It is argued by Russell (2003) that Einstein believed strongly in the standards of right and wrong. He stated that Einstein said that the word relatively was widely misunderstood and that his interest in relativity put his moral relativism into question. This quote was driven by Einstein’s frustration about his personal morals and the wider implications were not necessarily taken into consideration. It was the belief of Einstein that moral relativism was a disease and his personal views and his profession were unconnected and should not be related by the wider community (Russell, 2003).

Dictionary. (2018). Relativity. Retrieved from https://www.dictionary.com/

Hulme, D. (2003). Positively no absolutes. Retrieved from http://www.vision.org/visionmedia/philosophy-and-ideas/absolutes-right-and-wrong/715.aspx

Nandamuri, P., Mishra, M., & Gowthami, C. (2018). Management Techniques for a Diverse and Cross-Cultural Workforce. Retrieved from https://www.igi-global.com/chapter/relativity-applies-to-physics-not-ethics/198234 

Trevino, L. K. & Nelson, K. A. (2014). Managing Business Ethics: Straight Talk about How to Do It Right. 6th Edition. USA:  Wiley.

                                              Yogi Berra. American All-star baseball player
Technology has changed how we communicate; it is well noted that through social media information is disseminated rapidly and exponentially. For those who live modern societies there is a multitude of sources for information or entertainment. It could be argued that the reliability or the integrity of many of these resources are questionable however technology has also brought about inscrutable information gathering techniques. With examples of regulatory authorities bringing about successful prosecutions using complex mathematical computer algorithms to detect anomalies in stock market trading or online betting. Satellites used to map the planet can also beam back images showing the full extent of deforestation such as in Queensland, now rated as one of the worst areas in the world (Economist, 24^th Feb 2018).

These technologies have also changed the way sports are being played, with broadcast and other media rights on sale to the highest bidder, elite level sports are now big industry. The personalities that play these sports are also high-profile and such valuable brands that as Pegoraro, Ayer & O’Reilly (2010) suggest, are a safe marketing investment for practically any product. These sporting codes are businesses where young, highly competitive people have yearly earnings in the millions of dollars and those charged with the corporate governance of their sporting codes sell television broadcast rights in the billions of dollars.

March 2018 South Africa, high definition cameras send live images via satellite to televisions around the cricket playing world the odd behaviour of an Australian bowler. First queried by umpires on the pitch and then later under intense scrutiny, three players admitted a plan to tamper with the ball. The fallout was profound; the three players were given long suspensions, several members of the coaching staff resigned. Finally, under intense pressure to do so the chairman of Cricket Australia also resigned.

 Tricker (2015) articulates very clearly the roles of the Board of Directors and the Chairman in corporate governance and by extension the identification of risks. With so much at stake even in a game synonymous with fair play, the possibility of individuals of cheating is ever present. In this case with this unhappy triumvirate it was the importance of winning and the successes associated with winning that mattered, arguably it would not be hindsight to suggest impetuousness a nature of the competitive young sportsperson. Is there an obligation of the governing body to provide the means and the environment for ethical success? Scanlon (1998) suggests that creating the situation whereby living and working in a positive way encourages others to do likewise. Basing the conduct of good ethical behaviour on the punitive will not succeed, Trevino & Nelson (2014) contend that it is the senior management’s own commitment to ethics that most likely to see ethics initiatives succeed down the line. 

With such history as the bodyline series and the underarm bowling incident, cricket in Australia is not without precedent regarding less than fair play nevertheless in this future, financially, the stakes have never been higher.

 

Organisations with a good ethical culture have been shown to achieve organisational outcomes (Kaptein, 2011). Soloman (2004) has argued that the phrase ‘business is business’ is an unacceptable excuse for poor behaviour, preferring a business ethics model which uses a framework based on Aristotlean ethics, where members of the community strive to do their best, with their best reflected in the virtues which are defined by that community. Consequently this perspective suggests, there exists no divide between self-interest and communal good.  “Altruistic acts are self-interested”, sometimes relieving feelings of guilt or promoting pride in oneself (Burton, 2012), while frequently not impacting the bottom line adversely. 

It is not either/or, a socially responsible business can be financially successful. As remarked by (Soloman, 2004), “the ‘dog-eat-dog’ world of business [can become] — as relationships between real dogs make obvious — a warm and mutually rewarding experience” (p. 1040).

Burton, N. (2016, August 17). Does true Altruism exist? An analysis of altruism. Psychology Today. Retrieved from https://www.psychologytoday.com/au/blog/hide-and-seek/201203/does-true-altruism-exist.  

Friedman, M. (1971). The social responsibility of business. New York Times Magazine.

Godin, S. (2011, July 25). No such thing as business ethics. Retrieved from https://seths.blog/2011/07/no-such-thing-as-business-ethics/

Smith, A. (1776). An Inquiry into the nature and causes of the Wealth of Nations (Reprinted 1999). London: Penguin. 

Solomon, R. C. (2004). Aristotle, Ethics and Business Organizations. Organization Studies, 25(6), 1021–1043. https://doi.org/10.1177/0170840604042409.

 
References

 

Brook, C., & Christy, G. (2013). Doing right in business: can action learning develop moral sensitivity and promote ethical behaviour? Action Learning: Research and Practice, 10(3), 1-16. doi:10.1080/14767333.2013.836077

Dierksmeier, C. (2013). Kant on Virtue. Journal of Business Ethics, 113(4), 597-609. doi:10.1007/s10551-013-1683-5

Immanuel Kant Quotes. (n.d.). BrainyQuote.com. Retrieved November 19, 2018, from BrainyQuote.com Web site: https://www.brainyquote.com/quotes/immanuel_kant_130694

Merritt, M. M. (2017). Love, Respect, and Individuals: Murdoch as a Guide to Kantian Ethics. European Journal of Philosophy, 25(4), 1844-1863. doi:10.1111/ejop.12280

Roth, K., Gustafsson, M., & Johansson, V. (2014). Introduction: Perfectionism and Education—Kant and Cavell on Ethics and Aesthetics in Society. Journal of Aesthetic Education, 48(3), 1-4. doi:10.5406/jaesteduc.48.3.0001

Trevino, L. K. & Nelson, K. A. (2014). Managing Business Ethics: Straight Talk about How to Do It Right. 6th Edition. USA:  Wiley

Elected as the 9^th Irish president in 2011, Higgins argues the connection between society and economy had been lost (Higgins, 2013) raising the ethics of capitalism and its place in society.

Applying consequentialist theory to capitalism; the intent of growth to provide for society through resource consumption fails the test of ethical outcomes as sections of the population become marginalized by ill-considered development (World Commission on Environment and Development., 1987, p42).  A deontologist’s perspective offers a view of a greater good for society, yet tends to ignore the cost to sectors within society in the desire for continued growth.  Furthermore excessive growth creates feedback systems that undermine the quality of life that we were seeking to enhance and is hence self-defeating (Cato, 2012 p1040).

The issue of disconnect is increased through political willpower.  When discussing a report on the effects of climate change and the potential harm to the world economy, Donald Trump is quoted as saying, "I've seen it, I've read some of it, and it's fine," (Gardner, Mason, 2018).

This paradigm highlights the ethical standards of our leaders and legal system lagging behind and remaining disconnected from society (Trevino, Nelson, 2014, p47).  If capitalism is not to be considered a market failure (Cato, 2012, p1034) then the question of how marginalised states can ensure their rights are protected in a democracy (Banerjee, 2011, p726) remains an ethical quandary that remains to be solved.

Banerjee S., 2011, Embedding Sustainability across the Organization: A Critical Perspective. Academy of Management Learning & Education.

Cato M., 2012; Green economics: putting the planet and politics back into economics, Cambridge Journal of Economics, Volume 36, Issue 5, 1 September 2012, Pages 1033–1049

Gardner, Mason, 2018, Trump rejects US Governments findings on climate change, retrieved from https://www.smh.com.au/world/north-america/trump-rejects-us-government-s-findings-on-climate-change-20181127-p50ikj.html

Higgins, 2011, retrieved from https://www.independent.ie/irish-news/michael-d-higgins-time-to-reconnect-society-and-ethics-26787242.html

Higgins, 2013, ‘Toward an ethical economy’ Ethics for All - Public Lecture Series, retrieved from https://www.president.ie/en/media-library/speeches/toward-an-ethical-economy-michael-d.-higgins-dublin-city-university-11th-se, accessed 27/11/2018.

Trevino, L., Nelson, K., (2014). Managing Business Ethics: Straight Talk about How to Do It Right. 6th Edition. USA: Wiley.

World Commission on Environment and Development. (1987). from one Earth to one world. In Our common future, Oxford: Oxford University Press

‘We do not act rightly because we have virtue or excellence, but we rather have those because we have acted rightly’

 

Aristotle (384–322 BC), Greek philosopher and scientist, student of Plato and teacher of Alexander the Great (Shields, 2015).

 

Through intergenerational transferences, I was taught not lie, always do what is right, help those less fortunate than myself and abide by the law.  These and other moral principles have shaped the way I live my life.  I have aimed to ‘act rightly’ (Rabbås, 2015) by delivering on these familial ethical beliefs.  I have made mistakes, however, when my behaviour or conduct was borderline, my beliefs assisted me in realigning and upholding my ethical standards.

 

During the early years in my professional life, I believed that our business leaders had good principles, codes of ethics, acted with virtue and in the best interest of society.  Moreover, I aspired to be one of these business leaders.  However, over the past 30 years there have been multiple ethical catastrophes involving prominent business leaders which has changed my perception of business leaders.  For example, resting in the “corporate cemetery of the 1980s” (Sarre, 2002, p. 1) are the collapses of Bond Corporation Ltd. and Qintex Ltd and in the early 2000s, HIH Insurance and One.Tel (Carnegie & O’connell, 2014).

 

Mirshekary, Yaftian, and Cross (2005) and Monem (2011) contended that these corporate collapses occurred because of unethical behaviour and inept corporate governance practices.  These authors argued that the leaders of these corporations “displayed an appalling lack of commercial morality” (Australian Securities and Investment Commission, 2005).  Therefore, because these leaders have not ‘acted rightly’ (Rabbås, 2015) business ethics and corporate governance has come to the foreground in contemporary business management practices.

 

Terry Houguet-Pincham

Australian Securities and Investment Commission. (2005). Rodney Adler sentenced to four-and-a-half years' jail. Retrieved from http://asic.gov.au/about-asic/media-centre/find-a-media-release/2005-releases/05-91-rodney-adler-sentenced-to-four-and-a-half-years-jail/

Carnegie, G. D., & O’connell, B. T. (2014). A longitudinal study of the interplay of corporate collapse, accounting failure and governance change in Australia: Early 1890s to early 2000s. Critical Perspectives on Accounting, 25(6), 446-468. doi:10.1016/j.cpa.2013.04.001

Mirshekary, S., Yaftian, A. M., & Cross, D. (2005). Australian corporate collapse: The case of HIH Insurance. Journal of Financial Services Marketing, 9(3), 249-258. doi:10.1057/palgrave.fsm.4770157

Monem, R. (2011). The One.Tel collapse: Lessons for corporate governance. Australian Accounting Review, 21(4), 340-351. doi:10.1111/j.1835-2561.2011.00151.x

Rabbås, Ø. (2015). Virtue, Respect, and Morality in Aristotle. The Journal of Value Inquiry, 49(4), 619-643. doi:10.1007/s10790-015-9525-6

Sarre, R. (2002). Responding to corporate collapses: Is there a role for corporate social responsibility? Deakin Law Review, 7(1), 1-19. 

Shields, C. (2015). Aristotle. The Stanford Encyclopedia of Philosophy. Retrieved from <https://plato.stanford.edu/archives/win2016/entries/aristotle/>

JFK was an advocate for civil rights, inspired a generation to think about the public service and he invented the Peace Corps. JKF was only 46 when he died, and many say he showed the USA the true meaning of leadership (Daum, 2016).

In 1961 JFK implemented two civil rights initiatives one was Peace Corps and now over hundreds of thousands of volunteers serve in 135 countries. Secondly, JFK created the Alliance for Progress to foster greater financial ties with Latin America, in anticipation of easing poverty (John F. Kennedy Biography, 2014).

1962 was the most contentious civil rights issue of JFK presidency was when he sent his brother to Mississippi to use the National Guards and Federal Marshalls to escort civil rights activist James Meridith to the University of Mississippi as he become the first black student to enrol. This was during the time that southern democrats where opposed to civil rights for black citizens (John F. Kennedy Biography, 2014). 

Was JFK acting ethically as ethics can be defined as a set of moral principles or values and can be influenced by our environment or the work place so was he being influenced? (Trevino & Nelson, 2014, p. 18). Was JFK being a deontologist where he was basing his decision on values such as honesty, fairness, justice, compassion and respect for human being (Trevino & Nelson, 2014, p. 42).

 

 

Daum, K. (2016). 29 Great Leadership Quotes from John F. Kennedy. In Inc. Retrieved from https://www.inc.com/kevin-daum/29-great-leadership-quotes-from-john-fitzgerald-kennedy.html

 

Biography.com Editors. (2017). John F. Kennedy Biography. In Biography. Retrieved from https://www.biography.com/people/john-f-kennedy-9362930

 

Trevino, L. K. & Nelson, K. A. (2014). Managing Business Ethics: Straight Talk about How to Do It Right. 6th Edition. USA:  Wiley.

The sentiment of this well-known pop culture quotation has been reflected in conversations surrounding the relationship between power, responsibility and ethics for centuries. Notable figures of history including Winston Churchill and Theodore Roosevelt have repeated this philosophy; “I believe in power… I believe that responsibility should go with power” (Roosevelt, 1908 cited in Bishop, 1920. p 94).

This quote and ideology can be applied to relationships, politics, but also to the management of a business. Bansal et al (2015) stated that; “Responsible firms are seen as those responding to the needs and desires of stakeholders… shareholders, but also customers, employees, suppliers, governments and communities” (p. 70). Reflecting the similar theology of Emmanuel Kant (2012), who believed the core principle of ethics includes; good will, universal acceptability and humanitarianism. In other words, to be moral is to be ethical. 

Of course, in business, ethical issues can arise due to the “selfishness of a few, competitive pressures on profits…” (Fernando, 2010. p 282). It is important for a business, multi-national, global or small, to recognise that the virtues of “rationality, honesty, integrity, independence and pride”, as defined by Ayn Rand cited in; Sciabarra (2013. p 242), are essential for long term profitability and a business can in fact be both profitable and moral (Woiceshyn, 2012). Powerful business leaders and their decisions can have huge, diverse, and harmful implications for society and the environment. Therefore, it is critical that they comprehend their responsibility and incorporate ethics into their everyday practise.

 References:

Bansal, P., Jiang, G.F. and Jung, J.C. (2015). Managing responsibly in tough economic times: strategic and tactical CSR during the 2008-2009 global recession. Long Range Planning, Vol. 48 No. 2, pp. 69-79. doi: https://doi.org/10.1016/j.lrp.2014.07.002

Bishop, J. (1920). Theodore Roosevelt and His Time: Shown in His Own Letters. New York: Charles Scribner’s Sons.

Fernando, A. C. (2012) Corporate Governance. Principles, Policies, and Practises (2^nd ed.). India: Pearson.

Kant, E. (2012). Groundwork of the Metaphysics of Morals. United States of America: Start Publishing LLC.

Lee, S. (1962). Vol. 1, #15 Amazing Fantasy. New York: Marvel. 

Sciabarra, C. M. (2013). Ayn Rand. The Russian Radical (2^nd ed.). Pennsylvania: The Pennsylvania State University Press.

Woiceshyn, J. (2012). How to Be Profitable and Moral. A Rational Egoist Approach to Business. Maryland: Hamilton Books.

Friedman argues that the only social responsibility of a leader of a company is to maximise profits for shareholders without engaging in illegal activity (1970, p33); even if this means engaging in questionable dealings. Such egoist behaviour is commonly justified by stating ‘the ends justify the means’ or that ‘they are only doing what everybody else does’ (Buffett, 1999, p6), allowing ethical misgivings to be ignored and unethical behaviour to flourish. However, such tactics are dangerous as while legal, such conduct may later be considered unethical resulting in negative fallout for the company (and leader). 

Business ethics considers the application of moral values and principles to decisions, the reasoning process and the resulting decisions and behaviours (Fisher, 2007, p.1561). Leaders must make ethical decisions independent of external influences, and consider matters of justice and rights-based principles (Trevino, 2017, p.83). The first step in doing so is to recognise a moral dilemma (Trevino 2017, p.72) or ethical red-flag through moral reasoning or gut instinct (Trevino, 2017, p.93). Kohlman’s descriptive stages of moral reasoning are relevant. Pre-conventional reasoning, evident in leaders who take a a self-centred approach, only consider ethical rules imposed from the outside (e.g. law or professional guidelines) to avoid sanctions (Trevino, 2017, p.78). Conventional thinkers maintain an external focus and consider shared moral norms of relevant groups. Leaders who think at a post-conventional level make autonomous decisions that consider ethical principles of justice and rights (Trevino, 2017, p.80), moral laws and ask questions like ‘what would provide the most societal good’ (Trevino, 2017, p.81). This is similar to the process envisaged by deontological ethics. 

The quote indicates that pre-conventional decision makers may be caught out when circumstances change. Post-conventional leaders will make decisions ethically even when business development outstrips development of the law, or in circumstances where the political, economic or cultural conditions are ethically challenging to strategic decision-making processes (Fisher, 2007, p.1560). Some argue that businesses can be conducted ethically, even when engaging in action that is technically illegal (Young, 2018, p.6). Such positive decision making is likely to influence others who will look for guidance in ethical dilemmas (Trevino, 2017, p.74). 

6. Young, C., (2018). Putting the Law in Its Place: Business Ethics and the Assumption that Illegal Implies Unethical. Journal of Business Ethics, May 2018, pp.1-17.

The quote above was made by Jeremy Bentham who is regarded as a key figure in forming the ethical theory of utilitarianism, which is more broadly categorised as a teological or consequentialist framework for ethical decision making (Campbell & Marhsall, 1999, p.466). 

This framework appeals from a logical perspective and there is a clear correlation to consequentialist decision making in a contemporary business environment. Letwin et al. (2016) confirm that this decision making style is particularly relevant to leadership positions who prioritise the good of the organisation in decision making.

However, further reflection prompts consideration of how a decision maker can ensure they have the information to know if it will cause more harm or good to the greatest number of stakeholders. Trevino and Nelson (2017, p.41) elaborate by explaining that it is difficult and time-consuming to gather all of the relevant facts for all stakeholders, which exacerbates when considering the number of decisions a leader needs to make on a daily basis.

References:

Campbell, H., & Marshall, R. (1999). Ethical frameworks and planning theory. International Journal of Urban and Regional Research, 23(3), 464-478.

 

Letwin, C., Wo, D., Folger, R., Rice, D., Taylor, R., Richard, B., & Taylor, S. (2016). The “right” and the “good” in ethical leadership: Implications for supervisors’ performance and promotability evaluations. Journal of Business Ethics, 137(4), 743-755.

Trevino, L.K., & Nelson, K.A. (2017). Managing Business Ethics: Straight Talk about How to Do It Right, 7^th Edition. [VitalSource Bookshelf version]. Retrieved from vbk://9781119298519.

Quotation Reference: Biernat, M. (2018). Political Economy. Retrieved from https://political-economy.com/utilitarianism/.

 Ethics refers to human behaviour and is more open to an individual’s belief of what is morally right in society, rather than what is written in a policy or legislation (Trevino & Nelson, 2014, p. 20). The word ‘morals’ from the Latin word ‘moralis’ means praxis (Norberg, 2013, p. 36). The morality of an individual refers to practicing actions which are viewed as ‘right’ (Norberg, 2013, p. 36). 

 

Philosopher Aristotle provided the explication ethics reflects not just human behaviour but also the type of person (The Ethics Centre, 2016). Summarising Aristotle’s view, Will Durant stated ‘We are what we repeatedly do. Excellence, then, is not an act, but a habit’ (The Ethics Centre, 2016). Mattingly & Throop (2018) support this statement and the affect phenomenological moral experiences has on ethical decisions (p. 483).

 

Ratner & Herbst (2005) disagree arguing a negative emotional response to a decision changes the decision makers opinion in the future when presented with the same information, irrelevant of whether a decision was ethical or not (p. 36). This reiterates the importance in a business world for a team to bring together their experiences and knowledge before making decisions, ensuring all considerations have been made.

 

In a workplace, professional development may be designed to align employee’s decision making with the organisation’s values. Some academics agree with this method, believing an environmental setting can influence ethical decisions, while others believe ethics cannot be taught (Trevino & Nelson, 2014, p. 15).  

 

Dyer’s quote is correct in that an individual’s morality will encourage them to follow their behavioural instincts in the first instance. However, it would be naive to believe the environment and the person’s life experiences do not have an impact on their natural behavioural response. It is a combination of these attributes which helps them make the best possible decision they can.

References
BrainyQuote. (2018). Wayne Dyer Quotes. Retrieved from https://www.brainyquote.com/quotes/wayne_dyer_132792

Mattingly, C. & Throop, J. (2018). The anthropology of ethics and morality. Annual Review of Anthropology, 47, 475-492. https://doi.org/10.1146/annurev-anthro-102317-050129

Norberg, K. (2013). Legislation vs. morality – a police officer’s ethical dilemma. Police Practice and Research, 14(1), pp. 35-44. https://doi-org.ezproxy.csu.edu.au/10.1080/15614263.2011.627741

Ratner, R. K. & Herbst, K. C. (2005). When good behaviours have bad outcomes: The impact of affect on switching behaviour. Organisational Behaviour and Human Decision Processes, 96, 23-37. https://doi.org/10.1016/j.obhdp.2004.09.003 

The Ethics Centre. (2016, February 16). Ethics explainer – virtue ethics [Blog post]. Retrieved from http://www.ethics.org.au/on-ethics/blog/february-2016/ethics-explainer-virtue-ethics 

Trevino, L. K. & Nelson, K. A. (2014). Managing Business Ethics: Straight Talk about How to Do It Right. 6th Edition. USA:  Wiley.

Ethical behaviour plays a huge role within business as it improves employee retention, improved stakeholder relationships, customer satisfaction and profits. Utilising this knowledge to align with organisational values and assist with moral decision making is a very powerful trait (Snell, 2009).  Today’s business professionals can not be ignorant and assume business ethics is just a trend. It is an ongoing occurrence that must be understood and managed  and for which business professionals need to be better prepared. Good ethics affects our business behaviour and the standards we uphold. (Trevino & Nelson, 2017). 

Many individuals and organisations struggle to differentiate with a simplified view of were choices are governed by either law or freedom of choice. It leads people to falsely assume that ‘if it’s not illegal then it must be ethical’. An improved option would be to distinguish the category of ethics and accept moral values as an influential power for good that can regulate behaviour of organisations both inside and out. As ethical responsibility are more widely recognised, organisations can use codes of ethics and there organisational culture to govern their behaviour, thus removing the need for additional laws and escaping the complications of unregulated choice (Daft, 1988).

Daft, R. L. (1988). Management ethics and corporat social responsibility. Management , 90-116.

Famous quotes. (n.d.). Retrieved November 26, 2018, from The Basics of Philosophy: www.philosophybasics.com

Snell, R. (2009). Managing Ethically. In Linstead, S., Fulop, L., & Lilley, S. (Eds.). Management & Organization: A Critical Text (357-407) London, England: Palgrave Macmillan

Trevino, L. K., & Nelson, K. A. (2017). Managing Business Ethics: Straight talk about how to do it right (7th Edition ed.). USA: Wiley & Sons.

 

Hardy is inherently deontological in his ethical stance, this quote speaks to the alignment of actions and intent and reflect the adage, ‘the ends do not justify the means’.

Deontology is a normative ethical theory where the morality of a decision or action is made based on duty, rather than the consideration of likely outcomes. Consequentialism through moral rationalisation, Hardy argues, is not moral justification. This means that it is not possible to morally rationalise or justify immoral actions using a teleological approach. Instead, Hardy’s position is consistent with the moral imperative as described by Immanuel Kant, which purports that moral worth is inferred by the motive of duty (Sandel, 2009, p.117). Therefore, it matters not only that your actions are moral, but also your motivations must be moral. This is based on premise that humans are rational beings, able to deduce the moral action.

The deontological approach is consistent with the ethos of the public sector and underpins the culture, values and behaviours of its employees. Moral reasoning is necessary where there are multiple values in conflict (Gregory, 2003). In a complex political environment with various stakeholders, there is a need to exercise judgement in the prioritisation of ethical principles. There would also need to reconcile the genesis of the duty, whether it is legal compliance, industry practice, organisational culture, ethical climate, or team loyalty (Dina, 2013, 197). Evidence demonstrates there is a tendency for senior managers to rigidly apply the imperative (Peachment, McNeil, Soutar & Molster, 1995, p. 636). It is critical that organisations develop and communicate frameworks to support employees to navigate ethical issues. The human resource function is the guardian of the ethical culture of the organisation, developing and administering the reward and code of conduct frameworks to encourage preferred behaviours (Woodd, 1997). 

References:

Dina, P. (2013). Ethics and Deontology in Public Administration. Knowledge Horizons. Economics, 5(2), 197-200. Retrieved from https://search-proquest-com.ezproxy.csu.edu.au/docview/1520561182?accountid=10344 

Gregory, A. (2003). The ethics of engagement in the UK public sector: A case in point. Journal of Communication Management, 8(1), 83-94. Retrieved from https://search-proquest-com.ezproxy.csu.edu.au/docview/232933557?accountid=10344 

Peachment, A., McNeil, M., Soutar, G., & Molster, C. (1995). Means or ends? ethical decision frameworks in the Western Australian Public Service. Journal of Business Ethics, 14(8), 629. Retrieved from https://search-proquest-com.ezproxy.csu.edu.au/docview/198084547?accountid=10344

Sandel, M. J. (2009). Justice: What's the right thing to do?. New York: Farrar, Straus and Giroux.

Woodd, M. (1997). Human resource specialists ‐ guardians of ethical conduct? Journal of European Industrial Training. 21(3). 110-116, https://doi-org.ezproxy.csu.edu.au/10.1108/03090599710161810

Jane Addams, 1907.  (Addams was a life-long campaigner for peace and women’s rights, and worked to help the poor.) 

 

The focus on business ethics has emerged in recent decades as societal expectations have shifted and the sheer size of corporations has meant the consequence of unethical practices is more far-reaching and impacts more people. These corporations have to manage their reputation against the backdrop of a globally connected society, where the lens of scrutiny can reach their operations spanning different continents. 

 

There are no absolute or final ‘answers’ on what is business ethics. Differing perspectives of business ethics involve assumptions and beliefs based on an individual’s view on a matter (Linstead, Fulop, & Lilley, 2009). Further, the ethical behaviour of an individual is influenced by the environment they are operating in and the business has a duty to guide these behaviours, which can be done through mechanisms such as codes of conduct (Trevino & Nelson, 2014). 

 

Addams’ quote has synergies with the deontological view of business ethics, or duty-based ethics. This concept has more emphasis on the ‘how’ we do things, unlike utilitarianism which focuses on the ‘what’ we actually end up with, being the greatest good (Linstead, Fulop, & Lilley, 2009). 

 

An early example of business conduct colliding with human rights was the consumer boycott against Nestle in the 1970s for its marketing of baby formula to mothers in third-world countries. Consumers were reacting to Nestle’s unethical behaviours and in effect became global aid activists that led to the establishment of a code of practice for marketing baby formula (Sassons, 2016). Addams’ quote provokes thinking on how action influences ethics. 

 

Linstead, S., Fulop, L., & Lilley, S. (2009). Management & Organization. London: Palgrave Macmillan.

Sasson, T. (2016). Milking the Third World? Humanitarianism, Capitalism, and the Moral Economy of the Nestlé Boycott. The American Historical Review, 121(4), 1196-1224.

Trevino, L. K., & Nelson, K. A. (2014). Managing business ethics: Straight talk about how to do it right. USA: Wiley.

 

 

Integrity is defined as “The quality of being honest and having strong moral principles” (‘Oxford Dictionaries’, n.d.). Buffet asserts that this is the most important quality in any employee, placing this squarely in the realm of virtue ethics, specifically in “the character or character traits of the actor as expressed in his or her actions” (Kramar et al., 2014, p. 531). 

Further to this, the suggestion is that without integrity, ultimately an organisation will be ruined from within. Although Treviño & Brown (2004, p. 72) argue against the bad apple myth and suggest most people are the product of the context they find themselves in, indicating individuals may apply ethical relativism to their own circumstance. 

For Daft (2018, p. 170) this reinforces the need for integrity, particularly in leadership to set the ethical tone of an organisation. Here Kramar et al. (2014, p. 541) agree stating the greatest influence on ethical behaviour comes from direct superiors and senior management but concedes that where too great a conflict exists it may often only be resolved by the resignation of the individual.

 However, Treviño & Brown (2004, p. 75) argue that personal leadership integrity is not enough on its own and that leaders and managers must manage with integrity in addition to behaving with integrity, to avoid being viewed as either hypocritical, unethical or silent on ethics. 

Finally, Linstead, Fulop, & Lilley, (2009, p. 374) point out that there is no one set of characteristics that define a good person, indicating possible issues in standardising or recognising virtuousness in people, and liken virtue ethics to Confucianism and Aristotles qualities of a good leader, but concede a key limitation in virtue ethics is an inability to address systemic issues within an organisation. 

 

Daft, R. L. (2018). Leadership experience. New York: Cengage learning.

integrity | Definition of integrity in English by Oxford Dictionaries. (n.d.). Retrieved 1 December 2018, from https://en.oxforddictionaries.com/definition/integrity

Kramar, R., Bartram, T. K., Gerhart, B. A., Hollenbeck, J. R., Noe, R. A., Wright, P. M., & De Cieri, H. (2014). Human resource management: strategy, people, performance.

Linstead, S., Fulop, L., & Lilley, S. (2009). Management and organization: a critical text (2nd ed). Basingstoke; New York: Palgrave Macmillan.

Treviño, L. K., & Brown, M. E. (2004). Managing to be ethical: Debunking five business ethics myths. Academy of Management Executive, 18(2), 69–81. https://doi.org/10.5465/AME.2004.13837400

Treviño, L. K., & Nelson, K. A. (2014). Managing business ethics: straight talk about how to do it right (Sixth edition). Hoboken, New Jersey: John Wiley and Sons, Inc.

 

So do you put social needs (workers and jobs) first or profits for shareholders? Should Aussie workers be put on the scrapheap so a few can enjoy the benefits of low-cost wages in third world countries? Do workers have an inalienable right to jobs even if it means lower profits for owners?

 

References:

Hooker, B., Mason, E., and Miller, D. E. (2000). Morality, Rules, and Consequences, Edinburgh: Edinburgh University Press.

 

Kramar, R., Bartram, T. K., Gerhart, B. A., Hollenbeck, J. R., Noe, R. A., Wright, P. M., & De Cieri, H. (2014). Human resource management: strategy, people, performance. Australia: McGraw-Hill Education

 

Railton 2003.  Facts, Values, and Norms: Essays toward a Morality of Consequence, Cambridge: Cambridge University Press.

 

Roberts, M. A., 2002. “A New Way of Doing the Best That We Can: Person-Based Consequentialism and the Equality Problem”, Ethics, 112, 2: 315–350.

 

Trevino, L. K., & Nelson, K. A. (2017). Managing Business Ethics: Straight talk about how to do it right. 7th Edition. USA: Wiley & Sons.

A renowned wise philosopher of Greek, one of the Seven Sages, politician Chilon has been fighting against unfaithfulness as a purpose of his life. Chilon said he has never broken any law in his lifetime (Gun, 2010). The path he followed also presented that good ethics start from people who are seeking it. Therefore, it can be said that one’s ethics in life and business decisions has a power to impact the mass. 

I believe more people prefer faithfulness and ethics over gain. However, there are plenty of ethical issues in business. To build a world that Chilon was fighting for to bring, developing personal ethics within business and managerial talents are probably the most potential way. Because the moral level of a business owner has a linear correlation with the likelihood of ethical decision-making process in the organisation (Quinn, 1997). 

The increasing demand of business ethics is changing the perception of the concept of ethics and it is now to be used as a critical thinking tool of corporate decision-making processes (Lovett & Woolard, 2016) rather than a personal value. 

Moreover, the ethical decision-making processes are not only critical to goodness of the society, but it is highly influential to the overall well-being of organisations. It is a major factor of employee satisfaction, which can create meaningfulness of work. Some modern organisational studies research reveals potential for managerial practices to connect worker identity (in terms of ethics) experienced meaningfulness (Christopher, et al., 2014). 

References

Christopher, M., Pratt, M. G., Adam, G. M. & Dunn, C. P., 2014. Meaningful Work: Connecting Business Ethics and Organization Studies. Journal of Business Ethics, pp. 77-90.

Gun, A., 2010. 2x2=6, The Sixty Mighty Thinkers. Ulaanbaatar: Gun publishing.

Lovett, S. L. & Woolard, N. A., 2016. The Toolkit and the Carpenter: Teaching the Critical Distinction between Business Ethics and Personal Morals. The e - Journal of Business Education & Scholarship of Teaching, pp. 35-46.

Quinn, J., 1997. Personal ethics and business ethics: The ethical attitudes of owner/managers of small business. Journal of Business Ethics, pp. 119-127.

Plato - Greek author & philosopher in Athens (427 BC - 347 BC)

This quote links to the Utilitarianism Theory and the quote reflects on the injustice of good men paying the price for the public affairs ruled by evil men. 

This quote by Plato’s is simple, Plato believes that justice is just minding one’s business and doing things for oneself is justly. 

In today’s day and age based on the society and environment we are living is this can be reflected deeply.

When we reflect on Plato quote and wonder whether this is still relevant, in my opinion I believe it still is, a good example can be the Deep-Water Horizon Case against BP and the Ken Saro- Wiwa case against Shell.

In the Ken Saro-Wiwa case, Ken Saro-Wiwa was being killed and couldn’t stood trial even thou he had witnesses and evidence, as the Nigerian government had taken this court case out of the normal Nigeria court to the Central Discordance Tribunal consisting of two judges and a military officer. The three people were originally chosen and dictated by order of the General Sani Abacha. This trial was condemned bias and unfair towards the proceeding of Ken Saro-Wiwa and the 12 Ogoni followers.
 
This is a great example as it clearly reflects and aligns to Plato quote ‘The price good men pay for indifference to public affairs is to be ruled by evil men.’

Reflecting on this quote, I found that I was drawn to consider that an individual may choose a path that is ‘right’ based on their own psychological values and characteristics but this may differ drastically from another (Xing Xu, & Keung Ma, 2016, p. 538). Martin Luther King sought the constitutional and legal rights for African Americans which received praise by many but his views of what was right, wasn’t agreed upon by all. So is it a social influence or personal motivation to guide what is right?

The view of deontology applies moral principles like fairness and honesty to situation in order to guide the outcome to what is “right” ethically (Letwin et.al., 2016, p. 745). However the moral compass of an individual may still misalign to what may be considered ethical by society’s standards. On the other side, applying a consequentialist or utilitarian approach to determine what is right will be based on ensuring the outcome aims to benefit society, even if it comes at the cost of the individual losing respect and trust of peers (Everett, Faber, Savulescu, & Crockett, 2018, p. 201). This quote has left me on the fence in the argument of how to determine what is right.

 

Everett, J., Faber, N., Savulescu, J., & Crockett, M. (2018). The cost of being consequentialist; social inference from instrumental harm and impartial beneficence. Journal of Experimental Social Psychology, 79, 200-216. Retrieved from https://doi.org/10.1016/j.jesp.2018.07.004

Letwin, C., Wo, D., Folger, R., Rice, D., Taylor, R., Richard, B., & Talyor, S. (2016). The “right” and the “good” in ethical leadership: implications for supervisors’ performance and promotability evaluations. The Journal of Business Ethics, 137(4), 743-755. Retrieved from https://doi-org.ezproxy.csu.edu.au/10.1007/s10551-015-2747-5

Xing Xu, Z., & Keung Ma, H. (2016). How can a deontological decision lead to moral behaviour? The moderating role of moral identity. Journal of Business Ethics, 137(3), 537-549. Retrieved from https://doi-org.ezproxy.csu.edu.au/10.1007/s10551-015-2576-6