The Ethical Dimension of Management

Ethics is the study of moral obligation involving the distinction between right and wrong

Business Ethics is narrows the frame of reference to productive organizations and also referred to as management ethics or organizational ethics.

Practical Lessons from Business Ethics Research:

Ethical Hot Spots

·         Balancing work and family

·         Poor internal communications

·         Poor leadership

·         Work hours, work load

·         Lack of management support

·         Need to meet sales, budget, or profit goals

·         Little or no recognition of achievements

·         Company politics

·         Personal financial worries

·         Insufficient resources

Pressure from Above: The problem of superiors pressuring subordinates to achieve results is widespread.

Managers’ responses to pressure from above: Consciously avoid putting undue pressure on subordinates (who may act unethically to relieve the pressure). Prepare to deal with excessive organizational pressure.

Ambiguous Situations: Situations where there are no clear-cut ethical guidelines or ethical codes.
Rationalization: How Good People End Up Doing Bad Things, Perceiving an objectively questionable action as normal and acceptable.

A Call to Action: The deliberate and conscious action of a manager to do the right thing is an ethical and personal matter.