9780273716181_pp05

7/18/2019 9780273716181_pp05

1/24

Slide 5.1

Colin Fisher and Alan Lovell, Business Ethics and Values, 3rdEdition, Pearson Education Limited 200

Values and heuristics

Chapter 5

7/18/2019 9780273716181_pp05

2/24

Slide 5.2


Heuristicsare a means o! discoverin" or !indin"out somethin". #he$ are mental tric%s o! the trade

or rules o! thum& that are used, almost

unconsciousl$, to sim'li!$ the 'rocess o! decision

ma%in". #he$ are co"nitive devices that limit theneed to search !or, and evaluate, !urther o'tions.

#he term also carries (ith it the idea o! discoverin"

thin"s &$ trial and error rather than &$ s$stematic

anal$sis o! all a''ro'riate in!ormation.

Heuristics

7/18/2019 9780273716181_pp05

3/24

Slide 5.3


) *tilit$

) +ndividual need

) eservin"ness

) Ecolo"$

) Fairness

) Personal com'etence and "ain

Values as heuristics in

decision-making

7/18/2019 9780273716181_pp05

4/24

Slide 5.-


Integrity and loyalty

not al(a$s eas$ &ed!ello(s

) Lo$alt$ to sel!, !amil$.

) Lo$alt$ to the "rou's and associations a 'erson

has chosen to &elon" to civil societ$/.

) Lo$alt$ to the em'lo$in" or"anisation.

) Lo$alt$ to societ$ at lar"e.

The Limits of loyalty

7/18/2019 9780273716181_pp05

5/24

Slide 5.5


The Limits of integrity) #he 'ersonal and 'rivate arena.

) #he 'ersonal and 'u&lic arena o! associations and

net(or%s civil societ$/.

) #he cor'orate and or"anisational arena (ithin (hich

a 'erson is em'lo$ed.

) #he arena o! the (ider societ$, 'olit$ and econom$.

Integrity and loyalty

not al(a$s eas$ &ed!ello(s Continued/

7/18/2019 9780273716181_pp05

6/24

Slide 5.


Loyalty vs integrity when an

organisational malpractice is discovered

Ethical horion Loyalty Integrity

Societ$ Sacri!ice o! sel! !or anothers &ene!it

Civil

associationsSacri!ice to sho( mem&ershi' and

commitment

r"anisations Actin" as a sca'e"oat

Sel! Sacri!ice to maintain or increase 'ersonal

&ene!it or status

7/18/2019 9780273716181_pp05

7/24

Slide 5.


Loyalty and integrity

4ana"ers ethical horions

7/18/2019 9780273716181_pp05

8/24

Slide 5.6


Loyalty and integrity

) #(o themes that o!ten a''ear in or"anisationalcodes o! ethics7

8 9e:'ected to maintain the hi"hest levels o! honest$

and inte"rit$, &oth inside and outside (or%in" hours

8 9maintain con!identialit$8 9devotin" their &est e!!orts to the &usiness o! the !irm

8 9civil servants o(e their lo$alt$ to the dul$ constituted

"overnment

8 9civil servants should conduct themselves (ithinte"rit$, im'artialit$ and honest$.

7/18/2019 9780273716181_pp05

9/24

Slide 5.


!hat do organisations e"pect#

) +! the$ have codes ofethics then7

) these 'rovide "uidelines

!or inte"rit$

8 have a 'ositive tone8 use va"ue (ords

8 o!ten have no

disci'linar$ teeth

8

are shorter mean o!1.5 items in one stud$/

) +! the$ have codes ofconduct then7

) these 'rovide rules to

&e lo$all$ !ollo(ed

8 have a ne"ative tone8 are s'eci!ic and

e:'licit

8 detail mechanisms

!or corrective action

8 are lon"er mean o!

30.1 items/

7/18/2019 9780273716181_pp05

10/24

Slide 5.10


$ost organisations e"pect loyalty

and integrity

) 4ost codes have &oth7

) a short statement o! "eneral 'rinci'les

) and detailed dos and donts

8 Pel!re$ and Peacoc%, 11

) 4ost or"anisations have7

) statements o! mission and value 61;/

) codes o! conduct 6;/8 Arthur Andersen, 1

7/18/2019 9780273716181_pp05

11/24

Slide 5.11


The limits of managers% ethics

) r"anisations e:'ect em'lo$ees to &e lo$al andsa$ the$ e:'ect them to sho( inte"rit$ at (or%.

)

7/18/2019 9780273716181_pp05

12/24

Slide 5.12


&u'lic interest disclosure act

) Passed 16? e!!ective 1) Em'hasises lo$alt$ over inte"rit$

8 @o ri"ht to (histle&lo(

8 Common la( dut$ o! con!identialit$

8 Serious (ron"s involved

8 All internal 'rocedures used

8 ocumentar$ evidence.

) Some 'rotection 'rovided to the (histle&lo(er.

Slid 5 13

7/18/2019 9780273716181_pp05

13/24

Slide 5.13


!histle'lowing

) An intervie( surve$ o! -5 mana"ers7) 15 e:am'les o! serious ethical &reaches &$ the

or"anisations the$ (or%ed in.

) +n all cases the$ chose to do nothin" 8 and

&ecame c$nical 88 &ecause o! lo$alt$ to the or"anisation=

) #he limit o! their lo$alt$ (as the or"anisation.

Slide 5 1-

7/18/2019 9780273716181_pp05

14/24

Slide 5.1-


&rincipled resignations

) A num&er o! intervie(ees re'orted that (henthe$ sa( or e:'erienced ethical (ron"s at

(or%7) harassment and &ull$in"

) em'lo$ment discrimination.

) #he$ resi"ned as a matter o! 'rinci'le, to

maintain their 'ersonal inte"rit$.

)

ut the$ did not (histle&lo( internall$ ore:ternall$.

Slide 5 15

7/18/2019 9780273716181_pp05

15/24

Slide 5.15


(etting ethical horions

David7 9All ri"ht, !or the sa%e o! ar"ument, ima"ine (e set u' a&usiness to murder 'eo'le.

Colin7 94urder +ncor'orated.

David7 9B? its &een done. ut sa$ (e did this and (e !ollo(ed

all the culture and em'o(erment stu!!. >e could havedemocratic mana"ement, lots o! trust and all that. #heres "ood

'a$ !or ever$&od$, (el!are arran"ements, "ood 'ensions.

Christmas 'arties !or the %iddies. #heres a moral code 8 ust li%e

the 4a!ia 8 that holds ever$thin" to"ether. Ever$thin" (e have

said so !ar ma%es this a moral &usiness. ut (e %no( its not.4urder isnt moral is it=

>atson 16/

Slide 5 1

7/18/2019 9780273716181_pp05

16/24

Slide 5.1


H)$ and capitalism

9+! ca'italism is, or has the 'otential to &e vie(edas, ethical then

7/18/2019 9780273716181_pp05

17/24

Slide 5.1


Limits of loyalty and integrity

Loyalty) ein" !aith!ul to7

8 sel! and !amil$

8 "rou's and

associations one has

chosen to oin

8 the em'lo$in"

or"anisation

8 societ$ at lar"e.

Integrity) #hin%in" honestl$ and

soundl$, and actin"accordin"l$, in7

8 the 'ersonal and'rivate arena

8 the 'ersonal and'u&lic arena

8 the or"anisation

8 societ$ at lar"e.

Slide 5 16

7/18/2019 9780273716181_pp05

18/24

Slide 5.16


The limits of integrity

)

+ onl$ need to sho( inte"rit$ in m$ 'ersonal li!e and(ith m$ o(n !amil$. + &rac%et m$ (or%in" li!e as an

area in (hich it ma$ not &e 'ossi&le to sho( inte"rit$.8 9ut he (as ever so "ood to his mother

) + should sho( inte"rit$ in dealin"s (ith !riends andassociates.8 E.4. Forster on !riends

) + should act (ith inte"rit$ (ithin the or"anisation. +! +

see somethin" (ron" + must re'ort it to mana"ement.8 @ursin" code o! ethics

) + should act (ith inte"rit$ (ithin societ$ at lar"e.8 raham Pin% and (histle&lo(in"

Slide 5.1

7/18/2019 9780273716181_pp05

19/24

Slide 5.1


Loyalty and integrity may conflict

9Lo$alt$ to 'eo'le or institutions is a !ine ualit$,(hich arouses admiration and res'ect. ut it is

'art and not the (hole o! moralit$. +n order to

understand and e:ercise it ari"ht (e have to set

our lo$alties to our 'ersons and or"anisations(ithin the !rame(or% o! a much lar"er !rame(or%

o! ethics. +t is adherence to this !rame(or% (hich

&oth e:'resses and creates inte"rit$.

Adair, G. 160/ Management and Morality, o(er, '.16

Slide 5.20

7/18/2019 9780273716181_pp05

20/24

Slide 5.20


(acrifice

) Lo$alt$ and inte"rit$ &oth demand sacri!ices.8 +nte"rit$ demands the sacri!ice o! thin"s 8 mone$,

status, 'o(er 8 !or its maintenance.

8 Lo$alt$ is the sacri!icin" o! inte"rit$ to o&tain

thin"s 8 mone$, status, 'o(er 8 !or onesel! or !orsome other &od$ such as an or"anisation.

Slide 5.21

7/18/2019 9780273716181_pp05

21/24


*n e"ample

) At the or"anisational level) +nte"rit$

8 A 'erson (ill tell the mana"er o! the (ron"doin" and

tr$ to convince them to 'ut thin"s ri"ht.

) Lo$alt$8 A 'erson (ill o!!er to cover u' !or the or"anisation.

) ut in either case the or"anisation ma$ !eel

vulnera&le and "et rid o! the em'lo$ee.

Slide 5.22

7/18/2019 9780273716181_pp05

22/24


Ethical horions

Ethicalhorizon

Loyalty Integrity

Sacrifice of self for others benefit

Societ$

H Anon$mous (histle &lo(in"

H Pu&lic (histle &lo(in"

Sacrifice to show membership and commitment

Civil

Associations H L$in" to 'rotect the "rou' H #he "rou' a"rees

maintain silence to

'rotect itsel!

H #he "rou' collectivel$ o!!ers to

hel' mana"ement !ind a (a$

to ma%e thin"s ri"htH #he "rou' collectivel$ &lo(s

the (histle on the or"anisation

8 a !orm o! collective civil

diso&edience

cting as a scapegoatr"anisationsH !!erin" to %ee' silentH CoverIu' the (ron"

doin"

H #r$in" to 'ersuade the

or"anisation to reveal its

(ron"doin" J and to 'ut

thin"s ri"ht

Sacrifice to maintain or increase personal benefit or status Sel!H See% 'ersonal advanta"e

!rom the situationH Protect sel! &$ l$in"

H Protect sel! &$ tellin" liesa&out others

H Bee'in" silent 8 inaction is

&elieved not to dama"e

inte"rit$.

H Desi"nin" (hen theor"anisation (ill not ta%e the

ri"ht actionH De!usin" to &e &ou"ht o!! &$

the or"anisation.

to

#a&le 5.1 #he results o! the simulation com'arin" heuristic and rational

research strate"iesSource7 From Simple !euristics that Ma"e #s Smart$ :!ord *niversit$ Press, +nc. i"erener, . and #odd, P. 1/ #a&le -I2, '. 6, Co'$ri"ht 1

&$ :!ord *niversit$ Press, +nc., $ 'ermission o! :!ord *niversit$ Press, +nc.

Slide 5.23

7/18/2019 9780273716181_pp05

23/24


+ilemma

)

+s a dia"nostic uestionnaire desi"ned to test out$our 're!erences &et(een7

8 ethical horions

8 and &et(een inte"rit$ and lo$alt$

) #he instrument is availa&le as Activit$ 5.2 in Colin

Fisher and Alan Lovell 2003/ Business Ethics

and Values

Slide 5.2-

7/18/2019 9780273716181_pp05

24/24

Colin Fisher and Alan Lovell Business Ethics and Values 3rd Edition Pearson Education Limited 200

Sec 3

104

Sec.5

74

Sec 5

2nd. Visit

30

Sec. 7

35

Sec11

25

Sec15

32

Has troublefinding a

new job

Integrity

!rganisation

53."#$oyalty

Self

1%.2#

&ee'sjob

( )odal 'references

$egend

Sec.5

74

Section in action )a*e

+o. of res'ondents ,isitingt-e section

Integrity

!rganisation 2%."#

ll # figures relate to total sa)'le

$oyaltyself

13.5#

$oyalty

!rganisation12.5#

$oyalty:

!rganisation

15.4#

Integrity

Self

12.5#

IntegritySelf 13.5#

Integrity ci,il association 13.5#Integrity/i,il association

10.#

$oyalty

!rganisation 14.4#

Integrity

!rganisation 5."#

)espondents% commonest routes

through dilemma

Documents

9780273716181_pp05