Organizational Ethics


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Organizational Ethics

  2. 2. Organizational ethics is the application of these morality related choices as influenced and guided by values, standards, rules, principles, and strategies associated with organizational activities and business situations. If ethics deals with the choices (the morality of right vs wrong) that individuals make in their personal and professional lives, then…
  3. 3. They are at ease interacting with diverse internal and external stakeholder groups. How do we describe an ethical organization? They are obsessed with fairness. Responsibility is individual rather than collective, with individuals assuming personal responsibility for actions of the organization. They see their activities in terms of purpose.
  4. 4. Ethical Ground Rules These are the bases by which we make ethical decisions. Provide the basic rules by which to govern behavior and meet the many different challenges of life.
  5. 5. Six Pillars of Character Trustworthiness Caring Respect Fairness and Justice Citizenship Responsibility
  6. 6. ETHICAL Ground Rules Foster a culture of honesty. Remind group members that they don't have to like people to work with them. Affirm collective responsibility.
  7. 7. Spotlight the need for full participation. Everyone needs to take a fair share of the group work. Highlight the importance of developing and practicing listening skills.
  8. 8. Benefits of Managing Ethics in the Workplace Attention to ethics has substantially improved society. Ethics programs cultivate strong teamwork and productivity. Ethics programs support employee growth and meaning. Ethics programs help ensure that policies are legal.
  9. 9. Benefits of Managing Ethics in the Workplace Ethics programs help avoid criminal acts “of omission” and can avoid punishments. Ethics programs promote a strong public image. Managing ethical values in the workplace legitimizes managerial actions, strengthens the alignment of the organization’s culture, and improves trust in relationships between individuals and groups.
  10. 10. Who is responsible for creating Ethics in an Organization? The creation of an ethical organization resides with leaders and followers; leadership by nature demands that leaders be the front runners in establishing an ethical organization.
  11. 11. Ethics starts at the top! Thus, two things become apparent: 1. Organizational/business ethics are the responsibility of organizational leadership; and 2. The challenge of leaders to create an ethical organization is….difficult! “Leaders play THE key role in developing the ethical organization as they confront balancing operational and profit goals with corporate moral obligations to internal and external stakeholders”.
  12. 12. Ethics starts at the top! Key Questions for Leaders as they build the ethical organization:  What are my core values and beliefs?  What are the core values and beliefs of the organization?  Whose values, beliefs and interests are affected by my actions and decisions?  Who will be harmed or helped by my actions and decisions and those of my organization?  How will my core values and those of my organization be affected or changed by my actions or decisions?  How will I and my organization be affected by my actions and decisions?  Do my actions and decisions represent a consistent set of values?  From this, how will I approach the creation of an ethical organization?
  13. 13. “The ethics of the organization reflect the ethics and skills of leaders.” Lee Hartman, Ph.D. Develop ethical behavioral influences Build an integrity based organization Provide sound ethics training Instill strong organizational values Implement plans and strategies to achieve ethical excellence The Role of Leaders
  14. 14. “The ethics of the organization reflect the ethics and skills of leaders.” Lee Hartman, Ph.D.
  15. 15. Jessa I. Cerbito Discussant