Chapter 12-Ethics Flashcards
Ethics
systematic thinking about moral consequences of decisions (potential harm to stakeholders)
stakeholders
in/out people potential to be affected by organizational decisions
ethics in organization
top management see ethics> lower mgmt
undergraduate student > MBA students
women > men
Older people (risk averse) > younger people
common themes of ethical issues
- honest communication
- fair treatment
- special consideration
- fair competition
- responsibility to organization
- corporate social responsibility
- respect for law
Causes of unethical behaviour
gain role conflict strong organizational identification competition personality organizational and industry culture
Gain
role of temptation, compensations around high bonus and no punishment
Role conflict
bureaucratic role as organization employee goes with one’s role as member of profession -> ethical conflict and that is solved in unethical matters
Strong organizational identification
lead employees to try to “help” the company unethically
competition
rigid competition for scarce resources
Personality
cynical + external locus of control = less ethical
high need for personal power = unethical
strong economic values = unethical
morally engaged = ethical
organizational and industry culture
and subculture can influence ethics
conduct of others
corporate culture can punish or reward a behavior
whistle blowing
current/former member of organization discloses illegitimate practices to some person/organization that can correct (with power rarely blow)
Sexual harassment
unethical behaviour from abuse of power and perpetuation of gender imbalance
sexual harassment is most prominent n
hostile work environment, male dominated industry and where men keep their dominance
sexual harassment also by clients and customers
TRUE