Transcript Managing for ethical conduct (1)

Managing for ethical
conduct (1)
Geoffrey G. Bell, PhD, CA
University of Minnesota Duluth
October, 2003
A model of ethical behavior
Situational factors:
•Work context
•Reward system
•Roles & expectations
•Peer behavior
•Resource scarcity
Individual characteristics:
•Moral development
•Multiple ethical selves
Observed
Behavior
Constraints of
observation
Consequences of model
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We must be careful in attributing causes of behavior.
What we may think is caused by “ethical” or “unethical”
people may be importantly influenced by situational
factors.
We must make sure we’re accurately observing what’s
going on.
By changing elements of the work environment, we may
be able to importantly modify people’s behavior.
Sloganeering is rarely effective.
Multi-dimensional personalities
According to the text, people are trained
from childhood to have multiple facets to
their personalities.
 People use ethically neutral terms to
define the conduct of business (“bluffing;”
not “lying”).
 Ken Lay is cited as an example of a highly
multi-faceted individual.
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The power of reward systems
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Reward (and punishment) systems importantly influence
a person’s behavior at work.
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People will normally behavior in ways that are rewarded.
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Note: I didn’t use the term “determine” behavior, but “influence.”
Other factors influence the rewards → behavior relationship.
Note “the fallacy of expecting A while rewarding B.”
What does the organization reward? Is that what we want to
reward?
Nick and extra work.
People will also look at how others’ behavior is rewarded
or punished (social learning theory).
Some conclusions
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People who behave in an unethical manner may not be
“bad apples.” Rather, there may be important systemic
factors that lead them to behave in an undesirable way.
Controlling the reward / motivation system may
importantly influence employees’ behavior, but that too is
influenced by other factors.
Make sure you’re really rewarding desired behavior.
Make sure there’s a consistency between what you
espouse and what you reward.