CHAPTER 15

1. CHAPTER 15 ENHANCING ETHICAL BEHAVIOR

2. PRELIMINARY THOUGHTSON ETHICS • Many types of workers need good sense of ethics (and etiquette) to be successful. • Ethics deals with moral choices, what is good and bad, and what you should do. • Ethics is the vehicle for turning values into action. • A person’s ethical code has significant impact on his or her interpersonal relationships.

3. EXAMPLES OF ETHICAL REASONING (SAQ 15-1) • Not covering up during interview having been fired from previous job. • Employees reporting on each other for wrongdoing. • Being honest about a delivery date. • Not taking home a few office supplies. • Not hiring a “hottie” candidate over someone else better qualified.

4. EXAMPLES OF UNETHICAL REASONING • Expense account cheating if employee needs the money. • Conducting personal business on company time. • Flirt with boss to get higher pay. • Calling in sick when feeling well. • Taking credit for coworker’s idea.

5. WHY BE CONCERNED ABOUT BUSINESS ETHICS? • People are motivated by both self-interest and moral commitments (so you have to watch out). • A good ethics reputation can enhance business. • Many unethical acts are illegal and lead to financial loss and imprisonment. • High ethics can increase quality of work life.

6. SAMPLE CLAUSES FROM COMPANY ETHICAL CODES • Demonstrate courtesy, respect, honesty, and fairness. • Do not use abusive language. • Do not bring firearms or knives to work. • Do not offer bribes. • Maintain confidentiality of records. • Do not harass anybody in any way.

7. WHY BEING ETHICALISN’T EASY • Ethical decisions are complex (multiple outcomes to decision are possible). • People do not always recognize the moral issues in a decision. • People have different levels of moral development. (For example, some people are moral just to escape punishment; others are guided by principles of justice.)

8. Why Being Unethical Isn’t Easy, concluded • The work environment could be unethical. • Some people have a utilitarian predisposition (outcome determines whether or not an act is immoral). • Many people act out of self-interest. (For example, self-interest has contributed to many financial scandals.)

9. EMPLOYEE REPORTS OF UNETHICAL BEHAVIOR • Lying to employees (19%) • Engaging in conflicts of interest (16%) • Lying to outside stakeholders (12%) • Health and safety violations (11%) • Producing poor product quality (9%) • Stealing (9%) • Sexual harassment (7%)

10. FREQUENT ETHICAL DILEMMAS • Illegally copying software (rampant act) • Treating people unfairly (only performance and qualifications should count in making decisions about human resources); cronyism contributes to unfair treatment • Sexually harassing coworkers (morally wrong and unfair) • Facing a conflict of interest (your judgment or objectivity is compromised)

11. Frequent Ethical Dilemmas, continued • Dealing with confidential information (dangerous or life-threatening information could be an exception) • Misrepresenting employment or education history (such as faking a college degree) • Using corporate resources (anything company owns including its reputation) • Ethically violating computers and IT (e.g., selling information about Website visits, creating scams)

12. Frequent Ethical Dilemmas, concluded • Wasting company time (pursuing personal interests including online shopping). • Choosing between two rights: dealing with defining moments (choosing between two or more ideals in which we deeply believe, such as choosing between rights of shareholders versus laying off worker with personal problems)

13. CRONYISM IN THE WORKPLACE • Cronyism is giving jobs to people who have done personal favors for you. • Crony is often hired instead of more qualified candidate. • Widely practiced in the form of political appointments in government. • In business, the owner or CEO often gives plum jobs or contracts to cronies.

14. COMPONENTS OF WORKPLACE VIRTUOUSNESS • Rationality (take reality seriously) • Honesty (the refusal to fake reality) • Independence (use own rational judgment) • Productivity (creating the material values your life requires) • Forgiveness (if breach is not big)

15. A GUIDE TO ETHICAL DECISION MAKING • Gather the facts (e.g., “Are there any ethical issues involved here?”). • Define the ethical issues (might involve character traits, or a common ethical problem). • Identify the affected parties (brainstorming can help think of all possible people affected by the decision).

16. Guide to Ethical Decision Making, continued • Identify the consequences (look at the short- and long-term consequences as well as the symbolic ones; symbolic refers to the message sent). • Identify the obligations (who are you obliged to and why?). • Consider your character traits and identity (how would relevant people judge you?).

17. Guide to Ethical Decision Making, concluded • Think creatively about potential actions (invent several options rather than thinking simply of do or do not do). • Check your intuition (how does the contemplated decision feel; would you be proud of yourself if you made the decision?). Use the above guide when faced with an ethical dilemma of consequence.

18. STRONG RELATIONSHIPS WITH WORK ASSOCIATES AND ETHICS • Strong relationship between two people often leads to mutual ethical treatment. • If weak professional relationship exists between two parties, either party is likely to engage in unethical behavior. • Building stronger relationships with work associates is likely to enhance ethical behavior.

19. CORPORATE ETHICS PROGRAMS • Organizations have programs and procedures for promoting ethical behavior. • Programs are designed to create atmosphere for discouraging unethical behavior, and reporting on poor ethics. • Ethics hotlines are established programs to help workers avoid unethical behavior. • Ethics training helps alert employees to right and wrong in murky situations.

20. SUSTAINING THE ENVIRONMENT • Some people believe that being environmentally conscious reflects good ethics. Twenty-one suggestions follow: • Keep working areas cooler during cold periods, and warmer during hot periods. • Encourage recycling of electronic devices, such as computers and phones. • Promote products made from recycled goods.

21. Sustaining the Environment, continued • Create buzz about photovoltaic technology, such as solar panels. • Place a lawn on the roof. • Carpool with at least three coworkers. • Campaign for a 4/40 workweek to save on utilities and vehicle fuel. • Encourage use of mass transportation. • Offer workers at least $2,000 toward purchase of hybrid vehicle or electric car.

22. Sustaining the Environment, continued • Turn off machines not in use; replace incandescent bulbs with fluorescents • Recycle packages when possible, and purchase recycled products. • Use mugs instead of Styrofoam cups, and recycle cans and plastic bottles. • Get LEED certification for new buildings. • Provide bicycle racks for employees.

23. Sustaining the Environment, concluded • Build rainwater re-capturing system for irrigation purposes. • Grow vegetation on company premises. • Drink tap water instead of bottled type. • Combat litter and clutter in work area. • Encourage speed-limit and safe driving; minimize idling to save gas. • General idea—use less stuff and energy. • Your suggestions: ________________

24. FOLLOWING AN APPLICABLE CODE OF PROFESSIONAL CONDUCT • Many professional groups prescribe professional codes of conduct, including physicians, paralegals, purchasing managers, and real estate salespeople. • Such codes focus on ethics but support the same principles and practices. • Codes of conduct are lengthy yet support the ethical principles implied in the eight-step decision-making guide.

25. EXERTING UPWARD ETHICAL LEADERSHIP • Ethical worker sometimes works for unethical manager. • Worker worries that being ethical will result in reprimand or job loss. • With upward ethical leadership person promotes ethical standards although higher-ups are not behaving ethically. • Attempt to resolve moral conflict before resorting to whistle blowing.