Managing Ethics

Ethical Behavior in Corporate Culture

Business can either voluntarily develop appropriate policies or can be forced to do so by public opinion.

When external pressure is the reason for ethics programs, the adapted practices are not integrative

But if ethics planning come from the top management, the ethics practices are more likely to be integrative

Ethical Management and Management of Ethics

Ethical management means – Doing the right thing

Management of ethics means – How this has been done

The Role of Management

Create favorable corporate culture Set high standards, norms, and framing attitude for

acceptable behavior Make written code of ethics to be abided by at all

levels from top to bottom Take ethical decision

Ethical Dilemma

An ethical dilemma is a complex situation that often involves an apparent mental conflict between moral imperatives

The distinction between moral right and wrong are not always so clear.

In many situations line between right and wrong blurred

Such situation can lead to ethical dilemmas

How to Deal with Ethical Dilemmas?

Using four way test to evaluate decisions

1. Is my decision a truthful one?

2. Is my decision fair to everyone affected?

3. Will it build goodwill for the organization?

4. Is the decision beneficial to all parties who have vested interest in the outcome?

How to deal with Ethical Dilemmas?

Using the publicity test

Ask yourself how would you feel if your actions were published in your hometown newspaper