• Like
  • Save
Ferrell7e Student Ch07
Upcoming SlideShare
Loading in...5
×
 

Ferrell7e Student Ch07

on

  • 1,192 views

 

Statistics

Views

Total Views
1,192
Views on SlideShare
1,190
Embed Views
2

Actions

Likes
0
Downloads
20
Comments
0

1 Embed 2

http://www.slideshare.net 2

Accessibility

Categories

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

    Ferrell7e Student Ch07 Ferrell7e Student Ch07 Presentation Transcript

      • O.C. Ferrell
        • University of New Mexico
      • John Fraedrich
        • University of Wyoming
      • Linda Ferrell
        • University of New Mexico
      Business Ethics Ethical Decision Making and Cases, Seventh Edition For in-class note taking, choose Handouts or Notes Pages from the print options, with three slides per page.
    • Chapter 7 Organizational Factors: The Role of Ethical Culture and Relationships
    • Corporate Culture
      • Values
      • Beliefs
      • Goals
      • Norms
      • Groups
      • Corporate history
      • Founder
    • Corporate Culture
      • A set of values, beliefs, goals, norms, and rituals that members or employees of an organization share.
      • A company’s history and unwritten rules are a part of its culture.
      • An organization’s failure to monitor or manage its culture may result in unethical behavior.
    • Two Basic Dimensions Determine an Organization’s Culture
      • Concern for people—the organization’s efforts to care for its employees’ well-being
      • Concern for performance—the organization’s efforts to focus on output and employee productivity
    • Ethical Framework and Audit
      • Caring
      • Apathetic
      • Exacting
      • Integrative
    • Organizational Culture Ethics Audit
      • Does the culture reward unethical behavior?
      • Does the organization hire people with values perceived as unethical?
      • Is the company’s objective to make as much profit as possible?
    • Role of Leadership
      • To guide and direct others toward the achievement of a goal
      • To motivate others and enforce organizational rules and policies
      • To influence the corporate culture and ethical posture of the organization (rewards and punishment)
    • Interpersonal Relationships
      • One of the biggest challenges in business is getting diverse people to work together efficiently and ethically while coordinating their skills.
      • Relationships among individuals and within groups are an important part of the proper functioning of a business organization.
    • Interpersonal Relationships in Organizations
      • Corporation as a moral agent
      • Variation in employee conduct
      • Role relationships
      • Significant others
      • Differential association
      • Whistle-blowing
    • Interpersonal Relationships in Organizations
      • Organizational pressures
        • Opportunity and conflict
        • Conflict resolution
      • How to improve ethical decision making
    • Corporation as a Moral Agent
      • Organizations can be held accountable for the conduct of their employees and for all business decisions and outcomes.
      • The organization is responsible to society for its collective decisions and actions.
      • Organizations must be responsible for the correctness of all policies.
    • Variation of Employee Conduct
      • 10% of employees follow their own values and beliefs
      • 40% try to follow company rules and policies
      • 40% go along with the work group
      • 10% take advantage of the situation if the penalty is low and risk of being caught is low
    • Role Relationships
      • Total of all relationships in which a person is involved because of his or her position in the organization (role)
      • Peers and top managers are the most influential factors in organizational ethical decision making
    • Differential Association
      • The idea that people learn ethical or unethical behavior while interacting with others who are part of their role-set or other intimate personal groups
      • Association with those who are unethical, combined with the opportunity to act unethically, is a major influence on ethical decision making
    • Whistle-Blowing
      • Exposing an employer’s wrongdoing to outsiders, such as the media or government regulatory agencies
      • Whistle-blowers often receive negative performance appraisals, become organizational ‘outcasts,’ and lose their jobs
      • Companies often establish internal whistle-blower reporting mechanisms
    • Organizational Pressures
      • Time
      • Middle managers
      • Pressure to perform
      • Pressure to increase profits
      • Top managers
      • Low level managers
    • Opportunity and Conflict Create Ethical Dilemmas
      • Opportunity is the set of conditions that limits unfavorable behavior or rewards favorable behavior
      • A person who behaves unethically and is rewarded (or not punished) is likely to continue to act unethically
    • Conflict Resolution
      • Personal-organizational
      • Personal-societal
      • Organizational-societal
    • Role of Motivation
      • To focus employees’ behavior toward goal achievement within the organization
      • To understand an individual’s hierarchy of needs and how they influence motivation and ethical behavior
    • Centralized Organizations
      • Decision making is concentrated at the upper management levels
      • Works well in high-risk industries with fewer skilled lower-level employees
      • Ethical issues: very little upward communication, less understanding of the interrelatedness of functions, and transferring blame to those who are not responsible
    • Decentralized Organizations
      • Decision making is delegated as far down the chain of command as possible.
      • Control and coordination are relatively informal and personal, and the organization is adaptable and sensitive to external changes.
      • Employees are empowered to make decisions; therefore decentralized organizations tend to have fewer formalized ethics programs and policies.
    • Group Influence on Organizational Culture
      • Formal groups
        • Committees
        • Work groups, teams, quality circles
      • Informal groups