because no computer crime law existed. He was charged with making false bank records.

4. Imposing an Ethics Culture
Corporate credo
Ethics programs
Tailored corporate codes 4

5. imposes the ethics culture
Top-level management
imposes the ethics culture
in a top-down manner
2. Establish
ethics
programs
3. Establish
corporate
ethics code
1. Establish
credo 5

6. Example of a Corporate Credo
Commitment to customer:
The first commitment is to provide our customers with
quality products and services that are innovative and
technologically responsive to their current requirements
at appropriate prices. To perform these tasks with integrity
requires that we maintain confidentiality and protect
customer privacy, promote customer satisfaction, and
serve customer needs. We strive to serve qualified
customers and industries that are socially responsible
according to broadly accepted community and company
standards.

7. Ethics and Information Services
Computer ethics
Importance of computer ethics
Logical malleability
The transformation factor
The invisibility factor
Invisible programming
Invisible complex calculations
Invisible abuse 7

8. Social Rights and the Computer
Rights to the computer
Right to computer access
Right to computer skills
Right to computer specialists
Right to computer decision making 8

9. Rights to Information Right to privacy Right to accuracy
Right to property
Right to access 9

10. Codes of Ethics ACM Code of Professional Conduct DPMA Code of Ethics
ICCP Code of Ethics
ITTA Code of Ethics 10

11. Ethics and Information Specialists
The SRI studies
The study participants
The conflict of ethics scenarios 11

12. Conflict of Ethics Scenario
University student used campus computer network as an authorized user.
Service director announced: Students would receive public recognition if they successfully compromised the computer system from their terminals.
Students urged to report weaknesses found. 12

13. Conflict of Ethics Scenario (cont.)
Created an atmosphere of casual game-playing and one-upmanship in attacking the system.
Student found a means of compromising the system and reported it to the director.
Correction to the vulnerability not made.
Students continued to use her advantage to obtain more computer time than she was otherwise allowed. 13

14. How the Workshop Participants Responded to the Scenario
Student Using Computer Services by Taking Advantage of a Vulnerability
Unethical
Not unethical
No ethics issue involved
Service Director Encouraging Compromise of the Computer System
Unethical
Not unethical
No ethics issue involved
Service Director Not Correcting the Vulnerability
Unethical
Not unethical 14

15. Managerial Implications of the Paradice Study
Ethics Obligations
MIS entry-level personnel are generally responsible.
Responsibilities of MIS staff may need to be clearly delineated to other functional areas.
Contributions of MIS personnel should be explicitly recognized. MIS personnel may undervalue work.
MIS entry-level personnel may feel conflicts regarding the amount of work that should be performed. Policies outlining acceptable levels of service should be provided. 15

16. Ethics Opportunities
System loopholes may be sought, but exploitation of them is unacceptable. Policies for reporting and fixing security problems should be clear.
MIS management may need to emphasize to staff that keeping unauthorized software is a crime.
All entry-level staff overwhelmingly reject any behavior that is disruptive.
Very few MIS entry-level staff would take advantage of their privileged access to systems. 16

17. Ethical Intent
MIS management needs to clearly state policies regarding personal use of corporate facilities.
MIS entry-level personnel may use corporate resources for personal profit.
MIS entry-level personnel may not realize implication of unauthorized software copying. Corporate position needs to be explicit.
Destructive behavior is unacceptable, nuisance behavior is questionable. Corporate policies need to be clear. 17

18. Ethics and the CIO Perceptions of the CIO’s Ethics
Do not take advantage of opportunities to act unethically
Ethics breeds success
Firms and managers have social responsibilities
Managers back up their ethics beliefs with action 18

19. The CIO is Influenced by a Hierarchy of Factors
Laws
Professional
codes of ethics
Corporate
ethics culture
Office of the
CIO
Social
pressure
Personal
pressures

20. CIOs Usually Do Not Act Unethically
Question Agree Disagree
There are many opportunities for
MIS managers in my company to
engage in unethical behavior.
MIS managers in my company
engage in behaviors that I
consider to be unethical.

21. Ethics and Success Question Agree Disagree Percent Percent
Successful MIS managers in my company are
generally more ethical than unsuccessful
managers
In order to succeed in my company it is
often necessary to compromise one's ethics
Successful managers in my company withhold
information that is detrimental to their
self-interest 21

22. Ethics (cont.) Question Agree Disagree Percent Percent
Successful managers in my company make
rivals look bad in the eyes of important
people in my company
Successful managers in my company look for
a scapegoat when they feel they may be
associated with failure
Successful managers in my company take
credit for the ideas and accomplishments
of others 21

23. Corporate Social Responsibility
Percent Percent
Question Agree Disagree
The socially responsible manager must
occasionally place the interests of society
over the interests of the company
The fact that corporations have great
economic power in our society means that they
have a social responsibility beyond the
interests of the shareholders
As long as corporations generate acceptable
shareholder returns, managers have a social
responsibility beyond the interests of
shareholders 21

24. Achieving an Ethical Computer Operation
1. Formulate a code of conduct.
2. Establish rules of procedure relating to such issues as personal use of computer services and proprietary rights to computer programs and data.
3. Make clear the sanctions that will be taken against offenders-such as reprimands, termination, and civil action.
4. Recognize ethical behavior. 24

25. Achieving an Ethical Computer Operation (cont.)
5. Focus attention on ethics by means of such programs as training sessions and required reading.
6. Promote computer crime laws by keeping employees informed.
7. Keep a formal record that establishes accountability of each information specialist for her or his actions, and also minimizes the temptations for violations by means of such programs as ethics audits. 25

26. Achieving an Ethical Computer Operation (cont.)
8. Encourage the use of rehabilitation programs that treat ethics violators in the same way that corporations show concern for the recovery of alcoholics or drug offenders.
9. Encourage participation in professional societies.
10. Set an example. 26

27. Questions That Determine the Ethics of an Action
1. Is it honorable?
Is there anyone from whom you would like to hide the action?
2. Is it honest?
Does it violate any agreement, actual or implied, or otherwise
betray a trust?
3. Does it avoid the possibility of a conflict of interest?
Are there other considerations that might bias your judgement?
4. Is it within your area of competence?
Is it possible that your best effort will not be adequate?
5. Is it fair?
Is it detrimental to the legitimate interests of others?
6. Is it considerate?
Will it violate confidentiality or privacy, or otherwise harm anyone
or anything?
7. Is it conservative?
Does it unnecessarily squander time or other valuable resources?