griseri & seppala chapter 05.ppt

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  • 8/9/2019 Griseri & Seppala CHAPTER 05.ppt

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    THE BEHVAIOURAL

    CONTEXT

    Chapter 5

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    Learning objectives

    I!enti"# an! e$p%ain the !i""erences in ter&s o"ethica% !ecision &a'ing in !i""erent

    organi(ationa% "or&s) inc%*!ing +,Es) "a&i%#- o.ne!b*sinesses) not-"or-pro"it organi(ations an! partnerships/

    Eva%*ate ho. ethics an! responsibi%it# inb*siness are a""ecte! b# organi(ationa%

    str*ct*res an! c*%t*res/

    Ana%#se the !i""erent "actors that can in"%*encethe .a#s that in!ivi!*a%s concept*a%i(e ethicsan! &a'e ethica% choices/

    The behavioural context

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    THE BEVHAVIOURAL CO,0LEX A22ECTIN1

    ETHICAL 3ECI+ION ,A4IN1

    Ethica% !ecision &a'ing is a""ecte! b# both in!ivi!*a% an!

    co%%ective "actors

    Collective factors

    ,otives

    4no.%e!ge

    Va%*es

    Be%ie"s

    Individual factors

    O.nership

    2or&a% str*ct*re

    1ro*p nor&s

    Organi(ationa% c*%t*re

    0o.er re%ationships

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    THE BEVHAVIOURAL CO,0LEX A22ECTIN1

    ETHICAL 3ECI+ION ,A4IN1

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    O6NER+HI0 AN3 ,ANA1E,ENT

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    O6NER+HI0 AN3 ,ANA1E,ENT

    o Less than 57 e&p%o#ees/ ,icro-b*sinesses e&p%o# %ess than

    85 e&p%o#ees/

    o

    Ai&ing at stab%e an! reasonab%e ret*rns/

    o Lo.er pro"its) s&a%% reso*rce base) s&a%% range o" c*sto&ers)

    tactica% p%anning) short %ines o" co&&*nication) 9*ic' !ecision

    &a'ing/

    o +&a%% b*siness o"ten re"%ect 'e# va%*es o" the o.ner:&anager/

    o Ba%ance bet.een the ris's o" %i&ite! governance an! the

    re%ative case .ith .hich s&a%%er "ir&s can operate ethica%%#/

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    O6NER+HI0 AN3 ,ANA1E,ENT

    o ;5-

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    O6NER+HI0 AN3 ,ANA1E,ENT

    o 2or-pro"it organisations) ranging "ro& j*st t.o in!ivi!*a%s to g%oba%

    p%a#ers .ith tho*san!s o" e&p%o#ees an! !o(ens partners/

    o

    0artners are o"ten .itho*t %i&its on %iabi%ities/

    o ,an# partnerships can be "o*n! in the pro"essiona% service "ie%!/

    E/g/ %a. or acco*nting/

    o O"ten governe! b# co!es o" con!*ct or co!es o" pro"essiona%

    practice

    o Interna% sa"eg*ar!s practices to ens*re ethica% behavio*r/

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    O6NER+HI0 AN3 ,ANA1E,ENT

    o The state is o"ten the biggest econo p%a#er in a co*ntr#/

    o Ethica% iss*es inc%*!e corr*ption) ine9*it# o" p*b%ic service

    !e%iveries) &is*se po.er an! the %a./

    o O""icia%s &a# be te&pte! b# briber#/

    o 0o%iticians o"ten "ai% to "oc*s on .hat is goo! "or the co*ntr#) b*t

    rather "oc*s on iss*es that are goo! "or their p*b%ic i&age certain%#

    pre-e%ection perio!/

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    OR1ANIATIONAL +TRUCTURE

    The hierarch# o" a*thorit#/

    The hierarch# o" responsibi%it#/

    The %ogica% !ivision o" operations into "*nctions/

    The hierarch# o" stat*s/

    The hierarch# o" capabi%it#/

    The hierarch# o" pa# %eve%s/

    The stan!ar! career trac' "or &ost pro"essiona% .or'ers/

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    OR1ANIATIONAL +TRUCTURE

    I&portant iss*es in organi(ationa% str*ct*re an! ethics

    Ho. !oes str*ct*re !isengage e&p%o#ees "ro& their &ora%

    instincts

    A complex structure may be blurring the responsibility of the

    organisation, with no employees considering ethics or taking

    responsibility.

    Ho. !oes str*ct*re "aci%itates:hin!ers ethica% an! responsib%e

    behavio*r

    The wider the span of control of the manager the less they cankeep detailed view of the employees.

    Outsourcing practices may also be blurring the boundaries of

    the organisations responsibilities

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    1ROU0 2ACTOR+ A22ECTIN1 ETHICAL

    3ECI+ION ,A4IN1

    Organi(ationa% c*%t*re D the .a# .e !o things aro*n! hereF

    C*%t*re can var# consi!erab%#) .ith !i""erence !egrees o" 0o.er !istance>

    In!ivi!*a%it#:co%%ectivis&> Uncertaint# avoi!ance> ,asc*%init#:"e&ininit#> Long-

    ter&:short-ter& orientation/

    Ethica% !ecision &a'ing an!

    sense o" responsibi%it#

    Th b h i l t t

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    1ROU0 2ACTOR+ A22ECTIN1 ETHICAL

    3ECI+ION ,A4IN1

    ETHIC+ IN 0RACTICE

    otorola encourage direct reporting of ethical issues via

    its !"thical line# $ a phone line that can be used

    anonymously, where employees or others can report areas of

    concern.

    Th b h i l t t

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    IN3IVI3UAL 2ACTOR A22ECTIN1 ETHICAL

    3ECI+ION+

    VALUE+ AN3

    ETHICAL

    I3EOLO1IE+

    0ERCE0TION AN3

    CO1NITION

    Th b h i l t t

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    IN3IVI3UAL 2ACTOR A22ECTIN1 ETHICAL

    3ECI+ION+

    VALUE+ AN3ETHICAL

    I3EOLO1IE+

    %alues are close to our sense of identity

    & so much that they can be difficult to

    clearly analyse

    Ethica% i!eo%ogiesF !escribe the .a# in .hich .e ho%!va%*es

    Absolutist & little relativism but a lot of idealism

    "xceptionist & little idealism or relativism

    'ituationist & a lot of both relativism and idealism

    'ub(ectivist & a lot of relativism, little idealism

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    The behavioural context

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    For use with Business Ethics and Corporate Social Responsibility

    by Paul Griseri and Nina Seppala

    1408004!" # $010 Cen%a%e &earnin%

    The behavioural context

    +U,,ARG

    Organi(ationa% str*ct*re rare%# creates ethica% ris' o" itse%")

    b*t ten!s to e$aggerate ones that are a%rea!# evi!ent/

    +,Es) an! "a&i%# b*sinesses) o"ten operate to !i""erent o.ner-strategies/ These

    ten! to &anage ethics in a &ore inti&ate an! potentia%%# &ore persona%%# "oc*se!

    &anner/

    Not-"or-pro"it organi(ations ten t o have potentia% .ea'ness in their governance/

    Organi(ationa% c*%t*re) gro*p nor&s) an! organi(ationa% po.er can a%% crate

    press*re to.ar!s gro*p con"or&it# in ethica% choice/

    In!ivi!*a% conceive va%*es in !istinct .a#s) .hich ren!er ethica% !isc*ssion an!

    !ebate &ore prob%e&atic than is genera%%# rea%i(e!/