Professional Documents
Culture Documents
Uu Uu
Uu Uu
K. Michele Kacmar
Ethics is the study of morality Morals are the standards used to judge right and wrong Values are the degree of conviction about the way to conduct life
Conviction
The degree of conviction to your values can be described as primary, secondary, or peripheral
Primary core values, unchanging Secondary Important, but changeable occasionally Peripheral Values that are known but not lived by
Conflict of Values
Dramatic outcomes can occur when individuals and groups hold conflicting core values:
Religious wars Business scandals Crime
Environmental Factors
Over the last decade, ethical scandals in business have been on the rise:
Enron WorldCom Tyco Health South
A combination of external regulations and compliance programs and voluntary corporate ethics programs is the most effective way to combat inappropriate corporate behavior (Trevino, Weaver, Gibson, & Toffler, 1999).
External Regulations
Organizational Responses
Explicit Standards
Explicit standards define precisely acceptable and unacceptable conduct such as accepting gifts and the amount allowable
Describes the core values the company wants its employees to exhibit including:
How employees are to treat one another How employees are to treat customers and stockholders
Must come from the top with the CEO being directly involved in its development Top management must actively disseminate the values statement and then live by it The values statement must be focused
HR Responses
HR Responses Continued
Take steps to eliminate and discourage reasons for misbehavior and introduce and encourage reasons to behave ethically
HR Responses Continued
Develop an appraisal system that rewards individuals for ethical behaviors and punishes those who act unethically
HR Responses Continued
HR can use its expertise to communicate with the workforce to get out the ethical message
$7 trillion in stock market losses Loss of jobs and retirement savings by employees
Human Costs
Ethics Effectiveness Quick-Test asks Quickeight questions about twelve different areas that can help to increase the ethical effectiveness in an organization
Have a well developed policy and procedures manual Enforce policies Reward compliance Recruit ethical employees Create a division to oversee ethics
Conclusion
Whenever you are required to make a difficult decision, especially one that is ethically challenging, select an option that you would be comfortable describing to the nation on the evening news