M2 Chapter 6 Managing Organizational Ethics

Question 1

Ethics

Answer 1

The code of moral principles and values that govern the behaviors of a person or group with respect to what is right or wrong.

Question 2

Ethical dilemma

Answer 2

A situation concerning right or wrong when values are in conflict
- when the actions of a person or organization may negatively influence or impact another individual.

Question 3

Teleological Ethics

Answer 3

Focuses on the consequences, or end result, of an action

Question 4

Deontological Ethics

Answer 4

Focuses on moral obligations and responsibilities of individuals to do the right thing

Question 5

Stages of Moral Development

Answer 5

Preconventional (Fear)
Conventional (Duty)
Postconventional (Love)

Question 6

Individualism

Answer 6

Every person should act in a way that best promotes him or herself as long as the net result generates a positive outcome.

Question 7

Utilitarianism

Answer 7

Seeks to provide the greatest good for the greatest number of people.

Question 8

Sidgwick’s Dualism

Answer 8

Seeks to bridge gap between individualism and utilitarianism

Question 9

Kant’s Ethics

Answer 9

Decisions should be based on whether an action is right or wrong in and of itself.

Question 10

Moral Rights Approach

Answer 10

Individuals have fundamental rights and liberties that cannot be taken away.

Question 11

Justice Approach

Answer 11

All members of society should be treated fairly.

Question 12

How to Create an ethical culture

Answer 12

1. Create a positive work environment
2. Hire ethical individuals
3. Provide ethical training
4. Label and model ethical behavior
5. Create a well-defined code of ethics
6. Establish an open-door policy
7. Provide an employee assistance program (EAP)

Question 13

Business ethics

Answer 13

The values and principles that are used to evaluate whether the collective behavior of members of an organization are appropriate.

Question 14

Distributive justice

Answer 14

States that the treatment of individuals should not be based on arbitrary characteristics.

Question 15

Procedural Justice

Answer 15

Asserts that all rules should be distributed equally to all members of society.

Question 16

Moral Philosophy

Answer 16

Refers to the principles, rules and values that individuals use in deciding what is right or wrong.

Question 17

employee assistance program (EAP)

Answer 17

A formal program designed to help employees deal with personal problems and challenges.

Question 18

employee awareness training

Answer 18

Educates new employees about what is acceptable and unacceptable behavior within the organization.

Question 19

Modeling

Answer 19

Refers to the behavior, or example, of an individual.

Question 20

Labeling

Answer 20

Refers to what an individual says, or communicates, to others.

Question 21

code of conduct

Answer 21

Also referred to as a code of ethics, a code of conduct is a formal written document that communicates to employees what is acceptable and unacceptable behavior.

Question 22

open door policy

Answer 22

a transparent and open communication policy where employees have access to management.

Question 23

corporate social responsibility

Answer 23

Management’s obligation to make choices and take actions that will contribute to the welfare and interests of society as well as the organization.

Question 24

stakeholder

Answer 24

A group or individual who have a direct or indirect relationship with an organization. Consequently, stakeholders can affect or can be affected by the actions of an organization.

Question 25

shareholder

Answer 25

Refers to the financial owner(s), or stockholders, of an organization.

Question 26

stakeholder approach

Answer 26

Examines how all stakeholders, not just shareholders, are impacted by business decisions.

Question 27

5 Areas of CSR:

Answer 27

1) Strategy (long term in many aspects?) 2) Financial 3) Customer and Product 4) Governance and Stakeholder (high standards?) 5) Human (maintain employee satisfaction?)

Question 28

reactive strategy

Answer 28

Suggests that an organization is involved in little or no corporate social responsibility initiatives.

Question 29

responsive strategy

Answer 29

Refers to organizations that may engage in some social initiatives but, for the most part, believe that these efforts distract from making a profit.

Question 30

accommodative strategy

Answer 30

These organizations often engage in social initiatives, although social initiatives are not the focus of their existence.

Question 31

proactive strategy

Answer 31

These firms actively engage and proactively search for ways to incorporate corporate social responsibility into their everyday operations.