545434383-Ethical-Dilemmaaaaaaaa-PPT.pptx

545434383-Ethical-Dilemmaaaaaaaa-PPT.pptx

• 1.
  Ethical Dilemma By Prof NehaSajnani
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  Dilemma • A situationin which a difficult choice has to be made between two or more alternatives especially ones that are equally undesirable. Eg: She faces the dilemma of disobeying her father or losing the man she loves. A moral/ethical dilemma. • Ethical dilemmas are situations where two ethical values or requirements seem to be incompatible. • Ethical dilemmas involve unclear choices of what is right and what is wrong. • There are several types of dilemmas in business and one must act out of prudence to make a better decision. Eg: when a production manager is asked to make a product, he may face an ethical dilemma if he knows that the product will harm the large number of consumers who will buy and use the same. • He will face an inner conflict involving the application of societal values.
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  Continued • The outcomeof an ethical decision cannot be predicted with accuracy. Nor is there any scientific formula or software to determine it. • Even astute businessmen do commit ethical mistakes while deciding business issues. • Thus there is no alternative in such cases except to think well and deeply before making the decision and once decided to take responsibility of the same. • When a persons intentions and final decision are at variance with one another, they may feel guilty for what they have done. Businesspersons and professionals come across several such situations in their lives.
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  Continued Product Safety –in all stages : using, maintaining, storing and disposing. Plant safety - in all areas within the plant and in all operations Advertising practices – green washing, social/moral norms, disputable claims, warranty/guarantee issues. Human Resource management – dignity, glass ceiling effects, fair and just treatment, discriminatory practices. Environmental Issues – pollution control, Triple P principle (people, profit and planet) Business practices – Equitable, Trustworthy, Honest, Integrity, Cultured, Societal norms.
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  Continued • An employeewho has worked for your corporation as a Secretary cum typist for fifteen years is involved in a car accident which he permanently loses the use of his right hand. • Thus, he can no longer effectively type, file or perform many of the functions that he previously had performed and that are included in his job description.
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  Continued • A womantravelling in a car witness an accident. She wants to assist the victim and ask the driver to pull over to assist. But the driver ignores the instructions and drives past the same. • Later, the driver explains to the woman that a person assisting an accident victim is often held responsible for the accident itself, if the victim dies, the assisting person might even be held responsible for the death. Because of these problems, road accident victims are usually left unattended.
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  Continued • Was thedriver’s action right or wrong. • Applying the theory of ethical egoism, the driver’s decision is correct, as the consequences of his action are more favorable than unfavorable to himself and the woman. Had they stopped, they might have been harassed by the police. • On the principle of ethical altruism, however, the driver’s decision is not morally correct, as its consequences for others (here the accident victim) are unfavorable. • To determine whether the driver is right under the theory of utilitarianism, one must consider the consequences of the act, both for the driver and the woman, and the victims and tally the overall good consequences against the bad consequences of the act.
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  How to takea ethical decision • I Analyze the consequences Economic Analysis Legal Analysis Ethical Analysis • II Analyze the Actions • III Make decision • Ethical decisions are not simple choices between right and wrong actions, they are complex judgements on the balance between the economic and social performance of an organization. • How Ethical Dilemmas in business affect the stakeholders? • Corporate Dilemma over Ethical behavior
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  CATWOE model ofresolving Ethical dilemma • This model is adapted from Systems Management. • Ethical dilemma occurs due to mismatch in ethical perspectives of various stakeholders involved in the ethical situation. • A CATWOE analysis helps the manager identify all stakeholders involved in a decision and their respective ethical perspectives. • CATWOE is an acronym to categorize various stakeholders. • C – Customers: In this context, ‘customers’ means those who are on the receiving end who will gain or lose from your decision.
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  Continued • A –Actors: the “Actors’ means those who would actually carry out the activities envisaged in the notional system being defined. • T – Transformation : This means the activities system does to the inputs to transform or convert them into the outputs. • W –Weltanschauung : Also known as the “World view” implies putting the system into a wider context to highlight the consequences of the overall system like assisting in making the world environment safer. • O – Owners : The owners who have sufficient formal power over the system to stop if they so wished. • E – Environment : The environmental constraints include things such as ethical limits, regulations, financial constraints, resource limitations, limits set by terms of reference and so on.
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  Reasons of ethicalproblems • Failure of personal character • Conflict of personal values and organizational goals • Organizational Goals Versus Social values • Personal Beliefs Versus Organizational Practices • Production and sale of Hazardous but popular products.
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  Why business shouldact ethically? • To meet stakeholder expectations (& protect business reputations) • To prevent harm to the general public • To build trust with key stakeholder groups • To protect themselves from abuse from unethical employees & competitors • To protect their own employees • To create an environment in which workers can act in ways consistent with their values
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  Unethical Business practices •Price fixing and profiteering due to monopoly and often creating scarcity; • Shifting unfair shares to the producer stakeholders and employees; • Discriminatory wage structure; • Using up scarce and replenishable industrial resources and raw materials; • Shifting or locating business at the cost of society; and • Overworking women and children.
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  Roots of Unethicalbehavior • Balancing work and family 52% • Poor Leadership 51% • Poor internal communication 51% • Lack of management support 48% • Need to meet goals 46%
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  How corporations observeethics to reduce dilemmas? • Implement ethical behavior by publishing in-house codes of ethics that are strictly to be followed; • At top levels , employ people with reputation for high standards of ethical behavior; • Incorporate considerations of ethics into performance reviews; • Conduct ethics audit.
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  Code of personalethics for employees • Respect confidential information to which you have access • Maintain high standard of professional responsibility • Avoid being placed in situations involving conflict of interest • Act with integrity • Do not discriminate against anybody on any bias • Maintain professional relations based on mutual respect for individuals & organizations • Be committed to the goals of the organization • Do not give up your individual professional ethics
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  Unethical behavior • Unethicalemployee behaviors often include: taking home office supplies, overreporting hours worked or miles driven for business and taking excessive breaks or sick days. • Using company technology for personal reasons, such as cyber loafing – surfing the internet, shopping online and social networking – is another form of unethical behavior. Promoting and supporting the importance of workplace ethics reduces these behaviors.
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  How to createan ethical working environment • Make the decision to commit to ethics • Recognize that you are a role model by definition, by your action & by your values • Assume the responsibility for instilling ethical behaviour • Articulate you values • Train the staff • Encourage open communication • Be consistent • Abide by the laws of the land
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  How do yourespond to these ethical dilemma scenarios 1. Your co worker asks you to cover for him so he can sneak out of work early to go to his son’s softball game. Do you agree? If he went anyway would you keep silent. 2. One of the newest sales person in your division is quite lazy and tardy. He is the son of the company president Your boss instructs you not only to leave the new guy alone but also to make his sales number look good by throwing him some no –brainer accounts. What do you do? 3.Your best friend is the VP of one of the companies with which your firm does business. You take her out for lunch just to catch up on personal stuff, and you pick up the check. Do you declare this a “business lunch” and submit the receipt for reimbursement.