LESSON 4 Flashcards
THE ETHICAL AND SOCIAL ENVIRONMENT
personal belief on what is right and wrong, good or bad.
ethics
behavior that conforms to the
generally accepted norms.
ethical behavior
managerial ethics major concerns
Firm to employee
Employee to firm
Firm to economic agents
economic agents
Customers
Competitors
Stockholders
ethics in organization
individual values + organizational values = managerial values
ETHICAL NORMS AFFECTING ACTIONS
utility
care
rights
justice
People that are directly affected by the
organization.
organizational stakeholders
13 organizational stakeholders
creditors
customers
local government
state/federal government
foreign government
colleges and universities
courts
owners/investors
trade associations
interest groups
employees
suppliers
local community
Set of obligations to behave responsibly
social responsibility
effects of social responsibility
Stakeholders
Natural environment
General social welfare
APPROACHES TO SOCIAL RESPONSIBILT
obstructionist stance
defensive stance
accommodative stance
proactive stance
Do as little as possible
obstructionist stance
Do only what is legally required and nothing
more.
defensive stance
Meets legal and ethical obligations and go beyond that are in selected cases.
accommodative stance
Organization as citizen and proactively seeks opportunities to contribute to society
proactive stance
MANAGING SOCIAL RESPONSIBILITY:
FORMAL ORGANIZATIONAL DIMENSIONS
legal compliance
ethical compliance
philanthropic giving
organizational leadership and culture
whistle blowing
The organization conforms to local state, federal
and international laws.
legal compliance
The members of the organization follow the basic/ethical standard of behavior.
ethical compliance
Awarding funds and gifts to charities
philanthropic giving
Leadership practices and the culture of the organization
organizational leadership and culture
The organizations’ response to disclosure of an ethical and illegal act of an employee.
whistle blowing
EVALUATING SOCIAL RESPONSIBILITY
concept control
corporate social audit
