Transcript Business Ethics Fundamentals

Business Ethics
Concept of Attitude

Are pre-conceived evaluative feelings of people about
objects, people or events

Express either favourable or unfavourable feeling about
something

Express one’s way of thinking

They are found from childhood learning experiences and
one’s value system
Wrong Attitudes and Unethical behaviour

To achieve success in life, one has to be manipulative
and calculative

Envy, Jealousy and competition is normal and necessarily
exists if an organization wants to succeed

It is difficult to get ahead in life without cutting corners
here and there

There is nothing wrong in taking credit for something I
have not done in the organization if it furthers my cause
Right Attitudes and Ethical behaviour

One should take action when one is sure that it is
ethically correct

I have no right to use my colleagues to further my career

Promotions are earned through hardwork, perseverance
and fair play

Most people are basically good and can be trusted

To me means are important as ends since it is impossible
to achieve ethical goals with unethical means
Norms

Expectations
of proper behaviour,
requirements

Are ways an individual expects all people to
act when faced with a given situation

They are neither
universally applied
logically
consistent
not
nor
Beliefs and Ethical behaviour

Beliefs are ideas or principles that people hold dear and
give ordinance to

Beliefs are the foundation of one’s value system

They are standards of thought

They are the ways in which an individual expects people
to think about given concepts
Moral Standards

Deal with matters that we think are of serious
consequence

Are not established or changed
particular authoritative bodies

Overrides self interest

Are based on impartial considerations
by
decision
of
Character-Behaviour Matrix
S
B – Strong
C – Weak
Strategic Man
B – Strong
C – Strong
Desired Mix
B – Weak
C – Weak
Avoid and Discard
B – Weak
C – Strong
Needs correction
Behaviour
W
S
W
Character
Value and Ethics

Edward Spranger defines the values “as the
constellation of likes, dislikes, view points, inner
inclinations, rational and irrational judgements,
prejudices and association patterns that determines
a persons view of the world.

They are deeply embedded in people’s sub consious
and manifest themselves in their behaviour

A Value is a sustained and assimilated mode of
acting, thinking or merely being
Values and Ethics
Values
Shape
Beliefs
Attitudes
Perception
Behaviour
Value and Ethics : People Values
Rom Lebow, former director of marketing at Microsoft and
William L Simon offer an important set of values for a
successful organization










Treat others with uncompromising truth
Trust your associates
Mentor unselfishly
Be receptive to new ideas
Give credit where due
Take risks for the good of the organization
Be honest in all dealings
Put the interests of others before your own social
conscience
Responsibility
Accountability
Value and Ethics : Business Values
Quotes of management thinker of international repute, Dr. M. B.
Athreya (“Business values for the 21st century”):

Righteousness (Dharma)

Public Good (Loka Sangraha)

Efficacy (Kausalam)

Innovation (Vividhata)

Learning (Jigyasa)

Dharmayudh
Overview of Ethical Value System
System of Universalism

This theory is based on the duties or obligations of an
individual in society

It states that the moral worth of an action of an individual
should be judge by his intentions and not by the outcome of
his action

The underlying philosophy is that good intentions would
always result in good outcome, ultimately, if not immediately

Actions performed under it are in accordance with categorical
imperative and therefore morally correct
Overview of Ethical Value System
System of Utilitarianism

This approach is concerned not with the act
but the consequence of the act

Aims at creating the greatest degree of
benefit for the largest number of people while
incurring the least amount of harm possible

Main difficulty in Accurately measuring costs
and benefits
Overview of Ethical Value System
System of Distributive justice

All rules and laws must be just
 Emphasis on equal distribution of burden and
benefits
 Moral value action can be determined by the
degree of cooperation it generates within the
members of our society
Overview of Ethical Value System
Individual Freedom of Choice
 All individuals must be allowed to make
choices among alternatives leading to their
own welfare
 These choices must be within law
Overview of Ethical Value System
Legal System& professional Codes
 Moral worth of an action can be determined
through Legal System
 Professional codes are value-based norms of
desired behavior within a particular profession
Parent-Adult-Child Ego State
Parent
(A taught
concept of life)
Adult
(A thought
concept of life)
Child
(A felt
concept of life)
The 4 – Life Positions – Thomas A. Harris
Life Position 1 – “I AM NOT OK – YOU ARE OK”
 Persons feel inferior to others in some way
while the rest of the world is alright
 He is focused only on getting others to like
and appreciate him
The 4 – Life Positions – Thomas A. Harris
Life Position 2 - “I AM NOT OK – YOU ARE NOT OK”

Person concludes that there is something
wrong with both – himself and world

He views everything negatively and with
suspicion
The 4 – Life Positions – Thomas A. Harris
Life Position 3 - “I AM OK – YOU ARE NOT OK”

A person with this life position is always
convinced that he is ok no matter whatever
he does and total fault in every situation lies
in others

This is a potentially criminal position
The 4 – Life Positions – Thomas A. Harris
Life Position 4 - “I AM OK – YOU ARE ALSO OK”

Persons accepts himself and the world as
alright

Person with this life position is always in
harmony and peace with himself and world
Culture and Ethics

Social Contract Theory : Hobbes, Locke and
Rousseau

Collection of Socialism Theory : Plato and
Aristotle

Organic Theory : Leslie Stephen and Herbert
Spencer

Idealistic or Group Mind Theory : Plato
Similarity of ethical Values in Different Cultures
 It is unethical to cause harm too society in pursuit o
one’s happiness
 Every person has a responsibility towards the welfare of
the society
 A man is indebted to society
 Principle of fairness
 Principle of Integrity and Honesty
 Principle of human Dignity
Thank You